Digital transformation in a global company
Digital transformation in a global company
The Bosch Group is not only undergoing digital transformation, but is intensively building solutions in the field of artificial intelligence and the Internet of Things – it is transforming from a traditional manufacturer of devices and equipment into an AIoT company. We talk to Tanja Rueckert, CDO of the Bosch Group, about innovations serving the world, the AI Code of Ethics and technology development vision.
Digital Director is a position that has different meanings in different companies. What are you doing in the bush?
At Bosch, we create technology for life – we want to improve people’s quality of life through connected, intelligent and sustainable solutions. That’s why we strive to be a leader in tree AI and today, many areas of our business are experiencing a digital transformation. As Head of the Bosch Group Digital Office, along with the entire global digital and IT team, I lead the way to this goal. Leveraging our expertise in Artificial Intelligence (AI) and the Internet of Things (IoT), we are improving our products and services, creating additional value for customers, and transforming from a traditional hardware and equipment manufacturer to an AIoT company.
As a CDO, I am responsible for several global teams dealing with the Internet of Things, software and digital solutions, as well as building trust in digital solutions. That’s why I lead the Bosch Group’s digital transformation in our four main business sectors: mobility solutions, industrial technology, consumer goods, and energy and construction technology.
For this reason, I visited the Center for Digital Competence and Information Technology in Warsaw, one of Bosch’s main IT centers. Our experts in Poland play an important role in the development of IT solutions for the Bosch Group around the world.
You have experience working in SAP as an IoT business unit and digital supply chain, PhD in Chemistry and more than 20 years of experience as a software industry executive. What areas of technology do you find most interesting or exciting?
The most interesting thing for me today, as a DSO, is the ability to implement cutting-edge innovations and technologies that make the lives of people around the world easier. AI, IoT, 5G are great, but what’s interesting to me is the process of generating value for customers and users who use these technologies. In the process, not only advanced work on the technology itself is important, but also a high level of strategic and analytical thinking. I like to work on such tasks in different teams, among talented colleagues.
What are the main challenges of Bosch’s digital transformation?
Digitization is one of the biggest transformations Bosch has seen since its inception. The Bosch Group’s digital transformation covers all areas and aspects of the company’s operations. We have been making products for 130 years. In addition, today we can be constantly connected with our products and machines by connecting them to the network (IoT). Thanks to this connection, we collect data and on this basis we know how customers use our products, machines and solutions. We can also identify new features that will make the product more useful. This is where artificial intelligence comes into play. It enables us to read, process and learn from large amounts of data. With their help, we can develop new functions and even completely new products.
For digital transformation to be successful, we are transforming not only our offering, but also our culture, the way we think and the ways we work – the internal processes and ourselves as a team.
In recent years, we have extensively developed our digital competencies. In 2017, we created the Bosch Center for Artificial Intelligence – BCAI, with locations in seven locations around the world. More than 200 projects in mobility, production, agriculture and smart homes have already been implemented there, and BCAI’s contribution to our financial results on a global scale already amounts to nearly $350 million. We have also developed training on digital topics for all departments, such as AI training for more than 35,000 employees. As you can see, we are on the right track to comprehensively implement digital transformation in our company!
What business objectives does digital transformation support?
At Bosch, we are always committed to developing the best products with the best possible technology. We want to make people’s work easier, improve road safety, make buildings more energy efficient and home appliances more efficient. In short: We offer “invented for life” technologies . Just look at our portfolio, where we have innovations that make life easier, but also those innovations that provide – for example our ESP mount system, airbag control unit or the rapid PCR test for COVID-19, which we developed last year For our Vivalytic devices. Digital technologies enable us to make improvements in every area of our business. One of the main technologies is AIoT – a combination of artificial intelligence (AI) and the Internet of Things (IoT).AI can draw conclusions from large amounts of data in seconds, enabling us to develop entirely new products and services. Digital transformation supports not only the specific business objectives of our company, but all objectives as well.
In your opinion, what are the essential attributes of an organization that enable it to achieve success in digital transformation? What is the organizational culture that leads to this?
To succeed in this transformation, the company must definitely focus on openness and creativity. Creativity feels good in the company of trust, open communication and agility, and not so well – within strict hierarchies.
On an individual level, we are more likely to learn, make improvements, and create new solutions if we work towards a goal important to us. But also – when we have the opportunity to take responsibility for our tasks, try new ways of behaving, make mistakes and learn from them. For this reason, we have changed Bosch’s work culture and leadership styles, as evidenced by the We Drive Bosch and Work LikeABosch strategies. We focus on common development, business enjoyment and mutual inspiration. I am convinced that this way of working is the key to a successful career, and at the same time – the key to successful digital transformation.
Transformation is done by people, so we must give them the opportunity to do so. In my role and management style, I follow a few basic principles. I never assume I know everything, so I find it necessary to break the hierarchy and listen to the experts. When it comes to challenges, I believe that we must not only be able to identify the problem, but also look for bold solutions that allow us to grow our business. These issues are crucial to me.
At the strategic level, the success of the transformation also requires a clear vision on the part of those in charge. “Digital” is a broad word and digital transformation is a very complex issue. A clear strategy helps to navigate and organize the process.
In short – a company culture that is open, flexible, and a clear vision must complement each other. We must also not forget to celebrate our successes together!
You said in an interview: “Our strong customer orientation and in-depth product knowledge means we are fully prepared for IoT and AI” – How do you work with IoT and AI? What are the latest innovations?
I think our strength at Bosch is that we saw the potential of the Internet of Things and AI very early on. Since 2013, we have integrated our products by applying the concept of the Internet of Things, so that people can live in a more comfortable, environmentally and economically efficient way. Today we use artificial intelligence in all sectors of our activity. Thanks to AIoT, we are investing not only in artificial intelligence, but also in human intelligence. The Bosch Center for Artificial Intelligence brings together the best experts in the field who develop the latest AI solutions within a global network. And customized training programs make us a pioneering team in the field of future technologies.
Can you give some examples of how connectivity, the Internet of Things and AI are used in Bosch products?
Of course, of course! Connectivity is a core feature of all our products: 100 percent of all Bosch electronics categories are now connected to the network. At the moment, we focus heavily on industrial solutions to make the production process more efficient thanks to the artificial intelligence of trees. One of the great questions of the 21st century is how to reduce carbon dioxide emissions while meeting the company’s production goals. With a Binary Energy Grid (BEN) solution, which can act as the central artificial intelligence of an energy management system, companies can maximize the use of self-generated electricity, reduce the amount of electricity they buy from the grid and avoid generating emissions in processing.
By integrating this technology with a heat supply system or electric vehicle charging infrastructure, companies can become more energy efficient. The power system can benefit from forecasts of grid stability and increased planning certainty.
Another example is the automotive sector, where the use of AI-equipped products helps prevent accidents, reduce road hazards, and protect people’s lives. For example, we created a multifunctional car education camera “Vision” . Thanks to him, vehicles can accurately recognize their surroundings (road users, roads and their surfaces, as well as road signs). With the help of artificial intelligence, this camera is also able to predict the behavior of road users. For example, it can detect the presence of pedestrians on the side of the road, record the direction and trajectory of their movement, and use its knowledge of the situation to determine if someone is about to enter the road and if there is a risk of a collision.
These are just two of the many examples that show that AI can be extremely useful when it comes to tackling the challenges faced by people all over the world.
What technologies do you see the greatest potential in? In what direction will your business develop?
In our latest study for Bosch Tech Compass, we asked people from five countries – the US, UK, Germany, China and India – for their views on technology. 72 percent of respondents believe technology makes the world a better place. The vast majority of people also agree that technology should focus more on solving the most important problems of our time, rather than meeting individual needs (83%). This is perfectly in line with our goal at Bosch – we develop technology with people in mind. The technology that makes the world a better place for everyone. The Bosch Tech Compass report shows that people are more aware than ever of both the potential and the risks of technology. Respondents want those who make the technology, in addition to those
I am optimistic about the possibilities of artificial intelligence. We have developed it for a long time, it affects our lives and work, creates opportunities that have not been available to us for a long time. Autonomous vehicles, facial recognition, medical diagnostics, humanoid robots, digital assistants – we encounter artificial intelligence almost everywhere today, and its potential is enormous to improve people’s lives.
سيغير الذكاء الاصطناعي كل جانب من جوانب حياتنا. بحلول عام 2025 ، سيتم تطوير جميع منتجات Bosch أو تصنيعها باستخدام الذكاء الاصطناعي. ومع ذلك ، نحتاج إلى بناء الثقة فيه – إذا كان الذكاء الاصطناعي مجهولًا للغاية ، أو الصندوق الأسود ، فلن يثق به الناس. يجب إنشاء هذه الثقة بنشاط ، وليس اعتبارها أمرًا مفروغًا منه. لهذا السبب وضع Bosch إرشادات داخلية واضحة تحدد قواعد استخدام الذكاء الاصطناعي (AI). تستند مدونة أخلاقيات الذكاء الاصطناعي الخاصة بنا إلى المبدأ التالي: يجب أن يكون البشر هو الحكم النهائي في جميع القرارات التي يتخذها الذكاء الاصطناعي.
As I mentioned earlier, thanks to AI, we can take a step forward and create products, both digital and physical, that better suit our needs, help us overcome global challenges, and at the same time are more sustainable. At Bosch, we want to do this based on our “Invented for Life” goal , which inspires me every day.
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