China has gone a long way in terms of improving human mobility. Driven by the country’s economic growth, more and more of its people have shifted to using cars from traditional modes of transportation, making China one of the fastest-growing luxury car markets in the world. This rapid increase in demands from Chinese consumers led BMW — the world's leading luxury car brand — to build its first-ever modern car factory in Shenyang to produce 90 brand new BMW each hour for its Chinese consumers.
But achieving this goal is far from easy. With its strict quality cost management and control requirements, BMW needed a world-class project manager with high level of expertise and track record in managing an extremely complex project. The need for stringent project control was laid out to ensure the project’s adherence to high standards for health and safety.
BMW selected Arcadis as the Project Management consultant responsible for the end-to-end services package. This included planning, implementing innovative solutions, and delivering the project on schedule and within the approved budget. One way to achieve all these was to help the client shift from traditional to digital project management.
We worked closely with BMW to better understand the project’s requirements and find ways to make processes more efficient. By using the client’s inputs and combining those with our expertise in project management and digital transformation, we were able to establish a fully digitized online project management platform and apply building information modeling (BIM) throughout the project. These innovations allowed us to hugely improve the transparency, efficiency and stability of managing such a complex project.
The use of digital technology made a huge difference across the different aspects of the project. We completed the 350,000m² production plant in the first phase within 7 months and recorded over 10 million working hours with zero accidents. This expansion increased the factory’s annual production capacity to 440,000 cars, including 50,000 electric vehicles.
We also helped the client reduce direct construction costs by 24% without having to change the scope of work or compromising the quality of deliverables. More importantly, we achieved a 95% accuracy rate against the original budget plan on all 22 major contract packages. Lowering the production cost with the aid of digital technology will translate to huge benefits for the consumers.