Bmw: the 7-Series Project

Good Essays
BMW: The 7-Series Project (A)

Submitted to Prof Ganesh N Prabhu (New Product Development) 12th July, 2011

Group 1F
Abhishek Sonane, 1011297 Namrata Keshwala, 1011254 Nirmal Preethi G, 1011257 Pavan Kumar Uramandith, 1011337

Abstract
The case elaborates on the different options considered by BMW regarding the manufacture of its prototype vehicles. Historically, BMW 's prototypes were handcrafted by highly skilled artisans in the company 's shop. A proposal had been made to alter the process so that prototypes are made in a way that can better uncover potential problems that may arise during final production. While the new approach is expected to make production start-up of new models smoother and reduce quality problems, there is some concern within the company that it will lead to less flexibility to change (and improve) designs during the development cycle. Through our analysis, we have tried to address the following issues:   Different ways of competing on quality in a luxury product segment and how the product development process affects each of these The notion of a prototyping strategy and the role prototyping plays in linking development strategy and manufacturing strategy

Industry
The segment of automobile industry in question was the luxury car market where cost plays a very small role. Generally, the luxury segment was defined as the market of automobiles with a retail price above $ 20,000. Companies in this segment competed on features like acceleration, comfort and handling and intangibles like perceived quality and image. Major players in this industry were Daimler-Benz, Toyota, Honda, Nissan, Ford, BMW etc. BMW differentiated itself on the basis of its engineering and technical prowess. The evolution of BMW in the luxury car segment and the change in competitive scenario is included in Appendix 1 and 2 respectively.

Product Development Approach
Strategic Objectives
BMW tried to achieve the following objectives to compete with the

You May Also Find These Documents Helpful

  • Powerful Essays

    Bmw 7 Series

    • 6321 Words
    • 26 Pages

    Of Contents Executive Summary 3 Project Description 6 Problems Encountered 9 Project Analysis 12 Discussion Questions 24 Summary & Recommendation 29 Executive Summary In June, 1991, Carl-Peter Forster, director of Prototype and Pilot Manufacturing at BMW had a major decision to make. It was a little less than three and half years into the six year development program for the completely redesigned 7-series luxury sedan. Up to this point, BMW had been following their traditional…

    • 6321 Words
    • 26 Pages
    Powerful Essays
  • Good Essays

    The BMW 7-Series makes a colossal innovative jump with each era. What's more, instead of keeping its greatness to what's in the engine or to innovation on the dash, the 6th era 2016 BMW 7-Series takes in a bit from BMW's carbon-fiber "i" autos inside and underneath. The 2016 7-Series is about the same size as the active auto, yet it's based on another Carbon Core stage that uses a mix of carbon fiber-strengthened plastic (CFRP), ultra-pliable steels, and aluminum to slice up to 90 pounds there…

    • 703 Words
    • 3 Pages
    Good Essays
  • Good Essays

    BMW: The 7 Series 1. What are the causes and consequences of BMW’s quality problems with newly launched products? What should be done to improve “launch quality”? The causes and consequences of BMW’s quality problems with newly launched products were plentiful and apparent all throughout the case study. For instance, BMW does not use pre-production tools during prototyping. This significantly lowers their opportunity to discover and fix quality problems earlier in the production process. Secondly…

    • 851 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Bmw Series

    • 2372 Words
    • 10 Pages

    BMW: THE 7-SERIES PROJECT mary lou Brief History of Bayerische Motoren Werke: BMW, a German company is a producer of automobiles and motorcycles. Designed as an aircraft manufacturer and originally founded in 1913 by Karl Fredrich Rapp, the company was commissioned to build the V-12 engine for Austria-Hungary. In need of extra financing, Rapp reconstructed the company as the Bayerische Motoren Werke. In 1917, Rapp left the company and it was taken over by Austrian Franz Josef Popp who…

    • 2372 Words
    • 10 Pages
    Powerful Essays
  • Powerful Essays

    Bmw Project

    • 27050 Words
    • 109 Pages

    INTRODUCTION The BMW Group is a manufacturer of luxury automobiles and motorcycles. It has 24 production facilities spread over thirteen countries and the company’s products are sold in more than 140 countries. BMW Group owns three brands namely BMW, MINI and Rolls-Royce. This project contains detailed information about the marketing and promotional activities of BMW. It contains the history of BMW, its evolution after the world war and its growth as one of the leading automobile brands. This project also contains…

    • 27050 Words
    • 109 Pages
    Powerful Essays
  • Best Essays

    PROJECT PROPOSAL Strategies and Tactics Employed by BMW in Pricing, Production and Resource Utilization using Micro And Macroeconomic Theory MBA Full time Sept. Intake 2012 Course Module Managerial Economics Course Co ordinator Ceyhun Elci…

    • 1635 Words
    • 7 Pages
    Best Essays
  • Good Essays

    1. It is well known to someone who studies marketing that a person sees thousands of advertisements in their daily lives. They may not be consciously aware of the sign on the side of the freeway advertising the newest razor by Gillette, but it’s there every day on their way to work. An ad for the same Gillette razor can probably be found on television, and it is becoming more and more common to encounter ads on the internet. The most interesting thing I have learned in marketing is how much of…

    • 997 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Advertising campaign case study New BMW Series By Ze Chen (30109683) Executive summary Designed for driving Pleasure advertising campaign from the largest luxury brand in the world-BMW. This new designed for driving pleasure features the all new 4 Series Concept. The campaign was promoted by multiple media, and the advertisements that have appeared in poster have been used for this analysis. This analysis include the description of the campaign-“Designed for driving pleasure”, market…

    • 2325 Words
    • 10 Pages
    Powerful Essays
  • Powerful Essays

    12/11/2012 BMW AG: The Digital Car Project (A) Case Summary This case study presents how BMW, a German automobile, motorcycle and engine manufacturing company, is trying to reduce development turnaround time using new technologies. To build new development capability three areas of opportunities are emphasized, managing automotive development including exterior styling; process/organizational changes; and adapting new computer-aided technologies. This strategic move is responsible for BMW historically…

    • 1501 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    process. As Gilvan C Souza mentioned,1 the speed to market of new products need to match that of the industry category so the company can be successful. 1. What are the competitive challenges of the automotive industry in 1997 and beyond? How is BMW affected? In general, in the last decade the market has witnessed a power shift from manufacturers to consumers. The automotive industry did not escape this trend. Customers wanted to have more variety of cars, and more affordable ones without…

    • 591 Words
    • 3 Pages
    Powerful Essays