BOSCH LTD

BOSCH LTD. BANGALORE
EXECUTIVE SUMMARY:
Managing change is the single most important issue today for all those who
have undertaken the difficult task of managing organizations. Technological changes
and increased global competition caused by liberation and deregulation have placed
greater demands on organizations to be flexible, responsive and efficient. Around the
world, organizations big and small face the inevitable prospect of change.
Change management is essential to the business organization for the following
reasons:
a) To become competitive in the business.
b) To increase the revenue of the organization.
c) To increase the employee satisfaction.
d) To increase the market share of the company.
e) To be leader in the business.
The main objectives was to study the concept of change management. To
examine and to understand the impact of change on the organisation. To satisfy the
growing needs, along with the competitions prevailing the change is very much
essential and significant.
The respondents of the survey were employees from the HR department who
are into recruitment and selection, who have been working in the organization for
many years; this helped to understand the effectiveness of automation in the
recruitment process over the manual process. . This facilitated to generate correct
analysis.
In this project an attempt is made to suggest the areas requiring change for
better growth. Thus by studying the attributes affecting change, suitable suggestions
have been recommended in order to help Bosch Ltd, Bangalore to work more
effectively.
KLS INSTITUTE OF MANAGEMENT AND EDUCATION RESEARCH
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CHAPTER 1
INDUSTRY PROFILE:
The Indian auto component industry is one of the few sectors in the economy
that has a distinct global competitive advantage in terms of cost and quality. The
Indian auto component industry is extensive and highly fragmented. Estimates by the
Department of Heavy Industries, Government of India, indicate there are over 400
large firms who are part of the organized sector and another 10,000 firms exist in the
unorganized sector.
The Indian auto component industry has been navigating through a period of
rapid changes driven by global competition and the recent shift in focus of Global
automobile manufacturers.The automotive industry designs, develops, manufactures,
markets, and sells the world's motor vehicles. In 2008, more than 70 million motor
vehicles, including cars and commercial vehicles were produced worldwide. In 2008,
with rapidly rising oil prices, industries such as the automotive industry are
experiencing a combination of pricing pressures from raw material costs and changes
in consumer buying habits. The industry is also facing increasing external competition
from the public transport sector, as consumers re-evaluate their private vehicle usage.
As per an Automotive Component Manufacturers Association of India (ACMA)
report, the turnover of the auto component industry was estimated at over US$ 18
billion in 2007-08, an increase of 27.2 per cent since 2002. It is likely to touch US$ 40
billion by 2015-16.
The value in sourcing auto components from India includes low labour cost,
raw material availability, technically skilled manpower and quality assurance. An
average cost reduction of nearly 25-30% has attracted several global automobile
manufacturers to set base since 1991. India’s process engineering skills, applied to re-designing
of production processes, have enabled reduction in manufacturing costs of
components. Today, India has become the outsourcing hub for several global
automobile manufacturers.
It manufactures products to suit requirements of different class segments of
customers. Some Leading manufacturers of auto components in India include Bosch
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Limited, Bharat Forge, Sundaram Fasteners, Wheels India, Amtek Auto, Motherson
Sumi, Rico Auto and Subros. India's Top 500 Companies, published by Dun &
Bradstreet in 2006, listed 22 auto component manufacturers as top companies in India
with a total turnover of US$ 3 billion
The auto parts industry has emerged as one of India's fastest growing
manufacturing sectors and a globally competitive one. The auto components Industry
in India is dominated by around 500 key players, which contribute more than 85
percent of India's production. The industry has linkages with almost.
To encourage the smooth growth of the industry, the Government of India has
allowed automatic approval for foreign equity investment up to 100 percent of
manufacture of auto components. Further, the engineering export promotion council
under the aegis of Ministry of Commerce and Industry, Government of India, over the
years has been engaged in promoting exports of engineering goods including auto
parts
The auto component sector generated sales of about US$ 15 billion in fiscal
year 2007-08, including US$ 2.8 billion worth of exports. India is estimated to have
the potential to become one of the top five auto component economies by 2025. The
industry has been experiencing a high growth rate of 20 per cent over the period
2000-05 and is expected to grow at a rate of 17 per cent over the period 2006-14.
Similarly, while growth rate of exports has been 25 per cent during 2000-05, the
growth rate is expected to grow by 34 per cent during 2006-14. This Growth in
exports if sustained for another five years will see India’s auto Components exports
will touch US$ 5 bn by 2011 from the US$ 2 bn at present.
.
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Chapter 2
COMPANY PROFILE:
2.1 About Bosch Group:
The BOSCH Group is a leading global supplier of technology and services, in
the areas of Automotive Technology, Industrial Technology, Consumer Goods and
Building Technology, with 81,000 associates generated sales of 45billion Euros in
fiscal 2008. The Bosch Group comprises of Robert Bosch and its more than 300
subsidiaries and regional companies in over 60 countries. Its sales and services
partners are included, and then Bosch is represented in roughly 150 countries. This
worldwide development, manufacturing and sales network is the foundation for
further growth. Each year, Bosch spends more than three billion Euros for research
and development and applies for over 3000 patents worldwide. With all its products
and services, Bosch enhances the quality of life by providing solutions which are both
innovative and beneficial.
The company was set up in Stuttgart in 1886 by Robert Bosch (1861-1942) as
‘Workshop for Precision Mechanics and Electrical Engineering’. The special
ownership structure of Robert Bosch guarantees the entrepreneurial freedom of the
Bosch Group, making it possible for the company to plan over the long term and to
undertake significant up-front investments in the safeguarding of its future. Ninety-two
percent of the share capital of Robert Bosch is held by Robert Bosch Stiftung , a
charitable foundation. The majority of voting rights are held by Robert Bosch
Industrietreuhand KG an industrial trust. The entrepreneurial ownership functions are
carried out by the trust. The remaining shares are held by the Bosch family and by
Robert Bosch .
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.
4

ABOUT BOSCH LIMITED:-
Bosch Limited is the flagship of the Bosch Group subsidiaries in India.
Founded in 1951, the company is India’s largest auto component manufacturer and
also one of the largest Indo – German company in India.
Bosch has been present in India for more than 80 years – first via a
representative office in Calcutta and then from 1951 via its subsidiary Bosch limited
(then Motor Industries Company Limited).
The company is headquartered in Bangalore having its manufacturing
facilities at Bangalore, Nashik, Naganathapura, Jaipur and Goa. These plants are TS
16949 and ISO 14001 certified. Bosch limited has its presence across automotive
technology, industrial technology, consumer goods and building technology, with
employee strength of over 10,000. It manufactures and trades products as diverse as
diesel and gasoline fuel injection systems, auto electrical, special purpose machines,
packaging machines, electric power tools and security systems. The company
recorded a turnover of RS. 4,542 crores in the year 2008.
The company has developed 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
service sector. Bosch’s service network spans across 1,000 towns and cities with over
4,000 authorized representatives who ensure widespread availability of both products
and services.
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Vision:
Our vision is our shared image of the future. It states where we want to go, and
what drives our actions. It points the way forward for a strong and meaningful
development of the Bosch Group.
Mission:
BeQIK stands for greater speed in everything that we do, and it stands for
quality, innovation, and customer orientation. Our objective is to continuously
improve our internal processes.
Values:
The Bosch values are the foundation upon which the successes of the past
were built, and upon which we will build our future. We guide our actions and tell us
what is important to us and we are committed to.
FUTURE AND RESULT FOCUS: -
In order to ensure dynamic development of our company and to guarantee
long term corporate success, we participate in shaping the changes in markets and
technologies. By doing so, we provide our customers with innovative solutions and
our associates with attractive jobs. We act result focused in order to secure growth
and financial independence. With the dividends generated, the Robert Bosch
Foundation supports charitable activities.
RESPONSIBILITY: -
We accept that our actions must accord with the interests of society. Above all
else, we place our products and services in the interest of the safety of people, the
economic use of resources, and environment sustainability.
6

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 developments within our company. This is the best basis
for a trustful relationship.
FAIRNESS: -
We view mutual fairness as a condition of our corporate success when dealing
with each other and with our business partners.
RELIABILITY, CREDIBILITY, AND LEGALITY: -
They promise only what they can deliver, accept agreements as a binding and
respect and observe the law in all our business transactions.
In India, the Bosch Group operates through the following -
· Bosch Ltd.
· Bosch Chassis Systems India Ltd.
· Bosch Rexroth India Ltd.
· Robert Bosch Engineering and Business Solutions Ltd.
· Bosch Automotive Electronics India Private Ltd.
· Bosch Electrical Drives India Private Ltd.
· MHB Filter India Private Ltd
7

BACK GROUND AND INCEPTION OF THE COMPANY:-
 1952:- Establishment of the company as Motor Industries
Company Limited
 1953:- Construction of the first factory building at Bangalore
 1954:- Manufacture of Spark plugs, single- cylinder diesel fuel
injection pumps and nozzle- holders
 1956:- Manufacture of Multi- cylinder diesel fuel injection pumps
 1972:- Manufacture of nozzles and nozzle- holders at Nasik Plant
 1974:- Production begins at Nasik Plant
 1981:- Manufacture of Special purpose machines and tools
 1986:- Manufacture of VE Distributor pumps
 1989:- Manufacture of hydraulic products
 Manufacture of auto electrical
 1990:- Inauguration of Naganathapura Plant
 1991:- MICO become the Bosch Global Development Center
for single-cylinder diesel fuel injection pumps
8

 MICO represents Bosch for imported automotive
aftermarket products, automotive workshop test equipment and hydraulics and
pneumatics
 MICO establishes purchase office for Bosch
 1992:- Marketing of automotive accessories
 ISO 9001 certification for all the three plants
 1993:- Manufacture of Bosch electric power tools
 1994:- Manufacture of packaging machines
 1995:- MICO becomes the Bosch Global Development Center
for a range of multi –cylinder diesel fuel injection pumps
 1996:- Launch of Blaupunkt car audio systems
 1997:- QS 9000 certification for Bangalore, Nashik and
Naganathapura Plants
 1998:- Production of 20-millionth single cylinder pump
 1999:- Inauguration of Jaipur Plant manufacture of Blaupunkt
car audio systems in India
 2000:- Inauguration of Mico Application Center(MAC)
 Bangalore plant adjusted “ ALL- INDIA BEST
ESTABLISHMENT” for the 25th time
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 Manufacture of one- millionth auto electrical unit at
Naganathapura Plant
 Production of 50,000 VE pumps at Jaipur Plant QS
9000 certification for Jaipur Plant
 2001:- Launch of terra-25 packaging machine
 2002:- Production of 25- millionth single- cylinder pump
 Launch of indigenously developed marble and granite
cutter
 Launch of first Bosch car service outlet
 Mico enters into communication, security and imaging
business
 ISO 9001:2000 certification for industrial equipment,
packaging technology and power tools divisions
 ISO 14001 ( Environmental Management System)
certification for Bangalore Plant
 2003:- Production of 10-millionth inline-A pump
 Launch of Bosch Security Systems
 TS 16949 certification for all Mico plants
 ISO 9001:2000 certification for car multimedia division
10

 Blaupunkt crosses the 10,000 mark of car radios that have
been sold since its inception
 2004:- Bosch announces an investment of RS. 1,000 crores in
India over the next 4 years
 ISO 14001:1996 certification for Environmental
Management System for all the plants
 Launch of terra 40 packaging machine
 Introduction of capsule packaging(to address counterfeit)
as an anti-spurious measure for elements, nozzles and delivery valves
 Bosch car service network expands to 50 centers launch of
‘ Plena Voice Alarm Systems’ by Bosch security systems for application in
emergency evacuation
 2005:- Start of the gasoline system business at MICO
 Production of 30 millionth single- cylinder PF pump
 First locally applied common rail fitted vehicle launched
 2006:- Launch of Bosch brand at Auto Expo 2006
 Inauguration of the common rail pump manufacturing
facility at Bangalore
 2007:- Inauguration of the common rail injector manufacturing
facility at Nashik
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 Verna , Goa Plant inaugurated for Bosch packaging
technology
 Announcement to change company’s name from Motor
Industries Company Limited to Bosch Limited .Thus migrating the brand name
MICO to BOSCH.
 2008:- Company name changed from Motor Industries Company
Limited to BOSCH Limited.
Board of Directors:
 Dr. Albert Hieronimus :Chairman
 Bernhard Steinruecke :Director
 B. Muthuraman: Director
 Renu S. Karnad: Director
 Prasad Chandran: Director
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 Dr. Bernd Bohr: Director
 K. Viswanathan: Managing Director
 Dr. Manfred Duernholz: Joint Managing Director
13

14
RBIN/P
V.K. Vishwanathan
RBIN/RP-AP
J Joergenrud
AA/SA-IN
K. Ravi
India & SAARC
AA/SAI-MKT
1
Abhijit
* DGM
productio
n
Marketin
g
AA/SAI-MKT
2
Srinivas
* GM,
Channel
Marketin
g
AA/SAI-MKT
3
Sujit
* Sr. Mgr
Marketin
g
Commun
ications
AA/SAI-DLP
Vijay
* DGM,
Demand
Planning
&
Logistics
AA/SAI-TSS
Bala
* DGM
After
Sales
Service
AA/SAI-SAN
Rajiv
* DGM
Sales,
Marketin
g &
Service
* North
India
AA/SAI-SAE
Phadke
* Sr.
Mgr,
sales
Marketin
g &
service
* North
India
AA/SAI-SAW
Rawal
* DGM,
Marketin
g &
Service
*East
India,
Banglade
sh,
Bhutan,
Nepal
AA/SAI-SAS
Ramesh
* Sr.
Mgr
Sales
Marketin
g &
Service
*South
India, Sri
Lanka
AA/SAI-SDG
Sundar
* Sr. Mgr
Diagnotic
Business
AA/SAI-SOI
Yeshwant
* Sr. Mgr
OES Sales
AA/SAI-COR
Natarajan
* Sr. Mgr
Diagnostic
Business
AA/SAI-MKT
N.N
* GM,
Marketin
g
AA/SAI-IN
Rao
* sr. Mgr
Exports
IAM
*OE
Sales
Spark
Plugs
AA/SA-EXP
Babu K S V
DGM Internal Exports
to AA/RGs
AA/SA-IN
K. Ravi
DGM Manufacturing
AA/SA-IN
K. Ravi
Sales OE Filters
AA/SA-IN
K. Ravi
Sr. Mgr Sale imported
parts
AA/SA-IN
K. Ravi
VP RBIC Aftermarket
AA/SA-IN
K. Ravi
DGM spark Plug
Manufacturing
AA/SA-IN
K. Ravi
GM Sales, Marketing
Service

2.2 DIFFERENT BUSINESS SECTORS
PRODUCT PROFILE
Bosch Limited manufactures and trades in all the major business sectors of Bosch. Details
below –
Automotive technology
Bosch innovations have shaped cars from the start and will keep doing so in future.
As the world’s biggest independent automotive supplier, Bosch focuses on innovations to
make driving safer, cleaner and economical. Automotive Technology is the largest business
segment of Bosch in India, supplying to the local automotive industry, and exporting
components overseas.
Business divisions:
Diesel Systems,
Gasoline Systems,
Chassis Brakes,
Automotive Accessories,
Car multimedia,
Starters and Generators,
Energy and Body Systems,
Electrical Drives,
Spark Plugs and Glow Plugs.
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Industrial technology
Bosch Rexroth AG is an expert for all drive, control and motion technologies. The
Bosch Packaging Machines division in India brings the global expertise to address the needs
of the local confectionary and pharmaceutical industries. The Special Purpose Machines
(SPMs) and High Precision Tooling division engineers customized equipment using cutting-edge
technologies for industries.
Business divisions:
Automation technology,
Packaging Machines,
Special Purpose Machines.
Consumer goods and building technology
The Bosch Power Tools division in India is the market leader in the segment, offers a
complete range of power tools for construction, woodworking and metalworking industry;
cordless tools, accessories and tools for DIY (Do-It-Yourself) enthusiasts as well. The
Security Systems division in India is one of the leading security technology players with a
comprehensive portfolio.
Business divisions:
Power Tools
Security system
The Engineering and Information Technology
The Engineering and Information Technology division of Bosch in India is the largest
development center of Bosch outside Germany. For over 15 years, it has been the preferred
engineering services and solutions partner for the Bosch Group worldwide.
Business divisions:
Drive and Control Technology
Packaging Technology
Assembly Systems and Special Machinery.
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2.3 ENVIRONMENT INITIATIVE:
At Bosch, regard for environmental protection is one of the basic corporate principles.
Product quality, economic efficiency and environmental protection are equal objectives and
the company follows its unique 3S principle - sicher, sauber, sparsam - of making
automobiles safe, clean and economical.
Technologies like Reverse Osmosis and Ion Exchange processes are employed for
treatment and reuse of process waste water across all plants. About 8 lakh litres of treated
effluent is being reused for gardening and other secondary purposes. More than 10,000 trees
help maintain ambient air quality, holding soil and ground water and acting as carbon sinks in
the premises.
As part of its social responsibility, Bosch Limited is actively involved with State and
Central Pollution Control Boards, non-governmental committees such as CII, BCIC. The CII
National Awards “Excellent Water Efficient Unit”, “Excellent Energy Efficient Unit” and
Leadership and Excellence award in SHE (Safety, Health & Environment) – 2004 are some
of the awards won by the company.
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Corporate Social Responsibility:
At many locations, Bosch are among the largest employers and contractors, and
therefore also one of the highest taxpayers. With a workforce of over 271,000 associates
worldwide, the Bosch Group bears a huge responsibility for employment and occupational
training. This applies not only to their own associates, but also to their families, suppliers,
and local communities.
Overview:
When they talk about globalization as a megatrend today, this refers to a new, sustained
development that started in the middle of the 1990’s. It is associated, among other things,
with the creation of closely-networked global markets and the widespread use of the internet.
How do they plan to respond to this development?
 They study the interaction between globalization and other megatrends.
 They think globally, but are also aware of the different market and customer
requirements in the various regions.
 They pursue a differentiated, customer-centered location policy for our
manufacturing operations, and reduce transport distances by producing and
purchasing locally.
 They promote environmental protection and occupational safety across the globe.
 The purchasing is organized on a global scale.
 They tailor the associate development to respond to global challenges.
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Economic and ecological globalization
Growth in the future will be driven both by the growth regions − Asia Pacific, the
Americas, and central and eastern Europe − and by technological solutions for environmental
and climate protection. For their business, this means they shall continue to push forward
with their innovation strategy. As a company active in the field of energy conversion,
ecological globalization is something that poses a particular challenge to their innovative
strength.
Despite all the opportunities offered by the growth regions, it is crucial for them to
withstand the increasing competitive pressures originating above all in the emerging markets.
These new markets, which include the fast-growing market for low-price vehicles, are writing
new rules. We must think lean when responding to the demands of our customers. There, they
are confronted not only with ecological globalization, but also with the need to come up with
ultra cost-efficient solutions.
Green future markets
Green technology offers enormous potential for growth. Sustained mobility, energy
efficiency, eco-friendly power generation, recycling management, efficiency in dealing with
raw and semi-finished materials, as well as sustainable water management are only some of
the global lead markets that even today have a worldwide market volume of one trillion euro.
This figure is set to more than double by 2020, equivalent to annual growth of over five
percent. For Bosch with its numerous products that help protect the environment and
conserve resources, this growth offers enormous potential. This is why they shall continue to
invest strongly in the expansion of their “environmental portfolio”.
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2.4 Management System:
 Overview
To control change processes centrally and strengthen core processes worldwide,
Bosch aligns its various management systems under the Group-wide umbrella of the Bosch
Business System (BBS).
This includes, , the Bosch Human Resources System (BHS), which supports the change
processes in human resources around the world, and the integrated management system for
quality, environment, and safety. This system is based on Group-wide quality mission and on
principles for occupational safety and environmental protection and ensures to comply with
high standards in these areas at all locations worldwide.
 Quality management
High quality standards are a cornerstone of their corporate culture. They focus especially
on providing an integrated quality management system to meet the increasing quality
requirements arising from the growing complexity of the products and worldwide networked
operations. They place particular emphasis on early error avoidance in the product creation
process and the timely identification of non-conformances in the manufacturing process. For
this purpose, they integrate key content and processes from the Bosch product engineering
system and the Bosch production system into the quality management system.
1. The goal is to fully satisfy customer's expectations through the quality of their
products and services
2. Quality and Quality improvement is every associates responsibility and ultimate goal
– from the board of directors to apprentices.
3. The directives, processes, systems and goals are based on requirements from
international standards, customer expectations, knowledge and experience. Knowledge
of and compliance with these directives and processes is the foundation of their quality.
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4. Quality means doing the detail from the beginning, thus preventing failures in the end.
Continuous improvement of the quality of processes lowers costs and increases
productivity.
5. Avoiding failures is more important than eliminating defects. They apply methods and
tools for preventive quality assurance systematically, learn from mistakes and eliminate
the root causes without delay.
6. Their suppliers contribute substantially to the quality of the products and services.
Therefore their suppliers must live up to the same high quality standards they have
adopted.
Supply chain management
As globalization gathers pace, the suppliers are also faced with new challenges. In
2007, the purchasing volume amounted to 24 billion euros, with Europe accounting for 69
percent of this sum. In 2015, they expect this proportion to be only around 55 percent. By this
time, they are looking to make 25 percent of our purchases in Asia Pacific and 20 percent in
America. The presentation of the Bosch Supplier Award, which recognizes the top suppliers,
confirms this increasing internationalization. In 2007, 19 of the 47 award winners were
located outside Germany.
Quality Policy:
1. Customer satisfaction:
The objectives in Purchasing and Logistics are geared towards satisfying customer
requirements and ensuring customer satisfaction. In implementing these objectives, they work
with all parties concerned, across business divisions and in partnerships, in order to ensure
the best combination of function, delivery and costs. The achievement of quality targets is a
prerequisite.
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2. Responsibility for quality:
They are responsible for the quality of purchased production materials, consumable
and capital items, as well as services, and pursue a zero defect implementation (strategy) of
their targets. The quality of logistic services meets international standards and is geared
towards meeting the customer’s requirements. They use transparent and standardized
measurements of performance.
3. Supplier development:
For the procurement of goods and services they need strong innovative suppliers with
whom they can interact in an open, fair and long term working relationship. They actively
support their suppliers in continuously improving their expertise and respect them as
independent businesses.
4. Fairness and transparency:
They make purchasing decisions only on the basis of objective and comprehensible
criteria. The objective is the total benefit to Bosch contributed by all parties involved (Total
cost). In choice of suppliers and service providers, and when implementing targets and
evaluating supplier performance, they take into account pricing, logistic and qualitative
perspectives. They employ a unified approach for this process.
5. Environmental awareness:
Environmental issues are important to them. They are taken into account when
selecting materials with respect to recycling, disposal, packaging, and transport and supplier
selection. They value environmentally sustainable solutions.
6. Internationalization:
They ensure competitiveness through an internationally orientated systematic
development of purchasing markets, and a global supplier strategy. Their international
development and production network is supported by an international purchasing and
22

logistics network. This enables them to fulfill their customers’ and suppliers’ globalization
requirements.
7. Information network:
Their activities are supported by a worldwide information network.
8. Market and product orientation:
They place an equal value on developing the purchasing market and cooperating in
product and/or customer projects. They take an active role in developing and cost-optimizing
products and services. It is essential that innovative and technically competent suppliers of
development services and series products are involved early and systematically in the product
development.
9. Process orientation and continuous improvement
Core processes and structures within the Supply Chain are orientated towards the
principles of the BOSCH Business Systems. They are committed to continuous improvement.
To this end they ensure short throughput times and strive for economy. The capabilities of the
purchasing and logistics processes are rendered transparent by a standardized controlling
system.
10. Development of human resources
To achieve their aims in purchasing and logistics they consciously develop the employees
in the fields of entrepreneurial thinking, leadership, social and methodological competence,
as well as intercultural skills.
 Occupational safety management
Since 2007, they have been implementing a new occupational safety management system
based on the globally recognized OHSAS 18001 standard. This new system is intended to
simplify occupational safety and reduce the number of accidents at all the manufacturing and
development sites around the world. One of the system’s main functions is to detect
23

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 four years. This makes Bosch one of the forerunners in the global implementation
of the OHSAS 18001 standard.
Bosch Principles of Work Safety and Environmental protection:
 Sustainability:
They accept that their actions must accord with the economy, the ecology, and the
responsibility they take for the community at large, also with a view to future generations.
For this reason respect for people’s health and safety, for an economic use of resources, and
for a natural and clean environment are basic principles of business policy.
 Responsibility:
It is the task of all associates to help prevent the endangering of people and the
environment, as well as to maintain strict compliance with all laws and regulations pertaining
to work safety and the protection of people’s health and the environment. It is a leadership
task to recognize such dangers, to evaluate them, and to undertake appropriate actions.
 Products:
They develop and manufacture products that are safe, eco friendly and economical.
Their products enhance people’s safety and reduce burdens to the environment, also during
their subsequent recycling and disposal.
 Processes:
They design processes to ensure that where ever economically feasible people’s
health and safety have priority and that effects on the environment are kept to a minimum.
They are prepared to cope with emergencies. This is also the spirit in which they cooperate
with suppliers of goods and services.
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 Continuous Improvement:
They review the processes and behavior on a regular basis, just as to measure the
effects on people and on the environment. This is how they identify weak points and potential
for work safety and protection of people’s health and the environment.
Core competencies:
For well over a century our company has built upon a unique mix of interrelated core
competencies – a mix from which they derive competitive advantage, and which also forms
the basis for the future development of company.
Bosch Business System (BBS):
To be able to implement Bosch Vision, they need to continuously develop and to
manage change. This requires a systematic methodology that shows in concrete terms where
they need to reinvent ourselves, and how well are mastering these shifts and structural
changes in practice. With BBS management system, symbolized by the multi-colored
triangle, they have created just such a methodology.
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2.5 HR Management at Bosch:
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 and associates alike to define strategic objectives − and to
evaluate their achievement − with regard to processes, finance, and clients (both internal and
external).
The HR organization’s mission contains globally applicable guidelines for its work.
These are based on the House of Orientation and contribute to closer alignment with the
strategic objectives of the company. It has thus become one of the core tasks of the HR
organization to provide support for the organizational development of divisions and regional
companies and to make them aware of necessary changes.
They use the Bosch Human Resources System to develop and disseminate worldwide
standards for effective HR management. Bosch has some 330 HR departments around the
world, and wherever they are located, they must apply the same quality standards.
They will structure processes in all the central HR areas – planning, resourcing,
leadership, rewarding, development, and reorganization – according to the same rules and
standards. In this way, associates across the globe – particularly those on international
assignments – can be sure that they are treated and, above all, supported in their development
and career advancement on the basis of established and standardized principles. To this end,
they have initiated and systematically prepared 15 sub-projects. Sub-projects on executive
planning, personnel marketing, and associate development, for example, have already been
concluded and implemented successfully.
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According to the Bosch HR Model, it is the main task to design a strategic framework
for personnel policy (Human Resource Policy) at Bosch and to ensure that also in future they
are able to develop suitably competent and motivated associates and executives worldwide.
The core competencies are a consequent and target-oriented development of the
aforementioned executives, conditions of employment except pay scales that are attractive
and comparable worldwide, efficient control of international assignments; professional work
with the young talent based on their high reputation in the employment market and last but
not least, optimized Personnel (Human Resource) systems and processes.
Corporate Human Resources, Policies and Labor Relations
In line with the Bosch HR mission statement, the main task is to shape the strategic
framework to ensure that associates worldwide are motivated to help develop the group
professionally – and that this remains the case in the future, too.
They work hand in hand with the divisions, subsidiaries, regional organizations, and locations
to create attractive, demand-based terms of employment for our associates in the non-exempt
band. They develop frameworks and standards for the corporate benefit systems of the Bosch
Group and help with their implementation. They use innovative tools, such as the associate
survey, to ensure that associates worldwide play a part in shaping corporate culture. As a
customer-focused service provider that satisfies the highest quality standards, they ensure the
efficient management of social benefits in Germany.
They value trustful collaboration with associate representatives in order to use the
statutory regulations and collective bargaining agreements as a basis for developing optimum
and future focused solutions for their associates.
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Mission of Bosch Human Resources:
In both strategic and operational affairs, they see themselves as partners to the board
of management, to the divisions, and to their locations. With their work they make a
sustained contribution to implementing the company’s strategies worldwide. They live by the
Bosch values and take care that others do the same.
They strive to ensure that Bosch is seen as an attractive employer, one who gains a
decisive competitive edge by building on the motivation and competence of its managers and
associates. We support all operating units in the further development of their organization and
in achieving a capability for change.
Economy and innovation are the hallmarks of our work. Clear structures, efficient
processes, and high-performance HR tools have been standardized in the Bosch Human
Resources System (BHS), and are subjected to further development on an ongoing basis.
Areas for Action:
 Vision and objectives:
Three years ago, they formulated their vision. They want to take advantage of the
global opportunities and drive forward towards company’s development. Thus they have
formulated three main strategies objectives accordingly.
 Internationalization – we shall continue to press ahead with expanding our business
worldwide, thereby further strengthening our international presence.
 Diversification – we shall continue to balance out our sectoral sales structure. This means
taking full advantage of our opportunities for growth in automotive technology, but at the
same time growing by above-average rates in consumer goods, building technology, and
industrial technology. In doing so, we shall concentrate on areas of business that fit our
technological competence – this is what we call focused diversification.
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 Innovation – We shall focus our innovative strength on technology that is “Invented for
life.” We see significant economic opportunities arising with the attention given to
ecological needs, since these needs require more, not less, technology.
 International expansion:
Bosch already benefit from a broad-based international presence. Asia Pacific was
once again the growth driver in 2007, with sales there up 17 percent in local currency. Since
1995, the sales in this region have increased fivefold, and in the Americas more than
threefold. By 2015, they want these two regions together to account for half of their global
business volume and will, therefore, push ahead with the expansion of manufacturing
locations in these regions.
At the same time, they also want to secure the existing locations, since the strategy of
an international development and production network like the one at Bosch cannot be based
solely on locations that offer special cost advantages. So it will be important to remain in
close physical proximity to the engineering centers of their major customers, as well as to
scientific research institutes in Europe.
 Opportunities and risks
Megatrends present a challenge for their innovative strength, while at the same time
offering a wealth of opportunities. Environmental protection, globalization, and dwindling
resources all open up opportunities for profitable growth worldwide. When it comes to
climate protection, they can score points with their technical expertise and generate real
added value for customers through their products.
Having said that, the emerging markets – particularly in Asia – are a source of
increasing competitive pressure, and are not alone feeling the crunch in established markets.
Demographic changes confront the HR management with new challenges. They are faced
with the task of encouraging a sufficient number of young people to take an interest in
technical or scientific jobs, of attracting this upcoming talent to the company, and of ensuring
that associates of all ages have access to ongoing training programs.
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HUMAN RESOURCE DEPARTMENT, Bosch Bangalore
Building Human Relationships
“We value our people”
AN OVERVIEW
Human Resource Management is a philosophy of People Management based on the
belief that Human Resources are uniquely important to sustained business success. An
organization gains competitive advantage by using its people effectively, drawing on their
expertise and ingenuity to meet clearly defined objective. HRM aims at recruiting capable,
flexible and committed people, managing and rewarding their performance and developing
key competencies.
HRM is concerned with the effective and efficient use of the organization’s Human
Resources. Any organization needs human resources to run their operations. Hence, they
need to attract and hire the best employees possible. One of the functions of Human Resource
Management Department is to attract potential employees. Having attracted potential
employees, they need to be able to choose the best of these applicants. After having hired
employees, they need to train them if they are to function effectively. Furthermore, to ensure
that the employees continue to function effectively, they need to be motivated with a good
compensation.
HR MISSION OF Bosch, Bangalore
· To develop a talent pool with the competence to take the challenges of the present
and future.
· To facilitate improvements in quality and quantity of individual and provide a
congenial work environment.
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STRATEGIC OBJECTIVES OF HR DEPARTMENT
 To shift from a supply side role to a pro-active role.
 To align all HRM activities towards cost containment and Performance
Management across the organization
Priorities
1. Consolidate competency of HRM personnel
2. Improve HRM perspective of the business and the different functions by building closer
rapport with other functions
3. Improve constancy support on "Human Issues" in department organisation building
4. Develop achievement oriented culture
HR-PLAN:
Hr PLAN -- FOCUS
COMMUNICATION
 MICO/HRM page on Intranet
 MIS on HRM activities
 Meeting new employees
 Exit surveys
31
SELF AUDIT: This is where we are today
HR Initiatives
OBJECTIVES: This is where we want to be

 Induction/ Retirees manual
KNOWLEDGE MANAGEMENT
 Improve co-ordination with user departments in identification of development needs.
 Follow-up of Training inputs
 Training Effectiveness
 Application of inputs at work place
 Greater focus on younger age profile
ORGANISATIONAL DEVELOPMENT
 Develop information bank for advertising on design of department structures for
maximum effectiveness
 Study on employees satisfaction
 Benchmarking studies on HR policies/practices
MANPOWER INVENTORY
 Career plan for high potential
 Succession plan
 Quality improvement in selection/recruitment
 Introduce mentoring culture
 Train Group 7 Promotes
 Developing system for building high performance
TRAINING AND DEVELOPMENT
 Attitude and in-house faculty development
 Improve functional knowledge, job related skills/perspective development
 Inter-cultural training.
 Out bound exercises to develop team spirit
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 Share information and experiences
PERFORMANCE MANAGEMENT
 Install system to enable objection goal setting
 Develop reward systems to distinguish high performers
 Development of junior associates as an important objective
 Develop systems for correction/separation of poor performers
EMPLOYEE POTENTIAL DEVELOPMENT
 Focus on "Development Discussion" component of PRED
 Potential development to take higher responsibilities
 Promote greater cross-functional mobility(Job Rotation)
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HR INITIATIVES
 Training and Development.
 PRED(Performance Review &Employee Development Discussion)
 FOERDERKREIS
 E – HR
 International Assignments
 Job Rotations
 Employees Satisfaction.
HR FUNCTIONS AT BOSCH, BANGLAORE
HRM
 Corporate HR Administration of M&SS
 Corporate HR Administration of M&SS
 Management development & Training
 Compensation & Benefits
 Career Plan, Succession Plan, Job Rotation
 Human Resource Information System
 Selection and Recruitment
 HR Policies and Procedures
 HR administration of MA
HRM -1
 Training & Development programmes
 Training & Development programmes
 Training database on HRIS from PRED inputs
 Internal / External Training Audits
 Management development Center
 Education Expenses, Subscription to Professional Institutions, Project Trainees,
Magazine Subscription
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HRM -2
 Compensation & Benefits Administration
 HR Policies and procedures, HRIS
 Deputation to RB(MA) , Company Loans
 Career Plan , Job Rotation , Succession Plan
 CGT Scheme
HRM -3
 Selection & Recruitment, up gradations
 MT/TGT/ET Schèmes administration

HRM -11
 Co-ordination with faculty and participants
 Internal / External Correspondence, Maintenance of training records , Project Trainees
HRM -12
 Administration & Upkeep of Seminar Hall , Resources for Programmes
HRM -21
 Annual Compensation review, HRIS
 Compensation & Benefits Administration
 Salary Fitments
 Career Plan, Job Rotation, Succession Plan
 HR page on Intranet
 HR reports / studies (Employee Satisfaction Surveys etc.)
 CGT Scheme administration
HRM – 22
 Deputation to RB and return (MA), Assistance to MA, International Summer Trainees
, Club Membership
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 Assistance in Compensation & Benefits Administration
 Company Housing , Transit Houses
 Organization Charts / Circulars, WOM Co-ordinator
 Service Certificates, Retirements
HRM -23
 Appointment Letters , Trial confirmations, Trainees Absorption, HRIS Updating,
Payroll Input, Joining/Separation/Clearance formalities
 Nominations to Gratuity / Super annuation Fund / Accident Benefits, Hospitalization
Insurance/ Medical Expenses Reimbursement coverage
HRM -24
 Company Loans , Housing Loan Interest Subsidy
 Medical benefits to retired employees
HRM -31
 Selection & Recruitment, Placement, Up gradation, Trial placement , transfers,
Induction – L Range
 MT administration
HRM -32
 Selection & Recruitment, Placement, Up gradation, Trial placement , transfers,
Induction – LF and LK Ranges
 TGT/ET/Other trainees administration
 Documentation / Statistics / Reports
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HR POLICIES IN BOSCH:
MEDICAL
· Annual Master Health Check-up
· Hospitalization Insurance
· Manipal Hospital Scheme
· Medical Reimbursement Scheme
HOUSE RELATED
· Furniture Guidelines
· Refundable House Deposit
· Minor / Assets Maintenance
EDUCATIONAL
· Educational Reimbursement Scheme
· Policy on German Language Course
· Policy on External Training for MICO M&SS Employees
· Membership to Professional Institutions
· Policy on Business Magazine Subscription
LOANS
· Consumer Durable Loan Guidelines
· Housing Loan Guidelines
· Vehicle Loan Guidelines
OTHER BENEFITS
· Telephone Guidelines
· Holiday Homes
· Timeshare Holidays
· Vehicle Expense Reimbursement
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· Death Relief Scheme
MISCELLANEOUS
· Rules & Regulations of Service & Conduct
· PRED
· Leave Rules
· Transfer Rules
· Reimbursement of Conveyance Expenses
THE MOST IMPORTANT HR SUB-SYSTEMS ARE
 Organizational Planning and Development :
The process of planning and developing an appropriate organizational structure which
will ensure effective work performance, fruitful interpersonal relations and formation of
homogeneous, cohesive and interacting informal groups.
 Staffing:
Process of obtaining and maintaining capable and competent personnel to fill all
positions in the organization. This includes manpower planning, recruitment, selection,
placement, induction and orientation, transfer, promotion and separation.
 Training and Executive Development:
Process of training and developing employees so as to develop their full potential for
optimum efficiency in effective job performance.
 Motivation:
Process of motivating employees so as to secure their integration with the
organization and attain the optimum level of efficiency and effectiveness towards the
achievement of organizational goals.
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 Wage and Salary Administration:
Process of compensating employees adequately, equitably and fairly. It is concerned
with the process of compensation directed towards remunerating employees for services
rendered and motivating them to achieve the desired levels of performance. This includes, job
evaluation, wage and salary programmes, incentive compensation, performance appraisal.
 Employee Services:
Process of maintaining a healthy and effective human organization. These services
include safety, employee counseling, medical services, recreation, canteen and other welfare
programmes apart from leave, provident fund, pension and gratuity programmes.
 Employee Records:
In employee records complete and up to date information is maintained about
employees, so that these records may be utilized, if need be, at the time of making transfers /
promotions, giving merit pay, or sanctioning leave and at the time of termination of service.
Such records include information relating to personal qualifications, special interests,
aptitudes, results of tests and interviews, job performance, leave promotions, rewards and
penalties.
 Personnel Research and Personnel Audit:
Process of evaluating the effectiveness of personnel programmes policies and
procedures and developing more appropriate ones. Data relating to quality , wages,
productivity, grievances , absenteeism, labor turnover, strikes, lock-outs, accidents etc. are
collected and supplied to the top management so that it may review , alter or improve existing
personnel policies, programmes and procedures. Morale and attitude surveys are conducted
periodically to evaluate employee’s perception of the HR practices in their organization.
 Labour Relations:
This means maintenance of healthy and peaceful labour management relations so that
production / wok may go on undisturbed.
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1. Grievance handling policy and procedures are developed, after finding the nature and
causes of grievances.
2. Rules and regulations are framed for the maintenance of discipline in the organization.
3. Efforts are made to observe and comply with the labour laws of the country.
BOSCH is known for its excellence in training and employee development having
structured training programmes for all levels of the employees. Several internal and external
training programmes aimed at development of leadership skills, improvement of managerial
effectiveness, innovative and lateral thinking for problem solving, development of customer-centric
culture etc., were conducted to enhance the performance of employees. The company
also received an award for excellence in Human Resource Practices from the HRD Congress
of India, held in January 2002.
The primary objective of BOSCH remains the same as the one Robert Bosch had
envisioned: “To build an organization engaged in worthwhile activities and one which
ensures its employees a good work culture.” The Human Resource of BOSCH is the
backbone of the Company and has contributed to achieve the historical success. The key
developments of Human Resource and a wonderful work culture have created a value added
potential and competitive advantage to this firm.
One of the key sources of inspiration is the planned training programmes and the
caring nature of highly skilled trainers. The training is also unique because of the multi-directional
approach. BOSCH is an highly diversified Manufacturing Company having more
than 10,000 employees.
Under BOSCH INCENTIVE SCHEME, employees boost production and their pay
packets. The SUGGESTION SCHEME seeks to channelize innovative thinking, making it
beneficial to the Company and rewarding to the employees. APPLICATION OF TIME
MEASUREMENT METHODS and the wide use of special purpose machines have greatly
contributed to the enhanced productivity.
The CONTINUOUS IMPROVEMENT PROCESS (CIP) is participation of
employees at all levels has also been introduced at BOSCH This is a thorough action process,
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which always questions the present system, processes and behavioral systems in all fields, at
all, levels and improves them. It is a time bound action plan that ensures effective
implementation. This helps in identifying flaws in working methods, and helps to bridge the
gap between ideal work methods and present methods. Customer orientation and satisfaction
stays at the core of CIP. This is achieved through improvements in Quality, Cost and
Delivery. CIP has no end.
The goal of CIP is to 
 Initiate small improvements in daily activities.
 Involve all employees.
 improve continuously Quality, Cost and Delivery
LERNSTATT activities are organized by the moderators to make the group aware of
the requirements. The activities are not limited to one level in the hierarchy. It is planned to
be propagated to all levels in the organization. This is to tie up communication and improve
teamwork at all levels.
Continuous training through Regular workshops and Seminars helps employees at
BOSCH to upgrade their skills and widen their professional outlook.
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AWARDS:
2009:
 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
company’s 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.
2008:
 June 21, 2008: Business Standard Award ‘Star MNC of the year’
Bosch was noted for its cutting edge technologies, especially for designing and
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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 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.
2007:
 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.
2006:
 Aug. 17, 2006: Dun & Bradstreet American Express Corporate Award - ‘Top
Indian company in the Auto Components sector’
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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.
 Aug. 10, 2006: EEPC Award – ‘Star Performer for outstanding export
performance’
The Engineering Export Promotion Council (EEPC) conferred the 'Star Performer' for
outstanding export performance in the large enterprises category on Bosch Ltd, which
garnered a total export figure of Rs 423 crores in 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.
2005:
· Jan. 8, 2005: Overdrive–Auto 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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2.6 Corporate functions:
Corporate Sectors:
1. CI -------------Information systems and services.
2. CP-------------Purchasing and Logistics.
3. CR-------------Research and advance engineering.
Corporate Departments:
1. External affairs, Government and political relations.
2. Automotive systems integration
3. Accounting and Organization
4. Internal auditing
5. Corporate affairs and planning
6. Corporate and marketing communication brand management.
7. Controlling, Planning and Mergers & Acquition.
8. Corporate strategy
9. Technology coordination
10. Finance and financial statements
11. Associate and organization development
12. Human resource management
13. Human resource policy(German only)
14. Human resource senior executive.
15. Insurance
16. Intellectual property
17. Information security and privacy.
18. Legal service
19. Manufacturing co-ordination, production system development and investment
planning
20. Corporate marketing and sales
21. Health, safety & fire, and environmental protection.
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22. Quality management
23. Real estate and facilities
24. Restructuring projects
25. Taxes and Customs duties.
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PLANT LOCATION:-
 BANGALORE, KARNATAKA
Products Manufactured: - Multi and single cylinder fuel injection pumps, common rail
pumps, elements, delivery valves and components for the VE pumps
 NASHIK, MAHARASHTRA
Products Manufactured: - Classical and euro series of nozzles and injectors, common
rail injectors
 NAGANATHAPURA, KARNATAKA
Products Manufactured: - Starters and alternators for commercial vehicles, spark
plugs, glow plugs, engine cooling fan module, regulators, single cylinder pumps, few
gasoline products
 JAIPUR, RAJESTHAN
Products Manufactured: - VE (mechanical) pumps for domestic market and export
purchases
 VERNA, GOA
Products Manufactured:- Packaging machines
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FACILITIES AVAILABLE TO EMPLOYEES :-
 BOSCH LIBRARY :-
1) BOSCH general library
2) BOSCH technical library
 BOSCH SPORTS CLUB STARTED IN 1956 : -
1) Provides recreation to employees and their family members
2) Promote and encourage sports man spirit
 PRED: - Performance Review and Employee Development
It is an annual feature of BOSCH where in employee’s Performance is evaluated
 CANTEEN : -
Technical Director, Mr. E. LANG, started BOSCH canteen in 1959. The canteen in
Bangalore is a show piece of the factory and one of the best equipped in the country and it
can accommodate 1200 persons at a time. An advisory committee on which the employees
have an equal representation with the nominee from the management guides the working of
the canteen.
 MEDICAL : -
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Medical center works round the clock and also provide a 24 hours ambulance service.
Most of the medicines are dispensed here. The medical also liaisons with important hospitals,
labs and senior medical consultants in the city.
Chapter 3
3.1 CHANGE MANAGEMENT:
Meaning:
Definition of Change
In a very general sense, change can be defined as, to make or become different or
begin to have a different form. For example, post war recovery of Japan to its present state is
significant.
In other sense change also means dissatisfaction with the old and belief in the new.
Dissatisfaction can arise out of the perceived deficiency in an existing system.
Deficiency is also the ability of system to respond to environmental pressures and
technological impacts.
Defining Change Management:
In a very simple term Change Management can be defined as the process, tool and
techniques to manage the people-side of change process, to achieve the required outcomes,
and to realize the change effectively within the individual change agent, the inner term, and
wider system.
Change management is a systematic approach to dealing with change, both from the
perspective of an organization and on the individual level. A somewhat ambiguous term,
change management has at least three different aspects, including: adapting to change,
controlling change, and effecting change. A proactive approach to dealing with change is at
the core of all three aspects. For an organization, change management means defining and
implementing procedures and/or technologies to deal with changes in the business
environment and to profit from changing opportunities.
Successful adaptation to change is as crucial within an organization as it is in the
natural world. Just like plants and animals, organizations and the individuals in them
49

inevitably encounter changing conditions that they are powerless to control. The more
effectively you deal with change, the more likely you are to thrive. Adaptation might involve
establishing a structured methodology for responding to changes in the business environment
(such as a fluctuation in the economy, or a threat from a competitor) or establishing coping
mechanisms for responding to changes in the workplace (such as new policies, or
technologies).
Terry Paulson, the author of Paulson on Change, quotes an uncle's advice: "It's easiest to ride
a horse in the direction it is going." In other words, don't struggle against change; learn to use
it to your advantage.
Managing Change
It is not easy to manage change. To survive and eventually to prosper, an organisation
must monitor is external environment and align itself with changes that occur or tend to
occur. Sometimes change could be so rapid that there is no time to adjust before more change
takes place.
Change management principles
1. At all times involve and agree support from people within system (system =
environment, processes, culture, relationships, behaviors, etc., whether personal or
organizational).
2. Understand where you/the organization is at the moment.
3. Understand where you want to be, when, why, and what the measures will be for
having got there.
4. Plan development towards above No.3 in appropriate achievable measurable stages.
5. Communicate, involve, enable and facilitate involvement from people, as early and
openly and as fully as is possible.
John P Kotter's 'eight steps to successful change'
1. Increase urgency - inspire people to move, make objectives real and relevant.
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2. Build the guiding team - get the right people in place with the right emotional
commitment, and the right mix of skills and levels.
3. Get the vision right - get the team to establish a simple vision and strategy, focus on
emotional and creative aspects necessary to drive service and efficiency.
4. Communicate for buy-in - Involve as many people as possible, communicate the
essentials, simply, and to appeal and respond to people's needs. De-clutter
communications - make technology work for you rather than against.
5. Empowers action - Remove obstacles, enable constructive feedback and lots of
support from leaders - reward and recognize progress and achievements.
6. Create short-term wins - Set aims that are easy to achieve - in bite-size chunks.
Manageable numbers of initiatives. Finish current stages before starting new ones.
7. Don't let up - Foster and encourage determination and persistence - ongoing change -
encourage ongoing progress reporting - highlight achieved and future milestones.
8. Make change stick - Reinforce the value of successful change via recruitment,
promotion, and new change leaders. Weave change into culture.
Types of Change:
1. Happened Changes:
This is rather unpredictable and that takes place naturally due to external
factors. It is profound and traumatic for it is out of direct control and produces a
future state that I largely unknown. This type of change occurs when an organisation
reaches a plateau in its life-cycle and falls prey to unwieldy demand from the
environment.
2. Reactive Change:
Changes that are clearly in response to an event or series of events are termed
reactive. Generally, most companies are engaged in reactive, often incremental
change. These changes are attempted when demand for a company’s product/service
registers an increase or decrease, or a problem/crises occurs or develops
3. Anticipatory Change:
Change carried out in expectation of an event or series of events is called
anticipatory change. Organisations in terms of their anticipation, may tune-in reorient
51

themselves to future demands. Tuning in would involve making incremental changes
in anticipation of external events. Reorientation involves changing the organisation
from the existing state towards a designed future state, and managing the transition
process.
4. Planned Changes:
Planned change or developmental change is undertaken to improve upon
current way of operating. It is a calculated change, initiated to achieve a desirable
output/performance and make the organisation more responsive to internal and
external demands. This type of change, where the future state is being consciously
chosen, is not a s threatening. However, it does require system / subsystem level
support to survive.
5. Incremental Change:
Changes directed at the micro level and focused on units/subunits/composed
within an organisation are termed incremental changes. Changes are brought in
generally and are usually adaptive in nature. It provides the organisation an
opportunity to learn from its own experiences. A failed incremental change will cause
less damage to total system then an unsuccessful large scale change.
6. Operational Change:
This is necessitated when an organisations goals remaining the same, intended
to change focuses on how to improve existing operations to perform better.
Operational changes include bringing in new technology, reengineering the work
processes, quality management, better distribution and delivery of products, and
enhancing interdepartmental coordination.
7. Strategic Change:
Change that is addressed to the organisation as a whole or to most of the
organisations components, including strategy, may be called strategic change. An
example could be a change in the organisations management style by reducing the
52

organisations hierarchical level which makes the organisation, leaner, flexible,
decentralised and which allows itself a considerable degree of autonomy.
8. Directional change:
A change in direction may become imperative for organisation due to severe
competition or regulatory shifts in government policy and control. Directional change
is also critical when the organisation is developing a new strategy or incapable of
executing effectively its current strategy.
9. Fundamental Change:
This entails a redefinition of the current purpose of mission of the
organisation. It may be necessitated by drastic changes in the business environment,
the failure of the current corporate leadership, problems with the employee morale, or
a low turnover.
10. Total Change:
For total change, the organisation is constrained to denvelop a new vision and
a strong link between its stratergy , employees and business performance. The
organisation has to achieve a turnaround or perish. The total change is necessary to
extricate the organisation from the rot and a new vision and drastic surgery could be
the only way out for the organisation to do so
11. Transformational Change:
Such a change involves the entire or a greater part of the organisation. It could
be the change in the shape, structure or nature of the organisation. Organisational
change takes time to occur and will not happen unless people are comfortable in the
current state and think and feel change is a must.
12. Revolutionary Change:
Abrupt change in organisational strategy and design represents revolutionary
change. Such change comprises 3Es:
53

Envisioning: Is to articulate a clear and credible vision and a new strategy to realize the
vision.
Energising: It is mobilizing the employees, individually and collectively as well as
demonstrating and inculcating the excitement for change.
Enabling: It is to provide the necessary resources, support structures and processes.
3.2 Manual Recruitment and Selection:
The recruitment and selection is the major function of the human resource department
and recruitment process is the first step towards creating the competitive strength and the
strategic advantage for the organizations. Recruitment process involves a systematic
procedure from sourcing the candidates to arranging and conducting the interviews and
requires many resources and time. The elements in recruitment process are as follows:
 Post to be filled
 Number of persons required
 Duties to be performed
 Qualifications required
 Preparing the job description and person specification
 Locating and developing the sources of required number and type of
employees(Advertising etc)
 Short-listing and identifying the prospective employee with required characteristics.
 Arranging interviews with the selected candidate.
 Conducting the interview and decision making.
Recruitment Process:
54

 Identify vacancy
 Prepare job description and person specification
 Advertising the vacancy
 Short-listing
 Arrange interviews
 Conducting interviews and decision making.
The recruitment process is immediately followed by the selection process i.e. the final
interviews and the decision making, conveying the decision and the appointment formalities.
Purpose & Importance of Recruitment:
 Attract and encourage more and more candidates to apply in the organization.
 Create a talent pool of candidate to enable the selection of best candidate for the
organization.
 Determine present and future requirements of the organizations in conjunction with its
personal planning and job analysis activities.
 Recruitment is the process which links the employers with the employees.
 Increase the pool of job candidate at minimum cost.
 Help increase the success rate of selection process by decreasing number of visibly
under qualified or overqualified job applicants.
 Help reduce the probability that job applicants once recruited and selected will leave
the organization only after a short period of time.
 Meet the organizations legal and social obligations regarding composition of its
workforce.
 Begin identifying and preparing potential job applicants who will be appropriate
candidates.
 Increase organization and individual effectiveness of various recruiting techniques
and sources for all type of job applicants.
55

Sources of Recruitment:
Every organization has the option of choosing the candidates for its recruitment
processes from two kinds of sources: internal and external sources. The sources within the
organization itself (like transfer of employees from one department to other, promotions) to
fill a position are known as the internal sources of recruitment. Recruitment candidates from
all the other sources (like outsourcing agencies etc.) are known as the external sources of
recruitment.
Internal Sources:
 Transfer
 Promotions
 Upgrading
 Demotions
 Retired employees
 Retrenched employees
 Dependents and relatives of deceased employees.
External Sources:
 Press advertisements
 Educational institutes
 Employment exchanges
 Placement agencies/outsourcing
 Labour contractors
 Unsolicited applicants
 Employee referrals
 Recruitment at factory gate
56

Factors affecting recruitment process:
The recruitment function of the organizations is affected and governed by a mix of
various internal and external forces. The internal forces or factors are the factors that can be
controlled by the organization. And the external factors are those factors which cannot be
controlled by the organization. The internal and external forces affecting recruitment function
of an organization are
Factor effecting recruiting
57

About E-recruitment:
The buzzword and the latest trends in recruitment is the “E-Recruitment”. Also
known as “Online recruitment”, it is the use of technology or the web based tools to assist the
recruitment process. The tool can be either a job website like naukri.com, the organizations’
corporate web site or its own intranet. Many big and small organizations are using Internet as
a source of recruitment. They advertise job vacancies through worldwide web. The job
seekers send their applications or curriculum vitae (CV) through an e-mail using the Internet.
Alternatively job seekers place their CV’s in worldwide web, which can be drawn by
prospective employees depending upon their requirements.
The two kinds of e- recruitment that an organization can use is –
 Job portals: i.e. posting the position with the job description and the job specification
on the job portal and also searching for the suitable resumes posted on the site
corresponding to the opening in the organization. Creating a complete online
recruitment/application section in the companies own website. - Companies have
added an application system to its website, where the ‘passive’ job seekers can submit
their resumes into the database of the organization for consideration in future, as and
when the roles become available.
 Resume Scanners: Resume scanner is one major benefit provided by the job portals to
the organizations. It enables the employees to screen and filter the resumes through
pre-defined criteria’s and requirements of the job
Job sites provide a 24*7 access to the database of the resumes to the employees facilitating
the just-in-time hiring by the organizations. Also, the jobs can be posted on the site almost
immediately and is also cheaper than advertising in the employment newspapers. Sometimes
companies can get valuable references through the “passers-by” applicants. Online
recruitment helps the organizations to automate the recruitment process, save their time and
costs on recruitments.
58

Online recruitment technique:
 Giving a detailed job description and job specifications in the job postings to attract
candidates with the right skill sets and qualifications at the first stage.
 E-recruitment should be incorporated into the overall recruitment strategy of the
organization.
 A well defined and structured applicant tracking system should be integrated and the
system should have a back-end support.
 Along with the back-office support a comprehensive website to receive and process
job applications (through direct or online advertising) should be developed.
Therefore, to conclude, it can be said that e-recruitment is the “Evolving face of
recruitment.”
Advantages of E-recruitment process:
There are many benefits – both to the employers and the job seekers but the e-recruitment is
not free from a few shortcomings. Some of the advantages and the disadvantages of e-recruitment.
Advantages of E-Recruitment are:
 Lower costs to the organization. Also, posting jobs online is cheaper than advertising
in the newspapers.
 No intermediaries.
 Reduction in the time for recruitment (over 65 percent of the hiring time).
 Facilitates the recruitment of right type of people with the required skills.
 Improved efficiency of recruitment process.
 Gives a 24*7 access to an online collection of resumes.
59

 Online recruitment helps the organizations to weed out the unqualified candidates in
an automated way.
 Recruitment websites also provide valuable data and information regarding the
compensation offered by the competitors etc. which helps the HR managers to take
various HR decisions like promotions, salary trends in industry.
Disadvantages:
Apart from the various benefits, e-recruitment has its own share of shortcomings and
disadvantages. Some of them are:
 Screening and checking the skill mapping and authenticity of million of resumes
is a problem and time consuming exercise for organizations.
 There is low Internet penetration and no access and lack of awareness of internet
in many locations across India.
 Organizations cannot be dependant solely and totally on the online recruitment
methods.
 In India, the employers and the employees still prefer a face-to-face interaction
rather than sending e-mails.
3.4 About “Optimization Of Staffing Process”:
Due to the global challenges in recruiting (“war for talent”) within the next years
Bosch decided to start a BHS project (SP 10) to optimize the staffing process. Result of the
project “Optimization Staffing Process” (OSP) will be the definition of a global standard
process and the realization of a global Standard-System on the basis of SAP eRecruiting 6.0.
Benefits of the system are a global candidate pool to broaden candidate sources, an attractive
career portal and a state-of-the-art System. The system will improve the process efficiency,
the volume handling and the management reporting. BHS Steering Committee decided on
April 30,2008 that the implementation of the system is obligatory to maintain
competitiveness in recruiting.
60

Consequences / Rollout Projects
The responsibility for the implementation is given to the countries, because of the
specific local requirements within the different local markets. It is intended to implement the
system in 32 countries. Due to technical complexity (rated by experts), countries are
classified into 3 groups: high, medium and low complexity. This will influence the number
and duration of the Rollout projects per year. The following countries are considered for the
first Rollout projects in 2009: India (Pilot), China, Germany and Benelux. For 2010 it is
planned to start the Rollout projects in USA/Canada/Mexico, Czech Republic, Turkey and
Japan. According to the first rollout experience and the available capacities the planning for
the next years will be revised and provided for the business planning 2010 in II/2009. Parallel
activities in the area of eRecruiting tools need a special approval by C/HMS4 according to
“HR Central Directive Information Technology in HR Units”.
Goals of OSP:
 Support recruiting activities with a global standard system
 Build global available pool of candidates (internal and external).
 Build global internal and external job market.
 Reduce administrative efforts.
 Improve effectiveness of processes by increasing hiring speed.
 Increase customer satisfaction with HR staffing services.
 Transparent and consistent recruiting-process.
 Definition and realization of one global harmonized system framework
taking local needs into consideration
61

Benefits:
 Improved process efficiency.
 Recruiters can reach candidates faster.
 Immediate feedback.
 Increase hiring speed & efficiency.
 Process flow will be faster than today.
 Decrease costs for advertisement of vacancies.
 Higher satisfaction of line manager.
 It supports flexible communication templates
 Filling a position will be realized in an efficient and cost-effective way
 IT solution supporting the proper flow of information between candidates,
recruiters and department.
62

The process is standardized and transparent
Selection
Pre-Select &
generate short list
idate
an d
e s
v iti
ti
63
Requisition &
Posting
Create & approve
vacancy
Publish vacancy
Receiving
applications
Hiring &
Transfer
Decide & make
offer
Applicant Pool
Submit application
(external)
e s
v iti
ti
e r
a c
R e c r
u i t
Submit application
(internal)
Pre-Selection Selection Hiring & Transfer
Candidate
community
C
a c
-

Chapter 4
Design of the Study:
 Title of study: Change Management & Optimization of Staffing Process
4.1 Scope of the Study:
One of the biggest challenge faced by the company throughout the world (Pilot Project)
through OSP, and to implement this effectively and efficiently and to know the employees
view towards this change and how effective it would be then the manual recruitment process.
4.2 Statement of Problem:
In this competitive era, Bosch wanted to come up with a new method of recruiting
and selection, were in they could pool the candidates globally, so they have come up
with a new pilot project called OSP “Optimization of Staffing Process” and they
wanted to know employees attitudes to this change.
4.3 Objectives of the study:
1. To study the organization and its functions
2. To understand the type of change occurred Bosch.
3. To know how employees response over local recruitment process over global
process.
4. To understand the automation process and its benefits.
5. To know recruiters attitude towards the change management.
6. To suggest the measures for the same
4.4 Sampling Plan:
Sampling frame: HR department employees involved into recruitment activities.
Sample size : 26 respondents
64

Data collection method:
The study required data to be collected from both primary and secondary
sources. A survey was undertaken with the help of questionnaire to collect primary data and
interaction was done with HR department.
Secondary data was collected from company manuals to strengthen the findings
of primary data and gain a better understanding. The data collected was then
compiled, tabulated, analyzed and will be represented in the form of graphs.
LIMITATION
 As far as my observations goes few respondents were hesitate to give appropriate
reasons
 There was time constraint to conduct a survey at BOSCH
65

Chapter V: Data analysis and Interpretation.
1) Automation of recruitment and selection makes work simpler than before.
Table No. 5.1
S. No Option Response Percentages
1 Strongly agree 16 62%
2 Agree 10 38%
3 Disagree 0 0%
4 Strongly Disagree 0 0%
Total 26 100
Graph 5.1
The data presented in table 5.1 and graph 5.1 indicates the response from the employees in
the HR department who are into recruitment and selection process. The respondents strongly
agree at 62% and agree at 38%. The overall analysis shows that respondents are in favour of
automatic recruitment and selection in the organization.
2) Online recruitment process sufficient in getting the right candidate
66

Table No. 5.2
2 Agree 20 77%
3 Disagree 6 23%
4 Strongly disagree 0 0%
Total 26 100%
Graph 5.2
the HR department who are into recruitment and selection process. The respondents agree at
77% and disagree at 23%. The overall analysis shows that 77% respondents say that there are
chances of getting right candidate.
3) Online recruitment system capable enough, to handle recruitment needs of high
number of candidates.
Table No.5.3
67

1 Very high Extent 6 23%
2 High Extent 16 62%
3 Moderate extent 4 15%
4 Low Extent 0 0%
Total 26 100%
to a very high extent at 23%, agree to high extent at 62% and agree to moderate extent at15%.
The overall analysis shows that 62% respondents agree to high extent say that online
recruitment system capable enough, to handle recruitment needs of high number of
candidates.
4) Online recruitment and selection gives organization a competitive edge.
Table No. 5.4
2 Agree 14 54%
3 Disagree 2 8%
68
Graph -5.3

Total 26 100%
agree at 38%, agree at 54% and disagree at 8%. The overall analysis shows that 54%
respondents say that online recruitment and selection gives organization a competitive edge.
5) Automation of recruitment process as cost effective
Table No.5.5
4 Low Extent 0 0%
Total 26 100%
69
Graph -5.4

to a very high extent at 7%, agree to high extent at 77% and agree to moderate extent at16%.
The overall analysis shows that 77% respondents agree to high extent automation of
recruitment process as cost effective.
70
Graph -5.5

6) Need to streamline the sourcing of resumes through an automated system for better
tracking in database.
Table No. 5.6
4 Low Extent 0 0%
Total 26 100%
to a very high extent at 46%, agree to high extent at 54%.The overall analysis shows that
54% respondents agree to high extent that there is need to streamline the sourcing of resumes
through an automated system for better tracking in database.
71
Graph -5.6

7) Online recruitment simplifies scheduling of candidates for interviews.
Table No. 5.7
2 Agree 20 77%
3 Disagree 0 0%
Total 26 100%
agree at 23%, and agree at 77% .The overall analysis shows that 77% respondents agree
online recruitment simplifies scheduling of candidates for interviews.
8) Online recruitment and selection process enhances the quality of hires.
72
Graph -5.7

Table No. 5.8
4 Low Extent 0 0%
Total 26 100%
to a very high extent at 8%, agree to high extent at 54% and agree to moderate extent at
38%.The overall analysis shows that 54% respondents agree to high extent online recruitment
and selection process enhances the quality of hires.
9) Recruitment data standardized and easily accessible due to automation.
Table No.5.9
73
Graph 5.8

2 Agree 16 62%
3 Disagree 2 8%
Total 26 100%
agree at 31%, agree at 61% and disagree at 8% .The overall analysis shows that 61%
respondents agree that recruitment data standardized and easily accessible due to automation
10) Automation in the recruitment data updating process
Table No. 5.10
74
Graph -5.9

4 Low Extent 0 0%
Total 26 100%
23%.The overall analysis shows that 54% respondents agree to high extent that automation in
the recruitment data makes updating easier.
11) Need to link the recruitment and induction process.
Table No.5.11
75
Graph 5.10

2 High Extent 6 23%
4 Low Extent 0 0%
Total 26 100%
38%.The overall analysis shows that 39% respondents agree to very high extent that there is
need to link the recruitment and induction process.
12) Rating the global system over the local recruiting system.
Table No. 5.12
1 Very good 4 15%
2 Good 14 54%
3 Satisfactory 6 23%
76
Graph -5.11

4 less Satisfacrory 2 8%
Total 26 100%
Interpretation:
the HR department who are into recruitment and selection process. The respondents it is very
good at 15%, good at 54%, satisfactory at 23% and less satisfactory at 8%. The over all
analysis say that 54% say good for the global system over the local recruiting system
77
Graph -5.12

Chapter 6:
Need for change:
 The degree of IT support in the entire recruitment process was lacking with no
standard process set.
 Currently there is low level of system coverage in inspite of high effort in recruitment
and ongoing operations i.e. inability to share the information
 There was no centralized applicant pool with pre-selected applications that can be
accessed across locations or where the applicant’s history can be stored for future
reference.
 The company required worldwide process standardization and continuous
improvements compared to the present recruitment system
 There was no pool of candidates globally.
 High administrative effort and high amount of paper application.
 It took more time and effort for recruiting
78

BOSCH LTD

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