CASE STUDY: BMW EXAM QUESTIONS
WITH CORRECT ANSWERS
Intro Influences - Answer-Businesses need to develop resilience to withstand external
influences that test the sustainability of business practices, whilst also capitalising on
opportunities that these changes may offer
Intro Processes - Answer-A business process is defined as a set of activities and tasks
that, once completed, will accomplish a businesses goals
Intro Strategies - Answer-Strategic management is defined as a bundle of decisions and
acts which a manager undertakes and which decides the result of the business
performance. The manager must have a thorough knowledge and analysis of the
general and competitive organisational environment so as to make the right decisions
Introduction of BMW - Answer-BMW was founded in 1916 with headquarters in
Germany and employs 96,000 people at 24 production facilities across 13 countries.
Producing premium cars under the brands BMW, Mini and Rolls Royce.
Economic Influences - Answer-- Only make cars when customers order
- Allows scaling production and working times up and down
- Business model allows for about 300 work-times up and down
EVIDENCE OF SUCCESS:
- Worth 40 billion euros; highest ever shareholders dividends post-2010, became best
performing; stock on the German stock exchange (DAX)
Stakeholders Influence - Answer-- Worked closely to reduce impact of GFC
- Collaborated with German government to shift many workers to a four-day work week
- Government paid wages for 80% of 5th day
- Employees only lost 20% of one full work day, gained three day weekend and retained
jobs
- Government didn't have to pay unemployment benefits to terminated workforce, and
the business retains skilled workers
Same evidence as before
Social Influence - Answer-- Systematic management to change best seen in BMW's
approach to ageing workforce
- Older employees valued by company, BMW wants to keep them healthy and
productive
- In 2007, BMW built an experimental production line staffed with older workers whose
task was to epitomise their own workplace
WITH CORRECT ANSWERS
Intro Influences - Answer-Businesses need to develop resilience to withstand external
influences that test the sustainability of business practices, whilst also capitalising on
opportunities that these changes may offer
Intro Processes - Answer-A business process is defined as a set of activities and tasks
that, once completed, will accomplish a businesses goals
Intro Strategies - Answer-Strategic management is defined as a bundle of decisions and
acts which a manager undertakes and which decides the result of the business
performance. The manager must have a thorough knowledge and analysis of the
general and competitive organisational environment so as to make the right decisions
Introduction of BMW - Answer-BMW was founded in 1916 with headquarters in
Germany and employs 96,000 people at 24 production facilities across 13 countries.
Producing premium cars under the brands BMW, Mini and Rolls Royce.
Economic Influences - Answer-- Only make cars when customers order
- Allows scaling production and working times up and down
- Business model allows for about 300 work-times up and down
EVIDENCE OF SUCCESS:
- Worth 40 billion euros; highest ever shareholders dividends post-2010, became best
performing; stock on the German stock exchange (DAX)
Stakeholders Influence - Answer-- Worked closely to reduce impact of GFC
- Collaborated with German government to shift many workers to a four-day work week
- Government paid wages for 80% of 5th day
- Employees only lost 20% of one full work day, gained three day weekend and retained
jobs
- Government didn't have to pay unemployment benefits to terminated workforce, and
the business retains skilled workers
Same evidence as before
Social Influence - Answer-- Systematic management to change best seen in BMW's
approach to ageing workforce
- Older employees valued by company, BMW wants to keep them healthy and
productive
- In 2007, BMW built an experimental production line staffed with older workers whose
task was to epitomise their own workplace
