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BOSCH GROUP OF

INDIA
Transition to a transnational organization
The founder, Robert Bosch

He was a pioneer and inventor

BACKGRO First workshop November 15,1886


UND
He spent 10 years working around the world
which shaped the future directions for Bosch

Started with just 2 staff as the "Workshop for


Precision Mechanics and Electrical
Engineering”
Phase1 • No need for formal structure
1886- • Interact with employees on
personal basis
1900
ORGANIZA
Phase2
TIONAL • Transit from craft to
industrial production
1900-
STRUCTUR 1925
• Begin International activity

E Phase3 • Begin diversification


1925- • Functional structure around
assembly line system
1960
Phase4
• Restructuring due to WWII
1960- • Adoption of product division

1990
MARKETI Phase5
NG 1990-
• Primacy given to foreign market
• Required matrix structure

ANALYSIS 2007
Phase6 • Transform into transnational
structure
2007- • Global division, Corporate
department, Regional organisation
NOW and Global sales & marketing org.
Link Indian operations to other
countries

IMPLICATI Increase the set of product divisions


ONS OF
VERTICALI Consistency in manufacturing

ZATION processes, facilitates balancing of


production

Produce more unit at competitive


prices
Greater visibility for smaller division

OPPORTU
NITIES New opportunities to contribute
globally

AND
CHALLEN Fragmentation of the organization

GES
Confusion and conflict

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