How Bmw Is Defusing The Demographic Time Bomb Case Study Essay Example

Arguably, most global companies in the world are facing various problems. The most profound problems are dealing with the issue of the aging workforce. Management in many companies faces a lot of difficulty in solving this critical issue. In fact, most companies in the world focus in achieving their objectives, through strengthening and motivating its workers. BMW Company is not an exception, their main objective is to design automobile that are capable of meeting various challenges in the future. Company’s main focus is to be efficient and remain competitive. Based on the case study BMW faces a lot of problems that are caused by aging workforce.
Certainly, BMW Company problems need to be addressed swiftly. The main problem of this company is to deal with the aging workforce which according to Helmut Mauermann and Peter Jurschick could be the genesis of all other problems in the company. Additionally, another problem is the decrease in the level of production in the company. In fact, another problem is how to deal with the aging workers as they plan to refine plants in Austria, Germany, and United States, as well as incorporating global BMW manufacturing organization. The future is not expedient for the company, as the older workers will be falling sick most of the time as compared to the young employees. The ultimate problem caused by sick employees is rendering BMW Company incapable of enhancing competitiveness through productivity improvements and technological leadership.
Analytically, BMW management is faced by various difficulties that should be handled with a lot of care and professionalism. If the workers are fired directly, it may lead to legal issues that might affect the company’s credibility globally. As a matter of fact, BMW management is in a state of indifference; in that, there is a conflict in valuing experience, of which the aging workers have, or to fire aging workers and employ energetic workers. Undeniably, aging workers exposes the company to increasing expenses; this is because costs of health care of aging people are extraordinarily high. Certainly, the option of forcing individual to retire or firing does not go hand in hand with BMW strategies. BMW Company is committed to being dependable employers in the globe. Evaluating the company’s problem, the management could move aging workers to less energy demanding jobs, but the move could render other physically demanding departments short of employees. Various move that the company would take will lead to political consequences as well as discriminatory complains. Hence, the managers should take wise steps in solving the problem.
In order to solve the problems, managers and other stakeholders in BMW Company should form a union that incorporates all the members of the company. In fact, the workers in the company should be made aware of the existing problem in the company, and be given a chance to give a solution to the problem. Involving the aging workforce in decision making will eliminate propagandas, discriminatory allegations as well as political interference. With modern technology in place, the managers should opt for increment of machine labor rather than the usual casual labor.
It recommendable to create solution based on the opinions of the workers. Additionally, company management should begin a policy of which will state the maximum age of workers in the company, and begin employing few young employees. The reason for maintaining maximum age is because of the physical requirement of the job; employees should be informed on the move, but the impact should not affect current employees but future employees, especially the young new employees. Conversably, for current employees implement policies that will improve their physical fitness and health. These should include comfortable chairs, well adapted footwear, installing adjustable tables, as well as flexible magnifying lens. These strategies are short term, but will help to improve production as well as making BMW Company competitive global markets.