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Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 1
The automotive industry is a wide range of companies and organizations involved in the
developments, design, manufacturing, marketing and selling of motor vehicles. The automotive
industry consists of companies and organizations that are involved in the design, development,
manufacturing marketing and selling of motor vehicles. It is one of the most important economic
sectors by revenue. However, it does not include those industries which are responsible for the
maintenance of automobiles after they are delivered to the end user, like automobile repair shops
and motor fuel filling stations. Automotive is a combinations of the Greek word autos which means
self and Latin word motives which means motion representing any form of self-powered vehicle.
The term automotive was coined by Elmer Sperry who was a member of SAE – Society of
Automotive Engineers.
History
The automotive industry began in the 1890s with hundreds of manufacturers that pioneered the
horseless carriage. For many decades, the United States led the world in total automobile
production. In 1929 before the Great Depression, the world had 32,028,500 automobiles in use,
and the U.S. automobile industry produced over 90% of them. At that time the U.S. had one car
per 4.87 persons. After World War II the U.S. produced about 75 percent of world's auto
production. In 1980, the U.S. was overtaken by Japan and became world's leader again in 1994. In
2006, Japan narrowly passed the U.S. in production and held this rank until 2009, when China
took the top spot with 13.8 million units. With 19.3 million units manufactured in 2012, China
almost doubled the U.S. production, with 10.3 million units, while Japan was in third place with
9.9 million units. From 1970 (140 models) over 1998 (260 models) to 2012 (684 models), the
number of automobile models in the U.S. has grown exponentially.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 2
Automotive Industry in India
In 1897, the first car ran on an Indian road. Through the 1930s, cars were only imported, and in
very small numbers.
An embryonic automotive industry emerged in India in the 1940s. Hindustan Motors was launched
in 1942, long-time competitor Premier in 1944, building GM and Fiat products respectively.
Mahindra &Mahindra was established by two brothers in 1945, and began assembly of Jeep CJ-
3A utility vehicles. Following independence in 1947, the Government of India and the private
sector launched efforts to create an automotive-component manufacturing industry to supply to
the automobile industry. In 1953, an import substitution programs were launched, and the import
of fully built-up cars began to be restricted.
The automotive industry in India is one of the largest in the world with an annual production of
23.37 million vehicles in FY 2014-15, following a growth of 8.68 per cent over the last year. The
automobile industry accounts for 7.1 per cent of the country's gross domestic product (GDP). The
Two Wheelers segment, with 81 per cent market share, is the leader of the Indian Automobile
market, owing to a growing middle class and a young population. Moreover, the growing interest
of companies in exploring the rural markets further aided the growth of the sector. The overall
Passenger Vehicle (PV) segment has 13 per cent market share.
India is also a prominent auto exporter and has strong export growth expectations for the near
future. In FY 2014-15, automobile exports grew by 15 per cent over the last year. In addition,
several initiatives by the Government of India and the major automobile players in the Indian
market are expected to make India a leader in the Two Wheeler (2W) and Four Wheeler (4W)
market in the world by 2020.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 3
Government Initiatives
The Government of India encourages foreign investment in the automobile sector and allows 100
per cent FDI under the automatic route.
Some of the major initiatives taken by the Government of India are:
 The Government of India aims to make automobile manufacturing the main driver of "Make
in India" initiative, as it expects the passenger vehicles market to triple to 9.4 million units by
2026, as highlighted in the Auto Mission Plan (AMP) 2016-26.
 In the Union budget of 2015-16, the Government has announced plans to provide credit of Rs.
850,000 crores (US$127.5 billion) to farmers, which is expected to boost sales in the tractors
segment.
 The government plans to promote eco-friendly cars in the country—i.e. CNG-based vehicles,
hybrid vehicles, and electric vehicles—and also to make mandatory 5 per cent ethanol blending
in petrol.
 The government has formulated a Scheme for Faster Adoption and Manufacturing of Electric
and Hybrid Vehicles in India, under the National Electric Mobility Mission 2020, to encourage
the progressive introduction of reliable, affordable, and efficient electric and hybrid vehicles
into the country.
 The Automobile Mission Plan (AMP) for the period 2006–2016, designed by the government
is aimed at accelerating and sustaining growth in this sector. Also, the well-established
Regulatory Framework under the Ministry of Shipping, Road Transport and Highways, plays
a part in providing a boost to this sector.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 4
Exports
India's automobile exports have grown consistently and reached $4.5 billion in 2009, with the
United Kingdom being India's largest export market, followed by Italy, Germany, Netherlands,
and South Africa.
According to the New York Times, India's strong engineering base and expertise in the
manufacturing of low-cost, fuel-efficient cars has resulted in the expansion of manufacturing
facilities of several automobile companies like Hyundai, Nissan, Toyota, Volkswagen, and Maruti
Suzuki.
In 2008, South Korean multinational Hyundai Motors alone exported 240,000 cars made in India.
Nissan Motors plans to export 250,000 vehicles manufactured in its India plant by 2011. Similarly,
US automobile company, General Motors announced its plans to export about 50,000 cars
manufactured in India by 2011.
In September 2009, Ford Motors announced its plans to set up a plant in India with an annual
capacity of 250,000 cars, for US$500 million. The cars will be manufactured both for the Indian
market and for export. The company said that the plant was a part of its plan to make India the hub
for its global production business. Fiat Motors announced that it would source more than US$1
billion worth auto components from India.
In 2009 India (0.23m) surpassed China (0.16m) as Asia's fourth largest exporter of cars after Japan
(1.77m), Korea (1.12m) and Thailand (0.26m) by allowing foreign carmakers 100% ownership of
factories in India, which China does not allow.
In July 2010, The Economic Times reported that PSA Peugeot Citroën was planning to re-enter
the Indian market and open a production plant in Andhra Pradesh that would have an annual
capacity of 100,000 vehicles, investing € 700M in the operation. PSA's intention to utilize this
production facility for export purposes however remains unclear as of December 2010.
In recent years, India has emerged as a leading center for the manufacture of small cars. Hyundai,
the biggest exporter from the country, now ships more than 250,000 cars annually from India.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 5
Apart from Maruti Exports' shipments to Suzuki's other markets, Maruti Suzuki also manufactures
small cars for Nissan, which sells them in Europe. Nissan will also export small cars from its new
Indian assembly line. Tata Motors exports its passenger vehicles to Asian and African markets,
and is preparing to sell electric cars in Europe in 2010. The firm is planning to sell an electric
version of its low-cost car the Tata Nano in Europe and in the U.S. Mahindra & Mahindra is
preparing to introduce its pickup trucks and small SUV models in the U.S. market. Bajaj Auto is
designing a low-cost car for Renault Nissan Automotive India, which will market the product
worldwide. Renault Nissan may also join domestic commercial vehicle manufacturer Ashok
Leyland in another small car project. While the possibilities for the Indian automobile industry are
impressive, there are challenges that could thwart future growth. Since the demand for automobiles
in recent years is directly linked to overall economic expansion and rising personal incomes,
industry growth will slow if the economy weakens.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 6
2.1 BACKGROUND AND INCEPTION OF THE COMPANY:
BOSCH Group founded in 1886 in Germany as a workshop for precision Mechanics and Electrical
engineering by Robert BOSCH Group. The special ownership structure of the Bosch group
guarantees its financial independence and entrepreneurial freedom.
Motor Industry Company founded in 1951 in the largest Indo-German Company and is a pioneer
and acknowledged leader in diesel fuel injection equipment and sparkplugs. Accesses to state of
the art technologies from BOSCH and Zealous commitment to quality.
The BOSCH Group today is the largest automotive technology suppliers in the world with a global
group turnover of 47.3 billion Euros in the automotive technology, industrial technology,
consumer goods and buildings technology.
Robert BOSCH GmbH is a widely known company the world over, with presence across six
continents. It has more than 350 subsidiaries and regional companies in over 60 countries. If its
sale and service partners are included, the Bosch is represented in roughly 150 countries. Bosch
operates 260 manufacturing locations worldwide of these 200 are located outside Germany in
Europe, North and South America, Asia and Australia. The company employs more than 283,500
worldwide.
The name Bosch is synonymous with innovation in automotive technology, industrial technology
and consumer goods and building technology. The company is not just famous for automotive
technology products like Gasoline, Chassis systems and Car electronics; it is also a pioneer in the
areas of automation technology, household appliance, car multimedia systems and security
systems. In 2011 Bosch group filed 4100 patents worldwide.
The Bosch slogan "Invented for Life" is part of its long tradition, through which it communicates
the group's core competencies and vision that includes technological leadership, modernity,
dynamics and quality and customer orientation.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 7
Bosch in India
Bosch has been present in India for more than 80 years- first via representative office in Calcutta
since 1992, and then from 1951 via its subsidiary Bosch limited (formerly Motor Industries
Company Limited)
Bosch limited (then MICO) began operations with a two-man team in Chennai; its activities were
importing and marketing BOSCH Group automotive products. Soon after the company set up a
manufacturing plant for sparkplugs and fuel injection equipment for diesel engines in Bangalore.
Bosch limited today is the company’s largest auto component manufacturer and also one of the
largest Indo-German companies in India. The BOSCH Group holds close to 71.18% stake in Bosch
Limited. The company is headquartered in Bangalore with manufacturing facilities in Bangalore,
Nasik, Naganathapura, Jaipur, Goa and recently-opened facility in Bidadi. The plants are TS 16949
and ISO 14004 Certified. Bosch limited has its presence across automotive technology, with
strength of over 11,700 associates. The company recorded a turnover of Rs.6630 crores in 2015.
The company has excellent R&D and manufacturing capabilities and a strong customer base. Its
market leadership is testimony to the high quality and technology of its products. It also has a
strong presence in the Indian automotive services sector. Bosch’s services network spans across
1,000 towns and cities with 5000 sales outlets and over 4,000 authorized representatives who
ensure widespread availability of both products and services.
It also has a strong presence in the Indian automotive service sector. Bosch Limited’s services
Network spans across 1,000 towns and cities with over 4,000 authorized representatives also
ensure widespread availability of both products and services. As Bosch focuses on developing
technology Hubs in Asia, Bosch limited is gearing up to meet these challenges. Bosch’s slogan
‘INVENTED FOR LIFE’ is part of its long tradition, through which it communicates the Group’s
core competencies and vision, which include technological leadership, modernity, dynamics, and
quality and customer orientation.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 8
2.2 Nature of Business
The BOSCH Group is leading global supplier of technology and services. In fiscal 2012, its
roughly 306,000 associates generated sales of 52.5 billion Euros. Since the beginning of 2013, its
operation has been divided into four business sectors; Automotive Technology, Industrial
Technology, Consumer Goods, and Energy and Building Technology. The BOSCH Group
comprises of Robert BOSCH GmbH and its roughly 360 subsidiaries and regional companies in
some 50 countries. If its sales and service partners are included, then Bosch is represented in 150
countries. These worldwide development, manufacturing and sales network are the foundation for
further growth. BOSCH Group spent some 4.8 billion Euros for R&D in 2012, and applied for
4,800 patents worldwide. The Bosch Group’s products and services are designed to fascinate, and
to improve the quality of life by providing solutions which are both innovative and beneficial. In
this way, the company offers technology worldwide that is “Invented for Life”.
The corporate slogan “Invented for Life” is placed below the combination of the “Bosch Anker”
symbol (the armature within a circle) and the “Bosch” 5-letter logotype.
The slogan is part of its long tradition, through which it communicates the Group’s core
competencies and vision that includes technological leadership, innovation, quality, and reliability,
modernity, dynamics, and customer orientation by improving the quality of life, and thus make a
valuable contribution to people, society and environmental sustainability.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 9
2.3 Bosch Vision:
Enabling lives and livelihood through the Education and Technology.
Bosch Mission:
Likes a spark that ignites an engine, the foundation aims to empower individuals to create an
impact that will help communities stand on their own feet, through employability training and
techno-solutions.
Technology refers to the application of a systematic method in order to achieve desirable outcome.
Quality Policy:
● Our goal is to fully satisfy our customer’s expectations through our quality of our products and
services.
● A quality and quality improvement is every associate’s responsibility and ultimate goal from our
board of directors to their apprentices.
● Our directives, processes, systems and goals are based on requirements from international
standards, consumer’s expectation, our knowledge and experience. Knowledge of and compliance
with these directives and processes in the foundation of our quality.
● Quality means doing right in the beginning thus preventing failures in the end. Continues
improvements for quality of processes lowers costs and improves productivity.
● Avoiding failure is more important that eliminating defects. We systematically apply methods
and tools, preventive quality assurance systematically, learn from mistakes and prevent their root
causes without delays.
● Our suppliers contribute systematically to the quality of our products and services. Therefore,
our suppliers have to live up to standards we have adopted.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 10
2.4 PRODUCTS AND SERVICE PROFILE:
The Bosch Group is a leading supplier of technology and services, and is divided into
three business sectors of
 Automotive Technology
1. Diesel Systems
2. Gasoline Systems
3. Automotive Aftermarket
4. Car Multimedia
 Industrial Technology
1. Special Purpose Machines
2. Packaging Technology
3. Solar energy Division
 Consumer goods and Building Technology
(1) Power Tools
(2) Security systems
(3) Thermo Technology
The Bosch Group's products and Services are designed to improve the quality of life by
providing solutions which are both innovative and beneficial.
● Automotive Technology
1. Diesel Systems:
Bosch in India is committed to develop innovative diesel fuel injection Products and provide
services to meet the stringent emission norms of
The future. The in-line fuel injection pumps of Bosch could cater to the full Spectrum of diesel
engines till BSII. They are used in a range of engines starting from small fixed installations to large
earth movers. By increasing Pressure capability, improving timing control along with combustion
Optimization, the in-line pump is able to meet the next level of emission Norms of BSII in major
parts of the country.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 11
2. Gasoline Systems:
The gasoline systems division of the company offers a wide product Portfolio that include as
Electronic control units, Sensors, Fuel injection, Fuel supply module, air management. Products
like APM, electronic throttle bodies etc....for building fuel Efficient and low CO2emissions engine
management systems for Passenger cars and small engines including two wheelers. Other areas
under focus are system engineering, component engineering, calibration and local manufacturing
in order to cater the Indian market needs.
→ Automotive Aftermarket:
Bosch Automotive aftermarket division is responsible for the supply, sale and distribution of
automotive parts of vehicle servicing; diagnostics equipment for workshops (i.e. testing
equipment), technical information, Training and consulting; and technical after-sales service for
Bosch Automotive products and systems.
3. Car Multimedia:
Car multimedia division develops smart solutions for the integration Entertainment, navigation,
telematics and driver assistance functions Bosch concentrates on the OEM business with a special
focus on the Automotive navigation and infotainment as well as
instrumentation systems for cars, trucks and coaches.
● Industrial Technology
1. Special Purpose Machines
Bosch has an exclusive and established division for manufacturing special purpose machines
(SPMs) and high precision tooling. Started in 1970, this division has grown in size and stature to
emerge as the front- runner in the Industry.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 12
2. Packaging Technology:
Bosch packaging technology produces cost effective, high speed, energy- Efficient and
environmentally sustainable packaging machines for the Indian market. The eco-friendly design
of machines helps in cut waste, thereby reducing packaging material.
● Consumer Goods Building Technology
1. Power Tools:
Bosch power tools are designed to save energy, yet deliver highest levels of performance. These
tools are compact and light in weight, run on environment friendly Bosch lithium ion technology
and cater to diverse industrial sectors automotive, construction, manufacturing and home-interiors,
offering best solutions to industrial and engineering application like screw driving, drilling, cutting
grinding, polishing, sanding etc. There is a wide range of 350+ tools including cordless screw
driving, drilling machines, impact wrenches, rotary hammers, surveying equipment and range
finders. Recent inclusion to the range is gardening and hobby tools for better and healthy life style.
Bosch Tools are fitting with batteries having longer lifetime and intelligent recharging capability
for quick charging, therefore making economical use of precious resource of energy.
2. Security Systems: Bosch security systems is an innovative, global provider of high quality
Security, safety and communication products and solutions. It is one of the key players in the
industry both globally and in the Indian market. We offer a complete range of specialized state-of-
the-art products and systems for Standard or customized application and projects, which enables
us to offer our customers, true one-stop solutions. The Bosch Group’s Products and Services are
designed to improve the quality of life by providing solutions which are both innovative and
beneficial.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 13
2.5 Areas of Operation:
The Bosch Group is one of the world’s biggest private industrial corporations. Headquarters in
Stuttgart, Germany.
The Bosch Group Coverage worldwide includes:
Australia, Austria, Belgium, Brazil, Canada, Czech Republic, China, Denmark, Finland, France,
Germany, India, Hungary, Korea, Japan, Mexico, Netherland, Norway, Peru, Portugal, Romania,
Russian Federation, Singapore, Slovakia, Slovenia, Spain, South Africa, Sweden, Switzerland,
Thailand, Turkey, Ukraine, UK, Venezuela, Vietnam.
Branches in India
Bosch manufacturing facilities are located in Bangalore, Bidadi, Naganathapura, Nasik, Jaipur and
Goa. All the 5 plants are TS 16949 and ISO certified. The corporate head office is in Adugodi,
Bangalore.
Bangalore Plant
Manufacturers multi cylinder, PE pumps, mechanics governors, elements, delivery valves, special
purpose machines, packaging machines, power tools and will foray into the production of common
rail pumps from 2006 onwards. Employees are more than 5500.
Nagnathpura Plant
RBIN (Bosch Ltd. India) Nagnathpura Plant, inaugurated in the year 1990, in the 3rd plant among
the 4 plant of RBIN. The plant houses productions hangars for spark plugs, glow equipment, starter
motors, alternators, regulators and PF pumps. Portions of the plant are leased out to RBAI and
Bosch Training Centre. Employees are more than 1279.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 14
Nasik Plant
Set up in 1969 is specialized in manufacture of clinical and Euro series of nozzles and injectors to
automobile industries recently the Nasik plant has ventured into the production of CRI ports
catapulted by Bosch Endeavour in common rail technology. Employees are more than 2500
Jaipur Plant
Set up in 1999 the Jaipur plant manufactures BE (Mechanical) pumps for domestic’s market and
export purpose. The VE pumps (Distributor fuel injection pump) is designed to meet Bharat state
11 & Euro 11 emission norms. These pumps are used in 3-6 cylinder vehicles. Employees are more
than 1200.
Goa Plant
The plant was set up in 2012; it manufactures packaging machinery, candy wrapper machines,
vertical form fill and pharm machines. Employees are more than 1100.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 15
BOSCH IN INDIA:
In India Bosch Corporate Office is headquartered in Adugodi, Bangalore
P l a n t s S a l e s O f f i c e R e g i o n a l O f f i c e
B a n g a l o r e
J a i p u r
N a g n a t h p u r a
N a s i k
G o a
B i d a d i
A h m a d a b a d
B a n g a l o r e
C h a n d i g a r h
C h e n n a i
G u w a h a t i
I n d o r e
J a i p u r
K o c h i
K o l k a t a
L u c k n o w
M u m b a i
N a g p u r
N e w D e l h i
P a n c h k u l a
P a t n a
R a i p u r
S e c u n d e r a b a d
C h e n n a i
J a m s h e d p u r
N e w D e l h i
P u n e
R a j k o t
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 16
OWNERSHIP PATTERN
VvVVOOOVPPPJVICE PRESIDENT
COMMERCIAL PLANT
MANAGEMENT
VICE PRESDIENT
TECHNICAL PLANT
MANAGEMENT
VICE PRESIDENT
CORPORATE QUALITY
MANAGEMENT
SENIOR GM
MFF
SENIOR GM
MFD
SENIOR GM
MSD
SENIOR GM
TEF
SENIOR GM
CIP
SENIOR GM
FES
GM
CLP
SENIOR GM
HRL
GM
CFA
MANAGER
DBE
GM
HRL
GM
TCT
GM
QMM1
MANAGER
QMM2
SENIOR GM
QMM3
GM
QMM4
MANAGER
QMM5
MANAGER
QMM6
BANGALORE PLANT
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 17
 CLP - Corporate logistics and purchase
 HRL – Human resource department
 CFA – Costing, finance and accounting
 DBE – Deployment of business excellence
 TCT – Training department
 PM – Plant management
 MFP – Manufacturing of pumps
 MFF – Manufacturing of pumps
 MFD – Manufacturing of delivery valves
 MSD – Manufacturing of glow plugs
 TEF – Technical engineering function
 BPS – Bosch production system
 CIP – Continuous improvement process
 HSE – Healthy and safety department
 FES – Fire and emergency services
 QMM- Quality management
2.6 COMPETITORS FOR BOSCH:
 Kar Mobiles Ltd.
 Triton Valves Ltd.
 Rane Engine Valve
 Federal-Mogul Goetz (India) Ltd.
 I P Rings Ltd.
 Sundram Fasteners Ltd.
 Talbros Automotive Components Ltd.
 Ucal Fuel Systems Ltd.
 Auto line Industries Ltd.
 Bunco Products (India) Ltd.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 18
Awards:
InterSolar Award 2015
Bosch receives the prestigious InterSolar award Executed for Maruti Suzuki Limited at the
Manesar plan.
February 1, 2014: Bosch Limited wins Car & Bike Award 2012
The accolades and awards keep rolling in for Bosch Limited, once again, Bosch Limited was the
proud winner of the suborns Car & Bike Award 2012 in the “Best Automotive Component
Manufacturer” category.
Bosch Wins “Car & Bike” Award 2013
Receiving yet another glory in its 125th Anniversary Year, Bosch Limited was conferred with the
Car & Bike India Award in “Best Auto Component Manufacturer” category. The Car & Bike
Award functions was held at Mumbai on January 13,2013. Bosch was adjudged the best among
two other nominees, namely Delphi and Endurance
Jan.07,2013: NDTV Car & Bike Award – ‘Automotive technology of the year’
This accolade recognizes the contributions made by Bosch in India, for localizing ABS (Antilock
Braking Systems) production. Bosch is the only automotive supplier to manufacture ABS in India
for passenger cars and light commercial vehicles. ABS is crucial to safety while driving, as it
makes braking safer, by preventing the wheels from locking.
April 15, 2012: DHL-CNBC TV18 International Trade Award
Bosch won this honour in the category of auto component industry, for doing extremely well in
exports through its low – cost solutions. The award recognizes the company’s commitment and
innovations that address the needs of Indian market, and keep Brand India alive.
Feb. 20, 2011: NDTV Car & Bike Award – ‘Auto component manufacturer of the year 2009’
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 19
Bosch was chosen as the best in auto component industry of the India for the year 2011. These
awards are considered as the benchmarks for auto excellence in India and widely trusted by
consumers, manufactures and auto experts alike. The award recognizes the best in the automobile
industry of India.
Jan.7, 2010: UT VI Auto car Award
Bosch and Mahindra & Mahindra won the ‘Best Innovation of the Year’ UT VI Auto award. The
award recognizes Bosch innovation start/stop system which contributes to fuel efficiency at a very
reasonable cost. The Mahindra Bolero Micro Hybrid is the first vehicle in India to integrate this
technology in their new car.
June 21, 2009: Business Standard Award ‘Star MNC of the year’
Bosch was noted for its cutting edge technologies, especially for designing and delivering low cost
high quality fuel injection system and for pioneering the common rail system in India.
Jan.10, 2009: NDTV Car & Bike Award- ‘Car Technology of the year’
Bosch not only setup the common rail injector and pump manufacturing projects in record time,
but also pioneered the new application of Common Rail in low cost car segment. This is a
revolutionary leap achieved by Bosch in India, which is the pioneer of Common Rail technology
in the rest of the world as well.
Jan.12, 2008: NDTV Profit Car & Bike Award 2007- ‘Automotive Technology of the year’
Audited by Price water house Cooper, these awards honored the best in the Indian automotive
industry for their handwork in calendar year 2006. Bosch was presented with the award for its
application of ABS/ESP technology.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 20
Jan.4, 2007: CNBC-TV18 Auto Car Auto Award- ‘Auto Component manufacturer of the
year’
Bosch Limited was chosen for the mark that it has made both in the domestic and international
markets with its superior technology and products. These awards seek to reward exemplary
performance in the industry in 2007 based on comprehensive set of attributes including design,
technology, value, product experience and so on. The selection process truly reflects the choices
and sentiments of all stakeholders and justifies their stature as benchmarks in auto excellence.
Aug.17, 2007: Dun & Bradstreet American Express Corporate Award- ‘Top Indian
company in the Auto Components sector’
The award recognizes the twin virtues of size growth in the organizations of corporate India, from
a derived list of top 500 companies in the country. Bosch Limited was selected as the best amongst
the top 10 auto component manufacturers in India.
Aug.10, 2006: EEPC Award- ‘Star Performer for outstanding export performance’
The Engineering Export Promotion Council (EEPC) conferred the ‘Star Performer’ for outstanding
export performance in the large enterprises category on Bosch Ltd, which garnered a total export
figure of Rs 423 Crores in 2006, almost twice as high as Rs 193 Crores in 2001.
Jan.12, 2006: NDTV Profit Car Award- ‘Safety & Technology Award – ‘Safety &
Technology Award’
Bosch was presented with this award for its pioneering work on the new age direct injection diesel
fuelling systems, with notable in the range of common rail diesels. Also taken into account was
the persistent focus on unit injector systems which are entering the scene in the high profile high
aspiration D-segment cars. The jury considered not just the technology but its bearing on safety,
and the benefits it brought to automotive users as well as the potential it has for India.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 21
Jan.8, 2005: Overdrive- Auto Monitor Award – ‘Auto component manufacturer of the yea’
Recognized for innovation technology and the scale and size of manufacturing capabilities, the
award also commemorated the customer satisfaction earned by Bosch over the years, performance,
quality and diverse range of products.
Corporate Social Responsibility- CSR:
Major CSR initiative by Bosch India Ltd-
● Bosch India Foundation, a charitable trust uses 0.5% of profit after tax towards health care and
education.
● At all its Manufacturing facilities, Bosch has provided jobs to differently able people in simple
yet important role like packaging and rewarding them for their good work.
● The entire canteen facility is installed with state of the art Bosch made solar panels, which
reduces its dependency on electricity their by saving money and maximum use of renewable
energy.
●Little sisters Old Aged Home, an orphanage has its food provided by Bosch daily.
● Industrial wastes which are generally termed as ‘hazardous’ are recycling plant and used again
instead dumping them which can be quite harmful for the environment.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 22
3.1 Structure
The design of the organization is a critical task for the top management. Organization structure
describes the formal relationship or the flow of authority in an organization and makes it clear
who is accountable to whom. It makes it easy for the delegation of authority and responsibility
and avoids confusion.
 CLP - Corporate logistics and purchase
 HRL – Human resource department
 CFA – Costing, finance and accounting
 DBE – Deployment of business excellence
 TCT – Training department
 PM – Plant management
 MFP – Manufacturing of pumps
 MFF – Manufacturing of pumps
 MFD – Manufacturing of delivery valves
 MSD – Manufacturing of glow plugs
 TEF – Technical engineering function
 BPS – Bosch production system
 CIP – Continuous improvement process
 HSE – Healthy and safety department
 FES – Fire and emergency services
 QMM- Quality management
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 23
3.2 Style
Bosch follows Top down approach. Most of the decisions are made in Germany. Bosch guidelines
for leadership are as follows
 Aim for success – Profit, growth, quality, customer and process orientation are the key
metrics with which our corporate objectives are aligned. Regularly communicate these
objectives to your associates. Make it clear that each individual can contribute to achieve
them.
 Demonstrate initiative - Together with your associates, generate new ideas and strategies
that make our company stronger.
 Demonstrate courage – Make clear decisions and demonstrate determination in
implementing them.
 Keep your associates informed – Provide factual information to your associates and keep
them informed about the happenings in the company.
 Lead by goals - Delegate tasks and give your associates the authority to perform them.
 Give feedback to your associates- Praise your people where praise is due but also give fair
and constructive criticism.
 Trust your associates - Have courage to manage with limited control.
 Shift your perspective - Put yourself in your associates position and look at things from
their point of view.
 Shape the future together – Your associates can and do contribute to the company. Integrate
them into your preparation of decisions and capitalize on the ideas and the potential that
the cultural diversity of our company offers.
 Develop your associates – Advise and systematically support your associates in their
professional development.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 24
3.3 Skills
There are 6 different skills groups within the skills framework. Community leadership skills,
Management skills, occupational/ technical/ professional skills, core skills and skills for life.
Employees according to the nature of job possess the following skills at Bosch
 Functional – This refers to the skills required to work in production areas. They should
have ITI and industrial apprenticeship qualification for entry level. To work on machines
On the Job Training or OJT is provided for 6 months.
 Quality – Candidates are recruited after a tough selection procedure. This is to ensure that
the best quality candidates are employed. They must have SSLC first class, ITI and
Apprenticeship training first class on first attempt.
 Information Technology – The employees are expected to have basic computer skills. They
are trained in the organization as to how some software applications have to be used.
 Behavioral/Human relations – The white collars are expected to have people management
skill, team building skills, communication and presentation skills.
3.4 Strategy
 To achieve the goals of the company, the resources are systematically allocated. This is
called strategy. It refers to all those actions taken by the company to have a competitive
edge in the market.
HR Strategy
 It deals with competence management and filling up of executive positions in growth
regions, special entry programmes to attract qualified university graduates and applicants
with professional experience. Train and developed the engineers who are the future skilled
technicians.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 25
Corporate Strategy
 The company has diversified into Consumer goods, mobility solutions, industrial
technology and energy and building technology. This is to have a competitive edge as well
as have more than one source of income. The company is into acquisition and mergers.
They sell those businesses which is not profitable. For example, Bosch recently sold out a
sound system which was in good condition but was of not much use to the company. Bosch
has acquired Philips security system. At present, the company has merged with Siemens
home appliances.
 Bosch economic strategy corresponds to a common aim of the group for innovation,
independence and integrity. The aim is to be a world market leader and to be a major player
in all of the company business sectors. The strategy to achieve this goal is by strong
marketing of new products and ongoing investment in research and development to
innovate continuously. Efficient sales and customer services also play a key role in Bosch
corporate strategy.
3.5 System
 Oracle Product System (BPS) – This deals with planning, ergonomics, process planning
etc. This helps to reduce lead time in many processes and standardize work procedure at
all Oracle Corporation. This also focuses on elimination of waste which in turns increases
productivity and efficiency. It is one of the scientific and best method of working.
Employees are expected to work according to standard in each station.
 Bosch Employee Services – It is a software which is accessible to all employees at
Bosch.Name of the employee, attendance and payroll can be monitored through this
system. Payslip and PF balance can be monitored using a pass code at each shop floor.
 RAS system- Here the procedures of manufacturing and activities of employees are stores
in E format. Quality checks are recorded and preserved whenever there is customer
complaints, these records are looked into for corrective measures.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 26
3.6 Staff
The staff at Bosch Ltd are considered as a pool of resources to be nurtured, developed, guarded
and allocated. There are about 6000 employees in the organization. Blue collar employees are
1000, White collar employees are 3400, Contract laborers are 1200 and Trainees are 400.
Levels at Bosch Ltd –
Management and superintendent staff
 SVP - Senior Vice President
 VP – Vice President
 SGM- Senior General Manager
 GM – General Manager
 DGM – Deputy General Manager
 Gr.1 – Senior Manager
 Gr .2 – Manager
 Gr.3 – Deputy Manager
 Gr.4 – Assistant Manager
 Gr.5 – Senior Engineer
 Gr.6 – Officer
 Gr.7 – Assistant Officer
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 27
3.7 Shared Values
 Future and result focus - Actions are result oriented. This allows us to secure our future.
 Responsibility and sustainability – The social and ecological impact of the actions are taken
into consideration.
 Initiative and determination – We act on our own initiative and pursue our goal with
determination.
 Openness and trust – Between the management and employees.
 Fairness – With colleagues and business partners.
 Reliability, Credibility and Legality – We promise what we deliver.
 Cultural diversity
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 28
SWOT Analysis refers to analyzing the strength, weakness, opportunities and threats of the
organization. SWOT consists of internal and external factors. Strengths and weakness are the
internal factors which can be controlled by the technical and personnel departments. Opportunities
and threats are the external factors which cannot be controlled by the company. This may include
socio-cultural factors, political factors, technical factors, environmental factors etc.
4.1Strengths
 Bosch follows Just in Time system. Components and raw materials are delivered one day
in advance for the production. It has an organized method of procurement of raw materials
and delivery of goods.
 Diversification of products into Consumer goods, Mobility solutions, Industrial technology
and energy and building technology. This helps the company to have multiple sources of
income.
 It is the most technologically competent company in Diesel pumps.
 Excellent infrastructure.
 It is preferred for quality not only in India but worldwide. Thus it is able to attract customers
and have a competitive edge in the market.
 Bosch puts in effort to train its employees and the six sigma concept. It uses the process to
increase its efficiency and quality in production.
 Well qualified companies who have expertise in their areas is of great advantage to the
company.
 It already has a good brand name in the market.
 Bosch files 16 patents on average each working day. This makes Bosch a global leader in
patent applications.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 29
4.2 Weakness
 Bosch has limited processing facilities. The company focuses more on assembling
components. None core activities such as manufacturing of components are outsourced to
have cost effectiveness. Hence there is more dependence on the suppliers.
 Monopoly in the market as 80% of the automobile components industry is dominated by
Bosch. There are no strong competitors.
 Manufacturing facilities are split up in different locations.
 Profit of each product is not constant. Price is comparatively high when compare to
competing brands.
 Some materials are imported from Germany which is time consuming and may lead to
delay in production process.
4.3 Opportunities
 More exports to earn foreign currency as the demand is high in foreign markets.
 Merger and acquisition helps to explore new products, attract new customers and enter new
markets.
 The company spends 25% of its annual profits on Research and Development. This helps
to maintain competitive edge over the others in the same industry.
4.4 Challenges
 Bad economy is a major challenge. For example, if the metal prices increase, it will result
in increase in cost of the product.
 Competition from other private and local firms.
 Duplicate products being sold at lower prices.
 Change in customer preferences.
 Government regulations.
 Each company send their quotation to the customer, based on which the customer has the
right to choose the lowest price quotation which is a threat to the company.
 Challenge of losing important information through hackers, natural disasters, employee
dishonesty and employee poaching.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 30
SUMMARY OF LEARNING EXPERIENCE
As I started my internship at BOSCH Group Adugodi on 1st June 2017 entering into an
MNC was a very different experience and was excited to explore what exact activities are practiced
at BOSCH.
On my 1st day at Bosch, I was overwhelmed being a part of BanP/HRL Department. I was bought
into knowledge about what actually this company deals with, and got to know that, BOSCH Group
is an automotive industry is a wide range of companies and organizations involved in the
developments, design, manufacturing, marketing and selling of motor vehicles and also consists
of companies and organizations that are involved in the design, development, manufacturing
marketing and selling of motor vehicles.
Learnt about 5S, 5S is about to maintain a systematic and organized working process. BOSCH
Group follows 5S very systematically.
5S are:
1. Sort
2. Set
3. Shine
4. Standardize
5. Sustain
In upcoming days, I got an opportunity of be a part of GA (Graduate Apprentice) Drive which
was an activity of recruitment and selection of fresher of Mechanical Engineers. I was also allowed
to be a part of the panelist due to which I could learn the basic needs panelist expect from the
candidate irrespective of his/her marks, also got an idea how the interview process talks place.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 31
Few take away points from the interview:
 A candidate should be confident.
 Proper body language and posture.
 Resume should he known by the candidate and should not be blank when the interviewer
asks questions from her/his resume.
 Should be knowledge about the company and its products whit current updates of topics of
the company.
I was also a part of NCYM (National Competition for Young Managers) is a program conducted
by all the Indian Management association with a view to recognize competitive excellent among
young managers and by providing them an opportunity to increase the analytical creative thinking,
problem solving, team work, and leadership skills at a National level
Few learnings from this program
 Learnt how to prepare a standardized PowerPoint Presentation.
 This program helped me to improve in my vocabulary.
 Learnt key points to be kept in mind during presenting a presentation.
I was also a part of a program named 6 Thinking Hats, it is a program conducted to recognize the
concerns of an organization and find suitable solutions for it.
6 Thinking Hats are:
1. Factual White
2. Creative Green
3. Optimistic Yellow
4. Pessimistic Black
5. Intuitive Red
6. Conclusive Blue
Learnt how employees need to make quick and effective decisions to solve the problem keeping
every small note of the problem in mind.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 32
I was also a part of Rewards and Recognition (R&R) program. it is a program conducted every
5 months for White Collar (M&SS) & Blue Collars (Associates) individually and team-wise. This
program motivates the employees and creates more enthusiasm in them to work better. It is the
token of appreciation for the work done by them.
Due to this program I understood how important it is for the organization to keep their employees
happy for better performance from their end. Rewarding someone for their work, irrespective of
what type of work they are doing helps to build good relationships between employees and the
organization for the growth of the Company.
I also learnt how to do VLookup Function in Excel Sheet which helps to reduce the time to find
a particular data in a huge data base, it helps to find the data at the earliest.
Contemporary Management practices and Global Management Practices-BOSCH
Department of MBA, PES University 33
Bibliography:
 Bosch Pvt Ltd, Bengaluru
 Web Sources:
 http://www.boschindia.com/en/in/our_company_5/our-company-lp.html
 https://www.bosch.com/bosch-group/our-figures/
 http://cordis.europa.eu/pub/fp7/ict/docs/event3-20070925-26-pars-4-6-
bekker_en.pdf
 https://www.bosch.com/sustainability/strategy/management-and-organization/
 https://www.bosch.com/sustainability/strategy/vision-and-targets/
 http://www.boschsecurity.com/corporate/homepage/index.html
 http://www.boschindia.com/en/in/our_company_5/business_sectors_and_divisions_
5/security_systems_5/security-systems.html
 http://www.bosch-india-
software.com/en/company/contact_us/employee_connect/employee_connect_wtd.ht
ml
 http://www.boschindia.com/en/in/sustainability_innovation_5/values_5/values-
landingpage.html
 http://www.bosch-
career.com/en/uk/bosch_employer_uk/corporate_culture_uk/corporate-culture.html
 http://www.bosch-
career.com/media/tw/documents_tw/bosch_employer_documents_tw/corporate_cult
ure_documents_tw/house-of-orientation-en.pdf

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Internship report on "Contemporary Management Practices and Global Management Practices-BOSCH (Organisation study)"

  • 1. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 1 The automotive industry is a wide range of companies and organizations involved in the developments, design, manufacturing, marketing and selling of motor vehicles. The automotive industry consists of companies and organizations that are involved in the design, development, manufacturing marketing and selling of motor vehicles. It is one of the most important economic sectors by revenue. However, it does not include those industries which are responsible for the maintenance of automobiles after they are delivered to the end user, like automobile repair shops and motor fuel filling stations. Automotive is a combinations of the Greek word autos which means self and Latin word motives which means motion representing any form of self-powered vehicle. The term automotive was coined by Elmer Sperry who was a member of SAE – Society of Automotive Engineers. History The automotive industry began in the 1890s with hundreds of manufacturers that pioneered the horseless carriage. For many decades, the United States led the world in total automobile production. In 1929 before the Great Depression, the world had 32,028,500 automobiles in use, and the U.S. automobile industry produced over 90% of them. At that time the U.S. had one car per 4.87 persons. After World War II the U.S. produced about 75 percent of world's auto production. In 1980, the U.S. was overtaken by Japan and became world's leader again in 1994. In 2006, Japan narrowly passed the U.S. in production and held this rank until 2009, when China took the top spot with 13.8 million units. With 19.3 million units manufactured in 2012, China almost doubled the U.S. production, with 10.3 million units, while Japan was in third place with 9.9 million units. From 1970 (140 models) over 1998 (260 models) to 2012 (684 models), the number of automobile models in the U.S. has grown exponentially.
  • 2. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 2 Automotive Industry in India In 1897, the first car ran on an Indian road. Through the 1930s, cars were only imported, and in very small numbers. An embryonic automotive industry emerged in India in the 1940s. Hindustan Motors was launched in 1942, long-time competitor Premier in 1944, building GM and Fiat products respectively. Mahindra &Mahindra was established by two brothers in 1945, and began assembly of Jeep CJ- 3A utility vehicles. Following independence in 1947, the Government of India and the private sector launched efforts to create an automotive-component manufacturing industry to supply to the automobile industry. In 1953, an import substitution programs were launched, and the import of fully built-up cars began to be restricted. The automotive industry in India is one of the largest in the world with an annual production of 23.37 million vehicles in FY 2014-15, following a growth of 8.68 per cent over the last year. The automobile industry accounts for 7.1 per cent of the country's gross domestic product (GDP). The Two Wheelers segment, with 81 per cent market share, is the leader of the Indian Automobile market, owing to a growing middle class and a young population. Moreover, the growing interest of companies in exploring the rural markets further aided the growth of the sector. The overall Passenger Vehicle (PV) segment has 13 per cent market share. India is also a prominent auto exporter and has strong export growth expectations for the near future. In FY 2014-15, automobile exports grew by 15 per cent over the last year. In addition, several initiatives by the Government of India and the major automobile players in the Indian market are expected to make India a leader in the Two Wheeler (2W) and Four Wheeler (4W) market in the world by 2020.
  • 3. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 3 Government Initiatives The Government of India encourages foreign investment in the automobile sector and allows 100 per cent FDI under the automatic route. Some of the major initiatives taken by the Government of India are:  The Government of India aims to make automobile manufacturing the main driver of "Make in India" initiative, as it expects the passenger vehicles market to triple to 9.4 million units by 2026, as highlighted in the Auto Mission Plan (AMP) 2016-26.  In the Union budget of 2015-16, the Government has announced plans to provide credit of Rs. 850,000 crores (US$127.5 billion) to farmers, which is expected to boost sales in the tractors segment.  The government plans to promote eco-friendly cars in the country—i.e. CNG-based vehicles, hybrid vehicles, and electric vehicles—and also to make mandatory 5 per cent ethanol blending in petrol.  The government has formulated a Scheme for Faster Adoption and Manufacturing of Electric and Hybrid Vehicles in India, under the National Electric Mobility Mission 2020, to encourage the progressive introduction of reliable, affordable, and efficient electric and hybrid vehicles into the country.  The Automobile Mission Plan (AMP) for the period 2006–2016, designed by the government is aimed at accelerating and sustaining growth in this sector. Also, the well-established Regulatory Framework under the Ministry of Shipping, Road Transport and Highways, plays a part in providing a boost to this sector.
  • 4. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 4 Exports India's automobile exports have grown consistently and reached $4.5 billion in 2009, with the United Kingdom being India's largest export market, followed by Italy, Germany, Netherlands, and South Africa. According to the New York Times, India's strong engineering base and expertise in the manufacturing of low-cost, fuel-efficient cars has resulted in the expansion of manufacturing facilities of several automobile companies like Hyundai, Nissan, Toyota, Volkswagen, and Maruti Suzuki. In 2008, South Korean multinational Hyundai Motors alone exported 240,000 cars made in India. Nissan Motors plans to export 250,000 vehicles manufactured in its India plant by 2011. Similarly, US automobile company, General Motors announced its plans to export about 50,000 cars manufactured in India by 2011. In September 2009, Ford Motors announced its plans to set up a plant in India with an annual capacity of 250,000 cars, for US$500 million. The cars will be manufactured both for the Indian market and for export. The company said that the plant was a part of its plan to make India the hub for its global production business. Fiat Motors announced that it would source more than US$1 billion worth auto components from India. In 2009 India (0.23m) surpassed China (0.16m) as Asia's fourth largest exporter of cars after Japan (1.77m), Korea (1.12m) and Thailand (0.26m) by allowing foreign carmakers 100% ownership of factories in India, which China does not allow. In July 2010, The Economic Times reported that PSA Peugeot Citroën was planning to re-enter the Indian market and open a production plant in Andhra Pradesh that would have an annual capacity of 100,000 vehicles, investing € 700M in the operation. PSA's intention to utilize this production facility for export purposes however remains unclear as of December 2010. In recent years, India has emerged as a leading center for the manufacture of small cars. Hyundai, the biggest exporter from the country, now ships more than 250,000 cars annually from India.
  • 5. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 5 Apart from Maruti Exports' shipments to Suzuki's other markets, Maruti Suzuki also manufactures small cars for Nissan, which sells them in Europe. Nissan will also export small cars from its new Indian assembly line. Tata Motors exports its passenger vehicles to Asian and African markets, and is preparing to sell electric cars in Europe in 2010. The firm is planning to sell an electric version of its low-cost car the Tata Nano in Europe and in the U.S. Mahindra & Mahindra is preparing to introduce its pickup trucks and small SUV models in the U.S. market. Bajaj Auto is designing a low-cost car for Renault Nissan Automotive India, which will market the product worldwide. Renault Nissan may also join domestic commercial vehicle manufacturer Ashok Leyland in another small car project. While the possibilities for the Indian automobile industry are impressive, there are challenges that could thwart future growth. Since the demand for automobiles in recent years is directly linked to overall economic expansion and rising personal incomes, industry growth will slow if the economy weakens.
  • 6. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 6 2.1 BACKGROUND AND INCEPTION OF THE COMPANY: BOSCH Group founded in 1886 in Germany as a workshop for precision Mechanics and Electrical engineering by Robert BOSCH Group. The special ownership structure of the Bosch group guarantees its financial independence and entrepreneurial freedom. Motor Industry Company founded in 1951 in the largest Indo-German Company and is a pioneer and acknowledged leader in diesel fuel injection equipment and sparkplugs. Accesses to state of the art technologies from BOSCH and Zealous commitment to quality. The BOSCH Group today is the largest automotive technology suppliers in the world with a global group turnover of 47.3 billion Euros in the automotive technology, industrial technology, consumer goods and buildings technology. Robert BOSCH GmbH is a widely known company the world over, with presence across six continents. It has more than 350 subsidiaries and regional companies in over 60 countries. If its sale and service partners are included, the Bosch is represented in roughly 150 countries. Bosch operates 260 manufacturing locations worldwide of these 200 are located outside Germany in Europe, North and South America, Asia and Australia. The company employs more than 283,500 worldwide. The name Bosch is synonymous with innovation in automotive technology, industrial technology and consumer goods and building technology. The company is not just famous for automotive technology products like Gasoline, Chassis systems and Car electronics; it is also a pioneer in the areas of automation technology, household appliance, car multimedia systems and security systems. In 2011 Bosch group filed 4100 patents worldwide. The Bosch slogan "Invented for Life" is part of its long tradition, through which it communicates the group's core competencies and vision that includes technological leadership, modernity, dynamics and quality and customer orientation.
  • 7. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 7 Bosch in India Bosch has been present in India for more than 80 years- first via representative office in Calcutta since 1992, and then from 1951 via its subsidiary Bosch limited (formerly Motor Industries Company Limited) Bosch limited (then MICO) began operations with a two-man team in Chennai; its activities were importing and marketing BOSCH Group automotive products. Soon after the company set up a manufacturing plant for sparkplugs and fuel injection equipment for diesel engines in Bangalore. Bosch limited today is the company’s largest auto component manufacturer and also one of the largest Indo-German companies in India. The BOSCH Group holds close to 71.18% stake in Bosch Limited. The company is headquartered in Bangalore with manufacturing facilities in Bangalore, Nasik, Naganathapura, Jaipur, Goa and recently-opened facility in Bidadi. The plants are TS 16949 and ISO 14004 Certified. Bosch limited has its presence across automotive technology, with strength of over 11,700 associates. The company recorded a turnover of Rs.6630 crores in 2015. The company has excellent R&D and manufacturing capabilities and a strong customer base. Its market leadership is testimony to the high quality and technology of its products. It also has a strong presence in the Indian automotive services sector. Bosch’s services network spans across 1,000 towns and cities with 5000 sales outlets and over 4,000 authorized representatives who ensure widespread availability of both products and services. It also has a strong presence in the Indian automotive service sector. Bosch Limited’s services Network spans across 1,000 towns and cities with over 4,000 authorized representatives also ensure widespread availability of both products and services. As Bosch focuses on developing technology Hubs in Asia, Bosch limited is gearing up to meet these challenges. Bosch’s slogan ‘INVENTED FOR LIFE’ is part of its long tradition, through which it communicates the Group’s core competencies and vision, which include technological leadership, modernity, dynamics, and quality and customer orientation.
  • 8. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 8 2.2 Nature of Business The BOSCH Group is leading global supplier of technology and services. In fiscal 2012, its roughly 306,000 associates generated sales of 52.5 billion Euros. Since the beginning of 2013, its operation has been divided into four business sectors; Automotive Technology, Industrial Technology, Consumer Goods, and Energy and Building Technology. The BOSCH Group comprises of Robert BOSCH GmbH and its roughly 360 subsidiaries and regional companies in some 50 countries. If its sales and service partners are included, then Bosch is represented in 150 countries. These worldwide development, manufacturing and sales network are the foundation for further growth. BOSCH Group spent some 4.8 billion Euros for R&D in 2012, and applied for 4,800 patents worldwide. The Bosch Group’s products and services are designed to fascinate, and to improve the quality of life by providing solutions which are both innovative and beneficial. In this way, the company offers technology worldwide that is “Invented for Life”. The corporate slogan “Invented for Life” is placed below the combination of the “Bosch Anker” symbol (the armature within a circle) and the “Bosch” 5-letter logotype. The slogan is part of its long tradition, through which it communicates the Group’s core competencies and vision that includes technological leadership, innovation, quality, and reliability, modernity, dynamics, and customer orientation by improving the quality of life, and thus make a valuable contribution to people, society and environmental sustainability.
  • 9. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 9 2.3 Bosch Vision: Enabling lives and livelihood through the Education and Technology. Bosch Mission: Likes a spark that ignites an engine, the foundation aims to empower individuals to create an impact that will help communities stand on their own feet, through employability training and techno-solutions. Technology refers to the application of a systematic method in order to achieve desirable outcome. Quality Policy: ● Our goal is to fully satisfy our customer’s expectations through our quality of our products and services. ● A quality and quality improvement is every associate’s responsibility and ultimate goal from our board of directors to their apprentices. ● Our directives, processes, systems and goals are based on requirements from international standards, consumer’s expectation, our knowledge and experience. Knowledge of and compliance with these directives and processes in the foundation of our quality. ● Quality means doing right in the beginning thus preventing failures in the end. Continues improvements for quality of processes lowers costs and improves productivity. ● Avoiding failure is more important that eliminating defects. We systematically apply methods and tools, preventive quality assurance systematically, learn from mistakes and prevent their root causes without delays. ● Our suppliers contribute systematically to the quality of our products and services. Therefore, our suppliers have to live up to standards we have adopted.
  • 10. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 10 2.4 PRODUCTS AND SERVICE PROFILE: The Bosch Group is a leading supplier of technology and services, and is divided into three business sectors of  Automotive Technology 1. Diesel Systems 2. Gasoline Systems 3. Automotive Aftermarket 4. Car Multimedia  Industrial Technology 1. Special Purpose Machines 2. Packaging Technology 3. Solar energy Division  Consumer goods and Building Technology (1) Power Tools (2) Security systems (3) Thermo Technology The Bosch Group's products and Services are designed to improve the quality of life by providing solutions which are both innovative and beneficial. ● Automotive Technology 1. Diesel Systems: Bosch in India is committed to develop innovative diesel fuel injection Products and provide services to meet the stringent emission norms of The future. The in-line fuel injection pumps of Bosch could cater to the full Spectrum of diesel engines till BSII. They are used in a range of engines starting from small fixed installations to large earth movers. By increasing Pressure capability, improving timing control along with combustion Optimization, the in-line pump is able to meet the next level of emission Norms of BSII in major parts of the country.
  • 11. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 11 2. Gasoline Systems: The gasoline systems division of the company offers a wide product Portfolio that include as Electronic control units, Sensors, Fuel injection, Fuel supply module, air management. Products like APM, electronic throttle bodies etc....for building fuel Efficient and low CO2emissions engine management systems for Passenger cars and small engines including two wheelers. Other areas under focus are system engineering, component engineering, calibration and local manufacturing in order to cater the Indian market needs. → Automotive Aftermarket: Bosch Automotive aftermarket division is responsible for the supply, sale and distribution of automotive parts of vehicle servicing; diagnostics equipment for workshops (i.e. testing equipment), technical information, Training and consulting; and technical after-sales service for Bosch Automotive products and systems. 3. Car Multimedia: Car multimedia division develops smart solutions for the integration Entertainment, navigation, telematics and driver assistance functions Bosch concentrates on the OEM business with a special focus on the Automotive navigation and infotainment as well as instrumentation systems for cars, trucks and coaches. ● Industrial Technology 1. Special Purpose Machines Bosch has an exclusive and established division for manufacturing special purpose machines (SPMs) and high precision tooling. Started in 1970, this division has grown in size and stature to emerge as the front- runner in the Industry.
  • 12. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 12 2. Packaging Technology: Bosch packaging technology produces cost effective, high speed, energy- Efficient and environmentally sustainable packaging machines for the Indian market. The eco-friendly design of machines helps in cut waste, thereby reducing packaging material. ● Consumer Goods Building Technology 1. Power Tools: Bosch power tools are designed to save energy, yet deliver highest levels of performance. These tools are compact and light in weight, run on environment friendly Bosch lithium ion technology and cater to diverse industrial sectors automotive, construction, manufacturing and home-interiors, offering best solutions to industrial and engineering application like screw driving, drilling, cutting grinding, polishing, sanding etc. There is a wide range of 350+ tools including cordless screw driving, drilling machines, impact wrenches, rotary hammers, surveying equipment and range finders. Recent inclusion to the range is gardening and hobby tools for better and healthy life style. Bosch Tools are fitting with batteries having longer lifetime and intelligent recharging capability for quick charging, therefore making economical use of precious resource of energy. 2. Security Systems: Bosch security systems is an innovative, global provider of high quality Security, safety and communication products and solutions. It is one of the key players in the industry both globally and in the Indian market. We offer a complete range of specialized state-of- the-art products and systems for Standard or customized application and projects, which enables us to offer our customers, true one-stop solutions. The Bosch Group’s Products and Services are designed to improve the quality of life by providing solutions which are both innovative and beneficial.
  • 13. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 13 2.5 Areas of Operation: The Bosch Group is one of the world’s biggest private industrial corporations. Headquarters in Stuttgart, Germany. The Bosch Group Coverage worldwide includes: Australia, Austria, Belgium, Brazil, Canada, Czech Republic, China, Denmark, Finland, France, Germany, India, Hungary, Korea, Japan, Mexico, Netherland, Norway, Peru, Portugal, Romania, Russian Federation, Singapore, Slovakia, Slovenia, Spain, South Africa, Sweden, Switzerland, Thailand, Turkey, Ukraine, UK, Venezuela, Vietnam. Branches in India Bosch manufacturing facilities are located in Bangalore, Bidadi, Naganathapura, Nasik, Jaipur and Goa. All the 5 plants are TS 16949 and ISO certified. The corporate head office is in Adugodi, Bangalore. Bangalore Plant Manufacturers multi cylinder, PE pumps, mechanics governors, elements, delivery valves, special purpose machines, packaging machines, power tools and will foray into the production of common rail pumps from 2006 onwards. Employees are more than 5500. Nagnathpura Plant RBIN (Bosch Ltd. India) Nagnathpura Plant, inaugurated in the year 1990, in the 3rd plant among the 4 plant of RBIN. The plant houses productions hangars for spark plugs, glow equipment, starter motors, alternators, regulators and PF pumps. Portions of the plant are leased out to RBAI and Bosch Training Centre. Employees are more than 1279.
  • 14. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 14 Nasik Plant Set up in 1969 is specialized in manufacture of clinical and Euro series of nozzles and injectors to automobile industries recently the Nasik plant has ventured into the production of CRI ports catapulted by Bosch Endeavour in common rail technology. Employees are more than 2500 Jaipur Plant Set up in 1999 the Jaipur plant manufactures BE (Mechanical) pumps for domestic’s market and export purpose. The VE pumps (Distributor fuel injection pump) is designed to meet Bharat state 11 & Euro 11 emission norms. These pumps are used in 3-6 cylinder vehicles. Employees are more than 1200. Goa Plant The plant was set up in 2012; it manufactures packaging machinery, candy wrapper machines, vertical form fill and pharm machines. Employees are more than 1100.
  • 15. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 15 BOSCH IN INDIA: In India Bosch Corporate Office is headquartered in Adugodi, Bangalore P l a n t s S a l e s O f f i c e R e g i o n a l O f f i c e B a n g a l o r e J a i p u r N a g n a t h p u r a N a s i k G o a B i d a d i A h m a d a b a d B a n g a l o r e C h a n d i g a r h C h e n n a i G u w a h a t i I n d o r e J a i p u r K o c h i K o l k a t a L u c k n o w M u m b a i N a g p u r N e w D e l h i P a n c h k u l a P a t n a R a i p u r S e c u n d e r a b a d C h e n n a i J a m s h e d p u r N e w D e l h i P u n e R a j k o t
  • 16. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 16 OWNERSHIP PATTERN VvVVOOOVPPPJVICE PRESIDENT COMMERCIAL PLANT MANAGEMENT VICE PRESDIENT TECHNICAL PLANT MANAGEMENT VICE PRESIDENT CORPORATE QUALITY MANAGEMENT SENIOR GM MFF SENIOR GM MFD SENIOR GM MSD SENIOR GM TEF SENIOR GM CIP SENIOR GM FES GM CLP SENIOR GM HRL GM CFA MANAGER DBE GM HRL GM TCT GM QMM1 MANAGER QMM2 SENIOR GM QMM3 GM QMM4 MANAGER QMM5 MANAGER QMM6 BANGALORE PLANT
  • 17. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 17  CLP - Corporate logistics and purchase  HRL – Human resource department  CFA – Costing, finance and accounting  DBE – Deployment of business excellence  TCT – Training department  PM – Plant management  MFP – Manufacturing of pumps  MFF – Manufacturing of pumps  MFD – Manufacturing of delivery valves  MSD – Manufacturing of glow plugs  TEF – Technical engineering function  BPS – Bosch production system  CIP – Continuous improvement process  HSE – Healthy and safety department  FES – Fire and emergency services  QMM- Quality management 2.6 COMPETITORS FOR BOSCH:  Kar Mobiles Ltd.  Triton Valves Ltd.  Rane Engine Valve  Federal-Mogul Goetz (India) Ltd.  I P Rings Ltd.  Sundram Fasteners Ltd.  Talbros Automotive Components Ltd.  Ucal Fuel Systems Ltd.  Auto line Industries Ltd.  Bunco Products (India) Ltd.
  • 18. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 18 Awards: InterSolar Award 2015 Bosch receives the prestigious InterSolar award Executed for Maruti Suzuki Limited at the Manesar plan. February 1, 2014: Bosch Limited wins Car & Bike Award 2012 The accolades and awards keep rolling in for Bosch Limited, once again, Bosch Limited was the proud winner of the suborns Car & Bike Award 2012 in the “Best Automotive Component Manufacturer” category. Bosch Wins “Car & Bike” Award 2013 Receiving yet another glory in its 125th Anniversary Year, Bosch Limited was conferred with the Car & Bike India Award in “Best Auto Component Manufacturer” category. The Car & Bike Award functions was held at Mumbai on January 13,2013. Bosch was adjudged the best among two other nominees, namely Delphi and Endurance Jan.07,2013: NDTV Car & Bike Award – ‘Automotive technology of the year’ This accolade recognizes the contributions made by Bosch in India, for localizing ABS (Antilock Braking Systems) production. Bosch is the only automotive supplier to manufacture ABS in India for passenger cars and light commercial vehicles. ABS is crucial to safety while driving, as it makes braking safer, by preventing the wheels from locking. April 15, 2012: DHL-CNBC TV18 International Trade Award Bosch won this honour in the category of auto component industry, for doing extremely well in exports through its low – cost solutions. The award recognizes the company’s commitment and innovations that address the needs of Indian market, and keep Brand India alive. Feb. 20, 2011: NDTV Car & Bike Award – ‘Auto component manufacturer of the year 2009’
  • 19. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 19 Bosch was chosen as the best in auto component industry of the India for the year 2011. These awards are considered as the benchmarks for auto excellence in India and widely trusted by consumers, manufactures and auto experts alike. The award recognizes the best in the automobile industry of India. Jan.7, 2010: UT VI Auto car Award Bosch and Mahindra & Mahindra won the ‘Best Innovation of the Year’ UT VI Auto award. The award recognizes Bosch innovation start/stop system which contributes to fuel efficiency at a very reasonable cost. The Mahindra Bolero Micro Hybrid is the first vehicle in India to integrate this technology in their new car. June 21, 2009: Business Standard Award ‘Star MNC of the year’ Bosch was noted for its cutting edge technologies, especially for designing and delivering low cost high quality fuel injection system and for pioneering the common rail system in India. Jan.10, 2009: NDTV Car & Bike Award- ‘Car Technology of the year’ Bosch not only setup the common rail injector and pump manufacturing projects in record time, but also pioneered the new application of Common Rail in low cost car segment. This is a revolutionary leap achieved by Bosch in India, which is the pioneer of Common Rail technology in the rest of the world as well. Jan.12, 2008: NDTV Profit Car & Bike Award 2007- ‘Automotive Technology of the year’ Audited by Price water house Cooper, these awards honored the best in the Indian automotive industry for their handwork in calendar year 2006. Bosch was presented with the award for its application of ABS/ESP technology.
  • 20. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 20 Jan.4, 2007: CNBC-TV18 Auto Car Auto Award- ‘Auto Component manufacturer of the year’ Bosch Limited was chosen for the mark that it has made both in the domestic and international markets with its superior technology and products. These awards seek to reward exemplary performance in the industry in 2007 based on comprehensive set of attributes including design, technology, value, product experience and so on. The selection process truly reflects the choices and sentiments of all stakeholders and justifies their stature as benchmarks in auto excellence. Aug.17, 2007: Dun & Bradstreet American Express Corporate Award- ‘Top Indian company in the Auto Components sector’ The award recognizes the twin virtues of size growth in the organizations of corporate India, from a derived list of top 500 companies in the country. Bosch Limited was selected as the best amongst the top 10 auto component manufacturers in India. Aug.10, 2006: EEPC Award- ‘Star Performer for outstanding export performance’ The Engineering Export Promotion Council (EEPC) conferred the ‘Star Performer’ for outstanding export performance in the large enterprises category on Bosch Ltd, which garnered a total export figure of Rs 423 Crores in 2006, almost twice as high as Rs 193 Crores in 2001. Jan.12, 2006: NDTV Profit Car Award- ‘Safety & Technology Award – ‘Safety & Technology Award’ Bosch was presented with this award for its pioneering work on the new age direct injection diesel fuelling systems, with notable in the range of common rail diesels. Also taken into account was the persistent focus on unit injector systems which are entering the scene in the high profile high aspiration D-segment cars. The jury considered not just the technology but its bearing on safety, and the benefits it brought to automotive users as well as the potential it has for India.
  • 21. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 21 Jan.8, 2005: Overdrive- Auto Monitor Award – ‘Auto component manufacturer of the yea’ Recognized for innovation technology and the scale and size of manufacturing capabilities, the award also commemorated the customer satisfaction earned by Bosch over the years, performance, quality and diverse range of products. Corporate Social Responsibility- CSR: Major CSR initiative by Bosch India Ltd- ● Bosch India Foundation, a charitable trust uses 0.5% of profit after tax towards health care and education. ● At all its Manufacturing facilities, Bosch has provided jobs to differently able people in simple yet important role like packaging and rewarding them for their good work. ● The entire canteen facility is installed with state of the art Bosch made solar panels, which reduces its dependency on electricity their by saving money and maximum use of renewable energy. ●Little sisters Old Aged Home, an orphanage has its food provided by Bosch daily. ● Industrial wastes which are generally termed as ‘hazardous’ are recycling plant and used again instead dumping them which can be quite harmful for the environment.
  • 22. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 22 3.1 Structure The design of the organization is a critical task for the top management. Organization structure describes the formal relationship or the flow of authority in an organization and makes it clear who is accountable to whom. It makes it easy for the delegation of authority and responsibility and avoids confusion.  CLP - Corporate logistics and purchase  HRL – Human resource department  CFA – Costing, finance and accounting  DBE – Deployment of business excellence  TCT – Training department  PM – Plant management  MFP – Manufacturing of pumps  MFF – Manufacturing of pumps  MFD – Manufacturing of delivery valves  MSD – Manufacturing of glow plugs  TEF – Technical engineering function  BPS – Bosch production system  CIP – Continuous improvement process  HSE – Healthy and safety department  FES – Fire and emergency services  QMM- Quality management
  • 23. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 23 3.2 Style Bosch follows Top down approach. Most of the decisions are made in Germany. Bosch guidelines for leadership are as follows  Aim for success – Profit, growth, quality, customer and process orientation are the key metrics with which our corporate objectives are aligned. Regularly communicate these objectives to your associates. Make it clear that each individual can contribute to achieve them.  Demonstrate initiative - Together with your associates, generate new ideas and strategies that make our company stronger.  Demonstrate courage – Make clear decisions and demonstrate determination in implementing them.  Keep your associates informed – Provide factual information to your associates and keep them informed about the happenings in the company.  Lead by goals - Delegate tasks and give your associates the authority to perform them.  Give feedback to your associates- Praise your people where praise is due but also give fair and constructive criticism.  Trust your associates - Have courage to manage with limited control.  Shift your perspective - Put yourself in your associates position and look at things from their point of view.  Shape the future together – Your associates can and do contribute to the company. Integrate them into your preparation of decisions and capitalize on the ideas and the potential that the cultural diversity of our company offers.  Develop your associates – Advise and systematically support your associates in their professional development.
  • 24. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 24 3.3 Skills There are 6 different skills groups within the skills framework. Community leadership skills, Management skills, occupational/ technical/ professional skills, core skills and skills for life. Employees according to the nature of job possess the following skills at Bosch  Functional – This refers to the skills required to work in production areas. They should have ITI and industrial apprenticeship qualification for entry level. To work on machines On the Job Training or OJT is provided for 6 months.  Quality – Candidates are recruited after a tough selection procedure. This is to ensure that the best quality candidates are employed. They must have SSLC first class, ITI and Apprenticeship training first class on first attempt.  Information Technology – The employees are expected to have basic computer skills. They are trained in the organization as to how some software applications have to be used.  Behavioral/Human relations – The white collars are expected to have people management skill, team building skills, communication and presentation skills. 3.4 Strategy  To achieve the goals of the company, the resources are systematically allocated. This is called strategy. It refers to all those actions taken by the company to have a competitive edge in the market. HR Strategy  It deals with competence management and filling up of executive positions in growth regions, special entry programmes to attract qualified university graduates and applicants with professional experience. Train and developed the engineers who are the future skilled technicians.
  • 25. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 25 Corporate Strategy  The company has diversified into Consumer goods, mobility solutions, industrial technology and energy and building technology. This is to have a competitive edge as well as have more than one source of income. The company is into acquisition and mergers. They sell those businesses which is not profitable. For example, Bosch recently sold out a sound system which was in good condition but was of not much use to the company. Bosch has acquired Philips security system. At present, the company has merged with Siemens home appliances.  Bosch economic strategy corresponds to a common aim of the group for innovation, independence and integrity. The aim is to be a world market leader and to be a major player in all of the company business sectors. The strategy to achieve this goal is by strong marketing of new products and ongoing investment in research and development to innovate continuously. Efficient sales and customer services also play a key role in Bosch corporate strategy. 3.5 System  Oracle Product System (BPS) – This deals with planning, ergonomics, process planning etc. This helps to reduce lead time in many processes and standardize work procedure at all Oracle Corporation. This also focuses on elimination of waste which in turns increases productivity and efficiency. It is one of the scientific and best method of working. Employees are expected to work according to standard in each station.  Bosch Employee Services – It is a software which is accessible to all employees at Bosch.Name of the employee, attendance and payroll can be monitored through this system. Payslip and PF balance can be monitored using a pass code at each shop floor.  RAS system- Here the procedures of manufacturing and activities of employees are stores in E format. Quality checks are recorded and preserved whenever there is customer complaints, these records are looked into for corrective measures.
  • 26. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 26 3.6 Staff The staff at Bosch Ltd are considered as a pool of resources to be nurtured, developed, guarded and allocated. There are about 6000 employees in the organization. Blue collar employees are 1000, White collar employees are 3400, Contract laborers are 1200 and Trainees are 400. Levels at Bosch Ltd – Management and superintendent staff  SVP - Senior Vice President  VP – Vice President  SGM- Senior General Manager  GM – General Manager  DGM – Deputy General Manager  Gr.1 – Senior Manager  Gr .2 – Manager  Gr.3 – Deputy Manager  Gr.4 – Assistant Manager  Gr.5 – Senior Engineer  Gr.6 – Officer  Gr.7 – Assistant Officer
  • 27. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 27 3.7 Shared Values  Future and result focus - Actions are result oriented. This allows us to secure our future.  Responsibility and sustainability – The social and ecological impact of the actions are taken into consideration.  Initiative and determination – We act on our own initiative and pursue our goal with determination.  Openness and trust – Between the management and employees.  Fairness – With colleagues and business partners.  Reliability, Credibility and Legality – We promise what we deliver.  Cultural diversity
  • 28. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 28 SWOT Analysis refers to analyzing the strength, weakness, opportunities and threats of the organization. SWOT consists of internal and external factors. Strengths and weakness are the internal factors which can be controlled by the technical and personnel departments. Opportunities and threats are the external factors which cannot be controlled by the company. This may include socio-cultural factors, political factors, technical factors, environmental factors etc. 4.1Strengths  Bosch follows Just in Time system. Components and raw materials are delivered one day in advance for the production. It has an organized method of procurement of raw materials and delivery of goods.  Diversification of products into Consumer goods, Mobility solutions, Industrial technology and energy and building technology. This helps the company to have multiple sources of income.  It is the most technologically competent company in Diesel pumps.  Excellent infrastructure.  It is preferred for quality not only in India but worldwide. Thus it is able to attract customers and have a competitive edge in the market.  Bosch puts in effort to train its employees and the six sigma concept. It uses the process to increase its efficiency and quality in production.  Well qualified companies who have expertise in their areas is of great advantage to the company.  It already has a good brand name in the market.  Bosch files 16 patents on average each working day. This makes Bosch a global leader in patent applications.
  • 29. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 29 4.2 Weakness  Bosch has limited processing facilities. The company focuses more on assembling components. None core activities such as manufacturing of components are outsourced to have cost effectiveness. Hence there is more dependence on the suppliers.  Monopoly in the market as 80% of the automobile components industry is dominated by Bosch. There are no strong competitors.  Manufacturing facilities are split up in different locations.  Profit of each product is not constant. Price is comparatively high when compare to competing brands.  Some materials are imported from Germany which is time consuming and may lead to delay in production process. 4.3 Opportunities  More exports to earn foreign currency as the demand is high in foreign markets.  Merger and acquisition helps to explore new products, attract new customers and enter new markets.  The company spends 25% of its annual profits on Research and Development. This helps to maintain competitive edge over the others in the same industry. 4.4 Challenges  Bad economy is a major challenge. For example, if the metal prices increase, it will result in increase in cost of the product.  Competition from other private and local firms.  Duplicate products being sold at lower prices.  Change in customer preferences.  Government regulations.  Each company send their quotation to the customer, based on which the customer has the right to choose the lowest price quotation which is a threat to the company.  Challenge of losing important information through hackers, natural disasters, employee dishonesty and employee poaching.
  • 30. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 30 SUMMARY OF LEARNING EXPERIENCE As I started my internship at BOSCH Group Adugodi on 1st June 2017 entering into an MNC was a very different experience and was excited to explore what exact activities are practiced at BOSCH. On my 1st day at Bosch, I was overwhelmed being a part of BanP/HRL Department. I was bought into knowledge about what actually this company deals with, and got to know that, BOSCH Group is an automotive industry is a wide range of companies and organizations involved in the developments, design, manufacturing, marketing and selling of motor vehicles and also consists of companies and organizations that are involved in the design, development, manufacturing marketing and selling of motor vehicles. Learnt about 5S, 5S is about to maintain a systematic and organized working process. BOSCH Group follows 5S very systematically. 5S are: 1. Sort 2. Set 3. Shine 4. Standardize 5. Sustain In upcoming days, I got an opportunity of be a part of GA (Graduate Apprentice) Drive which was an activity of recruitment and selection of fresher of Mechanical Engineers. I was also allowed to be a part of the panelist due to which I could learn the basic needs panelist expect from the candidate irrespective of his/her marks, also got an idea how the interview process talks place.
  • 31. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 31 Few take away points from the interview:  A candidate should be confident.  Proper body language and posture.  Resume should he known by the candidate and should not be blank when the interviewer asks questions from her/his resume.  Should be knowledge about the company and its products whit current updates of topics of the company. I was also a part of NCYM (National Competition for Young Managers) is a program conducted by all the Indian Management association with a view to recognize competitive excellent among young managers and by providing them an opportunity to increase the analytical creative thinking, problem solving, team work, and leadership skills at a National level Few learnings from this program  Learnt how to prepare a standardized PowerPoint Presentation.  This program helped me to improve in my vocabulary.  Learnt key points to be kept in mind during presenting a presentation. I was also a part of a program named 6 Thinking Hats, it is a program conducted to recognize the concerns of an organization and find suitable solutions for it. 6 Thinking Hats are: 1. Factual White 2. Creative Green 3. Optimistic Yellow 4. Pessimistic Black 5. Intuitive Red 6. Conclusive Blue Learnt how employees need to make quick and effective decisions to solve the problem keeping every small note of the problem in mind.
  • 32. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 32 I was also a part of Rewards and Recognition (R&R) program. it is a program conducted every 5 months for White Collar (M&SS) & Blue Collars (Associates) individually and team-wise. This program motivates the employees and creates more enthusiasm in them to work better. It is the token of appreciation for the work done by them. Due to this program I understood how important it is for the organization to keep their employees happy for better performance from their end. Rewarding someone for their work, irrespective of what type of work they are doing helps to build good relationships between employees and the organization for the growth of the Company. I also learnt how to do VLookup Function in Excel Sheet which helps to reduce the time to find a particular data in a huge data base, it helps to find the data at the earliest.
  • 33. Contemporary Management practices and Global Management Practices-BOSCH Department of MBA, PES University 33 Bibliography:  Bosch Pvt Ltd, Bengaluru  Web Sources:  http://www.boschindia.com/en/in/our_company_5/our-company-lp.html  https://www.bosch.com/bosch-group/our-figures/  http://cordis.europa.eu/pub/fp7/ict/docs/event3-20070925-26-pars-4-6- bekker_en.pdf  https://www.bosch.com/sustainability/strategy/management-and-organization/  https://www.bosch.com/sustainability/strategy/vision-and-targets/  http://www.boschsecurity.com/corporate/homepage/index.html  http://www.boschindia.com/en/in/our_company_5/business_sectors_and_divisions_ 5/security_systems_5/security-systems.html  http://www.bosch-india- software.com/en/company/contact_us/employee_connect/employee_connect_wtd.ht ml  http://www.boschindia.com/en/in/sustainability_innovation_5/values_5/values- landingpage.html  http://www.bosch- career.com/en/uk/bosch_employer_uk/corporate_culture_uk/corporate-culture.html  http://www.bosch- career.com/media/tw/documents_tw/bosch_employer_documents_tw/corporate_cult ure_documents_tw/house-of-orientation-en.pdf