If you are smelling oil you should check for oil leaks. I don't know your mileage, but all of my M112 engines started to leak a little from the valve cover gaskets. Sometimes tightening the covers will slow leakage.
For outside odors, the charcoal filter should be changed. This may or may not eliminate an oil smell. I know the charcoal filters will eliminate fumes if they are working (they work great in tunnels). It is the one under the dash. it is also a good idea to change the paper filter behind the glove box as part of routine maintenance. I changed my paper filters every oil change and changed the charcoal once in 200k miles.
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07 E350 4Matic wagon, 06 S430 4Matic, 99 SLK 230
retired W210 (x3), W124, W126
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