Core Insights - The BMW Group's supervisory board has appointed Milan Nedeljković as the new chairman of the management board, effective May 14, 2026, marking a significant leadership transition as the current chairman, Zipse, concludes his 35-year career at BMW [2] - Nedeljković's tenure will coincide with a critical transformation period in the global automotive industry, focusing on electrification and intelligent technology, as well as the implementation of BMW's largest-ever "New Generation" strategy [2][6] - The "New Generation" strategy represents a pivotal shift for BMW, integrating core innovations in electrification and intelligent systems, which are essential for maintaining competitiveness in the evolving automotive landscape [2] Leadership Background - Milan Nedeljković has over 30 years of experience with BMW, having started as a trainee in 1993 and progressively advancing through various roles in production and quality management [3][4] - His leadership in the digital transformation of the Munich plant and subsequent roles has equipped him with a deep understanding of BMW's production systems and strategic direction [3][4] Production and Strategy - Since joining the board in 2019, Nedeljković has been instrumental in optimizing BMW's production system, leading the implementation of the iFactory flexible production system, which allows for the simultaneous production of combustion, hybrid, and electric vehicles [4] - The "New Generation" vehicle series, which includes the iX3, is set to launch in 2025, with strong pre-order demand reported across major markets [5] Market Challenges - The automotive industry is experiencing significant leadership changes, with many companies facing performance pressures during their transition to electrification, contrasting with BMW's proactive leadership transition [6] - BMW's profitability has been impacted, with a reported 6.9% decrease in net profit year-on-year for the first three quarters, attributed to ongoing investments in electrification and production upgrades [7] - The competitive landscape is shifting, with traditional luxury brands facing challenges from new entrants like Tesla and Chinese manufacturers, necessitating a strategic response from BMW [8] Regional Market Dynamics - In China, BMW faces increasing competition from local brands like BYD and Xpeng, making it crucial for Nedeljković to accelerate the development of intelligent technologies and tailor products to local consumer preferences [9] - The European market presents regulatory challenges, requiring BMW to invest in low-carbon production and sustainability initiatives, which may further strain profitability [9] - In the U.S. market, BMW must navigate supply chain complexities and tariff impacts while balancing local production and procurement strategies [10] Strategic Outlook - The "New Generation" initiative is not just a product line but a strategic declaration for BMW's next decade, with Nedeljković's leadership expected to play a critical role in the company's transformation and legacy [10]

Core Viewpoint - BMW Group announces the appointment of Milan Nedeljković as the new chairman, effective May 14, 2026, marking a smooth leadership transition as current chairman Oliver Zipse's term ends [2][3] Group 1: Leadership Transition - Milan Nedeljković, a long-time senior executive at BMW, will take over as chairman, indicating a stable internal succession plan [3] - Nedeljković has extensive international management experience, having joined BMW in 1993 and held various leadership roles, including overseeing multiple factories and serving as the senior vice president of quality [3] - His main task will be to drive the launch of the "New Generation" vehicle series, which is BMW's largest investment project in history, with the first model, the iX3, already exceeding market order expectations [3] Group 2: Current Chairman's Contributions - Oliver Zipse, who has been chairman since August 2019, will conclude his 35-year career at BMW upon his departure [3][4] - Zipse is credited with guiding the company through global crises, including the COVID-19 pandemic, and leading the largest strategic project in BMW's history, the "New Generation" vehicle plan [4] Group 3: Industry Context - The leadership change at BMW contrasts with other automakers that have faced management shifts due to aggressive electrification strategies leading to poor performance [4] - In the past year, several automakers, including Stellantis and Nissan, have changed leadership primarily due to performance pressures, while BMW maintains confidence in its dual development strategy of both combustion and electric vehicles [4][6] Group 4: Performance Metrics - BMW Group is projected to deliver nearly 427,000 pure electric vehicles globally in 2024, with over 100,000 units delivered in China, making it the largest single electric vehicle market for BMW [6] - For the first nine months of 2025, BMW's global electric vehicle sales reached 323,447 units, a 10% increase year-on-year, accounting for 17.5% of total sales [6] - In Q3 2025, BMW reported an EBIT of €2.261 billion, a 33% increase year-on-year, and a net profit of €1.697 billion, a significant rise of 257%, largely due to a low comparative base from the previous year [6]

Core Viewpoint - BMW Group has appointed Milan Nedeljković as the new CEO, effective May next year, succeeding Oliver Zipse, who is retiring [2]. Group 1: Background of Milan Nedeljković - Milan Nedeljković, who started as an apprentice at BMW, has a strong academic background with degrees from top institutions including RWTH Aachen University and MIT, and a PhD from the Technical University of Munich [4]. - He has extensive hands-on experience in various production processes at BMW, having worked his way up from a technical apprentice to managing key factories in Oxford, Leipzig, and Munich [5]. Group 2: Achievements and Experience - While managing the Oxford plant, Nedeljković implemented significant reforms that improved production efficiency by 30%, allowing for multi-model production and meeting rising market demands for the MINI brand [5]. - He has been responsible for BMW's global production operations, leading the transformation of production lines to accommodate flexible manufacturing of various powertrain models [6]. Group 3: Strategic Vision and Challenges Ahead - Nedeljković's tenure will focus on launching the "Neue Klasse" vehicle series, which represents BMW's largest investment project to date, with the first model, the iX3, already exceeding market order expectations [8]. - The company plans to introduce 40 new models by the end of 2027, which will require effective production management and market strategies, areas where Nedeljković's experience will be crucial [9]. - He aims to balance profitability in the combustion engine segment while accelerating electric vehicle development, addressing challenges posed by EU regulations and competition from companies like Tesla [10].