Navigating the Automotive Transformation at Bosch Mobility
Mastering Simultaneous Growth and Cost Efficiency
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May 08, 2025
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An Interview with Michael Kattau from Bosch Mobility
The automotive industry is currently navigating a challenging route. Companies must simultaneously press the accelerator on future-oriented solutions—driven by rapid technological advances, regulatory pressure for sustainability, and rising customer expectations for digitalization—and keep an eye on the fuel gauge by managing financial pressures from global competition, inflation, and escalating raw material costs. The challenge is clear: To secure long-term growth automotive leaders need to navigate the reduction of costs while strategically investing in the future - a complex balancing act requiring thoughtful and effective change management.
Central to achieving this balance and managing the transformation is transparent and continuous communication.
- Employees must thoroughly understand the rationale behind strategic decisions: The complexity of the current market environment—marked by mandatory shifts toward electromobility, intensifying competition from China and global tech giants, and evolving consumer demands—cannot be adequately explained through oversimplified narratives. Instead, repetitive, clear communication, supported by specific examples and visualizations, is essential to convey complex scenarios clearly.
- Transparency remains critical, especially regarding internal changes affecting specific employee groups: The shift from combustion engines to electric mobility illustrates where future opportunities lie and how the automotive core business will evolve, leading also to changes in job roles and activities. Acknowledging openly and clearly who is affected by the changes, why certain roles may diminish, and where new opportunities will arise fosters trust. Transparent communication is instrumental in helping teams navigate uncertainty, understand the change and create new perspectives
- Investments in innovation and technologies are bets on the future: Companies must openly communicate this reality, acknowledging that not every initiative will yield immediate or guaranteed success. Communication about potential setbacks and challenges cultivates agility, resilience, and an adaptive mindset across the organization.
- Austerity measures are not solely about cutting costs – they are a way to support long-term sustainability: Therefore, cost-saving measures must be transparently justified and placed in a meaningful context, clearly linking each decision to strategic objectives to build trust and foster resilience.
Bosch Mobility sets an example how early involvement and emotional engagement of employees significantly enhance transformation effectiveness. Michael Kattau, Director Internal and Transformation Communications for Bosch Mobility at Robert Bosch GmbH, has been supporting the comprehensive transformation process within Bosch’s automotive sector since 2022. The Head of Communications shared insights into how Bosch Mobility has realigned its business to meet changing market and customer requirements.
“How can you explain the simultaneous nature of innovation and savings to employees?”
MK: “Our markets are constantly evolving due to rapid technological advancements. To keep up, we had to get our team involved early on. We didn’t wait until everything was perfect; we brought our associates in from the start to make sure they knew what was coming and were ready for it.
Transparency was key. We clearly articulated the ongoing role of our core business and identified the critical areas that will shape our future focus. This approach wasn't just about maintaining the status quo; it was about setting a clear direction for progress and innovation.
The crucial point we emphasized was the need to balance investment in innovation with cost-saving measures. To fund groundbreaking innovations, we must simultaneously identify opportunities to reduce expenses. This delicate balance is essential and is always guided by market demands and customer needs.
In essence, we conveyed that investing in innovation and implementing cost-saving strategies are two sides of the same coin. Both are indispensable for our growth and success. By framing it this way, we help our employees understand the bigger picture and the importance of these efforts. This approach ensures that our team is aligned with our strategic goals and motivated to contribute to our success. Together.
“How do you avoid a perception of winners and losers among employees in areas that are particularly affected by one side or the other?”
MK: “Of course, there were varying levels of concern—what might be an opportunity for some could be a source of worry for others. To address this, we made clear statements explaining the urgency to act, the vision we aim to achieve, and we maintained transparent communication about the impacts. This helped foster understanding across all functions. Moreover, it was crucial to highlight the value of each department, outline its future contributions, and explicitly express our appreciation for all associates. This approach not only clarified our strategy but also reinforced the importance of every team member’s role in our journey.”
“How can we motivate and mobilize people for this far-reaching transformation in the automotive industry?”
MK: “We communicated many challenging messages throughout this transformation, which naturally led to uncertainty among many teams. Our goal was not just to inform our associates early but to emotionally engage them and spark a movement. This was the catalyst for our global internal campaign "Let’s move #LikeABosch." The campaign focuses on our associates and their commitment, aiming to create high recognition value while keeping implementation simple enough for each location to participate using existing resources. More than 40,000 associates have already joined, becoming part of this movement. Today, the emotional appeal and structure of the campaign are actively incorporated at many locations, meetings, and across internal communications. The movement has significantly mobilized our associates and continues to have a lasting impact.”
Bosch Mobility shows how automotive companies can successfully navigate the paradox of simultaneous growth and cost reduction by prioritizing transparent, repetitive communication, proactively addressing employee concerns, and openly acknowledging uncertainties of investing in innovation. Emphasizing unity, clarity, and emotional engagement ensures organizations emerge from transformation stronger, more agile, and better positioned for sustainable long-term success.
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Published
May 08, 2025
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