India is the second-fastest digitizing economy in the world today. The government is taking proactive efforts to foster a better digital connection with the urban populace and get the rural demography online. The fact that the number of Indians connected via the internet is estimated to jump from the current 450 million to 850 million by 2022 and efforts like an increased emphasis on creation and adoption of the digital identity system (Aadhaar) show that digital indeed is the way forward. Digital India initiatives present the opportunity to create up to $1 trillion of economic value and sustain almost 60 million jobs by 2025.
In line with the nation-wide efforts to digitally empower India’s technology landscape, Bosch Limited’s Digital Transformation initiative is a step towards creating a robust IT system that will improve operational efficiency, foster better decision making, and enhance the customer experience. Therefore, it’s imperative for us to adopt the digital movement for both, customer-facing operations and internal workings.
Bosch Limited’s digitization approach helps us to not just maintain, but reinvent our competitive edge. Further, we can leverage market opportunities with emerging business models by factoring digital solutions and technologies, thereby opening doors to new revenue streams.
Upgrading Bosch to a centralized, automated, and safer ecosystem
To facilitate superior and secure internal and external data exchange, we continuously innovate and introduce multiple tools for creating a better IT infrastructure that aligns with the needs of today. Take, for instance, the adoption and implementation of GST last year. When the multistage destination-based ‘one nation, one tax’ Goods and Services Tax was rolled out in 2017, it changed the face of the taxation system in the country. For a massive organization like Bosch, with such a strong foothold and a complex IT structure with 13 systems and 7 legal entities of Bosch Limited, the GST integration posed a huge challenge. In a nutshell, the initial GSTR1 filing involved high levels of manual input. We restructured reporting to unify processes of all the divisions and legal entities on one platform, thereby successfully digitizing the process. This year, Bosch IT systems have incorporated a centralized tax returns (GSTR1 and GSTR2) feature and are also equipped to adapt to and incorporate changes as per the new GST notification, as and when announced. While we have established technology solutions that will adapt even to future legal requirements, work is also underway for linking digital invoice solutions for eWay Bill.
Further, our Enterprise Resource Planning (ERP) functionalities and features focus on process standardization and data accuracy to digitize and automate business solutions.
However, this growing dependency on IT systems with an increase in operational processes and transmission and storage of sensitive information also pose an outage-related risk with the constantly looming threat of compromised security goals, in terms of confidentiality, integrity, and information availability. Bosch insulates itself from such cyber threats by working towards meeting the growing requirements of the National Privacy Regulation and EU’s General Data Protection Regulation (GDPR). These GDPR regulations include mandatory documentation, awareness campaigns and risk-based security audits, and carry a penalty of 20 million Euros or 4% of the company’s annual turnover in the event of any non-compliance.
Utilizing Voice over Internet Protocol internally
Another critical impact of digitization is the massive growth in data traffic, which calls for reconsidering the infrastructure and bandwidth capability of the current network. With the experience gathered through the mass roll-out of VoIP, we are now leveraging bandwidth to use video-enabled internal and external communication.
At Bosch, we approximately make two million calls per month, including half a million conference calls. We’ve replaced traditional telephone handsets with IP telephony devices by using Skype for Business as a platform for internal communication across all locations of Bosch Limited since 2017.
“Bosch strongly believes that a complete digital transformation requires initiations and implementations on all levels. The Bosch Learning Company initiative comprises of thirteen digital and behavioural competencies under the ‘Bosch Digital Competency Model’ that promotes experiential learning through technology-application-business modelling cycle for the adoption of digitization across the organization,” said Ramesh G R, Senior General Manager, Information Technology & Project Digital Transformation.
With a solid thrust on various digital solutions and technology, Bosch Limited aims to become a digitally connected organization with lower manual integration and higher levels of precision. Our digitization process- es are continuously improving current systems and paving the way for future integrations.