BMW Group Plant Oxford's 'The New Oxford Way' (NOW) Program: From Culture Clash to Performance Culture

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Case Details:

Case Code : OPER073
Case Length : 19 Pages
Period : 2006-2008
Organization : BMW AG
Pub Date : 2009
Teaching Note :Not Available
Countries : UK
Industry : Auto and Ancillaries

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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"We needed to introduce a high-level cultural change program to merge the two Rover and BMW company cultures and it was critical to get the workforce on board. The best elements of the Rover and BMW cultures needed to be identified and married with the factory requirements. The program needed to be innovative, cohesive, and reliable." ¹

- Angela Stangroom, UK Group Communications Manager, BMW.

"BMW has systematically worked with people at all levels to change the culture of the Oxford site. Teamworking, continuous learning, open communities and building a climate of trust have generated real bottom line benefits. They have also opened up opportunities for people to develop and to contribute their initiative to their work. A well-planned, implemented, and measured win-win solution."²

- Geoff Armstrong, Director General, The Chartered Institute of Personnel and Development³, in 2003.

Introduction

Between April 2001 and mid-2008, BMW AG (BMW), a leading German luxury car maker, exported over one million MINIs from its BMW Group Plant Oxford in UK. Sales of the MINI, the iconic British car brand, touched 217,405 globally between January and November 2008, a growth of 7.6 percent compared to the corresponding period of 2007.⁴

Experts felt that in addition to the efficient management of BMW, its production strategy had played a great role in the success of the MINI brand since its re-introduction in 2001.

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1] Angela Stangroom, "BMW Empowers its Employees to Push through Change," http://www.internalcommshub.com/open/change/casestudies/bmwpower.shtml
2] "BMW Group Plant Oxford Employees Switch Roles to Boost Performance," www.onrec.com, October 27, 2003.
3] The Chartered Institute of Personnel and Development (CIPD), headquartered in Wimbledon, London, UK, is a professional body for those involved in the management and development of people.
4] http://www.bmwgroup.com/bmwgroup_prod/e/0_0_www_bmwgroup _com/produktion/produktionsnetzwerk/produktionsstandorte/werk_swindon.html

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