Tibor Dőry

Innovation and excellence

Management methods for innovation transformation


Developing Bosch's innovation ecosystem

As a result of Bosch's innovation ecosystem development strategy, the Innovation Ecosystem department was established in early 2022 within the Budapest Development Centre. It has three main areas of activity:
  1. the integration of artificial intelligence into products and support for manufacturing;
  2. developing university relationships and building a national framework;
  3. stimulating and developing internal innovation processes and building bridges with external players in order to involve startups in Bosch's developments.
 
The Bosch Hatvan factory has long been successfully applying the Continuous Improvement Process method, the most important goal of which is to involve machining operators in development and rationalisation. Over the years, the application of this method has created a motivating corporate culture and channels through which employees at all levels of the company can participate in the development of processes. The primary goal is to increase the efficiency of the manufacturing environment and manufacturing processes, e.g. by reducing cycle times or increasing utilisation. The focus is primarily on KPIs that are implemented in the manufacturing environment. At the development centre, the goal is much more product development, which may target a group of end users or even an OEM. A typical example is the enrichment of the functions of an existing product through a process of brainstorming and solution finding.
At a manufacturing company, developments typically have a typical life cycle. Initially, the quickly achievable successful developments, the "low-hanging fruit", are process optimisations implemented in production. These rationalisation measures and changes can be implemented over a period of years through work organisation, standardisation and the introduction of standardised work instructions, and they always result in some kind of savings or productivity gains. After production has started, an annual improvement of around 5-10% can be achieved relatively easily in production. After a few years, however, rationalisation measures reach their limit, and only significant costs can achieve relatively small savings and efficiency gains. The next step is to exploit the opportunities offered by digitalisation. Typically, the analysis of data that cannot be reviewed by the human eye or capacity can bring further savings opportunities.
Intensive innovation activities began at Bosch's Hungarian companies more than five years ago, based on international and domestic benchmarking within the group. Among other things, they examined how to embrace startup initiatives within the company and then, within the framework of an incubation programme, facilitate the creation of potentially viable prototypes (Minimal Viable Product, MVP) for them. The strategic goal of the department dealing with ecosystem development is to explore new innovation opportunities and develop business models. With this shift in focus, they aim to expand Bosch's product portfolio and better serve their customers. They want to connect to the developers' core business by looking at how they can add new features to what they are developing. An important part of the development activity is generating new ideas and integrating them into the development processes. Another direction of their innovation activity is to "explore", i.e. not related to ongoing developments, but innovation activity in completely new areas. This takes place through campaigns on various topics. They ask their development staff if they have any suggestions or ideas related to the topics set out or to Bosch's philosophy, the value system epitomised by the slogan "Invented for life". It is important that these developments represent new business and revenue streams or business models for Bosch.
Bosch can be considered a truly ambidextrous organisation and, as such, operates significant exploratory innovation processes alongside process development and other operational activities. This ambidexterity is also evident at the group level:
  • Robert Bosch Startup GmbH is a subsidiary whose main activity is the development of internal and external startups. This company operates Bosch's "grow platform", the group's international incubation programme.
  • Different business units have their own innovation programmes and areas, such as the Budapest-based InnoHub, where employees can pursue innovation activities. These are spaces where the company provides employees with the opportunity to develop their selected development ideas in more detail, for which Bosch also provides financial support. These spaces are typically operated by individual business units or regions, and management pays special attention to learning about and utilising the development results achieved here.
 

Innovation and excellence

Tartalomjegyzék


Kiadó: Akadémiai Kiadó

Online megjelenés éve: 2026

ISBN: 978 963 664 182 5

The aim of the book "Innovation and Excellence" is to inspire and encourage company leaders, managers, and experts to initiate and implement innovation transformations with the help of professional literature and corporate case studies. Another important goal is to help develop the innovation capabilities of small and medium-sized enterprises in particular by sharing simple, proven management methods that can be tested in practice.

The first part of the volume reviews the factors of corporate excellence and success, then highlights the possible sources of innovation, with a focus on the role of users and employees. The empirical section presents a detailed description of the supportive role of the workplace environment and creative working conditions based on corporate case studies (AUDI, BOSCH, MELECS). The volume concludes with a description of selected tested practical methods and management techniques that readers can try out in their own businesses.

Hivatkozás: https://mersz.hu/dory-innovation-and-excellence//

BibTeXEndNoteMendeleyZotero

Kivonat
fullscreenclose
printsave