1. INDUSTRY PROFILE The automotive industry began in the 1890s with hundreds of manufacturers that pioneered the horseless carriage. An automobile (or automotive) is a vehicle that is capable of propelling itself. The automotive industry involves all those companies and activities involved in the manufacture of motor vehicles, including most components, such as engines and bodies, but excluding tires, batteries, and fuel. Automobiles changed the world during the 20 th century, particularly in the United States and other industrialized nations. For many decades, the United States led the world in total automobile production. From the growth of suburbs to the development of elaborate road and highway systems, these horseless carriages have forever altered the modern landscape. The manufacture, sale, and servicing of automobiles have become key elements of industrial economies. But along with greater mobility and job creation, the auto mobile has brought noise and air pollution and accident rank among the leading causes of death and injury throughout the world. For better or worse, the 1900s can be called the Age of the Automobile and cars will no doubt continues to shape our culture and economy well into the 21st century. Automobiles are classified on the basis of purpose, capacity, fuel source, type of transmission, side of drive and number of wheels. The typical automobile, also called a car, auto, motorcar, and passenger car, has four wheels and can carry up to six people, including a driver. Larger vehicles designed to carry more passengers are called vans, minivans, omnibuses, or buses. Those used to carry cargo are called pickups or trucks, depending on their size and design. Minivans are van-style vehicles built on a passenger car frame that can usually carry up to eight passengers. Sport-utility vehicles, also known as SUVs, are more rugged than passenger cars and are designed for driving in mud or snow. Complaints about auto pollution, traffic congestion, and auto safety led to the passage of government regulations beginning in the 1970s, forcing auto manufacturers to improve fuel efficiency and safety. Auto companies are now experimenting with cars powered by such alternative energy sources as natural gas, electricity, hydrogen fuel cells, and solar power.
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Figure 1.1
1.1 CORPORATE STRATEGY 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 worldwide. Efficient sales and customer service also play a key role in Boschs corporate strategy.
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1.2 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. Electronic stability control High pressure diesel injection. Anti-lock Braking systems
1.3 BUSINESS DIVISIONS AND VOLUME Automotive Technology- This division designs and manufactures automotive technology making driving safer and economical. It is the worlds biggest independent automotive supplier. It manufactures automotive technology such as diesel systems, gasoline systems, chassis brakes, automotive accessories, blaupunkt car multimedia, starters and generators, energy and body systems, electrical drives. Industrial Technology- This division manufactures packaging machines and special purposes machines that cater to the need of local confectionary and pharmaceutical industries. Consumer Goods and Building Technology- Under it manufactures power tools and security systems for industries like construction, woodworking and metalworking industry; cordless tools and accessories.
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1.4 MILESTONES 19th century 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 vehicleinternal combustion engines 20th century 1925 in the Netherlands 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 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 dieselfuel 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 April 1962 - Worcester Bosch Group opens in England 1964 - Robert Bosch Foundation 1970 - Company headquarters moves to Gerlingen BOSCH
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1976 - First oxygen sensors 1982 - Company acquires photographic equipment division from Braun AG 1986 - Traction control system (TCS) on the market 1995 - Acquisition of Atco-Qualcast Ltd[5] 1995 - First Electronic Stability Control - Electronic Stability Program (ESP) 1997 - Common rail diesel fuel injection patent bought from Fiat.[6][7] 21st century 2000 - DI-Motronicgasoline direct injection system 2000 - Acquisition of Rexroth 2002 - Brand Relaunched with new logo 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, Skil 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 2007 - Bosch acquires Health Hero Network 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 Ersolphotovoltaics. Bosch acquires CST/berger, maker of professional measuring equipment. 2009 - Bosch acquires LR Nelson, a maker of lawn and garden products, including ponds, and merges the Gilmour and Nelson brands into Bosch - Garden and Watering.[9] BOSCH
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2009 - Robert Bosch acquires Akustica 2012 - Purchased SPX Service Solutions 2012 - Shanti Auto Electricals, Budaun 2013 - Bosch announced, it will exit its solar business 1.5 MAJOR COMPETITORS Company Sales (Million) Current Price Change% P/E Ratio Market Cap(Million) 52-Week High/Low
Rico Auto Inds 10470.40 14.24 9.96 17.29 1751.94 15/4
Sharda Motor Inds. Ltd. 8983.33 0.00 0.00 7.62 1718.49 550/221
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2. COMPANY PRORFILE The history of the automobile actually began about 4100 years ago when the first wheel was used for transportation in India. In the early 15th century Portuguese arrived in China and the interaction of the two cultures led to variety of new technologies including the creation of a wheel. By the 1600s small steam powered engine models had been developed but it was another century before a full sized engine powered vehicle was created. In 1807, Franois Isaac de Rivaz designed the first car powered by an internal combustion engine running on fuel gas (hydrogen and oxygen), which -- although not in itself successful -- led to the introduction of the ubiquitous modern gasoline- or petrol-fueled internal combustion engine in 1885. The year 1886 is regarded the year of birth of the modern automobile - with the Benz Patent- Motorwagen, by German inventor Karl Benz.Cars that are powered by electric power briefly appeared at the turn of the 20th century but largely disappeared from use until the turn of the 21st century. The early history of the automobile can be divided into a number of eras, based on the prevalent means of propulsion. Later periods were defined by trends in exterior styling, size, and utility preferences
Figure 2.1 BOSCH
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2.1 OVERVIEW OF THE ORGANIZATION 2.1.1 HISTORY The company was set up in Stuttgart in 1886 by Robert Bosch (1861-1942) as a "Workshop for Precision Mechanics and Electrical Engineering. He started the workshop with the belief that technology can be a game changer and create revolution. It is this vision that has guided the company all through its 128-year journey. A perfect example is the invention of the magneto ignition, which transformed the automotive ignition system altogether. It has taken Bosch across countries, helped break new grounds and enabled the creation of new markets. The distinctive corporate culture encourages freedom of thought and originality. Even today, invention drives excellence across all divisions of Bosch Limited. Bosch Ltd strive to bridge the gap between what exists and what the market needs, through the development and launch of new products. All innovations at Bosch are driven by the passion to make a difference to everyone's lives in small and big ways, and improve overall quality of life. It is this thinking that will continues to drive them into the future as well. The Bosch group is a leading global supplier of technology and services in the areas of automotive technology, industry technology, consumer goods, energy and building technology. In India, the group operates through 6 subsidiaries with a combines associate strength of around 26000, and a group turnover of around Rs.13200 crores in 2013.In India Bosch Limited is the flagship company of the Bosch group. Over and above a strong presence in the India automotive service sector, Bosch in India has a vast service network that spans across 1000 towns and cities with over 3000 service outlets. As the largest auto component supplier in the country, setting a bench mark in the sectors it operates in, the company has to its credit several laurels.
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2.1.2 BOSCH IN INDIA Bosch has been present in India for more than 80 years first through a representative office in Calcutta since 1922, and from 1951 through its subsidiary Bosch Limited (then Motor Industries Company Limited) and Goa. These Plants are TS 16949 and ISO 14004 certified. Bosch has a nationwide network spread across 1000 towns and cities. It is headquartered in Bangalore with manufacturing facilities Bangalore, Naganathapura, Nashik, Jaipur and Goa. The industrial products are as diverse as diesel and gasoline fuel injection systems. The strength of over 11,700 associates. It manufactures and trades technology and consumer goods and building technology, with packaging machines, electric power tools and security systems. The Company touched a turnover of Rs.6630 Crores in the year 2010. The company has developed excellent R&D 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. Service network of Bosch in India 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. The Bosch slogan 'Invented for Life' is part of its long tradition, through which it communicates the Group's core competencies and vision, that include technological leadership, modernity, dynamics, quality and customer orientation. The BOSCH Group is a leading global supplier of technology and services. In fiscal2012, its roughly 306,000 associates generated sales of 52.5 billion Euros. Since the beginning of 2013, its operations have been divided into four business sectors: Automotive Technology, Industrial Technology, Consumer Goods, and Energy and Building Technology. The BOSCH Group comprises 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 roughly 150 countries. This worldwide development, manufacturing, and sales network are the foundation for further growth. BOSCH spent some 4.8 billion Euros for research and development in2012, and applied for nearly 4,800 patents worldwide. The BOSCH Groups productsand 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. BOSCH
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Figure 2.2 2.2 NATURE OF BUSINESS CARRIED 2.2.1 AUTOMOTIVE TECHNOLOGY Innovations from Bosch have had a decisive influence on automobile history. As the world's largest independent parts supplier to the automotive industry, Bosch has significantly contributed towards making driving ever safer, cleaner and more economical. This sector accounts for approximately 60% of sales. The company engineers develop and test product innovations for motor vehicle manufacturers in research centres around the world. Bosch products only go into serial production for new vehicles produced by many different manufacturers around the world once they have undergone extensive testing and met strict quality requirements set by them.Spare parts from Bosch are of high quality, reliability and innovative technology. They only go into serial production once they meet their very stringent requirements. More than 15,000 Bosch Car Service garages, Bosch Diesel Service Centres, and Bosch Diesel Service garages around the world ensure greater safety and reliability on the road. BOSCH
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Everywhere, drivers benefit from the first class service, expert know how and ex-works quality of automotive spare parts from Bosch. 2.2.2 INDUSTRIAL TECHNOLOGY AND BUILDING TECHNOLOGY The energy and building Technology of Bosch aims at lowering energy and operating costs and enhanced comfort. These investments often pay off within two to three years.Bosch Energy and Building Solutions GmbH supports customers in Germany and Italy in reaching their energy-use targets. The company's services include decentralized energy management, contracting, and modernization to make buildings more energy-efficient. According to Germany's Federal Statistical Office, approximately 2.2 million buildings in Germany are in need of modernization to improve their energy efficiency. Moreover, current legislation requires that companies take active measures to improve the energy efficiency of their facilities. In Germany, for instance, companies are now eligible for energy tax relief only if they introduce energy management systems.What is more, Germany's Energy Saving Ordinance calls for the introduction of energy passes that describe a building's energy efficiency. Bosch Energy and Building Solutions supports companies with energy advice, the management of heating and security systems, as well as services for decentralized energy management and HVAC.Up to 70 percent energy is saved with Bosch intelligent HVAC management technologies. The Bosch Group has ended its business activities in crystalline photo voltaic, and where renewable energy is concerned is now focusing on solar thermal energy, heat pumps, CHP solutions, cogeneration, innovative power storage technology, and solar inverters. 2.2.3 CONSUMER GOODS Bosch produces everything that makes household chores so much easier: Household appliances from Bosch stand for quality, innovative technology and excellent design. Household appliances from Bosch have an accomplished design and include innovative, intelligent functions. For example, Bosch has appliances for cooking, freezing, dish-washing, laundry washing or drying. BOSCH
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Power tools from Bosch are among the most popular tools worldwide. With the right power tools, DIY is twice as enjoyable. With Bosch, you not only have more options, you also work much more precisely, flexibly, safely and far more productively. 2.3 BOSCH VISION
CREATING VALUE SHARING VALUES The vision Creating value sharing values stands for the Bosch corporate goal. Bosch strives to create value with innovative, beneficial products. This ensures sustained success so that entrepreneurial freedom and financial independence can be retained which in turn allow us to act according to our convictions and to take on social and environmental responsibility. As a leading technology and services company, Bosch takes advantage of 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. BOSCH core competencies are in automotive and industrial technologies as well as in products and services for professional and private use.
The company strives for sustained economic success and a leading market position. Entrepreneurial freedom and financial independence allow BOSCH actions to be guided by a long- term perspective. In the spirit of BOSCH founder, they particularly demonstrate social and environmental responsibility wherever they do business.
BOSCH customers choose for 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. They are strongly determined to jointly achieve the goals they have agreed upon.
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2.4 VALUES The company feels a special bond in the values they live by- day for day. The diversity of BOSCH culture is a source of additional strength. The experience BOSCH task as challenging, they are dedicated to the work, and are proud to be part of BOSCH.
Responsibility: The company accepts that their actions must accord with the interests of society. Above all else, they place our products and services in the interests of the safety of people, the economic use of resources, and environmental sustainability. Initiative and determination: Acting on their own initiative, with an entrepreneurial but accountable spirit, they demonstrate determination in pursuing Bosch goals.
Openness and trust: Associates, business partners, and investors are informed in a timely and open fashion of important developments within our company. This is the best basis for a trustful relationship.
Fairness: Mutual fairness is viewed as a condition for corporate success when dealing with one another and with their business partners.
Reliability, credibility, and legality: Bosch ensures that only promise that they can deliver are made and they accept agreements as binding, and respect and observe the law in all our business transactions.
Cultural diversity: Bosch has wide regional and cultural origins and regard diversity as an asset, as well as a precondition for their global success.
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2.5 MISSION BeQIK Be Better, Be Bosch Profit secures our growth Quality Innovation Customer Orientation
BeQIK gives the bearing for all actions. The companys objective is to continuously improve all internal processes so that growth and economic success can be secured in the long term.
BeQIK Quality is most valued asset Innovation today ensures businesses tomorrow Customer orientation inspires customers and associates
BeBetter Continuous improvement Tobe better than our competitors
BeBosch Offer outstanding products and services worldwide keep up promises
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3 ORGANIZATION HIERARCHY Staff The staffs at Bosch Ltd are considered as a pool of resources to be nurtured, developed, guarded and allocated. Levels at Bosch Ltd: Management and Superintending Staff (M&SS) SGM - Sr. General Manager GM - General Manager Gr. l - Deputy General Manager Gr. 2 - Senior Manager Gr. 3 - Manager Gr. 4 - Deputy Manager Gr. 5 - Assistant Manager Gr. 6 - Senior Engineer/Officer/Superintendent Gr. 7 - Engineer/Officer/Superintendent The design of the 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 arrangement and relationships. It prescribes the formal relationship, how an organisational members procedure exists. To guide the various activities performed by the members of all parts of the organization.
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Table 3.1 BanP/PM office Hegde SM BanP/PC
Jens Deuster BanP/PT Deepanshu QMM-2
Ramesh DN CLP
ddf M R Nagaraj HRL Aswath CM BVC Seenivasan K DBE Balachandran PUI M Dusane CFA Joshi MB ICO Srinidhi KJ OFE-PC Chintawar AR MFP Ramamurthy K TEF Sanjey Handey BPS Venkatesh NM MFD-MFE Dyananda L HSE Praveen Pai N MFF
Nagaraj Banaji BidP
Ramesh SN MFR-MFC Krishna Chaitanya QMM-1
Venu BV DS/QMM
Ramaprasad B QMM-3 Sreenata C V QMM-4 MS Anantharam QMM-8
Rajatesh PJ-RPP BOSCH
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BanP/PM Office (1) Bosch PC Headed by Mr Hegde S M, PC (Commercial Plant). The Business Unit PC is responsible for all the Non-Tecnical aspect of Bosch Bangalore Plant. Even though it's not the Engineering Unit of the the Organization, nevertheless it forms an essential part for functioning of Bosch as it oversees all the commercial aspect such as financing, purchase of raw materials, logistics and shipping, Human Resource, Information Technology etc.
BanP/CLP-Headed by Mr Ramesh D N, looks into all the logistical sevices of Bosch striving to provide highest quality of services effortlessly, to support the manufacturing in order to meet the ultimate customer demand. Major Activities of the CLP Customer order planning Logistics and Stores Management (External and Internal) Excise, Customs and EOU legal compliance, Re-export. Direct and indirect material planning and procurement. Production Planning
BanP/HRL-Under the guidance of Mr Nagaraj M, HRL serves as the Human Resource branch of Bosch Bangalore. They are responsible for the Human Resource Management of Bosch. As its a challenge for any Manufacturing Organization to maintain a healthy relationship between Management and the Labour Union, The Human Resources branch tries to bridge the gap between them by looking into the Labour Welfare issues and ensure a smooth environment for all the employees.
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Major Activities- Industrial Relations and Administration Wage Settlement matters Training and development Establishment matters like Increments, Promotions, Transfers, Separation. Medical and Canteen Facilities Security and Vigilance Plant Communication
BanP/BVC- Stands for Bosch Vocational Centre, under the stewardship of Mr Aswath CM. It was conceived and set up as a full fledged training centre to develop a reservoir of skilled personnel required to produce quality products on sophisticated machines. The establishment of BVC preceded the enactment of the Apprentice act One of our major activities is to train trade apprentices. They undergo basic training common to all trades in the first year. Job-oriented training starts in the second year, at the end of which they acquire advanced skills. In job-oriented training, the demand for accuracy is on par with what is required in the Tool Room. The output has to pass the normal modes of inspection. At the end of the second year, they are ready to be posted to different shop for in- plant training.
BanP/DBE- Headed by Mr Seenivasan K. We are what we repeatedly do. Excellence, then, is not an act but a habit. DBE Stands for Deployment Business Excellence. It is a business management model based on EFQM (European Foundation for Quality Management).
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The EFQM Excellence Model is a non-prescriptive framework based on nine criteria. Five of these are 'enablers' and four are 'results'. The 'enabler' criteria cover what an organization does. The 'results' criteria cover what an organization achieves. 'results' are caused by 'enablers' and feedback from 'results' help to improve 'enablers'.
The model can be used in three ways: 1.As a framework which organizations can use to help them develop their vision and goals for the future in a tangible, measurable way.
2.As a framework which organizations can use to help them identify and understand the systemic nature of their business, the key linkages and cause and effect relationships.
3.As a diagnostic tool for assessing the current health of the organization. Through this process an organization is better able to balance its priorities, allocate resources and generate realistic business plans. This diagnostic use, is also known as Assessment
BanP/PUI- Mr Balachandran heads the PUI (Indirect Purchasing). For any Production Company, time is Strive to be best in class in Purchasing and be fair, open and accessible. Timely supply of Tools / Consumables to meet world class standards. BanP/CFA- Financial accounting and controlling are one of the important aspects of all sucessful business concerns. At BanP, CFA (Controlling Finance and Accounting) under Mr Madhav Dunsane, performs this pivotal function. Major Functions of CFA Vendor Payment Payroll Plant Accounting BOSCH
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Inventory management Fixed asset management BanP/ICO- Headed by Joshi MB, ICO(IT Coordination) is responsible for the implementation and management of information system and communications infrastructure to support business needs of RBIN in a cost effective and timely manner, ensuring adherence to Bosch/CI guidelines. ICO mission objectives include the following- Promoting the use of information system/communication infrastructure for the business advantage of RBIN Planning and implementation of appropriate IT strategies for the use of hardware, software, Local Area Network (LAN) and Wide Area Network (WAN) Ensuring internal customer satisfaction for IS/communications support.
BanP/OFE-PC- Headed By Mr Srinidhi K, OFE (Office of Executive Management) are consultants and service providers for BanP executives and associates and network BanP internally and externally with regard to global issues. OFE provides well-founded analyses to support senior executives (executive management, division management) in strategy developement and assist in implementation. They create an optimum framework for successful content-related work within the BanP organization and ensure that all Stake holders are heard.
(2) Bosch PT Plant Technology, Headed by Mr Jens Duester, is the most important branch of Bosch Ltd, which oversees manufacturing and production of Automotive parts. It oversees the production of important products like Fuel Injection pumps which are also exported to other BOSCH
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countries like Brazil, Australia, Germany etc which makes it a key operation area fort he Bosch globally and also production of Power tools which are increasingly becoming popular among the consumer sector. BanpP/BidP- BanP/MFR- Headed by Mr Ramesh Saligrama N, the MFR departement is responsible for the development of common rail pumps. BanP/MFF- Mr Kumar Ramu who is in charge oversees the manufacturing of the PF pumps which covers a wide spectrum of application ranging from agricultural pump sets, tractors and boats to auto rickshaw, trucks and diesel locomotives. BanP/TEF- Coordinates for technical functions of the Plant. Under Mr Ramamurthy K activities like Process/Method development, industrial engineering, product data management, facility management, transport and car management, safety and environment and Corporate social responsibility are taken care. BanP/MFP- Headed by Mr Chintawar A R, oversees the production of A-Pumps (Fuel injection pumps). Bosch-India ist he largest producer of A-Pumps in the Bosch group. This product originated in 1936 with a forecasted life of 50 years. At the age of 75, the A-Pumps is still serving the needs of our customer in India as well as other parts oft he globe. BanP/MFD- Headed by Mr Venkatesh N M, oversees the prodction of delivery vale. The delivery vale is a non-return valve between the high pressure fuel injection systems and the pump plunger. It serves to relieve the high pressure lines and the nozzle space by reducing pressure to a given static level. RBIN is a leading manufacturer of Delivery Valves for pumps and caters to the needs of Single cylinder PF, Multi cylinder PE in line pumps apart from being a core supplier of inland and export to after market customers. These pumps intern cater to a wide range of applications from genets to automotive to locomotives. We are constantly engaged in adapting to changes to meet stringent emission standards norms like TREM 3, 4, Euro 2. This requires Bosch to constantly tune the processes in need with Requirements.
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BanP/BPS- Headed by Mr Sanjey Handey, Bosch Production System (BPS) In the present post globalization scenario, we are faced with intense competition on all the fronts. It has always been our endeavor to maintain highest levels of quality and exceed expectations of our customers through Cost Effective Global Solutions. In order to maintain & sustain an uncontested business position, it is imperative to integrate the following factors into our Business System: Customers / market Shareholders / investors Technologies / Processes & Associates & Business Partners
Bosch Production Systems (BPS) is intended to address these concerns and support us in our journey towards Excellence. BPS would be one of the solutions for our current & future business environment..
BanP/HSE- For any Manufacturing plant, providing a Safe and Healthy environment not only for its employees but also the society it is surrounded by is one of its major objectives. At Bosch India, The HSE (Health and Safety Environment) headed Mr Dayanand L, take such issues very seriously, making sure that despite their heavy duty work a safe environment is maintained. Major Activities of HSE- Issue of protective gear while working in production plants Emergency Management Environment Management Hazard Substance Management Occupational hazard Management Mock Drill Schedule BOSCH
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PJRPP RPP at DGS-EC/NE1
RPP means rationalization of products and manufacturing processes. The goal is to get electrical control units with the same or better functionality for lower costs. Our products are engine control units of several generations (MED17,EDC17,MDG1,EDC6,ME9,).
Ratio work at DGS-EC is divided in RPP prior to SOP (e.g. through new HW modules) and RPP after SOP (classicRPP).
The classic series RPP is based on the business plan and results in additional cost improvements for the plan year (BPxx) and the first forecast year (BPxx+1) through reduced product costs (PHEK) without high change costs.RPP prior to SOP is introduced through new customer projects. This is usually done with new PCB layouts and in contrast to classic RPP without series changes.
Tasks: Search for ideas, define measures and analyze the application to engine control RPP contact at DGS-EC: DGS-EC/PJ-RPP Interface between ECU development (electronic and mechanic), purchasing and ECU production plant regarding. RPP Contact for DGS-EC/CTG (if required also for SzP/CTG and AE/CTG) Tracking of the introduction of RPP measures in series projects Close cooperation with DGS-EC/EHM5 and AE/EDE regarding mechanical ratio ideas Coordination of RPP work world wide with RPP contact persons at RBEI and RBJP
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(3) Bosch QMM Headed by Mr Venu B, is responsible for the quality management of the products manufactured in Bosch India. Quality is a way of life at Bosch. Quality assurance goes beyond the products and services. It is a part of Bosch. Continual improvement is a philosophy that is part of our 'Vision' and 'Mission'. The main objective is to provide the customers with the best in Boschs endeavour towards Customer Experience Management.
QMM 1- D Krishna Chaitanya being incharge of this departement is the MIS Co-ordinator in QMM for INDS products and co-ordinating customer needs ar BanP. QMM 2- Headed by Deepanshu Dubey is responsible for the quality management of conventional products- A pump, PF conventional Pumps, Glow plugs etc. QMM 3- Under the leadership of Mr Ramprasad B, QMM 3 performs quality management of CP1X, HFR, PF-CRS and Elements and DV (Delivery Vale). QMM 8- M S Anantharam is incharge of Chemical and Metallurgical laboratories and BanP and also offers Corporate support to QMMs of other RBIN locations.
3.1 PRODUCT/SERVICE PROFILE Product Range Automotive Technology
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 BOSCH
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Delivery Valves (DV) Governors Injection Timers for PE pumps Fuel Filter & Water Separators Glow Equipment Electronic Control Unit
Gasoline system Electronic Control Unit Fuel Injectors Engine Speed Sensors Knock Sensors Hot Film Air Mass Meter CVT Belts Connectors & other plastic parts
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 Analyser: FSA series BOSCH
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Engine Analyser: 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
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 Do- It Yourself Tools BOSCH
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Lawn & Garden Tools High Pressure Water Jets Specialty 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
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4 STUDIES OF FUNCTIONAL DEPARTMENTS
4.1 PRODUCTION DEPARTMENT For Bosch, materials innovation, new process and production techniques and interpretation methodologies are highly relevant for the future. They pave the way for innovative and cost- effective future products. Customised functional and structural materials play a key role in this connection, such as in injection technology, wind power transmissions, composite materials for functional integration in sensors or materials for electric power storage and conversion Bosch has manufacturing plants located in Bangalore,Nasik, Jaipur,Naganathapura.
Figure 4.1
Layout design Bosch is product oriented. It is designed according to the product movement.
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Merits of the layout No confusion. Each is assigned responsibility and authority. Highly decentralised in structure.
Demerits Duplicating the same machine between A and B. Product based and customer requirement.
Layout planning Planning engineers and TEF department (maintenance) engineers plan the layout to install the machine or equipment as per the guidelines.
Production management BPS Due to customer requirement and capacity problems ,employees work in two or three shifts . Production targets are reviewed on weekly basis production output and it is monitored on hourly basis or shit basis.
Inventory = Stock of Goods (Location and Transit Inventory) The inventory comprises of: Semi-finished and finished goods for products or components etc. Work in progress Raw materials Goods in transit to customers Goods in stores and warehouses
The inventory is maintained from minimum 3 days to maximum 45 days to meet the requirements of manufacturing departments.
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4.2 PURCHASE DEPARTMENT The purchase activity of materials in BOSCH is classified into two departments: Corporate logistics and purchase department Planning and purchase of indirect materials. The major material fields covered are steels, castings, forging, turned and machine powers, sintered components, fasteners, springs, bearings, assemblies, sub-assemblies, packing materials, logistic services and capital goods.
It is the endeavour of the highly motivated technically and commercially competent associates of the purchasing department to establish suppliers of world class quality at competitive prices and optimum delivery performance.
Corporate Logistics and Purchase (CLP) Corporate logistics and purchase (CLP) fulfils and coordinates the requirements by bundling and sourcing common materials such as raw materials, standard components, capital goods etc. across all BOSCH locations. CLP also finalises the logistics contracts PUI and deals with purchase activity of indirect materials and management of stores for indirect material
Responsibilities of CLP Raw materials Logistics contracts and customs clearance Capital gods and equipment Trade goods
Purchasing indirect material department (PUI) PUI deals in the purchasing activity and management of stores for indirect materials
Direct materials Materials which form part of a finished product are known as direct materials Example: castings, machine paths, bearings, and other raw materials BOSCH
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Indirect materials Materials that are not treated as part of the finished products are known as indirect materials Example: cutting tools, machines spares, oil and lubes, welfare items, canteen items etc. This department is sub divided into PUI 1, 2, 3, and 4 departments
PUI 1 and 2 Planning and purchase of indirect materials (PPI) PPI is responsible for planning inventory control, procurement, vendor development, price negotiation and stores management of indirect materials.
PUI 3 vendor establishment and pricing. PUI3 deals in vendor establishment and price finalisation of the products.
PUI 4 Inventory stores. PUI 4 deals in stores and tool crib management. Inventory is managed according to ABC analysis. The good preservation is done by dividing broadly into tool stores and common stores .Stores make an entry for every receipt and issue of goods.
Items are classified as Stock item/codified item which comprise of the following: Fast moving items A class Slow moving items B class Very slow moving items C class Planning for stocked items is based on consumption based planning, Non stocked items /non codified items.
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4.3 FINANCE DEPARTMENT Finance is a field closely related to accounting that deals with the allocation of assets and liabilities over time under conditions of certainty and uncertainty. Finance also applies and uses the theories of economics at some level. Finance can also be defined as the science of money management.
Controlling Finance And Accounts Department(CFA) The CFA department looks after the controlling finance and accounting for Bangalore plant(BanP) & Nagnathpura plant(NhP) BOSCH Ltd., CFA comprises of seven departments whose functions are as follows:
CFA 1 Plant accounts consolidation BanP NhP. Data for MGB,MIS business plan. Cash and bank payments. Assets accounting & physical verification of assets- BanP & NhP. Audit coordination & statutory reporting.
CFA 2 Inward bills & controls BanP & NhP foreign. Audit schedules & coordination. Coordination for payment of Foreign Service bills.
CFA 3 Cost controlling for diesel system products (DS) in BanP & NhP. Cost estimation & guidance cost. Investment appraisal & monitoring. MIS and monitoring. Overheads accounting costing closure in SAP, monthly MGB NKIR Business plan. BOSCH
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Plant Technical (PT)reporting for DS products in BanP &NhP. DBE coordinator. CAC functions for PA-AT.
CFA 4 Inward bills control BanP & NhP- local. Controlling of statutory payments &returns Service tax and GTA issues, VAT related issues.
CFA 5 Payroll administration for BanP & NhP JaiP etc. Employee services through web, statutory payments & returns for payroll. BanP & NhP Pension fund trust activities.
CFA 6 Material accounting & inventory control Inventory data for MGB & Business plan. Monthly DS reporting, plant report, POCA charts etc. Coordination external agency relating to perpetual inventory verification of BanP & NhP.
Financial Services offered by BOSCH
Figure 4.2
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Functions Protecting the funds and managing the assets Banking, reconciliation statements, working capital etc. Foreign travel, financial management. Income, Expenditure, Profit &Loss Account, Balance Sheet etc. Insurance of assets and payment of taxes, claims, export subsidy etc. Conducting financial meetings, turn over, net result, shareholders meeting etc.
4.4 MARKETING DEPARTMENT Marketing is the process of communicating the value of a product or service to customers, for the purpose of selling that product or service. Marketing can be looked at as an organizational function and a set of processes for creating, delivering and communicating value to customers, and customer relationship management that also benefits the organization. Marketing is the science of choosing target markets through market analysis and market segmentation, as well as understanding consumer behaviour and providing superior customer value. From a societal point of view, marketing is the link between a society's material requirements and its economic patterns of response. Marketing satisfies these needs and wants through exchange processes and building long term relationships. The Marketing Mix is that blend of tools that assists Bosch to satisfy the needs of the urban middle class niche market by understanding it through research into its characteristics. Bosch has four sales houses in four metros.
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The managerial network of BOSCH is as follows:
Table 4.3
NATIONAL SALES MANAGER REGIONAL MANAGER NORTH REGIONAL MANAGER EAST REGIONAL MANAGER WEST REGIONAL MANAGER SOUTH AREA MANAGERS AREA MANAGERS AREA MANAGERS AREA MANAGERS TERRITORY EXECUTIVE (SPECIFIC AREA OBJECTIVES) TERRITORY EXECUTIVE (SPECIFIC AREA OBJECTIVES) TERRITORY EXECUTIVE (SPECIFIC AREA OBJECTIVES) TERRITORY EXECUTIVE (SPECIFIC AREA OBJECTIVES) BOSCH
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Sales and automotive Aftermarket has the following department
Sales, Marketing and advertising(SMA) Customer Business development(CBD) Sales planning and Distribution(SPD) Sales Export(SXP) Corporate advertising and publicity(CAP) Sales services(SEE) Sales houses administration(SSA)
Functions of Various department 1) Sales, Marketing and advertising(SMA) Product management Advertising and sales promotion Packaging Marketing services, market research
2) Sales planning and distribution(SPD) Warehouse activities Orders fulfilment and insuring collection Business with government departments Procurement of trade groups
Product Promotional Measures Being pioneers in the Fuel Injection System which contributes to nearly 59% of overall Bosch earnings and still innovating it, Bosch never needed to pro mote this products as the world had utmost confidence of this particular product.
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In the last few years, they have entered into Consumer appliances for example, the Bosch Washing Machine which they have been marketing with the help of print media and Electronic media.
4.5 HUMAN RESOURCE DEPARTMENT Human Resources Development (HRD) as a theory is a framework for the expansion of Human Capital within an organization through the development of both the organization and the individual to achieve performance improvement Human Resource Development is the integrated use of training, organization, and career development efforts to improve individual, group and organizational effectiveness. HRD develops the key competencies that enable individuals in organizations to perform current and future jobs through planned learning activities. Groups within organizations use HRD to initiate and manage change. Also, HRD ensures a match between individual and organizational needs.
Working Environment Being around for more than a century means that Bosch isa very agile organization and gives its associates a stable career, a place where minds are given the opportunity to think, reflect and create. To describe the work environment in just a handful of words they would be Quality, Innovation and Customer orientation. Each person makes his or her own contribution to follow these lodestones of the organization. Innovation is a part of their daily lives. There are contests for submitting the most innovative award, there are patents being filed regularly, knowledge management and knowledge sharing best practices all this contributes to the daily atmosphere at Bosch in India. Compensation and Benefits BOSCH
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Boschs commitment to quality and excellence extends not only to customers, but also to the compensation and benefits program that is offered to the associates. The benefits programs are flexible, competitive and comprehensive. Department comprehensive coverage includes deputation with family, medical coverage, and different sorts of life insurances that will benefit your family, along with all the other standard compensations and benefits. Work Life Balance Bosch provides a healthy work life balance. To know that the happiness and wellbeing of the associates is very closely tied to their performance. Associates work very hard, the technology is exciting, the work has an impact globally. And then they go home to carry on be it to play with a young child or to run, or to read, or to pursue the stock markets. Diversity Bosch is an international and globally active corporation. Associates come from a wide range of countries. Company develops and produce products in more than 50 countries - supply markets in nearly 150 countries. Associates have the opportunity to work at Bosch locations throughout the world, discover foreign cultures, gather new experiences and learn first-hand how a global player operates. This diversity is an ideal chance for the corporation and associates alike to learn from other cultures and benefit from the wealth of perspectives and ideas. Apart from global and cultural diversity, the department have women occupying significant positions within organizations. Promotion Opportunities Department goal is to develop and promote associates according to their abilities and interests in specialist tasks as well as leadership functions. BOSCH
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What counts are the performance demonstrated, competences and potential which evaluate and develop together in performance review discussions. Higher-level specialists and managers are predominantly promoted from within, but lateral entries are also encouraged. Department expect and facilitate managers to acquire the necessary breadth of experience by internal moves and building up of cross functional expertise. Development Programs Development programs means continuous competence development for all associates. Which ensures career advancement for associates showing potential for tasks involving greater responsibilities. They also support job rotation to avoid functional silos and also support transfers within the Bosch group. They have various development programs like the Robert Bosch Kolleg/Carnegie Bosch Institute Platform for international exchange of experience and transfer of academic expertise for managers and executives. Department also has various instruments related to associate development like Leadership Development, Specialist Education and Development program, seminars and executive training for managers for their professional advancement e.g. seminars aligned to Robert Bosch competency model, etc. International Opportunities International experience acquired working for the Bosch group outside the respective home country is an important part of the development of our skilled professionals and management personnel as well as future managers. They also expect our national managers who are to assume senior management positions at foreign subsidiaries and affiliates to work for several years in a business unit of the Bosch Group in Germany. In the case of comparable qualifications, they give preference to associates with international experience while filling management positions. BOSCH
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The international exchange of associates within the Bosch Group applies worldwide and to all functional areas. The primary purpose is: To develop skilled professionals and management personnel with international experience To transfer and exchange knowledge To promote worldwide understanding and cooperation within the Bosch Group To fill positions at locations where qualified local associates are not yet available. Training and Development Measures at Bosch
At the centre of all organizational activities is man. He is a part of a chain of command, sharing a responsibility and doing tasks that form part of a well-directed plan for achieving a common goal. In this, he can only be as effective as he is allowed to be by his relationships with men and machines, hence to be a contributing member of his group, man has to be in harmony with his working environment. As technologies reshape workshops and other work places and machines gain sophistication, the human factor has to keep pace with latest developments.
The answer lies in training and development. The development of human resources cannot be left to individual initiative. It has to be built in to a planned program and implemented as a conscious and sustained effort. This has been the guiding philosophy in RBIN.
In Bosch Ltd, the HR department is known as BanP/HRL(plant HR) and RBIN/HRL(corporate office) HR Management
Planning Long term planning of staff needs Planning of staff needs for senior executives Staffing BOSCH
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Resourcing Position fill process Transfer and job rotation
Leadership Communication management Employee satisfaction survey Collective bargaining Discipline handling Compliance management and audit
Compensation and benefits Salary review process Facilities management and employee service Retrial management
Development Performance appraisal Rewards and recognition Succession planning T&D Leadership development Skill management
HR functions
HRL 1
Shop floor grievance/conflict management Appointment of apprentice and trainees BOSCH
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EPF and ESI Security vigilance and intelligence admin Security service
HRL 2
Shop floor grievance/conflict management Re-training and rehabilitation of workmen Legal matter and adjudication Admin and reception Absenteeism and control policy
HRL 3
Personal admin Increments, promotion, transfer, separation, pension Grievance handling Time-off and payroll admin Rainbow performance assessment and skill matrix management
HRL 4
Welfare and amenities Employee satisfaction survey Transfer surveys ID badge Issue and control Personnel statistics Communication Department internal audit
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HRL 5
Indents Recruitment Appointment letter Docket preparation Confirmation Up gradation Commercial trainees Job fair and personnel marketing events Projects trainees training
5. SWOT ANALYSIS STRENGTHS High customer satisfaction. Established brand image around the world over the centuries. Continuous improvement of products and quality. Importance given to employee development. 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. BOSCH
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WEAKNESS Decision making is delayed because of long procedure. Marketing of products is given less importance. Adaptability towards change is low. 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.
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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6. SUMMARY OF FINDINGS
QUALITY POLICY
BOSCH strives to exceed the expectations of customers by offering products and services of high quality standards.
Quality encompasses as an asset throughout the life cycle of the product, and initiatives towards environmental protection and safety is also an advantage to the progress of the company
Quality management team effectively deploys the method and provides cost effective solutions to meet the quality objectives.
They involve various business partners in order to endeavour the improvements across the supply chain.
QUALITY PRINCIPLES
Main goal of BOSCH Ltd is to fully satisfy their customers expectations through the quality of their products and services.
Quality and quality improvement is every associates responsibility and ultimate goal from the Board of Directors to their apprentices.
Their directives, processes, systems and goals are based on requirements from international standards, consumers expectations, and knowledge and experience. Knowledge of and compliance with these directives and processes is the foundation of their 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. BOSCH
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CORPORATE SOCIAL RESPONSIBILITY -CSR:
Major CSR initiatives 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 have provided jobs to differently abled 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 recycled in their recycling plant and used again instead dumping them which can be quite harmful for the environment.
KEY SUCCESS FACTORS
The company attributes major part of it success to its founder, Robert Bosch. His thoughts and beliefs were unique. He once said, I don't pay high wages because I am rich. I am rich because I pay high wages. I would rather lose money than trust." This was a declaration against ways of doing business that paved the way for success of Bosch.
Independence and Financial strength Innovative strength Quality and reliability Global presence Strategic far sightedness Efficient process BOSCH
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7. CONCLUSION AND SUGGESTIONS
The purpose of organization study was to do general study on the company & also to know about the ups and down of the company in various aspects. The need for study was to find out the overall performance of the company and the companies control over its capital and the profit out of its receipts. The analysis shows the areas where the company need to be improved & to have a better performance in forthcoming years & also have a good planning by taking all the strengths & weakness into consideration which was analyzed earlier. The organization study helped me to understand the various departments in the organization. I had a good experience and privileged in undertaking the project in Bosch. The company is a customer oriented, There main focus is to provide customer satisfaction, which is been achieved by the company as they strictly follow quality maintenance in their product and training programs to the employees. The company has achieved several milestones in the past; I really wish the organization to have a bright future and achieve milestones in the future as well and also achieve its mission, vision and objectives SUGGESTIONS Company can think of inducting young Blood in the organization. training program can be arranged for people who have more than 45years of age to improve their knowledge and skills.
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8. BIBLIOGRAPHY
Wikipedia Site: http://en.wikipedia.org/wiki/BOSH Bosh Site: http://www.bosch.com Bosh India Site: http://www.boschindia.com Essentials of Management-Koontz and ODonnell. E-McGraw Hill, New Delhi The Practice of Management-Peter.F.Drucker Manuals: Company brochure Company quality manual Company procedural manual