BMW “Project i” – Developing Cars For The Future !

19 03 2008

bmw_progecti.jpgNew BMW brand may be coming …

As more and more governments have begun for a world less dependent on OPEC, BMW has its sights on the future. The company has acknowledged the need to explore alternatives to conventional cars, and has a new department for the development of the “new car and mobility concepts.” Bedeutete to consider transportation solutions for the largest cities in the world, “i-Project” to develop ideas for a division within BMW.

News of the unit comes on the heels of a statement made by BMW India President Peter Kronschnabl confirmed plans for the development of a concept for the still non-existent as a luxury micro-car segment. At a press conference today in Munich, Chairman of the Board Dr. Norbert Reithofer told journalists that BMW Project i-solutions for the three brands BMW, MINI and Rolls-Royce, but they have not ruled out the introduction of a fourth brand. In addition, BMW i project a tremendous amount of latitude, so that they are totally independent of BMW HQ.


It is unclear whether the new unit will begin working on either a vehicle for a new start Triumph, or a rebirth of the Isetta. Either approach could be ideal for a division expects to produce unique transportation ideas. BMW acquired triumph after the purchase of Rover in the mid-90s.

In his speech, Reithofer also confirmed that BMW is looking into the possibility of launching an all-electric car. BMW rumours way was to work on a car for the city for quite some time. The car is expected to have a turbo-petrol or diesel engine, but last month the door open for BMW to consider an electric model, the rival Audi A1. “It’s not only work a zero-emission level. Now, the technology is sophisticated enough to offer driving pleasure,” he said. BMW will make a final decision on a battery powered car to the end of this year. The text of the speech Dr. Reithofer can be found on the following pages.

BMW has some room to spare if the search for new opportunities, research and development. All three brands their active connection for the distribution of over 1.5 million vehicles. The 9.2% increase over last year led to a record number of BMW sales in 2007. The profit before tax for the company a total of € 3.87 billion, which is 6.1% compared to 2007. The company said this dip than by an increase in Gewinne’06 after the sale of bonds for Rolls-Royce this year.

Over the course of the years, the cooperation between the BMW Group and their supplier network has grown into a successful innovation partnership. This is why we treat our suppliers fairly.

Of course, our purchasing division negotiates prices with them. But it is even more important to us to examine their costs and our requirements carefully – together with our suppliers.

This approach has helped us strengthen the cooperation with the supplier network in the last few months. Our experience shows that the interface between supplier and in-house value creation offers considerable potential, which we plan to tap into for our mutual benefit.bmw_progecti_2.jpg

It is our goal to keep up our top level of quality while saving costs at all stages of the supply chain. We expect a lot from these efforts. And both partners stand to benefit.

Another issue in improving profitability is our knowledge management.

To meet the various challenges ahead, we need highly qualified specialists and executives. Requirements are changing. Just think about the mobility concepts for megacities we are working on or intelligent solutions in the field of hybrid or electric drive systems.

So implementing all our plans will require us to align our knowledge structures with these new requirement profiles.

What this means for us is:

First: We want to work with the most creative minds. So we will continue our strategic recruitment efforts. This year alone, 500 new jobs will be created. And we will keep on training a large number of young people at the BMW Group.

Second: We are becoming more and more efficient – as our production efforts have shown.

There is no way around implementing efficiency enhancements – given the increasingly fierce competition among carmakers and global operations.

But what this also means for us is that we need fewer people in some areas. As announced a few weeks ago, we want 3,100 permanent staff to accept voluntary redundancy and severance packages.

We understand good management as acting with foresight.

We are now creating the foundation needed to secure employment in Germany and at our international locations over the long run.

We are one of the most international companies in our industry. Four out of five BMW Group cars are exported.

But: We are committed to Germany as our industrial base. Germany is where we are rooted. This is where our heart is and where it will remain.

PART III: Outlook and goals 2008

Ladies and Gentlemen—

We want to continue our successful development in the business year 2008.

But there is something we must not forget:
External burdens such as currency fluctuations and raw material prices will impact our earnings situation.
Furthermore, 2008 will see particular uncertainties due to the effects of the Subprime crisis. One result might be a slowdown of the US economy which could also hurt the whole automotive industry.

Nevertheless: We have set ourselves again ambitious targets for the business year 2008.

We want to achieve record sales for all three automobile brands.
We want to stay in the lead as the world’s most successful premium car manufacturer.

We plan to outperform last year’s earnings before taxes— adjusted for the book gain from the Rolls-Royce exchangeable bond in 2007.
We want to improve earnings quality in 2008. This will also be reflected in our key performance figures such as return on sales and return on capital.

Our strategy details our long-term goals.

You know that by 2012 we want to achieve:

a return on capital employed of 26 percent in the automobile segment
as well as an EBIT-based return on sales of 8 to 10 percent in the automobile segment.

Keeping these goals in mind, allow me one final remark: It’s not over till it’s over. There have been several times in which one or the other car company was very euphoric. But what matters most is who achieves the goals over the long-term and can hold this position.

For all of us at the BMW Group one thing holds true:
We deliver on our promises.

Source: BMW



One response

28 03 2008
Hot Cars

I think, BMW producer great cars, they always add something new to their nice and powerful auto!

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