Shifting Gears
An example from a different industry that is transferring from a combustion business to a new, innovative non-combustion business. Through observing other businesses on their transformation journey, the initial solution may not be the optimal solution.*
BMW shifts gears from combustion engines to electric vehicles. BMW’s bold transformation has seen it steer away from the internal combustion engine that has defined its identity for decades, to embracing an electric, combustion-free future.
Vehicle emissions are a major contributor to climate change and can be extremely damaging to health by increasing air pollution. A 2010 study found that BMW ranked among the bottom five automakers in Europe for average CO2 emissions from new cars sold at over 150g CO2/km – well above the 2015 target of 130g CO2/km.[3]
During this period, regulatory pressure mounted, as countries set aggressive emissions reduction targets, realising the dangers of fossil fuel combustion to both people and planet. Many governments and governing or political bodies, including the EU and U.S., instituted stiff financial penalties for automakers failing to meet fleet CO2 targets.
