Topic > Inbound and outbound logistics of the BMW company

According to online sources, the BMW Group has around 13,000 suppliers worldwide. BMW adds value to its core inbound logistics business by minimizing transportation costs and sourcing the highest quality raw materials. Because most of the manufacturing and assembly units are based in Germany and Europe and have tried to maintain good relationships with trusted suppliers to reduce logistics costs. The BMW Company purchases the majority of its raw materials from Germany (42.6%) and Eastern Europe (19.7%). This is because most of the manufacturing and assembly units are based in Germany and Europe and the company purchases from trusted suppliers in close proximity to reduce logistics costs and ensure undisputed supply. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essayThe BMW Group is divided into the following four business segments:Automotive. In 2015, this segment generated a gross profit margin of 17.7%. The gross profit margin in the motorcycle segment in 2015 was 22.5%. Financial services. This segment is responsible for providing financing and leasing for BMW Group brand automobiles and motorcycles to retail customers. The gross profit margin in the financial services segment was 13.3% in 2015.Other entities. In 2015, this segment generated a pre-tax profit of 211 million euros, which was 57 million euros more than the previous year. BMW operates a complex production network at 30 sites in 14 countries. The company opened its latest engine plant in Shenyang, China, in January 2016. In terms of sales, the BMW Group is represented in more than 150 countries worldwide. The BMW Group adds value to its core business primarily through the use of robotic technologies to a considerable extent. . For example, “robots work with a door sealant that keeps noise and water out of the car. The goal of this plant is not to replace human workers, but to help them in their daily tasks.” Furthermore, as part of the latest developments, the BMW Group is testing a series of autonomous vehicles at its plants as part of an automation program that should help reduce costs by 5% per vehicle per year. Please note: this is just a sample. Get a custom paper from our expert writers now. Get a Custom Essay The BMW Group's global distribution network includes approximately 3,310 BMW, 1,550 MINI and 140 Rolls-Royce dealerships. Around 60 BMW dealerships opened in China alone in 2015. The dealer and agency network for BMW i includes around 950 locations. In total, approximately 63.1% of new vehicles are transported out of production facilities by rail. The BMW Group operates three vehicle distribution models, from the assembly line to the end user.