Bosch SDS and SAP harness synergies to revolutionize the world of automotive manufacturing

Date:May 17, 2024

Author name:Rakesh Kumar Murugan

Date:May 17, 2024

Author designation: Senior Director, Business Head – Sustainability & Digital Transformation, Bosch SDS, APAC

The world is currently in the fast lane of an impending automotive revolution. Just a few years ago, we were discussing the potential of EVs. However, today, not only are EVs becoming a common sight, but we also see innovative technologies such as generative AI and AIoT making the automotive sector more data-driven. This includes improving the entire production pipeline, whether in design, forecasting, manufacturing, or production, and enhancing and personalizing the customer experience.

What does this mean for automotive manufacturers? Promptly acting on digitalizing operations to seize growth opportunities faster and future-proof business.

Fortunately, many automotive manufacturers are leaning on digital manufacturing to plan according to the ever-changing global paradigm and pivot quickly. According to a 2023 McKinsey study, 70% of automotive manufacturers are looking at building new business models that focus on agile ways of working, sustainable operations, building resilience in systems and processes, and creating innovative value propositions. As a leading provider of I4.0 solutions, Bosch Software and Digital Solutions (Bosch SDS) orchestrates this very transformation for global enterprises.

At the recent SAP Automotive Innovation Day, which showcased SAP’s offerings for the Indian automotive industry, Bosch SDS reiterated its commitment to integrated automotive manufacturing with a focus on the digital thread that connects multiple elements and systems.


Understanding the ‘digital thread’

The digital thread strategy encompasses Robert Bosch Enterprise Data Lake (REDLake) – an information pool of a variety of data. REDLake connects multiple solutions and assets to offer valuable insights and information across each stage. By seamlessly integrating with SAP Product Lifecycle Management (PLM), Bosch SDS can efficiently transform ideas into real-world assets.

This integrated framework ensures meticulous tracking of outdated components (obsolescence management), maintains clear version control, and facilitates collaborative engagement with vendors.

From the inception of product engineering through the intricacies of manufacturing and operations, all the way to the refinement of service engineering, Bosch SDS’s holistic approach ensures a smooth flow of information and collaboration, thereby reducing new product development (NPD) cost and timeline by ~10% to start with and help build robust products with in-use analytics from the field. Moreover, on the shop floor, this approach facilitates notable improvements across varied key performance indicators, including a 10% reduction in energy costs, a 20% increase in productivity, a 10% boost in Overall Equipment Effectiveness (OEE), and a streamlined 10% reduction in inventory.


Bosch SDS and SAP – pioneering auto manufacturing with a common goal

Bosch SDS has a holistic ecosystem called A.C.T.I.V.E supply chain ecosystem. With SAP as its digital core, this integrated platform brings together plants, suppliers, and logistics service providers, creating a cohesive network monitored through a digital control tower.

SAP’s India Stack and Business Technology Platform (BTP) serves as the lynchpin of this ecosystem, providing preconfigured solutions that epitomize operational efficiency and scalability for its customers. This ecosystem links data, functions, and applications into a single integrated platform through SAP BTP, which can be integrated with SAP Co-pilot Joule.

The digital control tower embodies cutting-edge supply chain management, integrating real-time data from disparate sources into centralized information hubs by leveraging the combined power of REDLake, Track 360, and BTP. Bosch SDS’s digital control tower gathers warehouse status data from various geographical locations, enabling the creation of customized solutions to address market demands effectively. Further harnessing advanced analytics, actionable insights form the foundation of personalized operational strategies, ensuring swift adaptation to evolving market dynamics in near-real-time.


Going the extra mile

Bosch SDS’s dominance in Industry 4.0 arises from a bedrock of constant innovation and unwavering commitment. With a network of more than 280 manufacturing facilities worldwide, all seamlessly coordinated through a unified manufacturing execution system (MES) platform, Bosch SDS exemplifies operational harmony and efficiency. The MES uses Bosch DeviceBridge for integration and Bosch DeepSIGHTS for energy management. It is further powered by 60+ AI-based asset classes for ready configuration.


A proven case of manufacturing excellence

The collaboration between Bosch Rexroth and SAP truly demonstrates the shared commitment to enhancing digital manufacturing and manufacturing enterprise transformation. A case in point is Bosch Rexroth, a leading provider of automation solutions for industrial and mobile applications.

The introduction of SAP Digital Manufacturing at the Lohr plant marks a revolutionary step in streamlining operations at Rexroth – which is now rolled out to 3 more plants. By integrating multiple MESs into SAP’s platform, Bosch Rexroth has harnessed the potential of data-driven analysis to boost operational effectiveness to unparalleled levels. The insights drawn from Digital Manufacturing (DM) act as the driving force behind ongoing enhancements, showcasing Bosch SDS’ dedication to pioneering operational superiority.


Cruising toward an efficient future

Bosch SDS also unveils the LeAD (Lean, Automation, and Digital) framework as a symbol of its strong commitment to exceptional operational quality. Encompassing a broad spectrum of digital transformation endeavors, from consulting to factory automation and sustainability solutions, LeAD serves as a holistic approach to navigating the complexities of digital evolution.
Positioned as a premier destination for digital manufacturing and supply chain excellence, Bosch SDS, in strategic collaboration with SAP, will continue to offer an array of solutions that bridge organizational boundaries, pioneering a new age of streamlined operational coherence.

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