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<v ->We all know that a beautiful BMW i4 M50, like this one,</v>

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is made out of thousands of components.

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(machines whirring)

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And procuring those components to the right price,

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right quality in the right time is hugely complex.

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I'm now heading to BMW's Research and Innovation Center

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to discuss how GenAI has changed the game here.

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(car engine purring)

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(lively electronic music continues)

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If you think of GenAI, GenAI is so strong

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on unstructured data and managing complexity.

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How do you describe the complexity challenge

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when it comes to procurement at BMW?

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<v ->The good thing is you can start with procurement</v>

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because there's a lot of unstructured data: contracts,

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tender assist. And the cool thing is you start

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and gain trust with unstructured data

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and you gain trust in your organization.

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You learn to build the blueprint,

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and then you transform the next level

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to get into structured data and combine the two.

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If you just think in one division with GenAI,

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I would say you missed the point.

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If you think about, if you have a GenAI-driven organization,

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that really brings the entire business units

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completely in a different alignment.

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It's not optimizing just one process;

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it's optimizing an entire workflow.

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And GenAI is not just the tip of the iceberg at the end,

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it's, hey, what of the process can I rethink

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and GenAI do for me in a better way,

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and I as a human resource can focus on what really matters?

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<v ->You were one of the very first movers in the company.</v>

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What is the difference from a concept

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to bringing it to scale?

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<v ->Never give up, because you'll face a lot of obstacles</v>

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and roadblocks, but for scalability, really,

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the only thing that matters is you have to have

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the leap of faith that you will be able to tackle it.

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Don't give up. It is an iterative process,

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like with any other programs,

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IT programs or vehicle programs,

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and you have to have a little bit of vision

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and mindset that all the things they've thrown at you

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that does not work, somehow you can get it done.

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<v ->Thinking of the mindset needed to pull off GenAI,</v>

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to bring it really to value,

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what is the learning of combining the best team,

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the dream team, to make this all happen?

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<v ->Tech got everybody excited.</v>

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However, I think, to create value, we need a 180.

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You have to bring in the product vision.

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What does this really mean for my organization,

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and how can I make a difference as a USP in a product

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like a car or how can I make a difference

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with my business partners in a value chain?

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<v ->Thinking of external partners,</v>

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how can external partners, like BCG,

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what is it that the external world can bring to the table?

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<v ->I think, at the beginning, what we really lacked</v>

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was the talent and the gift to execute.

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Where we looked for external partners was specifically

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in the fields of governance, platform, and execution.

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<v ->We at BCG, BCG X, and Platinion are excited</v>

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to work with all the adopters, like the BMW Group,

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to unlock the trend of GenAI, not only conceptualizing it,

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not only scaling it, but really bringing it to value.

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We're excited to see where BMW's heading

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and where the trend will bring all of us.

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