BMW's Strategy: Flexiblity
The assembly line in Dingolfing, Germany, where BMW assembles its 7-Series,has built-in flexibility that allows it to easily produce multiple models. Rival car producers typically configure their assembly line to produce just a single model at a time. In order for them to produce a different model, the line must be shut down so that it can be changed over to be able to produce the different model. BMW's production flexibility enables its line to easily respond to market fluctuation while avoiding the costly changeovers that its rivals' more rigid line require.