The Bosch Group is a leading global manufacturer of automotive and industrial technology, consumer goods and building technology. But it is Bosch’s business structure, values and vision that have set it apart from many global enterprises and has ensured its long term success.

The assumption of responsibility for society and future generations has a long tradition at Bosch.

Bosch recognises CSR as:

“A concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis” (defined by the EU Commission Green Paper 2001).

However, Bosch takes this definition once step further and perceives CSR in a different way to some might think. It is often implied that CSR is an ethical standard that stands above business interests. Bosch believes that CSR is not and should not be separated from business strategy and operations; that social and environmental concerns should be integrated into business strategy and operations.

For example, Bosch believes that when you care for the environment you are not just meeting a moral responsibility you are also acting responsibly in a material and resource sense as well.

Innovation in all aspects of business

Born in 1861, company founder Robert Bosch opened a workshop in Stuttgart, Germany in 1886, that rapidly developed into a prosperous, globally operating company. He not only shaped Germany’s economic development, but he was also a pioneer in what we now regard as “responsible business practice”.

In the early days of the company, Robert Bosch pioneered the launch of welfare programs for associates and their families and in non-business areas he also played an active philanthropic role.

As a wealthy entrepreneur, Robert Bosch wanted to contribute to the general well-being of the community. In 1910, for example, he endowed 1 million German marks for the construction of the Stuttgart Technical University. He was also responsible for founding a homeopathic hospital, which was officially opened in Stuttgart in 1940, two years before his death.

Today, the hospital that bears his name belongs to the Robert Bosch Stiftung (foundation). The Robert Bosch Stiftung promotes health care, international understanding, welfare, education and training, art, culture and science.

The special ownership structure of the Bosch Group guarantees Bosch’s financial independence and entrepreneurial freedom. It makes it possible for the company to undertake significant up-front investments in safeguarding of its future, as well to do justice to Bosch’s social responsibility in a manner reflective of the spirit and will of its founder.

A total of 92% of the share capital of Robert Bosch GmbH is held by the charitable foundation Robert Bosch Stiftung. The entrepreneurial ownership functions are carried out by Robert Bosch Industrietreuhand KG, which holds more than 93% of the voting rights. The Bosch family holds 8% of the share capital and 7% of the voting rights.

Future-proofing the business

Combining the pursuit of economic objectives with consideration for social and environmental factors is a priority for Bosch. Bosch believes that their actions must work in accordance with the interests of society. Above all else, they ensure their products and services are in the interests of the safety of people, the economic use of resources, and environmental sustainability.

Throughout the 120 year history of Robert Bosch, it has always been important to maintain a balance between success and social and ecological concerns. Company founder Robert Bosch acted in accordance with this principle throughout his life and the importance that Bosch now places on its corporate values is due to his influence.

Bosch’s CSR activities are ones that contribute to global economic and social development, and thus create the conditions required for long-term business success.

Greater corporate responsibility can play an important role in moulding tomorrow’s global markets. If Bosch is to remain a stable company, they believe they have to come to terms with the instability of the world at present. Accelerating globalization, the need for environmental protection and impending energy supply shortages mean that Bosch’s corporate strategy must take into account social and environmental concerns.

CSR – starting from the top

At the start of 2004, the Board of Management of Robert Bosch GmbH and the associate representatives signed a set of joint principles of social responsibility. The ten principles, which are based on the core labour standards of the International Labour Organization (ILO), address issues including human rights, equality of opportunity, the rights of children, and fair employment conditions.

Although this was the first time that Bosch had actively recorded its principles of social responsibility, this was something that had been present in the organisation from the beginning.

In communicating Bosch’s values and principles to its associates, a ‘House of Orientation’ concept was developed that communicated to Bosch’s associates the vision, mission, values, core competencies and the business system of the company.

At Bosch Denham, in the UK, Bosch undertook a staff satisfaction survey and out of all of the results of this survey, the strongest result came from the question asked about company pride. When asked if associates were proud to work for Bosch, the answer was a resounding ‘yes’.

This staff satisfaction can be partly attributed to Bosch’s CSR activity. In Denham for example, Bosch carries out a lot of activities that fall under the category of CSR. Many of Bosch’s senior managers have involved themselves in creating opportunities for associates to actively participate in CSR activities. CSR is ingrained into the company culture and this is evident through the ongoing activity and long history of the Bosch Stiftung.

Bosch in Denham uses the example of the Bosch Stiftung to look for ways to fulfil the CSR aspirations of the company on a local level. Be it a bake sale, a raffle or a run to raise funds for charity – Bosch associates are always supportive of these activities.

Benefits of CSR

Bosch believes that addressing CSR can help companies build market share, control risks, attract staff, stimulate innovation, reduce costs and improve competitiveness.

Most successful companies are responsible corporate citizens, as consumers and other stakeholders are keenly aware of corporate goodwill. Yet most companies still fail to recognise the benefits. There is a need to make companies realise that responsible business practice improves not only the reputation, but also the competitiveness of a company –CSR is good business.

Moving forward

Bosch’s brand slogan, “Invented for Life” conveys the ambitious standards they have set for themselves. Behind these words lie values that Bosch has long stood for.

“Invented for Life” stands for reliable technology designed and built to last, and technology that accompanies people for a good part of their lives.

It also embodies intelligent, innovative and beneficial technology that contributes to the conservation of resources, and that helps people improve the quality of life, both for themselves and others.

Bosch’s objective is to continuously develop their standards further, taking into account the changing environment in which they do business. To achieve this, they have set themselves the objective of improving their knowledge about the many challenges faced by their business locations around the world.

It is only in this way that they will continue to be able to find answers to the questions that arise as a result of globalization, from both an economic and ecological point of view.