Wednesday February 19, 2020
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The German carmaker BMW wants to save a total of two billion euros with efficiency measures by the end of 2022. For this purpose, processes are to be continuously improved and opportunities for digitization are to be better used, the new production board announced. That doesn’t mean anything good for niche models.
BMW plans to raise a total of two billion euros in efficiency potential in production by the end of 2022. “We can do this with two levers: On the one hand, we optimize plant investments. On the other hand, we reduce running costs by continuously improving our processes and taking advantage of the opportunities offered by digitization,” said the new production director Milan Nedeljkovic of the “Frankfurter Allgemeine Zeitung”.
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The “Performance Next” savings program has been running at BMW for a little more than two years, with the aim of improving efficiency in the Group. After that, about half of the drive variants will no longer apply and niche models such as the Gran Turismo three will no longer have a successor.
BMW apparently gets off lightly in the Corona crisis. The BMW production board does not expect any significant distortions. “The outbreak of coronavirus has no effect on our plants outside of China.”
The global supply chain was never broken and “our annual planning for production in China is not affected,” said Nedeljkovic, who has been in office for a good 100 days. “We could make up for the lost volume in all three plants, for example by extending shifts, if the Chinese market has a corresponding need.”
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