BMW sets the trend for warehouse IoT

BMW sets the trend for warehouse IoT

BMW is using IoT technologies for greater warehouse efficiency

BMW is embracing the Internet of Things (IoT) to drive improved efficiency on production lines.

In Munich, Germany, car manufacturer BMW has a repair centre with a capacity of around 800 vehicles.

Before the introduction of Internet of Things (IoT) technologies, only 250 cars were processed every day. This was nothing to do with the availability of mechanics. It was more of a logistical problem. Locating the cars and getting them to where they needed to be inside the warehouse was a difficult procedure.

Arthur Schmidt, head of IT for the BMW Niederlassung München, explained to V3 that this scenario was far from ideal.

“We had no system in place to track where cars were. It was all done manually with staff writing everything on paper and it was not very efficient at all,” he said.

Naturally, he set about the process of installing an IoT network at the facility. The new network would track the location of vehicles. This was a move he knew, if done correctly, would have a huge impact on efficiency.

But as with any new IoT project, securing investment wasn’t a given. “Me and the boss had to go away and search for this money and convince many, many people it was worth investing in,” he said. “Since then it’s paid for itself many, many times over.”

For BMW, small sensors make a big difference

After approaching a third-party technology supplier, the BMW’s repair warehouse was fitted with multiple sensors. These were installed throughout the facility, and the new system required every driver who brings in a car for servicing to attach a tag connected to the network to the rear-view mirror.

Related: Car giant leverages IoT for connected car services

With the new network up and running, the location of the vehicle is now always known while it’s in the building. This saves time and reduces operational mistakes. Cars are easy to locate, while the process of delivering a car after work on it has finished has been drastically sped up.

BMW’s repair centre now handles twice as many cars

The new, connected network of sensors has increased the number of cars the Munich facility can handle every day from 250 to 600 – a huge increase that has positively impacted upon both customer satisfaction and revenues.

“Before people had to go and find the car and then deliver it, which could waste a lot of time. With the IoT system it’s easy to find the car and operate far more efficiently,” said Schmidt.

In the future, Schmidt foresees more developments to improve the relationship between BMW and its customers.

“We want to give customers even more transparency. Soon we hope to offer iOS and Android apps that let them know exactly where in the process their car is and what’s been done, and let them contact our staff directly from the app”.

Related: UK manufacturers neglecting the benefits of IoT