Outline of Supply Chain Management of the BMW

Here is the executive summary outline of supply chain management of the BMW firm; this is the major distributor of motor vehicles ,spare parts and assembling of different engine works .it has a origin in ,this is corporate that manufactures as well as assembling of luxury vehicles and motorcycles. It has the one of the highest distribions of its product in various parts of the world.it has a well-organized supply chain methods in the market to curb competition. It makes a good profit ranging from 76.24 to 78 Euros a day.

BMW succeeds by having few links in the supply chain as well as buying products that are more authentic direct from the producers rather than retailers who work with brands. The firm also chooses the companies to collaborate with i.e. the brands that meets the demand with slightly lower prices and located which limit transport costs. The management is done by one communication network that ensures good supply chain. The company also buys large quantities to take advantage of the movement of goods and economies of scale straight from the producer to the market .this strategy reduces supply chain cost hence makes BMW to sell their products at low prices compared to other companies .

Another way of supply chain market applied by BMW is the ecommerce platform.as it is one of the world’s largest retailer, it uses this unique technique to hit the market. It uses advertisement agencies for example social media and telecommunication to sale the automotive products. Instead of having long chain in supplying, the firm as a vertical way where it has a plant near its headquarters, which plan for supplying large and bulky goods to various parts of the world, hence reaching the consumers easily.

References

Ershova, A. E., & Kuznetsov, A. N. (2019). Strategy competitive development of the company BMW group. Business Strategies.

Lechner, P. (2020). BMW: process mining@ Production. In Process Mining in Action (pp. 65-73). Springer, Cham.

Lewin, T. (2019). The BMW century (No. 1, pp. 1-240). Motorbooks,.