This deal is the one that really worked out for the BMW in turning around the company fortunes. The company saw the strategic decision of involving workers in the factory as the key in improving the performance of the company. The workers were encouraged to come up with ideas of improving the company performance. This saw the group, who work mainly on roofs for the new version of the iconic car being rewarded for coming up with the best money-saving idea. The workers suggested a change in the design of the Mini that saw BMW saving up to 6M.
The BMW Company utilised the Industrial relation approach which involved establishing healthy relationship between the employees and the management. BMW used trade union to strike ground breaking deals that resulted in improved performance on the side of the organisation.
It is my sincerely advice to BMW company to use the principle of industrial relation as it prepare to consolidate its production and cost reduction stage this would facilitate smooth implementation of its future plans.
Strategic human resource management (SHRM) involves linking the human resource functions with the strategic goals of the organisation. Human resource managers need to maintain good relationships within the organisation so as to improve performance and maintain talented employees.
BMW used what is known as Continuous Improvement (CI) strategy to enhance organisational performance. ...