The delivery problems at the end of May are expensive for Bosch. Because BMW wants to have replaced the damage caused by the forced stop of production. It’s about millions.
BMW production in Leipzig
Friday, 07.07.2017
1:52 pm
BMW calls for the loss of production due to lack of steering gear compensation from its supplier Bosch, According to first estimates, it should go to a mid-double-digit million amount. This magnitude was called BMW on Friday – details are not yet possible due to the ongoing negotiations.
“The amount in the room is the direct result of our damage analysis,” said BMW. Discussions about the exact amount of a financial reimbursement continued. Bosch said both sides had long-standing close business relationships. One would also try to find a constructive solution.
At the end of May there were delivery problems for Bosch, which in turn were due to problems with the Italian company Albertini Cesare, sensitive production losses at BMW 
caused. Ribbons stood still, many cars of the smaller series could not be completed on time and delivered. Bosch took aluminum castings from Albertini Cesare and subsequently took over the company with 400 employees from Villasanta, northern Italy.
Tightly timed production plans
BMW purchasing director Markus Duesmann told the “Handelsblatt” that he hopes that the bottlenecks of May will remain “a one-time outlier”. The own supply chains would be examined in detail. A spokesman for the group emphasized that they still have confidence in Bosch. The technology group belongs “to our top 3 suppliers”. Bosch announced the purchase of the Italian company had been decidedbecause “this measure is sustainable and works best”.
The auto industry is in the face of tightly-timed production schedules (“just in time”) to be smooth supplies reliant. Recently bottlenecks also occurred in other companies. At Volkswagen For example, the lack of supply to supplier Prevent last year also stopped the tapes and caused considerable damage, inter alia, in golf production.
The risk of dependencies is assessed on an ongoing basis, said BMW. It is assumed that Bosch too now operates a more sophisticated risk management and alarm system for halting processes.