German Car Zone

Today BMW AG announced their plans for the future. I'll try to point out the main points, before press release is available in English.




BMW Group plans:

• 1.8 million cars sold per year by 2012 (+30% vs 2006), 150k motorcycles sold per year by 2012 (+50% vs 2006)
• way more than 2 million cars sold per year by 2020; motorcycle sales will also rise a lot by 2020
• return on sales before taxes & interests in core automobile business to reach a margin between 8% and 10% by 2012 (vs 6.3% in 2006), and is planned to stay steady at least till 2020
• return on capital employed to reach 26% margin by 2012 (vs 21.7% in 2006), and is planned to remain steady at least till 2020
• 6 billion Euro cost-cutting program will start (so €6 billion less costs by 2012)
• production will get even more efficient - they will review all the expenditures: costs, R&D & capital employed per car will be reduced in every process step; more parts-sharing, more modular approach, joint-ventures / cooperations with other manufacturers, standardization of processes
• still a lot of potential to gain additional value & improve lifecycle of every product, and this potential will be employed
• productivity will increase by 5% per year till 2012 - with no significant labour changes (no major increasing or decreasing of labor force)
• US production will increase from 140,000 units per year to 240,000 units per year by 2012 - in order to achieve "natural hedging" against USD
• China production will increase from 30k to 44k per year initially - further increase of China production very possible
• MINI Oxford plant capacity will increase from 240k to 260k units per year soon
• way higher dividend per share from 2007 on
• further share buy-back by BMW AG planned
• better pension plans for BMW employees
  
  
  And most important: official product portfolio plans till 2012
  
• focusing on premium positioning of all products by BMW Group
• aggressive Product line & Market expansions
• BMW: X1 compact SAV, X6 SAC, "Progressive Activity Sedan" ("F5"), 4dr Gran Turismo ("new 8er")
• MINI: Mini SAV coming
• Rolls-Royce: RR Phantom coupe coming; completely new model positioned below the Phantom planned
• many new motorcycle models from both BMW & Husquarna brands
• focusing & devotion to new technology (especially the Cleaner energy - reducing energy consumption & gas emissions)
• offering new individual mobility solutions ("= opening new niche segments with crossover & innovative products")
• new - the 4th - brand in BMW Group portfolio very possible: either by acquisition of an existing company / brand, or establishing a new non-existing / inactive brand; but only under condition the new brand is completely compatible with a current BMW Group product portfolio, values, tech, organizational culture, profitability etc; but the current analysis showed no such appropriate brand / company available right now.

Source: BMW AG



English press release available now:

BMW Group PressClub

Changes in BMW AG Board of Management!!!


From October 1st also some changes will be applied to the BMW AG Board of Management. Two new positions added, and two persons shift their positions.

Dr. Michael Ganal - now Chief of Sales, Marketing & Purchasing was named new Chief of Finance
Stefan Krause - now Chief of Finance was named new Chief of Marketing & Sales

Two new positions were created within Board of Management:

Corporate & Brand Strategic Development - will be led by Dr. Friedrich Eichiner (till now Chief of Corporate strategic planning)

Purchasing & Supplier network - will be led by Dr. Herbert Diess (till now Chief of BMW Motorycles division)


So, from Oct 1st 2007 BMW AG BoM will consist of 8 members, instead of 6:

. Dr.-Ing. Norbert Reithofer, CEO
· Frank-Peter Arndt, Chief of Production
· Ernst Baumann, Chief of HR & Social issues
· Dr. Herbert Diess, Chief of Purchasing & Supplier Network
· Dr. -Ing. Klaus Draeger, Chief of Product Development
· Dr. Friedrich Eichiner, Chief of Corporate & Brand Development
· Dr. Michael Ganal, Chief of Finance
· Stefan Krause; Chief of Sales & Marketing.

Wow, so BMW at planning on having 4 SUVs in their line up. Looking forward to the new 8er, a CL competitor.

Very interesting. I wonder what the big news is what Reithofer was so mysterious about?

What does this mean to the F5? Is it going to be changed in some way or are the prototypes that we see in the latest spy pics actually PAS?

No more X4?

Till 2012. And even more after 2012 (hint: X4, perhaps even X2).



Not before 2012.

Mind that new F25 X3 is planned for early 2011.

So, an X4 in 2012 is still a bit early.
Eg. X6 is coming approx. 18 months after X5.
So, X4 in 2013 is a more possible scenario.

Mind that they announced only the new models till 2012.

So all the other planned products like new Z8 / M10, F3, X4 etc are coming in 2013 or later. Mind that X4 & F3 will get a final green light after X6 & F5 sales evaluation.

I'm glad and only interested in CS and nothing else, especially not in that POS, sorry, PAS thing... X1? No, thanks!

RR coupe? Yup, bring it on! Small RR? Hmm, at least it sounds interesting...

And please, call a CS 4 door GT at least, don't mention anywhere coupe!

F MB since they started 1st with that crap and now F BMW too...!

Why did they switch: Ganal - Krause
you have a clue ?

They are describing the car as a "four-door Gran turismo based on the CS Concept study". No using of "Coupe" word in the official press release.

Hmmm, a little bit better...