The BOSCH Monopoly -
in automobile Component Sector
In this blog, you will get to know about a company that helped the entire automobile industry to reach where they are today. Can you guys guess the name of that company?
Introduction:
I am talking about the German company BOSCH. This company is world’s largest automobile component maker. Not only they work with almost all car manufacturers they also make Batteries, Brake pads, Diesel engine parts, Filters, spark plug even they make wiper also and these are just few names there is long list of items that BOSCH make. You name any part related to automobile they make that. BOSCH either worked with or work for almost every car companies from TATA to BMW.
BOSCH not only make car components they also make electrical tools as well as electronic goods. But the main innovation by BOSCH was in the automobile sector so we will restrict our discussion only on that.
Starting of BOSCH:
This giant company was started in 1886 by Robert Bosch in Stuttgart, Germany. Robert Bosch always wanted to do something by himself so he started his 1st workshop in November 1886. At first, he used to do precision mechanical works and electrical engineering works like installation of telephone system and electric bell system. His starting was slow but by 1890 he got some momentum.
BOSCH entry in automotive industry:
After getting the momentum BOSCH got a hold in automotive industry. The main component that made BOSCH successful is ignition magneto. At first it was used to produce voltage only.
The invention was not pre-planned. This all started when a mechanical engineer approached Mr. Bosch and told him that he had seen a German company to use magneto for ignition now he wanted that Mr. Bosch make something similar for automobile ignition. Mr. Bosch took the challenge and he made BOSCH – Magneto. This was a major success for BOSCH as a company also it gave a new life to BOSCH company.
After the major Success of BOSCH – Magneto. BOSCH revolutionised the spark plugs and made it the best market fit product. Yes, BOSCH just revolutionised the spark plug not invent this. Why I repeated this line you will understand that soon.
After inventing the ignition magneto and revolutionising the spark plug BOSCH developed world’s first car electrical system. In 1920s – 1930s many companies filed patents for ABS (Antilock Braking System) BOSCH was one of them. In 1936 BOSCH registered a patent for ABS in the name of ‘mechanism to prevent locking of the wheels of the vehicle’.
BOSCH – Mercedes Benz Safety Project:
Do you know what is Moose Test?
If yes, then awesome. If you don’t know no worries, let me tell you what it is. This Moose Test is to test the stability of a vehicle if any sudden turn taken in high-speed for any obstacle. To make sudden/panic turn safer BOSCH & Mercedes Benz co-developed a system and named it ESP [Electronic Stability Program].
These are just some major innovations by BOSCH. They have 1000s of innovations like this in the automotive sector.
BOSCH – Hitler collaboration:
BOSCH and Nazi party were very close. In-fact, in 1933 they started negotiation for making shadow factories. They did this in extreme secrecy. These shadow factories used to make electrical equipment for army tanks, trucks & tractors which used in the war. Till the last day of war all Nazi trucks, tanks used to have the starter element by BOSCH.
Despite of being this close, there are rumors that Bosch – Circle was involved in an attempted assassination of Hitler in 1944. (Bosch – Circle, was a group of senior executives of BOSCH company.)
BOSCH patents and employees:
BOSCH have filed lakhs of patents from starting to till date. A record shows that in between 2009 to 2018 BOSCH filed around 1,47,758 patents in automobile industry and non-automobile industry. This is a huge number for any company.
To do this much innovation BOSCH have a huge number of innovators. Today BOSCH in present in 60+ countries where they have over 4 lakhs of employees. Only the R&D department of BOSCH has 90,000 employees around the globe.
BOSCH in India:
BOSCH is one of the oldest company in India. It came to India in 1922 but the real growth happened when they proposed their plan of expansion to the P.M. Jawaharlal Nehru for making automobile parts indigenously.
In 1951, BOSCH incorporated a company named by the name Motor Industry Co. Ltd. The old people know this company as MICO. They started selling spark plugs in India under the name of MICO – BOSCH. Soon MICO – BOSCH became the synonym of spark – plug.
BOSCH have a huge contribution in Indian automobile industry. BOSCH made FI (Fuel Injection) system for agricultural vehicles. For big trucks they made multi cylinder FI engines. BOSCH started making speakers in India under the name of BLAUPNKT.
In 2005, BOSCH acquired 80% of a break manufacturing company named Kalyani Brakes. Till early 2010 BOSCH was the only supplier of ABS & ESP.
In-fact, Tata made BOSCH the main supplier for their project NANO, not only that TATA & BOSCH developed some technologies that helped TATA bring down the price of NANO so much.
Mahindra’s ADRENOX system is also developed by BOSCH. There are rumours that OLA Electric also approached BOSCH. BOSCH also make automation system for luxury car brands like Mercedes Benz as well as for sports car brands like BMW.
Bosch India possesses a turnover of more than $3 billion and employs over 31,000 people across 10 locations and 7 application development centres. Bosch India generates approximately 84% of its revenue from the automotive business. In India, Bosch also has R&D centres in Pune, Hyderabad, Coimbatore, and Bangalore. This is Bosch’s largest R&D operation outside of its home market, Germany.
Conclusion:
BOSCH has years of engineering legacy and I think that is the main reason that this company became world’s largest automobile component supplier and technology company. BOSCH is now almost 3 times larger in terms of revenue of the world’s 2nd largest automobile component supplier company Hyundai – Mobis.
Well, if you guys noticed that BOSCH started in 1886 and till date the company is not only running, it is world’s largest company (in its industry). So, from this real instance you can get some level of motivation that your growth may be slow but if you stay consistent you will achieve something big, something beyond your wildest dreams.
Thanks for tuning in. I hope you’ve enjoyed reading this post as much as I have enjoyed writing it. There’s still so much more to explore in the world of cars and bikes, and I’ll be back soon with more exciting content that’s sure, to get your engines revving. So don’t forget to subscribe our newsletter and stay tuned for our next instalment. Until then, keep on exploring all the thrilling adventures that the open road has to offer!
— by Shubhradwip Paul
