Bmw's Dream Factory & Culture

Topics: Reinforcement, Reward system, Punishment Pages: 3 (993 words) Published: October 25, 2010

BMW’s Dream Factory and Culture – Employee Driven
Bennie J. Pegram
Strayer University

This paper describes how one of our well known car manufacturers BMW consistently develops a diverse line of great quality cars that keeps the buyers happy. BMW relies on all employees to find solutions, ways to cut costs, and improve productivity. BMW motivates its employees working on the assembly line in its factories by using organizational rewards and reinforcements. With the assistance of managers and the union, BMW developed a new pay system that helps the company achieve profitability. The layout of the new pay system has both positive and negative reinforcements. The employees and BMW are working together as a team to ensure quality cars are produced from its assembly lines. Employees have saved BMW millions of dollars through their suggestions and ideas.

BMW’s Dream Factory and Culture - Employee Driven
BMW is a company that continues to succeed with its diversified product lines, and entrepreneurial culture (Hellriegel & Slocum, 2009). Effective companies use teamwork which includes the managers, employees, and the organization. BMW is managed laterally and depends heavily on its employees to come up with innovative ideas and suggestions that will cut costs and improve productivity. During orientation, new employees learn about 1959, when BMW nearly went bankrupt (Hellriegel & Slocum, 2009). For 106,000 employees, the survival of BMW is a great part of their history; it keeps their drive for modernism alive, and gives them the sense of belonging as a team. People work harder when they think they can receive a certain output from the job. Why do they work harder? What are they looking for in return? BMW motivates its employees working in its factories by using rewards and reinforcements. The company used both positive and negative reinforcements in developing a new pay...

References: Hellriegel, D. & Slocum J. W. Jr. (2009). Organizational Behavior. Mason, OH.
Cengage Learning
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