CHAPTER- 1

INDUSTRY PROFILE
1.1 AUTOMOTIVE INDUSTRY
The automotive industry designs, develops, manufactures, markets and sells the
world motor vehicles. In 2008, more than 70 million motor vehicles, including
cars and commercial vehicles were produced worldwide.
In 2007, a total of 71.9 million new automobile were sold worldwide. Around
the word, there were about 806 million cars and light trucks on the road in
2007: the burn over 260 billion gallons of gasoline and diesel fuel yearly. The
numbers are increasing rapidly especially in India and china.
1.2 INDIA
An embryonic automotive industry started in India in the 1940s. However for
the next 50 years the growth of the industry was hobbled by the socialist
policies and the bureaucratic hurdles of the license. Following, the economic
liberalization in India from 1991 and the gradual easing of restrictions on
industry, India has seen dynamic 17% annual growth in automobile production
and 30% annual growth in export of automotive components and automobiles.
India produces around 2 million automobiles currently. Total turnover of the
Indian automobile industry is expected to grow from USF 34 billion in 2006 to
122 billion in 2016. Tata Motors has launched Tata Nano, the cheapest car in d
world at USD 2200.
Indian automotive industry is contributing a significant portion to overall
Indians GDP. This sector is growing and promising a lucrative future.
Automotive sector also provides wide business and employment opportunities.
With the liberalization of economy, the decades old monopolistic environment
of the Indian automotive industry where only a handful of vehicle models were

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available with a long waiting list, gradually gave way to a highly competitive,
complex and rapidly changing market which was not limited to domestic
market alone. Today the number of vehicle models available are more than
hundred and not a month goes without offerings of newer and more advanced
mode.
Ironically for the Indian automotive industry, the cost of technology
development has increased manifold and increasing product cost has put a
squeeze on profit margin affecting their ability to outsource expensive
technologies. Moreover, the technologies are not so easily available from
outside .Instead of giving a license or setting up joint ventures with an industry,
many intentionally renowned automobile manufacturers have started
production in India to take advantage of grate commercial opportunities Indian
market offer. Even in the existing joint venture, the control has slowing moved
into hands of MNCs.
Indian automotive industry urgently needs technologies to produce fuel
efficient, environmental friendly, lighter, safer and cost competitive engines,
and vehicles. Advanced material and manufacturing techniques, technologies
for using alternative fuels, emission abatement, fuel economy improvement,
safety enhancement, engine management systems, and embedded vehicle
control system are some of the areas where we must focus our efforts.
1.3 AT PRESENT, INDIA IS THE WORLDS

Largest tractor and three wheel vehicle producer

Second largest two wheel vehicle producer
Fourth largest commercial vehicle producer
Eleventh largest passenger car producer.

CHAPTER- 2

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COMPANY PROFILE
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
BOSCH Group today is the largest automotive technology supplier in the
world with a global group turnover of 47.3 billion Euros in the
automotive technology, industrial technology, consumer goods and
buildings technology in the fiscal 2010.
Robert BOSCH Group GmbH is a widely known company the world
over, with presence across six continents. It has more than 300
subsidiaries and regional companies in over 60 countries. If its sale and
service partners are included, then 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 associates
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, metal technology,
packaging technology, power tools, heating technology, house hold
appliances, car multimedia systems and security systems. In 2010, BOSCH
Group filed 3800 patent applications across the globe.

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The special ownership structure of the BOSCH Group guarantees

financial independence and entrepreneurial freedom of the Bosch group,
making it possible for the company to plan over the longterm and to
undertake significant up front investments in the safeguarding of its
future. 92% of the shares capital of Robert Bosch GmbH is held by
Robert Bosch sifting GmbH, the charitable foundation.
The slogan Invented for Life is part of its long tradition, through
which it communicates the Groups core competencies and vision, that
includes technological leadership, modernity, dynamics, and quality and
customer orientation.
2.2 ABOUT BOSCH LIMITED
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 countrys 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 and recently-opened facility in
Goa. The plants are TS 16949 and ISO 14004 Certified. Bosch Limited has
its presence across automotive technology, industrial technology and

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consumer goods and building technology, with strength of over 11,700

associates. The company recorded a turnover of Rs. 6630 crores in 2010.
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. Boschs service 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.
Bosch Ltd: - Bosch is also represented by five other group companies in
India.
1. Robert Bosch Engineering and Business Solutions Ltd: - Robert
Bosch Engineering and Business Solutions Ltd., a 100% subsidiary of
Robert Bosch GmbH, which is present in India since 1998, has emerged
as one of the largest Bosch development centres outside Germany. It
provides end to end engineering and technology solutions for all the
business sectors of automotive technology, industrial technology,
consumer goods and building technology.
2. Bosch Rexroth India Ltd: - Bosch Rexroth India Ltd., established in
1974 in India, serves customers through its manufacturing facilities and
service centres in Ahmadabad and Bangalore.
3. Bosch Chassis Systems India Ltd: - Bosch Chassis Systems India Ltd.,
established in 1982 as Kalyani Brakes Limited in India, is amongst the
leading manufacturers of brakes in the country. It currently
manufactures a range of Hydraulic Brake Systems meeting the stringent
quality norms of many leading Indian and international vehicle
manufacturers.

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4. Bosch Automotive Electronics India Private Ltd: - Bosch Automotive

Electronics India Private Ltd. is a 100% subsidiary of Bosch Group and
is engaged in the manufacture and sale of electronic devices and
electronic control units. The Company is based at Naganathapura in
Bangalore.
5. Bosch Electrical Drives India Private Ltd: - Bosch Electrical Drives
India Private Ltd. is a joint venture company. It drives for various
automotive applications such as window lift drive, wiper system, engine
cooling fans etc.
Robert Bosch Worldwide
The Bosch Group is one of the worlds biggest private industrial corporations.
Headquartered in Stuttgart, Germany, the Bosch Group has some 280,000
Executives worldwide, and generated annual sales revenue of 38.2 billion
Euros in 2009. There are about 300 subsidiary and regional companies around
the world.
History of Bosch
1886 Opening of Workshop for Precision Mechanics and Electrical
Engineering in Stuttgart on 15 November
1887 First low-voltage magneto from Bosch for stationary petrol
engines
1897 First low-voltage magneto ignition for motor vehicle internal
combustion engines
1901 First plant in Stuttgart
1902 First commercially viable high-voltage spark plug
1906 Production of 100,000th magneto ignition
1906 Introduction of eight-hour working day

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 1910 Opening of plant in Stuttgart-Feuerbach

1913 Start of production of headlights
1918 American assets seized; later become American Bosch Magneto
1926 Start of production of windscreen wipers
1927 First diesel fuel injection pump
1929 First TV Set from Fernseh AG division
1932 Formation of Junkers & Co.
1932 First power drill from Bosch
1932 First Blaupunkt car audio
1936 First diesel fuel injection pump for passenger cars, such as the
Mercedes-Benz 260D
1942 Death of the company founder Robert Bosch on 12 March
1962 Worcester Bosch Group opens in England
1964 Robert Bosch Foundation
1970 Company headquarter moves to Gerlingen
1976 First oxygen sensors
1978 Worldwide first Anti-lock Braking System (ABS)
1979 First electronic engine management system (Motronic)
1982 Company acquires photographic equipment division from Braun
AG
1986 Traction control system (TCS) on the market
1995 Acquisition of Atco-Qualcast Ltd
1995 First Electronic Stability Control - Electronic Stability Program
(ESP)
1997 Common rail diesel fuel injection
2000 DI-Motronic gasoline direct injection system

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 2003 Acquisition of Buderus AG

2003 Digital car radio with MP3 drive and digital recorder (Blaupunkt)
2003 The formation of the Robert Bosch Tool Corporation and
acquisition of S-B Power

Tool Corporation

and Vermont American Corporation including the brand names for

Bosch Power Tools, Skill Power Tools, Dremel, Vermont-American,
Primark brands, and Gilmours
2004 Third-generation common rail diesel injection for cars, with piezo
injectors
2004 Bosch opens new Technology Center in Abstatt
2006 Bosch acquires Telex Communications, a maker of hearing aids,
headsets and audio equipment, and partners with Daewoo to build Bosch
refrigerators in Mexico
2007 The Bosch Communications Systems business unit is created to
manage the brands and products of former Telex Communications
2008 Tata Nano, the $2,500 People's Car powered by Bosch-designed
engine is unveiled at Auto Expo in New Delhi. Bosch plans to acquire
majority stake in Ersol photovoltaics.
2009 Bosch acquires LR Nelson, a maker of lawn and garden products,
including ponds, and merges the Gilmours and Nelson brands into
Bosch - Garden and Watering.
2009 Manufacture of Electronic Control Unit and Anti lock Brake
System.
2010 Bosch started production of predictive emergency braking system,
which alert of emergencies & automatically applies brakes if needed
2010 Launch of A4000 pump meeting BS3 norms of commercial
vehicles in India

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2.3 NATURE OF BUSINESS CARRIED

Automotive Technology
Business divisions: Diesel and Gasoline Fuel Injection Systems, Car
Multimedia Systems, Auto Electricals and Accessories, Starters and
Generators, Energy and Body Systems.
Industrial Technology
Business divisions: Packaging Machines, Special Purpose Machines, Solar
Energy
Consumer Goods and Building Technology
Business divisions: Power Tools, Security Systems
2.4 BOSCH VISION
Creating Value Sharing Values
As a leading technology and services company, we take advantage of Bosch
global opportunities for a strong and meaningful development. Bosch ambition
is to enhance the quality of life with solutions that are both innovative and
beneficial. We focus on Bosch core competencies in automotive and industrial
technologies as well as in products and services for professional and private
use.
We strive for sustained economic success and a leading market position in all
that we do. Entrepreneurial freedom and financial independence allow Bosch
actions to be guided by a long-term perspective. In the spirit of Bosch founder,
we particularly demonstrate social and environmental responsibility wherever
we do business.

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Bosch customers choose us for Bosch innovative strength and efficiency, for
Bosch reliability and quality of work. Bosch organizational structures,
processes, and leadership tools are clear and effective, and support the
requirements of Bosch various businesses. We act according to common
principles. We are strongly determined to jointly achieve the goals we have
agreed upon.
As associates worldwide, we feel a special bond in the values we live by day
for day. The diversity of Bosch cultures is a source of additional strength. We
experience Bosch task as challenging, we are dedicated to our work, and we are
proud to be part of Bosch.
2.4.1 BOSCH MISSION
BeQIK Be Better, Be Bosch Profit secures our growth
Quality
Innovation
Customer Orientation
BeQIK gives us the bearing for our actions. Our objective is to continuously
improve all our internal processes so that growth and economic success can
be secured in the long term.
BeQIK
Quality is our most valued asset
Innovation today ensures businesses tomorrow
Customer orientation inspires customers and associates
BeBetter
We want continuous improvement
We want to be better than our competitors
BeBosch

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 We offer outstanding products and services worldwide

We keep our promises
2.4.2 QUALITY POLICY
We strive to exceed the expectations of our customers by offering
products and services of high quality standards.
Quality encompasses our assets throughout their life cycle, and our
initiatives towards environmental protection and safety.
We effectively deploy methods and told to provide cost effective
solutions to meet our quality objectives.
We involve our business partners in our endeavor towards improvements
across the supply chain.
Quality Principles
Our goal is to fully satisfy our customers expectations through our
quality of our products and services.
Quality and quality improvements is every associates 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, consumers 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

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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.
2.5 PRODUCT/SERVICE PROFILE
Product Range
A. Automotive Technology Robert Bosch
Diesel Systems
Common Rail System for passenger cars, commercial vehicles &
off-highway vehicles
Axial Distribution injection pumps
Multi Cylinder Inline Injection Pumps (PE)
Single-Cylinder Injection Pumps (PF)
Elements
Delivery Values (DV)
Governors
Injection Timers for PE pumps
Fuel Filter & Water Separators
Glow Equipment
Electronic Control Unit
Gasoline system
Electronic Control Unit
Fuel Injectors
Lambda Sensors

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 Engine Speed Sensors

Knock Sensors
Hot Film Air Mass Meter
Pressure Regulators
CVT Belts
Connectors & other plastic parts
Starters & Generators (Auto Electrical)
Starter Motors
Generators
Spark Plugs
Spark plugs for 2, 3 and 4 wheelers and industrial applications
Long Life Plugs :Nickel Yttrium & Twin Electrode
Test Equipment & Diagnostics
Fuel Injection Pump Calibration Test Benches
Nozzle Tester
Auto Electrical Test Bench
Diagnostic Tool : KTS series
Engine Analyzer : FSA series
Engine Analyzer : BEA series
Chassis System Check
Battery Service Equipment
Wide range of service tools for unit & vehicle repairs
Software / Teach ware : ESI ( tronic ), MSI, K-CD

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B. Industrial Technology
Industrial Equipment
Special Purpose Metal Cutting / Grinding / Honing / Lapping/ Super
Finishing machines.
Semi / Fully Automatic Assembly Machines
Semi / Fully Automatic Inspection & Measuring Equipment
Cleaning Machines
Electro-Chemical Machines
Tools, Gauges & Fixtures
Exhaust Gas Re-circulating Unit (EGR)
Test Equipment
Bosch Packaging Machines
Vertical Form Fill & Seal Machines
Dosing System Cup Filler, Auger Filler, Weighed & Pump
Pharmaceutical Packaging Machines
Confectionary Processing & Packaging Machines
C. Consumer Goods & Building Technology
Bosch Power Tools
Construction Tools
Wood Working Tools
Metal Working Tools
Cordless Tools
Do- It Yourself Tools

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 Lawn & Garden Tools

High Pressure Water Jets
Specialty Tools
Pneumatic Tools
High Frequency Tools
Automation Technology
Accessories for all Tools
Fischer Fixing System
Bosch Security Systems
Fire Detection
Intrusion Detection System
CCTV Surveillance
Access Control
Integrated Security Management & BIS
Public Address & Emergency Sound System
2.6 AREA OF OPERATION
The Bosch Group is one of the worlds biggest private industrial corporations.
Headquartered at Stuttgart, Germany. There are about 300 subsidiary and
regional companies around the world. In India, Bosch is a leading supplier of
technology and services, and has a strong presence in the country at numerous
locations in diverse industry segments.
Bosch Limited is Indias largest auto component manufacturer and also one of
the largest Indo German company in India. Bosch Limited has a strong
nationwide service network which spans across 1,000 towns and cities with

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over 4,000 authorized representations to ensure widespread availability of both

products and services. The company is headquartered in Bangalore with
manufacturing facilities at Bangalore, Naganathapura (near Bangalore), Nasik,
Jaipur and Goa.
Number of Branches in India
Bosch manufacturing facilities are located in Bangalore with state of the art
plants in Bangalore, Naganathapura, Nasik, Jaipur and Goa. All the 5 plants
are TS 16949 and ISO certified.
Bangalore Plant
Manufactures multi cylinder, PE pumps, mechanical governors, elements,
delivery valves, special purpose machines, packaging machines, power tools
and will foray into the production of common rail pumps from 2006 onwards.
Built areas 109.948m2
Land area 311.140m2
Employees more than 5500
Nagnathapura Plant
RBIN (Bosch Ltd. India) Naganathapura Plant, inaugurated in the year 1990, is
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
Center.
Built area 47.494m2
Land area 266.100m2
Employees more than 1279
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

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ventured into the production of CRI ports catapulted by Bosch Endeavour in

common rail technology.
Built area 67617m
Land area 405.060m2
Employees more than 2500

Jaipur Plant
Set up in 1999 the Jaipur plant manufactures BE (Mechanical) pumps for
domestic market and export purpose. The VE pump (Distributor fuel injection
pump) is designed to meet Bharat state 11 & Euro 11 emission norms. These
pumps are used in 3-6 cylinder vehicles.
Built area 16345m2
Land area 202350m2
Employees more than 1200
COUNTRIES COVERED
Middle-East and Africa (UAE, EGYPT, KENYA), Neighboring countries (Sri Lanka,
Bangladesh,) South East Asia (Philippines, Thailand, Indonesia).

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2.7

OWNERSHIP PATTERN

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Since 1964, Boschs majority shareholder has been Robert Bosch Stiftung
GmbH, a charitable foundation. The Stiftung carries on the charitable and
social endeavors of the companys founder in contemporary form. It sees itself
as a foundation that pursues its objectives both with programs and institutions
of its own, and by supporting suitable projects and initiatives proposed by
others for tackling the tasks faced by society.
Today, the Robert Bosch Stiftung, a charitable foundation, holds a 92 percent
stake in the share capital of Robert Bosch GmbH. The share dividend received
by the foundation is used exclusively for charitable purposes, i.e. to support
general medical care, international understanding, social work, training and
education.

Robert Bosch
Stiftung GmbH
92% Beteiligung
Familie Bosch

Kein stimmrecht

8% Beteiligung

Robert Bosch
Industrietreuhan
d KG

7% stimmen

0.01%
Beteiligung

ROBERT BOSCH GmbH

Stammkapital 1.2 Mrd EUR

2.8 COMPETITORS INFORMATION

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Modi Champion
Delphi
Denso
Doowon
Electrex
Nippon

NGK
Siemens VDO
Zexel
Cav England
Lucas
TVS

2.9 INFRASTRUCTURAL FACILITIES

Bosch infrastructure is one of the best in the country. The individual work
place is designed as per the international standards which make the employees
feel comfortable, proud, happy and safe.

Medical Facilities

Medical centre works round the clock and also provides a 24 hours ambulance

service
The company has also associated with important hospitals, labs and senior

medical consultants in the city for the treatment of the employees

They are provided with annual master health check-up
Special schemes like hospitalization scheme, Manipal hospital scheme and
Medical reimbursement scheme are provided to the employees

Canteen Facilities
Food is provided to all the employees and 24hrs a day providing breakfast,
lunch, dinner, tea/coffee and snacks for 8500 employees in 4 shifts.
It is well equipped and accommodation for more than 1500 persons at a time
The food provided in the organization is 100% hygiene.
Workings of the canteen is guided by an advisory committee
Transportation Facilities
The company provides transport facilities for employees
Library Facilities
The company has the facility of both general and technical library
The general library is used by the project trainees also
Other Facilities
Sports club

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Fine Arts Society looks into the cultural events and various programmes

conducted during the course of the year.

Uniform, shoes, socks and soap is given to employees on the job by Bosch.
Accident benefit scheme
Holiday homes and time share holidays
Vehicle expenses and reimbursement
Death relief scheme.

2.10 ACHIEVEMENTS/AWARD
February 1, 2012: 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 Subros Car & Bike
Award 2012 in the Best Automotive Component Manufacturer
category.

Bosch Wins Car & Bike Award 2011

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 function
was held at Mumbai on January 13, 2011. Bosch was adjudged the best
among two other nominees, namely Delphi and Endurance.

Jan. 07, 2010: NDTV Car & Bike Award - Automotive technology
of the year
This accolade recognizes the contributions made by Bosch in India, for
localizing ABS (Antilock Braking System) 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.

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April 15, 2009: DHL - CNBC TV18 International Trade Award
Bosch won this honor in the category of auto component industry, for
doing extremely well in exports through its low-cost solutions. The
award recognizes the companys commitment and innovations that
address the needs of the Indian market, and keep Brand India alive.

Feb. 20, 2009: NDTV Car & Bike Award Auto component
manufacturer of the year 2009
Bosch was chosen as the best in the auto component industry of India
for the year 2009. These awards are considered as benchmarks for auto
excellence in India and widely trusted by consumers, manufacturers and
auto experts alike. The award recognizes the best in the automobile
industry of India.

Jan. 7, 2009: UTVi Autocar Award

Bosch and Mahindra & Mahindra won the Best Innovation of the Year
UTVi Autocar 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, 2008: 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, 2008: NDTV Car & Bike Award - 'Car Technology of the
year'
Bosch not only setup the common rail injector and pump manufacturing

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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, 2007: NDTV Profit Car & Bike Award 2007 Automotive
Technology of the year'
Audited by PricewaterhouseCoopers, these awards honored the best in
the Indian automotive industry for their handiwork in calendar year
2006. Bosch was presented with the award for its application of ABS /
ESP technology.

Jan. 4, 2007: CNBC-TV18 Autocar 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 2006 based on a 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, 2006: Dun & Bradstreet American Express Corporate

Award -Top Indian company in the Auto Components sector
The award recognizes the twin virtues of size and 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.

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 Aug. 10, 2006: EEPC Award Star Performer for outstanding

export performance
The Engineering Export Promotion Council (EEPC) conferred the 'tar
Performer'for outstanding export performance in the large enterprises
category on Bosch Ltd, which garnered a total export figure of Rs 423
crores in 2005, almost twice as high as Rs 193 crores in 2001.

Jan. 12, 2006: NDTV Profit Car India Award Safety &
Technology Award
Bosch was presented with this award for its pioneering work on the new
age direct injection diesel fueling systems, with notable emphasis 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.

Jan. 8, 2005: OverdriveAuto Monitor Award Auto component

manufacturer of the year
Recognized for innovations in 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.
This Annual Award is the Oscar for the automobile industry in India
and recognizes the best in the industry in association with reputed
industry bodies like CII, SIAM & ACMA.

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2.11 WORK FLOW MODEL

The work flow model of Bosch can be interpreted in two phases

Information flow
Material flow

Bosch believes in the concept of customer is king this is depicted in

the workflow model which starts with customer signifying the pull

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system of production (i.e. production against customer order). Sales and

marketing department receives purchase order from the customer. R&D
division takes decision with respect to product design and specification.
Engineering wing analyses the order and decides upon in house
manufacturing or outsourcing.
The next step is to procure the component and assembling the final
product, or acquire raw materials and convert it into finished product.
Finally dispatch the end product to logistics department, which is
entrusted with the responsibility of transit of consignment to the ultimate
consumer.
2.12 FUTURE GROWTH AND PROSPECTS
The auto component industry appears to have a bright future with the
existing manufacturing planning and capacity and in addition moreover
new plants are being setup with foreign collaboration.
The Indian auto component industry is highly fragmented with over
3000 players in organized sector and estimated 500 units in the small
sector. Vocationally the industry has developed major vehicle
manufacturing centers. Small and medium enterprise sector is keen on
taking a number of technology investment initiatives in order to become
self reliant and globally competitiveness according to a confederation of
Indian Industry survey report on auto component.
The survey reveals that Indian small scale enterprises manufacturing
auto components are well equipped to produce components as per
international standards. These SMEs have now started talking strategic
positions in the international markets at both the original equipment
manufacturers and the replacement supply.
The last few months have seen a virtual boom in the Indian automobile
industry with not only domestic component manufacturing shares but

P a g e | 26

also the formidable biggies also entering India in such a manner that it is
increasingly turning out to be a lucrative destination for many
companies.
The other growth plans are
Focus on strengthening or engineering competencies and infrastructure
in new product lines.
Focus on securing liquidity position.
Cost reduction without hurting the long term interest of the business.
Import substitution projects.
Continuous improvement activities and implementing lean practices
through Bosch Production System (BPS), continue with redesign of HR
policies and practices to attract, retain and motivate employee.

CHAPTER - 3

MCKINSEYSS 7S FRAMEWORK

3.1 STRATEGY

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 Strategy is the systematic action allocation of resources to achieve

company goals. A strategy is defined as a coherent set of action aimed
at gaining a sustainable advantage over competitors by improving the
market position and effective allocation of resources vice versa.

Hr Strategy
It pays special attention to competence management and filling up of
executive positions in growth regions, special entry programs to attract
qualified university graduates and applicants with professional
experience. Train and develop the younger generation of apprentices/
engineers who are the future skilled technicians and managers.

Corporate Strategy
Bosch economic strategy corresponds to a common aim of the group for
innovation, independence and integrity. The aim is to be among the
world market leaders 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. The emphasis on innovation is underlined by
huge number of associates, working in Research and Development
departments, 21250 world wide. Efficient sales and customer service
also play a key role in Boschs corporate strategy.

Innovation
Bosch shall focus their innovative strength on technology that is
INVENTED FOR LIFE. Bosch has invested heavily in R&D much
above the industry average. This has resulted in Bosch pioneering many
technological advances

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 Anti-locking braking systems

Electronic stability control
High pressure diesel injection
Parking assist systems

3.2 STRUCTURE
The design of organization structure is a critical task to the top
management of an organization. It is the selection of the whole
organization edifice. Organization structure refers to the relatively more
durable organizational arrangements and relationships. It prescribes the
formal relationship,
how an organizational members procedure exists. To guide the various
activities performed by the member of all part of the organization.

Bosch Bangalore Plant Organization

Board of Directors

Plant Commercial

Corporate Logistics and Purchase

Plant Quality

Plant Technical

Quality Material and Management

Manufacturing of Common Rail Pumps

Human Resource Location

Manufacturing of different types of Elements

Bosch Vocational Centre

Manufacturing of different types of Delivery Value
Controlling and Finance and Accounts
Technical Function Department

Continuous Improvement Process

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3.3 SYSTEM
System refers to formal process and procedures use to manage the
organization including the management control system performance
management measurement and reward system, information system and
distribution.

Human Resource
The HR organization uses its human resources strategy to support the
divisions in the pursuit of their objectives. This involves the consistent
application of the balanced scorecard. This method is used by
executives.
The HR organizations missions are based on the House of Orientation
and contribute to closer alignment with the strategic objectives of the
company. The House of Orientation provides a frame of reference for
Bosch long term road map and for the way Bosch works together. It is
based on Bosch values and core competencies.

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 Environment Management
Bosch has been expanding the environment management systems at
Bosch sites since 1996. Now, the 300 sites have been certified to ISO
14001. Bosch implemented a maturity model for all manufacturing and
developing sites, which will serve as the basis for further improvements
in environmental protection, occupational safety and fire safety.

Occupational Safety Management

Bosch implemented a new occupational safety management system
based on the globally recognized OHSAS 18001 standard. One of the
systems main functions is to detest potential accident and health risks
for associates in order to take appropriate preventive measures in good
time. The new system is to be implemented at all manufacturing sites in
no more than two years. This makes Bosch one of the forerunners in
global implementation of the OHSAS 18001 standard.
Bosch Production System (Bps)
It was installed in 2002. It is a systematic production system in Bosch.
In general it is called as Lean manufacturing. Just in Time (JIT) is one of
the systems in Bosch production. In this the right parts produced at the
right quantity should reach the assembly time at the right time.
Approaches in Bosch Production System
The right part
In the right quantity
In the right quality

At the right cost

At the right time
At the right place

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 Quick Response System (Qrs)

System designed to respond quickly to any problem/issues in the
production. Example Every system has three machine indicators: Red
(machine breakdown), Yellow (shortage of materials), and Green
(process completed for that machine)

3.4 STYLE
Style is the leadership approach in the top management and the
companys overall operating approach. Style impacts the norms that the
people follow and how they work and interact with each other and the
customers. The leadership style depends upon the organization culture
that is in practice.
Bosch Ltd has participative kind of leadership style where in the leader
consult with the subordinate, a proposed action, decision and
encourages, ensures equal participation among them. The style adopted
by the management is to maintain a friendly and collaborative
environment for smooth running of the organization.
Bosch Guidelines for Leadership
1. Aim for success: - Profit, growth, quality, customer and process
orientation. These are the key metrics with which our corporate
objectives are aligned. Regularly communicate these objectives to your
associates. Make it clear what each individual can contribute to achieve
it.
2. Demonstrate initiative: - Together with your associates, generate
new ideas and strategies that make our company stronger. Encourage
them to embrace change and take initiative on their own and support
them in the implementation.

 3. Demonstrate courage: - Stand by your associates. Make clear

decisions and demonstrate determination in implementing them. Be a
role model and exemplify the Bosch values.
4. Keep your associates informed: - Of course you give your associates
factual information.
They should also know the business context and background they are
an important prerequisite for identification with the company.
5. Lead by goals: - Delegate tasks and give your associates the
authority to perform them. Agree on clear goals and allow sufficient
space so that creativity, self-confidence, and accountability can be
developed. This enables you to lead your associates to success.
6. Give feedback to your associates: - Recognize the strengths of your
associates and help them to utilize and further develop them. Take a
close look: praise your people where praise is due, but also give fair and
constructive criticism. Mistakes happen on both sides. Be quick and
open in addressing them with the associate.
7. Trust your associates: - They are capable and willing to perform.
Have the courage to manage with limited control. Your trust will create
the entrepreneurial momentum that all of us want.
8. Shift your perspective: - Put yourself in your associates' position and
also look at things from their point of view. How would you react to the
decisions you have taken as their supervisor, and what rationale would
you expect to hear.
9. Shape the future together: - Your associates can and do contribute to
our company. Integrate them into the preparation of decisions and
capitalize on the ideas and the potential that the cultural diversity of our
company offers. Work together with your associates to transform mere
interfaces into connection points, and barriers into opportunities.

 10. Develop your associates: - Advise and systematically support your

associates in their professional development. Support them if there are
suitable opportunities for, or if they desire, further development
somewhere else in the company.
3.5 STAFF
The staff at Bosch Ltd is considered as a pool of resources to be
nurtured, developed, guarded and allocated. There are about 3650
employees in the organization. Permanent employees are 2550,
temporary employees are 500, on job trainees are 600.
Levels at Bosch Ltd - MANAGEMENT AND SUPERINTENDENT
STAFF
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

Managerial And Supervisory Staff (M&Ss)

Managerial and Supervisory Staff refers to a salaried professional or an
educated worker who performs semi-professional office, administrative
and sales co-ordination task. They are board occupational grouping of
workers engaged in non-manual labor.

 Blue Coloured Associates (Bca)

A blue collared associate is a member of the working class who typically
performs manual labor and earns an hourly wage. Blue collared
associates work may be skilled or unskilled and may involve
manufacturing, mechanical work, maintenance repair and operations
maintenance of technical installations.

3.6 SKILLS
There are 6 different skill groups within the skills framework.
Community leadership skills, leadership skills, management skills,
occupational/technical/ professional skills, core skills, skills for life. The
other skills groups are
GENERIC SKILLS are those which should be possessed by each and
every employee in order to carry out the task successfully. Skills like
problem solving, decision making and communication form the basic
important generic skills.
SPECIFIC SKILLS are those which should be possessed by the
employee to carry out his/her assigned specific task. Example: Time
management, shop floor management, building teams, leadership and
motivation, creativity, industrial safety and environment.
BOSCH SKILLS - The employees according to the nature of the jobs
posses following skills
Functional
Quality
Information Technologies
Behavioural/ Human Relations

 Managerial
3.7 SHARED VALUES BOSCH VALUES
Bosch Values are those values which are applied and followed by all
Executives faithfully.
Future and result focus: - In order to ensure dynamic development of our
country and to guarantee long term corporate success, we participate in
shaping the changes in markets and technologies.
Responsibility - We accept that our actions must accord with interests of
society.
Initiative and determination - We act on our own initiative, with an
entrepreneurial but accountable spirit, and demonstrate determination in
pursuing our goals.
Openness and Trust - We inform our associates, business partners and
investors in a timely and open fashion of important development within our
company.
Fairness - We view mutual fairness as a condition of our corporate success
when dealing with each other and with or business partners.
Reliability, credibility, and legality - We promise only what we can
deliver accept agreements as binding and respect and observe the law in all
our business transactions.
Cultural diversity - We are aware of our companys regional and cultural
origins and at the same time regard diversity as an asset as well as a
precondition of or global success.

CHAPTER - 4

SWOT ANALYSIS
4.1 STRENGTHS
High customer satisfaction.
Established brand image around the world over the centuries.
Continuous improvement of products and quality.
Employee development given at most important.
Cost reduction strategy is good.
Good infrastructure facility.
Leadership through innovation.
High employee morale.
Effective decision making, information sharing and authority
distribution.
Less employee turnover.
High quality and eco-friendly products.

 4.2 WEAKNESS
Experience and skilled employees are not in right position because of
ineffective allocation.
Decision making will be delayed because of long procedure.
In certain situations centralized management is followed.
Marketing of products is given less importance.
Adaptability towards change is low.
No diversification of business.

 4.3 OPPORTUNITIES
Continuous innovation of products.
Bosch can foray into other line of business as it has a good brand image.
It can produce new machineries using high technology.
Potential to grow in power tools, packaging and security systems.
It can produce more economical and eco-friendly products.
It helps to compete with other companies
Quick cost effective adaptation of product to market requirement of
Indian market.

4.4 THREATS
Increase in competition.
Too many substitute products available in the market.
Brand image being diluted due to entering into many products.
Growing bargaining power of companies.
Continuous cost pressure.

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