BMW 2006 Annual Report Download - page 27

26 Group Management Report
10 Group Management Report
10 A Review of the Financial Year
12 General EconomicEnvironment
15 Review of operations
38 BMW Stock and Bonds
41 Disclosures pursuant to §289 (4)
and §315 (4) HGB
43 Financial Analysis
43 – Internal Management System
44 – Earnings performance
46 – Financial position
48 – Net assets position
50 – Subsequent events report
50 – Value added statement
53 – Key performance figures
54 – Comments on BMW AG
58 Risk Management
62 Outlook
standards for all processes.Training activities are
always planned and implemented in line with require-
ments. During the financial year 2006, the BMW
Group invested euro 184 million in primary and fur-
ther training for its employees, 5.2% less than in
the previous year, whereby the reduction was attrib-
utable to a realignment of training measures.
High demand for international positions
The transfer of know-how across borders and net-
working at all levels are crucial factors for busi-
nesses with international operations such as the
BMW Group. As an example, specialists are moved
around between the individual production sites as
production start-ups commence for new models,
thus ensuring the same high quality during each
individual start-up. The sales companies located in
39 countries around the world also cooperate closely
with the corporate headquarters in Munich.
In 2006, more than 800 employees from
BMW AG were working at locations outside Germany.
The main target countries were the group’s busi-
ness locations in markets currently experiencing
dynamic growth, in particular North America, the
United Kingdom and Asia. Apart from this, approxi-
mately 200 employees from non-German locations
were working in Germany or at another international
location away from their home countries. In the case
of longer-term projects, employees remain abroad
for an average period of three years. This represents
a suitable time scale in which employees can pass
on process and technical know-how, receive further
training while abroad and, at the same time, gain in-
ternational experience which will stand them in good
stead during the subsequent course of their careers.
Apart from more than 1,000 employees who have
worked abroad for longer periods, more than 400
employees were called up for international duty on a
short-term basis.
Attractive employer
The BMW Group remains one of the most attractive
enterprises to work for. This was again confirmed
in 2006 by numerous studies and rankings. In the
study “Germany’s Most Popular Employers” (Tren-
dence), young academics from both the business
and engineering fields chose the BMW Group for
the fifth time in a row as the most popular employer.
At a European level, the BMW Group was also voted
the most popular employer by engineers in the
study “The European Student Barometer 2006”.
The good reputation of the BMW Group as an em-
ployer is an important factor in being able to attract
outstanding talent to work for it. This high level of
attractiveness as an employer is not only restricted
to external aspects; it is also reflected in the out-
come of the most recent employee survey from the
year 2005. 92.6% of employees stated that they
were either satisfied or very satisfied with their work
at the BMW Group. Employee satisfaction was
measured on the basis of a total of 16 questions.
BMW Group employees 31.12.2006 31.12.2005 Change
in %
*Figure for end of previous year including acquired entities
Automobiles 98,505 98,260 0.2
Motorcycles 2,782 2,838 –2.0
Financial Services 3,478 3,093 12.4
Other 1,810 1,607 12.6
thereof consultancy/software 1,743 1,541 13.1
BMW Group 106,575 105,798 0.7
unadjusted*106,575 106,174 0.4
Employee fluctuation ratio BMW AG*
as a percentage of workforce
3.5
3.0
2.5
2.0
1.5
1.0
0.5
02
1.40
03
1.43
04
1.91
05
2.45
06
2.68
*Number of employees on unlimited employment contracts leaving the company