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News of  November 14, 2000


 


BMW and Softlab found e-Business-Company  

Munich, Germany - The BMW Group will bundle its e-business activities in a new company named nexolab, to be founded by its IT subsidiary Softlab. With the founding of this company, the BMW Group chooses a different approach: with nexolab, the BMW Group creates a platform that will support the entire process chain - from the buying to the sales process. nexolab will focus on providing e-business consulting and services especially for the manufacturing industry. Its offering will range from strategy and process consulting to the development of new systems and implementation concepts.

Working closely with partners such as Kabel New Media and Ariba, the new company will offer all services required for a successful e-business implementation. At first, nexolab will focus on automotive suppliers and logistics service providers. Other primary markets include industries that will be considerably influenced by e-business such as the consumer goods, the engineering and the plant construction industries. The combined industry, process and technology expertise of BMW and Softlab enables the new e-business company to quickly deliver productive solutions to manufacturing companies.

The BMW Group chooses a platform that covers the entire value chain - from the supplier to the customer. "Today, manufacturing companies are primarily dealing with four major e-business processes that significantly change the way they'll conduct business in the future. This includes all processes related to gaining and keeping customers, planning and improving the value chain to parts suppliers and logistics service providers, electronically purchasing goods and production materials as well as the joint product development with construction partners," says Dr. Norbert Reithofer, Member of the Board of Management of BMW AG, responsible for production.

The successful implementation of the BMW Group's e-Commerce modules to strengthen BMW's sales channel presents as solid basis for the new e-business company. As a prime contractor, Softlab has been responsible for the complete technical execution of that project. "nexolab will allow us to bring e-business solutions to market real fast. The communication with dealers and  especially with customers will therefore gain a new quality," says Dr. Michael Ganal, Member of the Board of Management of BMW AG, responsible for sales.

The e-business activities of the BMW Group have already advanced in many different areas: BMW is currently trying to reduce the processing time of an individual car to last no more than ten days. This is made possible by a quantum leap in change flexibility which allows BMW to still implement changes desired by the customer up until ten days before the actual delivery date. BMW also focuses on improving the infrastructure for its suppliers to enhance the production process. Using the latest eSCM (Supply Chain Management) technology components, BMW increases the availability of parts and its measurability within the production and delivery chain. E-procurement solution form the basis for purchasing technical products and services and capital goods. These solutions also help to significantly improve all buying and procurement processes. BMW concentrates on collaborative distributed engineering solutions to be able to decentralize product development as well as on using innovation platforms.

The new e-business company provides a number of benefits for manufacturing customers: as a BMW Group Company, nexolab offers excellent industry expertise and proven innovation - both necessary for the successful implementation of e-business solutions. Softlab on the other hand ensures that e-business projects are professionally completed as it possesses extensive know-how in applying new technologies to business-critical processes. In addition, Softlab has long-term experience in project and quality management. "The goal of the new Softlab company is to bring productive solutions to market fast using modern and flexible technologies and therefore being able to handle future requirements. We will use an architecture that can easily be extended and protects the investments of our customers," says Peter Broicher, Chairman of the Softlab Group.

The new company will be located in Munich and start its business activities at the beginning of the new year. nexolab plans to have about 40 to 50 consultants on board from the start. "Our goals are ambitious: within the next three years, we want to have five times as many employees and customers," adds Broicher.

(Nov. 13, 2000)

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