Evaluating the Business Impact Operations Management Issues and Effectiveness of Business DecisionMaking Relations to Recent Natural Disaster Events

0 Comment

The paper tells that the problems and issues that have been identified with BMW Manufacturing Company, one of the biggest car producing corporation, is that the materials it is using to build cars that must be transported to South Carolina, the United States from its European manufacturing plant are: 1) supply of car parts has been temporarily disabled because of the eruption from an Icelandic volcano that grounded most outbound and inbound air flights since the ash cloud reduced visibility, which may cause accidents if flights continue with normal operations. 2) how to get or secure critically needed car parts from other suppliers. 3) how to reroute and ship the car parts needed to South Carolina. and 4) how to keep the plant in South Carolina operational in the meantime until the natural disaster has been overcome. The response of the company regarding the natural disaster that affected their operations is first to find alternate shipping routes so that the parts needed in South Carolina can be flown in. BMW Manufacturing Company also contacted its other suppliers if they can fill the supply requirements until the situation in Europe goes back to normal. And while the company is waiting for that to happen it will reduce its normal daily production as well as shorten the working shifts of its employees so that the company is still running and its workers will still have a job to go to everyday. In considering the events that happened with BMW, I can say that in making business decisions, any business company must understand that customers, investors, and business partners remain the same. And that the company is expected to deliver what it must deliver no matter what happens because of commitments and agreements that were made before the disaster happened. Therefore, BMW Manufacturing Company is expected to make good on every delivery that was promised and should see to it that necessary people, as well as the equipment to make good on that promise, are available Lynch. In this particular business sense, BMW is doing its best to find a solution to the problem it is currently encountering so that the negative effect, financial and otherwise, it may have on the company, in the long run, will not be very overwhelming. Taking into great consideration that the car manufacturing industry has just started to recover and grow again, which is putting heavy pressure on every manufacturer and supplier across the whole industry. Although BMW is doing making the correct decision by trying to find other ways on how to transport the much-needed supplies from their European manufacturing plant and making some adjustments in the local daily production and working shifts of its employees. It can also avoid encountering such problems again in the near future by trying to make appropriate changes in its business priorities and objectives. While the monitoring of the company’s survival on a daily basis is being done without lapses, short-term solutions are only good for a particular span of time. But since times are changing environmentally and economically, BMW must acknowledge that the way that things may have been done yesterday may no longer be how they should be done tomorrow. It may be difficult to try and make changes where long-term solutions are interlinked with the company’s short-term goals, but this will make the company more flexible in times when unforeseen events arise and when the company’s usual method of dealing with business must be made so it can easily adjust to the necessary change.