Bangkok--12 Jul--Oasis Media
Annual press conference in BangkokBosch maintains steady growth in Thailand
Thailand among top revenue generators for Bosch in Southeast Asia
Sales growth of around five percent
Workforce increase of close to seven percent
Debut of Drive and Control division in Thailand
Start of vocational training program
Bosch, a leading global supplier of technology and services, with total net sales of Baht 9,300 million (222 million euros) in fiscal 2012, achieved a growth of around five percent in sales in Thailand compared to the previous year. “With our continued investments in new markets and business expansion, Thailand remains one of the top revenue generators for Bosch in Southeast Asia, contributing to more than 30 percent of the region’s sales,” said Peter Vandlik, Managing Director of Bosch in Thailand.
Despite the challenging global economic climate in 2012, Bosch maintains an optimistic outlook for 2013, with continued business growth and the extension of its footprint in Thailand. “As the country makes a strong economic comeback and remains the automotive manufacturing hub of Southeast Asia, Thailand will continue to be a stronghold for growth and expansion for Bosch,” Vandlik added. Currently, Bosch has close to 900 employees in seven locations throughout Thailand. The company’s workforce increased in tandem with its business growth by close to seven percent.
Positive development across all business divisions
Sales revenue across the various business divisions developed positively, with the Thermotechnology division posting the highest year-on-year increase of more than three times, due to key projects in the chemical and food and beverage industries. Automotive Original Equipment, Automotive Aftermarket, Power Tools and Security Systems divisions similarly experienced a very healthy double-digit growth in 2012.
Business expansion across Thailand
In 2013, Bosch will expand in Thailand via the entry of new business divisions into the market, introduction of new products and solutions, and the expansion into new regions. “With the recent setup of a sales office in Chiang Mai in May this year, we establish closer proximity to serve our customers across 17 provinces in the northern region. The focus is on aligning the company to the requirements of our customers,” said Vandlik.
“We will progressively extend our footprint to other parts of Thailand such as the north-eastern and southern regions to keep Bosch on the course for growth,” he added.
Bosch Power Tools will be intensifying the expansion of its product portfolio over the course of the year. This includes the launch of Dremel — a renowned versatile tool brand from the United States for hand-on professionals, homeowners, craftsmen, artists, and do-it-yourself enthusiasts to penetrate the Thai market.
The Security Systems division will be introducing its latest line-up of web-based surveillance cameras designed for high performance under extreme low-light condition.
The Automotive Aftermarket division will expand its service network in upcountry areas for both passenger and commercial vehicles within this year to increase the accessibility of its services to motorists across Thailand.
In April 2013, the Drive & Control Technology division entered the Thai market through its office and service facility in Amata Nakorn Industrial Estate, Chonburi. The newly-established division will offer knowledge-based solutions and application expertise to local industries, as well as a broad service portfolio across a wide variety of applications.
To address the fast-growing automotive industry in Thailand and growing demand for cars across Southeast Asia, Bosch will expand its automotive manufacturing operations to produce engine management system components such as sensors and actuators.
New talent development scheme
Bosch has recruited the pioneer batch of its Bosch Mechatronic Apprentice Program (BMAP) to develop the skills of young local talents in the areas of electronic and mechanical engineering for high-tech production. “In light of our growing business in Thailand, Bosch has an imminent need for specialised, skilled talent to support and drive this growth. With the BMAP, we aim to raise the bar of vocational education in Thailand, and create a long-term positive impact to the local industry,” said Vandlik.
Course of business in Southeast Asia and Asia Pacific
Bosch closed its 2012 fiscal year at Baht 29.4 billion (702 million euros) in sales in Southeast Asia to realise a remarkable increase by almost 30 percent. Amidst a rapid growth within the region, the company saw an overall healthy increase of some nine percent in manpower for the region. “Southeast Asia is currently the fastest growing region for Bosch, and we expect to maintain this growth momentum and achieve double-digit growth for 2013,” said Martin Hayes, President of Bosch in Southeast Asia.
In Asia Pacific, Bosch increased its sales by 5.6 percent to some Baht 530 billion (12.6 billion euros). Sales in the Chinese and Indian economies developed less dynamically in 2012 than in previous years. To reach its long-term target of generating 30 percent share of its sales in Asia Pacific, the company invested some Baht 32.8 billion (780 million euros) there last year, on par with the previous year.
Bosch Group business developments 2012-2013
In fiscal 2012, sales of the Bosch Group sales grew by 1.9 percent to Baht 2,205 billion (52.5 billion euros). Pre-tax profit came to Baht 118 billion (2.8 billion euros).
Developments in the business sectors differed. In 2012, Automotive Technology, the largest business sector, increased its sales by 2.1 percent to Baht 1,300 billion (31.1 billion euros). Sales of the Industrial Technology business sector stagnated at Baht 336 billion (8 billion euros). The Consumer Goods and Building Technology business sector generated sales of Baht 562 billion (13.4 billion euros), a 2.5 percent increase.
Headcount, adjusted to match the company’s business development over the course of the past year, rose only slightly by 3,400 to 305,900. In total, Bosch invested some Baht 336 billion (8 billion euros) in the company’s future in 2012: Baht 202 billion (4.8 billion euros) for research and development, and Baht 134 billion (3.2 billion euros) in capital expenditure.
For 2013, Bosch expects global sales growth of two to four percent. Measures to improve result that were started in 2012 — such as limits on fixed costs, capital expenditure and company acquisitions — are to be continued.
The supplier of technology and services will also continue to rigorously pursue the main lines of its strategy — with systems for environmental protection, energy efficiency and safety. Bosch believes that there is huge energy efficiency potential, as well as sales potential, in modernizing the power supply, energy management and insulation of buildings. On 1 January, 2013, Bosch brought together the areas of its businesses that deal with this to form a fourth business sector, Energy and Building Technology. This new business sector generated sales of Baht 210 billion (5 billion euros) in 2012.
The company also expects sales growth to come from innovative and beneficial products, web-based business models and the further expansion of its international presence. At the company’s annual press conference in Germany, Dr. Volkmar Denner, Chairman of the Bosch Board of Management said, “Bosch’s broad footprint has never been as valuable as in the age of connected life.”
Further information, press photos and video materials are available online at the Bosch Media Service: www.bosch-press.com.
Contact personnel for media inquiries:
Yuparat Laotanapat
Senior Manager, Corporate Communications (Thailand, Laos & Cambodia) Robert Bosch Ltd
Tel: +662 639 3160
Email:
[email protected]