What Are the Causes and Consequences of Bmw’s Quality Problems with Newly Launched Products

610 Words3 Pages
Q.1 What are the causes and consequences of BMW’s quality problems with newly launched products? What should be done to improve “launch quality”? (583 words) Causes in different aspects Development process for building the cockpits caused a ripple effect of BMW’s quality problems in competing of luxury automobile market. Rivals from Japanese companies entering into the luxury segment was changed the standard of acceptable quality at launch. From time, cost and process cycle perspectives to elaborate the causes in-depth. Time: Frequent changes were allowed to be made in in-house prototype shop during three to five design cycles that made the tension of lead time in line with their corporate strategy – to be the leader in high-end…show more content…
Customer complaints would be increased and reduction of its market share. Improvement of quality launch In terms of quality of new cars launching and customer satisfaction surveys (refer to Exhibit 5), ranking of Toyota was 1st and 3rd respectively in 1989 comparing with BMW was 19th and 10th. Toyota was successfully applied Total Quality Management (TQM) for branding on these two aspects. Recommendations as per our findings have been discussed for improving of quality launch coping with suggested strategy. Imitation of Toyoto’s TQM would facilitate the process of BMW in the following three ways. Know their suppliers Selection of outside suppliers at the initial stage was crucial. Three advantages would benefit from authorized supplier involvement in design and production process. Firstly, they could foresee major problems in the design cycle by pulling their expertise and methodologies. Secondly, this model embedded quality into BMW’s production system up and down the supply chain. Thirdly, supplier was able to realize the critical connection between quality and profit through high customer satisfaction. The high-level of oversight committee To place an additional premium on quality, the establishment of company-wide oversight committee to deal with this issue when launching new series would be one of the key components of any best practices. Limitation was not only

More about What Are the Causes and Consequences of Bmw’s Quality Problems with Newly Launched Products

Open Document