BMW 5 series and 7 series manufacture at Dingolfing, Germany

BMW 5 series and 7 series manufacture at Dingolfing, Germany

The BMW factory at Dingolfing produces 1200 cars each day (each 24 hours) and employs 20,000 people.  A car rolls off the production line every 1.2 minutes which is a staggering achievement to witness.    BMW do not manufacture a car unless a customer order has been placed for it, and the customer can modify his/her order 6 days before assembly of his/her car begins!

There is a combination of car models that can go down the same production line at the same time.  So, for example, a 5 series saloon may be followed by a 5 series touring (estate) which may be followed by 2 x 5 series saloons, followed by a 7 series saloon.  

The configuration of options results in the queuing of the specific assemblies for a particular car which may be for one of any number of the different models, above, on the production line.

The factory uses just in sequence scheduling whereby the marrying of, for example, the chassis to the car body happens at a precise second/point along the final assembly production line.   So the 2 principle components (chassis & body) form the header material in the BoM which is the near completed car.

The BMW supply network relies on backwards scheduling, JIT and just in sequence delivery of components/assemblies, combined with a make to order philosophy.  Quantities of JIT parts, given that there is a scrappage rate, will be consumed within that factory to which the parts are being delivered. 

Manufacture of stocks of components & assemblies and flexibility

Presses are used to develop larger stocks of pressed steel/aluminium parts for car bodies.  The parts are distributed to plants within the BMW supply network.  (BMW also produces pressed bodywork parts for Porsche.)

The factory has the largest pressing machine in the automotive industry which presses out a steel or aluminium panel every 2 seconds over a number of operations so the blank flat parts will come into the press and will be gradually formed into the correct shape using successive pressing operations along the length of the multi-stage press.  The press is enormous and shakes the ground when it presses.  Changeover to the next set of pressings involves swapping a bank of massive tools/dies and only takes a staggering 7 minutes.

Identical robots glue, weld and fuse aluminium and steel parts to order and are flexible to generate stocks of the different bodywork assemblies that may be required.

The plant can hence react to the variations in customer demand not only for the products that are assembled within the plant, but also for the other plants in the BMW supply network.

Accurate Inventory

With ~20,000 parts/car, parts need to be in the correct location at the correct time; and with in sequence scheduling, anything other than accurate inventories of component parts would prove unacceptable.

In sequence Scheduling

Each position along the production line has been backward scheduled for in sequence scheduling so that the set of components/assemblies can be put into the car at a precise point along the production line to the minute.

Mature relationships with suppliers

In sequence scheduling requires mature relationships with component and assembly suppliers to the production line.  For example a seat may be need for a particular car and the requirements for that seat may be sent to the supplier 6 hours before that seat is needed.  The supplier then delivers the seat to the production line within this timeframe.

Excellent customer service

The customer can modify his/her order 6 days before assembly of his/her car begins, and the modification can be a change of the motor size, for example, the colour of the car and any or all of the options the customer may require.  This degree of flexibility is quite considerable. 

Design


BMW designs the car model and the manufacturing process in tandem, and uses computer-aided factory layouts during the design process.

Further

The BMW brand includes BMW, Mini and Rolls-Royce and plant at Dingolfing manufactures the all-aluminium body for the Rolls Royce Phantom which is hand finished, and forwarded to the UK for marriage with the drive train. 

BMW has invested in a number of different countries in partnership with countries, for example, in Korea, China and the UK.  A number of different engine types is manufactured at Hams Hall, near Birmingham in the UK.  This setup delivers tax breaks to the BMW group and also recognises the BMW group as a local investor in manufacturing.

Lessons



There are lessons to be learnt for other factories who attempt to use JIT manufacture but generally fail because the representation of stock on the computer systems does not reflect reality which means that overstocks are rife to compensate for this inaccuracy, and component shortages halt production.  This situation has occurred in many of the companies this reviewer has worked in and seems to be a fundamental flaw in the use of ERP within manufacturing industry to the degree that it is not possible to rely on the just in time/sequence  that has been achieved by BMW.

Just in sequence is not just about lowering stocks, but is also about reducing waste re components that may become redundant if stocked in excess of demand.

To witness a car coming off the production line every minute given that that car can be a different model on the production line with completely different configurations is testament to BMWs achievement in minimising the cost of manufacture, waste and component storage for its set of luxury cars: 5, 6 and 7 series.

Darren Upton
Trip and write-up funded by Darren Upton

http://www.bmw-plant-dingolfing.com/