A workforce that is knowledgeable and skilled at doing complex things keeps a company competitive and attracts investments. Improved productivity means fewer people, less money, less time, less space and fewer resources. Bonuses are given to workers on giving superb ideas related to cutting cost savings, as they are directly involved in the production. BMW prefers increased participation from the worker’s side. They must give at least three ideas with eight hundred pounds for each idea and to qualify for a full annual bonus of up to two hundred and sixty-six pounds. This is done to save 3.6 M annually. The company has also increased workers pay from 2,500 pounds to 4,500 pounds. Many of the workers are hired on a temporary basis and working days are fixed to seven-day operation. Working time account was introduced in the company and workers were paid even when the plant remained shut for retooling. The hours missed were made up later. The company provided ease to the workers by giving them the opportunity to take off over time later as holidays. The company saved more than six million pounds from 10,339 ideas (2 per worker last year). It is due to the detailed knowledge of the working environment that the workers come up with these ideas. The main goal of the company is to cut cost and improve productivity. BMW consider people as a source of competitive advantage. There is the quality of work life at the company that is. employee participation, career development, conflict resolution, communication, wellness, job security, safe environment, and pride. Staffing, retention, development, adjustment and change management are the activities, which are successfully implemented at BMW. . It maximizes the corporate profits through the better management and use of people as a result of which the company has achieved high profits. As workers are directly involved in the production and they have more knowledge about the technical aspects so they are involved in decision making by telling them to give ideas related to cutting costs. Incentives are provided on each idea and the implementation of these ideas gives pride and satisfaction to the workers. .