BMW 2006 Annual Report Download - page 180
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40
Responsibility out of conviction – to increase company value
For the BMW Group, therefore, taking corporate responsibility
is far more than “just” philantropy or patronage. It is all about making the
Company viable for the future and thus increasing its value on a sus-
tained, long-term basis.To be more specific: we want the Company’s
value to increase from year to year. But what does “value” mean in this
context?
A variety of methods and indicators can be used to determine
the value of a company. For example, current market capitalisation can
serve as an indication of a company’s value, as can sales, revenues and
income. The relevant figures all indicate a company’s performance on
a certain date. But do they adequately describe a company’s value?
Today, the BMW Group is the leading premium manufacturer in
the automobile industry. By our standards, this position is not defined
solely by key figures, such as sales, revenues or income. On the contrary,
non-financial performance indicators are moving increasingly into the
foreground. Healthy and motivated employees, the right solutions for
drive concepts of the future, a recognised role, appreciated by all parties,
as company in society, a commitment to assuming the challenges of
tomorrow – all these play at least as important a role for determining the
value of a company as the short-term view of key financial data from
quarter to quarter.
Safeguarding future viability
In order to maintain or even develop the BMW Group’s leading
position in keeping with these standards, the Company must today
address intensively the challenges of tomorrow. In short, it must assume
responsibility for the solution of the immense global tasks for society –
from climate change to the finiteness of fossil fuels, from the fight
against HIV/AIDS to achieving a high level of education among potential
young
employees.