01 - Company Structure - Induction Apr11

Reorganization Rexroth 2.
0 –
Simpler, Quicker, and More Successful in
the Market
Lohr am Main
15th April 2010
Content
1. Previous success factors… and reasons for the reorganization
2. The cornerstones of the reorganization
3. Details of the reorganization
4. An overview of the organizational charts
5. The road to reorganization
6. Next steps
7. Contact
2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL
© All rights reserved by Bosch Rexroth AG, including in cases of property rights applications. Rights of disposal, such as rights to copy and forward information, are 2
reserved by Bosch Rexroth AG.
Content
6. Next steps
7. Contact
Rexroth today:
Many Interfaces with our Markets
Market/ Sales Business Units Procurement
Customers Country Sales Engineering Production Purchasing Market/
Units Suppliers
Mobile
Applicat. Suppliers
Hydraulics Hydraulics (DCH)
A
Suppliers
Electrical Electric Drives and Controls (DCC)
B
Machinery
Applicat.
and Engin.
Linear/
assembly Linear Motion and Assembly Technologies (DCL)
Factory Technol.
Automation
Pneu-
matics Pneumatics (DCP)
Wind
Suppliers
Renewable Turbine Wind Turbine Gears (DC-WE)
OEM Z
Energies
We need to act
Rexroth needs to act in the following areas…
 Market and customer-orientation

 We are not well-adapted to our customers needs: "Not easy to deal with Rexroth!"
 The same is also true for our dealings with suppliers.
 Implementation of multi-technology solutions

 Our customers' modular engineering increasingly requires Rexroth to supply
mechatronic solutions (mechanics, hydraulics and pneumatics combined with electric
drive systems as well as control electronics and software).
 Incomplete industry solutions or complete lack thereof
 Customers themselves must coordinate the various Rexroth technologies
 Complexity of the organization

 Slow decision-making processes
 Overlaps in the market activities of the divisions, e.g. factory automation
 Multiple responsibilities
We have been placing more Strategic Focus on
the Market for the past several years
Technologies
Wind Turbine
Products/
Pneumatics
Hydraulics
Drives and
Linear and
Assembly
Controls
Technologies
Electric
Gears
Market Segments
Safeguard
and extend
Mobile as a world
Applications market
leader
Machinery
Safeguard and extend as a
Applications world market leader and
and drive technology change
Engineering
Achieve a leading market position as a

Factory supplier of linear motion and assembly
Automation technologies, electric, mechatronics (especially in
“future industries") and fluid management
Renewable Achieve a leading market position as a

Energies supplier of drivetrain technologies
(Wind, Ocean) for wind and ocean energy facilities
Technology DC Technology DC
already established not yet established
in market segment in market segment
Content
6. Next steps
7. Contact
The Future
Rexroth 2.0:
 Simpler
 Quicker
 More successful in the market
Design Principles of Rexroth 2.0 (1/2)
 Business units are no longer structured by technologies but by

market segments / industries.
 Market segment-oriented business units are responsible for sales and
profit worldwide.
 The business unit management is structured by functions.
 One member of the management of each business unit is the spokes-
person of the business unit and at the same time also a member of the
executive board.
He represents his business unit within the executive board in this role.
 In addition to assigning responsibility for the business units, the executive

board also assigns the overall responsibility for Rexroth as well as the
responsibility for functional excellence and cross-sectional areas.
 Lean head quarter by limiting its responsibilities to only cross DC-functions.
Design Principles of Rexroth 2.0 (2/2)
 Market segments and industry sector clusters within a business unit are
responsible for worldwide sales and profit.
 Industry sector clusters include industries with similar requirements.
 Each customer is allocated to one specific industry.
 The product areas have a cost-responsible management which is responsible

for engineering and production.
 Each product area is allocated to one specific business unit.
 Sales and technical product management as a "hinge" between market and

engineering.
 The sales country units will also be structured by market segments /

industries.
 The sales country units are responsible for sales and profit on a regional
basis and share the responsibility for the overall profit.
 The sales management of the sales country unit is directed by either a
member of the executive board or a sales manager of a business unit,
depending on the size of the country unit and the distribution of sales volume
by market segments.
Content
6. Next steps
7. Contact
Rexroth 2.0:
4 Market Segments and 3 Business Units
Market/ Business Unit Procurement
Customers Sales Engineering Production Market/
Suppliers
Mobile Applications
Mobile Motors and Pumps
Applicat. Industries Mobile Controls Suppliers
Mobile Gears A
Applicat. Compact Hydraulics
Mobile Electronics
Suppliers
Industrial Applications B
Machinery
Applicat. Industries Industrial Hydraulic Controls
Machinery Power units
and Eng. Applicat.
Electric Drives and Controls
Industries Linear Motion and
Factory Factory Assembly technologies
Automation Automation Pneumatics etc.
Renewable Energies
Renewable Industries Wind Turbine Gears

Energies Wind
Energy Condition monitoring Suppliers
Z
Rexroth 2.0: Structure of a Business Unit
Example of Mobile Applications
Sales Development/Production
(industry management, (organized by product areas)
organized by industry sector clusters)
Construction
Machinery
Product Management
Product Management
Materials Handling
Equipment Pumps
Technical
Mobile Compact Mobile
and Gears
Sales
Agricultural and Controls Hydraulics Electronics

Forestry Machines Motors
Commercial /
Road Vehicles
Service System Engineering
The "hinge" between sales and technology:

Sales and technical product management
Rexroth 2.0: Product Management
Sales Product Management Technical Product Management
 Deduction of product portfolio and  Coordination of product requirements

-requirements from industry sector to EZKL-requirements (platforms)
position (customer specification),
request for program  System-/product-roadmaps
 Life-cycle planning, product  Development of product portfolio

launch and ramp-up / phase-out and product realization (internal
management in the market specification)
segment  Competitiveness of all products related
 Price management to function, innovation, and further
(esp. list prices) requirements (e.g. performing product
benchmarking)
 Innovation management
 Technology review planning
© Alle Rechte bei Bosch Rexroth AG, auch für den Fall von Schutzrechtsanmeldungen. Jede Verfügungsbefugnis, wie Kopier- und Weitergaberecht, bei uns.
Rexroth 2.0:
4 Market Segments and 3 Business Units
Market/ Business Unit Procurement
Customers Sales Engineering Production Market/
Suppliers
Mobile Applications
Applicat. Industries Mobile Controls Suppliers
Mobile Gears A
Applicat. Compact Hydraulics
Mobile Electronics
Suppliers
Machinery
Applicat. Industries Industrial Hydraulic Controls
Machinery Power units
and Eng. Applicat.
Industries Linear Motion and
Factory Factory Assembly technologies
Automation Automation Pneumatics etc.
Renewable Energies
Renewable Industries Wind Turbine Gears

Energies Wind
Energy Condition monitoring Suppliers
Z
Rexroth 2.0: How do Customers, Sales Country
Units, and Business Units interact?
Market/ Sales Business Unit Procurement
Customers Country Sales Engineering Production Market/
Units Suppliers
Mobile Applications
Industries Industries Mobile Controls Suppliers
Applicat. Mobile Mobile Gears A
Applicat. Applicat. Compact Hydraulics
Mobile Electronics
Suppliers
Machinery Industries
Applicat. Machinery Industries Industrial Hydraulic Controls
Applicat. Machinery Power units
and Eng. Applicat.
Industries
Factory Industries Linear Motion and
Factory Auto- Factory Assembly technologies
Automation mation Automation Pneumatics etc.
Renewable Energies
Industry Industry
Renewable Wind Wind Wind Turbine Gears
Energies Energy Energy Condition monitoring Suppliers
Z
Rexroth 2.0: How do Customers, Sales Country
Units, Business Units, and Purchasing interact?
Market/ Sales Business Unit Purchasing Procurement
Customers Country Sales Engineering Production market/
Units suppliers
Mobile Applications Mat.
Suppliers
Mobile Motors and Pumps Segment
Industries Aluminum
Applicat. Industries Mobile Controls Aluminum
Mobile Mobile
Applicat. Gears
Applicat. Mat.
Compact Hydraulics Suppliers
Segment
Mobile Electronics Casting
Casting
Mat.
Industrial Applications Suppliers
Machinery Segment
Industries Industries Industrial Hydraulic Controls Steel
Applicat. Machinery Steel
Applicat. Machinery Power units
and Eng. Applicat.
Industries
Factory Industries Linear Motion and
Factory Auto- Factory Assembly technologies
Automation mation Automation Pneumatics etc.
Renewable Energies
Industry Industry
Renewable Wind Wind Wind Turbine Gears Mat.
Energies Energy Condition monitoring Suppliers
Energy Segment
Magnets
Magnets
Rexroth 2.0: An Overview of the New Organization
Drive & Control Technology (DC)

DC/P (Tragl)
DC/EP1 DC/EP2 DC/EP3 DC/EC*
(Leipold-Büttner) (Tragl) (Spindler) (Hanen)
Executive VP Executive VP Executive VP Executive VP
responsible for responsible for responsible for responsible for
the Business Unit the Business Unit the Business Unit Administration and
Mobile Applications Industrial Applications Renewable Energies Finance
DC-MA/GP Senior VP DC-IA/GP DC-RE/GP

Senior VP Senior VP
Industrial Applications (DC-IA)

Business Unit with (Tragl, (Spindler,
Renewable Energies (DC-RE)

Mobile Applications (DC-MA)
(Leipold-B.), responsibility
Business Unit Business Unit
DC/EP1) DC/EP2) DC/EP3)
for Manufacturing
Senior VP
DC-IA/SE Sales and Industry
Senior VP (Wintjes) Management
DC-MA/SA Machinery Applicat.
Sales and Industry
(Schunk) Management Senior VP
DC-IA/SF Sales and Industry
(Haack) Management, Further details on the
Factory Automation
DC-MA/NE Senior VP organizational structure
(Kamp) Engineering
DC-IA/SE Senior VP follow
(Ochs) Technical
DC-MA/FC Senior VP Senior VP

Administration and DC-IA/FC
(Meier) Finance Administration and
(Amann) Finance
2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL * The reporting line between DC/EC and DC-xx/FCs to be defined.
Content
6. Next steps
7. Contact
DC-MA
Organization (excl. Plants)
Project Manager
Status: 15.04.2010
© All rights reserved by Bosch Rexroth AG, including in cases of property rights applications. Rights of disposal, such as rights to copy and forward information, are
Rexroth 2.0 (Current Working State)
DC-MA/NE1
| 01.04.2011 | DC/HRM | © Bosch Rexroth AG 2011. Alle Rechte vorbehalten, auch bzgl. jeder Verfügung, Verwertung, Reproduktion, Bearbeitung, Weitergabe
2 sowie für den Fall von Schutzrechtsanmeldungen.
DC-MA/GP
Organization Chart (Assignment Plants)
DC-MA/GP Status: 15.04.2010

Senior Vice President Business Unit
with responsibility for Manufacturing
Reiner Leipold-Büttner, DC/EP1
DC-MA/MG1 DC-MA/MG2 DC-MA/MG3 DC-MA/MG4

Senior Vice President Vice President Senior Vice President Vice President
Manufacturing and Speaker Manufacturing Manufacturing and Speaker Manufacturing
Product Area Pumps & Motors Compact Hydraulics Product Area Gears Mobile Controls
Wolfgang Totsche NN Hans-Karl Hechtel, DCCN/MG Volker Sauer
PkP1/PT
EcP/PT HorP/PT NntP/PT AfP/PM
Technical Plant Manager
Technical Plant Manager Technical Plant Manager Technical Plant Manager Plant Manager
Peking 1
Elchingen Horb Nonantola Augsfeld
Hans-Karl Hechtel,
Jochen Stichler Bernd Neugebauer Dr. Michael Loh Frank Miederhoff
DCCN/MG
LoP3/PT BuP2/PT HoP2/PT

Technical Plant Manager Technical Plant Manager Technical Plant Manager
Lohr 3 (Foundry) Bursa 2 Homburg 2
Ralf Rockenbach Akgun Filiz Volker Sauer, DC-MA/MG4
FniP/PT
GleP/PM NagP/PT
Plant Manager Technical Plant Manager
Fountain Inn
Glenrothes Nagoya
Michael McCormick
Alastair Johnstone Tatsuhito Fujino, DCJP/MG
Dis. Resp.: DCUS/P
PenP/PM PoP/PT
VxP2/PT
Plant Manager Technical Plant Manager
Peenya Pomerode
Vénissieux 2
Sreeni Vasan Edson Duwe
Dr. Frank Neuscheler
Dis. Resp.: DCIN/MG Dis. Resp.: DCBR/GM
TscP/PT
Tsuchiura
Tatsuhito Fujino, DCJP/MG
© All rights reserved by Bosch Rexroth AG, including in cases of property rights applications. Rights of disposal, such as rights to copy and forward information, are
Business Unit DC-MA: Overview
Market Segment  Mobile Applications

Industry Sector  Construction Machinery
Clusters  Materials Handling Equipment
 Agricultural and Forestry Machines
 Commercial / Road Vehicles
 Service Mobile Applications
Customers / Sales  Approx. 4.000 Customers ww / 1,6 bn EUR (Plan 2010)
Product Areas  Pumps and Motors

 Gears
 Mobile Controls
 Compact Hydraulics
 Mobile Elektronics
Location  Elchingen
© Alle Rechte bei Bosch Rexroth AG, auch für den Fall von Schutzrechtsanmeldungen. Jede Verfügungsbefugnis, wie Kopier- und Weitergaberecht, bei uns.
Market Segments and Industry Sector Clusters
Market Segment / Industry Sector Cluster  4 Market Segments

Mobile Applications
 17 Industry Sector Clusters
1 Constructions Machinery
2 Agricultural and Forestry Machines
3 Materials Handling Equipment
4 Commercial / Road Vehicles
5 Service Mobile Applications
Machinery Applications and Engineering
6 Industrial Manufacturing Equipment
7 Marine & Offshore
8 Bulk Materials Handling
9 Service Machinery Applications and Engineering
Factory Automation
10 Machine Tools and Automotive
11 Assembly, Semicon, Solar
12 Food, Packaging, Printing
13 General Machinery and Distribution
14 Pneumatics
15 Service Factory Automation
Renewable Energies
16 W ind Energy
17 Service Wind Energy

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Reorganization Rexroth 2.

1. Previous success factors… and reasons for the reorganization

2. The cornerstones of the reorganization

3. Details of the reorganization

4. An overview of the organizational charts

5. The road to reorganization

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

1. Previous success factors… and reasons for the reorganization

2. The cornerstones of the reorganization

3. Details of the reorganization

4. An overview of the organizational charts

5. The road to reorganization

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

Rexroth needs to act in the following areas…

 Market and customer-orientation

 Implementation of multi-technology solutions

 Complexity of the organization

Achieve a leading market position as a

Renewable Achieve a leading market position as a

1. Previous success factors… and reasons for the reorganization

2. The cornerstones of the reorganization

3. Details of the reorganization

4. An overview of the organizational charts

5. The road to reorganization

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

 More successful in the market

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

 Business units are no longer structured by technologies but by

 In addition to assigning responsibility for the business units, the executive

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

 The product areas have a cost-responsible management which is responsible

 Sales and technical product management as a "hinge" between market and

 The sales country units will also be structured by market segments /

1. Previous success factors… and reasons for the reorganization

2. The cornerstones of the reorganization

3. Details of the reorganization

4. An overview of the organizational charts

5. The road to reorganization

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

Renewable Industries Wind Turbine Gears

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

Agricultural and Controls Hydraulics Electronics

Service System Engineering

The "hinge" between sales and technology:

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

Sales Product Management Technical Product Management

 Deduction of product portfolio and  Coordination of product requirements

 Life-cycle planning, product  Development of product portfolio

 Technology review planning

Renewable Industries Wind Turbine Gears

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

2010-04-15 | DC/BV | Rexroth 2.0 | CONFIDENTIAL

Drive & Control Technology (DC)

DC-MA/GP Senior VP DC-IA/GP DC-RE/GP

Industrial Applications (DC-IA)

Renewable Energies (DC-RE)

DC-MA/FC Senior VP Senior VP

1. Previous success factors… and reasons for the reorganization

2. The cornerstones of the reorganization

3. Details of the reorganization

4. An overview of the organizational charts

5. The road to reorganization