Bosch aims to achieve sustainable growth with industrial technology

Bosch aims to achieve sustainable growth with industrial technology

(IN BRIEF) Bosch aims for sustainable growth with investment in industrial technology, with plans to increase sales from €7 billion to over €10 billion by 2028. This expansion is expected to be driven by increasing demand for automation and Industry 4.0 solutions, as well as growing interest in GreenTech for ecological transformation. To achieve this growth, Bosch will invest over €3 billion in industrial technology in 2022 and 2023, with the recent acquisition of HydraForce being its largest acquisition in the Industrial Technology business sector. Bosch is showcasing its industrial technology portfolio at the upcoming Hannover Messe, including collaborative robotics, control technology, hydraulics, electrified mobile machinery, stationary fuel cells, and automated battery recycling.

(PRESS RELEASE) STUTTGART, 14-Apr-2023 — /EuropaWire/ — Bosch wants to achieve sustainable growth with industrial technology. Its sales of industrial technology are expected to rise from their current level of 7 billion euros to more than 10 billion euros by 2028. The aim is to achieve profitable growth: “We want to increase result more than sales and sustainably increase the value of the company. To this end, Bosch will invest a combined total of more than 3 billion euros in industrial technology in 2022 and 2023, ensuring organic and inorganic growth,” says the Bosch chairman Dr. Stefan Hartung. The acquisition of the U.S. hydraulics company HydraForce and its roughly 2,100 associates means that Bosch’s biggest current acquisition is in its Industrial Technology business sector. This merger sees Bosch Rexroth expanding its leading global position in hydraulics, supplying technology for excavators, cranes, tractors, and for plant and machinery in factories.

Industrial technology offers enormous growth potential for Bosch. This is driven by an increasing need for automation and Industry 4.0 solutions, the “merging” of electrical and hydraulic systems, and growing demand for GreenTech for the ecological transformation of the economy. “By strengthening Industrial Technology, we are creating a better balance among our areas of business. Our broad diversification as a global technology company makes Bosch more creative and robust,” Hartung says. Within the Bosch Group as well, Industrial Technology is an important service provider, equipping the roughly 240 Bosch plants worldwide with manufacturing technology to ensure resource-efficient, customer-specific production. This saves the group from having to make orders worth over half a billion euros every year. At Hannover Messe (April 17–21, 2023), Bosch is showcasing its industrial technology portfolio, including innovations in collaborative robotics, control technology for Industry 4.0, energy-efficient hydraulics, electrified mobile machinery, stationary fuel cells for buildings and factories, and automated battery recycling.

“By strengthening Industrial Technology, we are creating a better balance among our areas of business. Our broad diversification as a global technology company makes Bosch more creative and robust,” says the Bosch chairman Dr. Stefan Hartung.

GreenTech: Bosch sales with solutions for industry reach the billion mark

Industrial technology is growing thanks both to various sectors of the economy moving toward climate neutrality and to the emergence of a circular economy. “Without capital goods, the ecological transformation of business would not be conceivable. Industrial technology enables the sustainable transformation of different sectors of the economy,” Hartung says. Bosch is developing solutions that conserve resources, reduce energy consumption, protect the environment, and mitigate global warming. In 2022, Bosch generated sales of more than 1 billion euros with environmental technology for industry – a year-on-year increase of 25 percent. In other words, Bosch reached its sales target for 2023 one year earlier than planned. And the company is continuing to expand its GreenTech portfolio. Bosch Rexroth, for example, is launching its eLION portfolio solutions for the electrification of mobile machinery such as excavators, wheel loaders, and tractors. With over 80 motor variants, graded according to power and size, the company offers the broadest range in the industry, helping to reduce carbon emissions on construction sites, in mining, and in ports. International customers such as Sennebogen and Kalmar Cargotec are already using the new Bosch drives in their products, and in this way driving forward the electrification of mobile machinery. The demand for GreenTech is also increasing in factories. As a result of climate-action measures, companies are modernizing their installed machinery and equipment on the one hand and building new manufacturing facilities on the other, for example for batteries and fuel cells. At Hannover Messe, Bosch is showcasing manufacturing technology for battery production – and for recycling. “The only way we can make a success of electromobility is if we recover the raw materials we use,” Hartung says. Bosch Rexroth has developed an automated battery discharge system that not only simplifies recycling, but is also more efficient than manual processes. The technology is being used for the first time by REMONDIS and Rhenus Automotive at their Magdeburg site in Germany.

Hydrogen: Bosch is relying on its own know-how for technology development

In addition to storage media such as batteries, “conversion artists” such as fuel cells are important elements of a climate-neutral future. At Hannover Messe, Bosch is presenting stationary solid-oxide fuel cells (SOFCs) with an overall efficiency of more than 85 percent. These distributed energy converters are currently being tested in some 60 pilot plants. One of them is the Hydrogen Campus in Salzgitter, Germany: at this Bosch site, ten SOFC fuel-cell systems have been integrated into the plant’s energy supply system. Bosch is aiming to launch the stationary fuel cells commercially in 2025. The components are manufactured using Bosch’s own know-how and technology. From cell to stack to the overall system: Bosch’s special-purpose machinery unit supplies more than 50 percent of the manufacturing equipment required for fuel-cell production. In the future, the Bosch portfolio will also feature components for electrolyzers. The market launch for the heart of the electrolyzer, known as the stack, is planned for 2025.

Industry 4.0: Bosch software conserves resources

Energy, factory supplies, raw materials – resources are rare and precious. “Our response to shortages is efficiency. Anyone looking to manufacture sustainably needs to adopt Industry 4.0,” Hartung says. For example, Bosch Connected Industry’s Nexeed Industry 4.0 software increases plant effectiveness in factories by an average of 5 percent, cuts maintenance costs by 25 percent, and reduces waste. Nexeed is already being put through its paces in more than half of Bosch’s roughly 240 plants and at more than 100 international customers. Software also helps combine conventional and novel technologies. One example is hydraulics: for more than 200 years, fluid mechanics have been used whenever large loads need to be moved with minimal effort, for example in plastics machinery or presses. Thanks to load-dependent control, Bosch Rexroth variable-speed pump drives are now always in the optimum operating mode. They switch to standby mode when not in use. Compared to conventional drives, this reduces the hydraulic systems’ energy consumption by up to 80 percent.

Automation: Bosch technology reduces complexity

Aging society, labor shortages, limited resources in general: the challenges are mounting. Bosch is focusing on an education and training campaign and on technology that supports companies and relieves workers of certain tasks. Bosch Rexroth’s ctrlX AUTOMATION modular automation system, for example, understands over 30 programming languages and allows users to develop their own apps and services. More than 600 customers already rely on this pioneering form of automation. “The only way we can overcome the pressing challenges of our time is by joining forces to make more of a difference. ‘Co-creation’ and making systems open for others are important considerations here,” Hartung says. Bosch Rexroth is pursuing this approach in hydraulics as well. Whereas control technology was previously tied to hardware, the company has now transferred this to software modules. This means mechanical engineers can continue to use existing automation architectures; specific hydraulics know-how is no longer required.

Automation also supports workers directly, for example by relieving them of monotonous or strenuous tasks. At Hannover Messe, Bosch Rexroth is showcasing articulated, fine-motor lightweight cobots that reach around corners in seven axes and help workers load, palletize, and inspect workpieces. These cobots are in demand. The global market for industrial automation is growing rapidly: while sales of automation technology were just under 200 billion euros in 2021, they are expected to grow to more than 400 billion euros globally by 2030 – with annual growth rates of over 8 percent (source: Precedence Research, 2022). “Megatrends such as digitalization, an aging society, and efforts toward greater sustainability are driving the demand for automation. Factory automation is a strategic business area for Bosch in which we aim to achieve double-digit growth every year – and thus grow faster the market,” Hartung says.

Media Contact:

Dennis Christmann
Phone: +49 711 811-58178
Twitter: @BoschPress

SOURCE: BOSCH