Contents
02 At a Glance
04 Company Profile
06 Executive Board
08 Supervisory Board
10 Shaping Mobility
12 Sustainable Prospects
14 Investments and Innovations
16 Rail Vehicle Systems
18 Commercial Vehicle Systems
20 Responsibility
22 History
At a Glance
KNORR-BREMSE GROUP 2013 2014 2015 2016 2017
Sales EUR mill. 4,303 5,206 5,831 5,494 6,236
Net income EUR mill. 367 560 645 550 580
Employees (as per Dec. 31)* Number 20,833 23,916 24,275 24,565 27,705
Personnel costs EUR mill. 907 1,038 1,213 1,197 1,336
Balance-sheet total EUR mill. 2,869 3,543 4,002 4,604 4,800
Equity EUR mill. 1,107 1,443 1,736 1,819 1,859
Capital expenditure** EUR mill. 159 161 210 195 186
Depreciation** EUR mill. 125 169 199 179 208
Incoming orders EUR mill. 4,752 5,510 5,668 5,723 6,657
Research and development expenditure EUR mill. 253 296 347 328 359
Group sales by region
Americas
22.1%
Europe/Africa
50.7%
Asia/Australia
27.2%
Net income Sales
Sales and net income for Knorr-Bremse Group in EUR millions
2013
2014
2015
2016
2017
367 4,303560 5,206
550 5,494645 5,831
580 6,236
* Including HR leasing.** Not including investments in financial assets.
2 3
Knorr-Bremse makes mobility safe. By rail and road. Every day. Across the globe.
Knorr-Bremse is the leading manufacturer
of braking systems and supplier of addi-
tional sub-systems for rail and commer-
cial vehicles, with sales totaling over
EUR 6 billion in 2017. In 30 countries, some
28,000 employees develop, manufacture,
and service braking, entrance, control,
and energy supply systems, HVAC and
driver assistance systems, as well as steer-
ing systems, and powertrain and trans-
mission control solutions. As a technology
leader, through its products the Company
has been making a decisive contribution
to greater safety by rail and road since
1905.
Company Profile
4 5
Klaus Deller
Chairman of the Executive Board, also
responsible for the Rail Vehicle Systems
division.
Ralph Heuwing
Member of the Executive Board responsible
for Finance, Controlling, and IT.
New opportunities are opening up for
Knorr-Bremse to play its part in shaping
the fundamental transformation of the
mobility of the future. Influential factors
in this change process will include further
advances in connectivity and digitaliza-
tion, as well as automated driving and
electrification. These topics have more
than just a technological dimension, be-
cause with them the very nature of our
business is changing: More and more
companies are entering the market; the
pace of technological change is rapidly
increasing, and trailblazing new concepts
are totally transforming the value chains be-
tween supplier, manufacturer, and operator.
In this volatile environment, we are sticking
to our chosen course: Knorr-Bremse is
a family-owned company that targets
sustainable commercial success and is
focused on maintaining its long-term
competitiveness and future viability.
So Knorr-Bremse can look to the future
with confidence, a future that the Compa-
ny with its approximately 28,000 employ-
ees worldwide is determined to master.
Shaping Mobility
Executive Board
Dr. Peter Laier
Member of the Executive Board responsible
for the Commercial Vehicle Systems division.
6 7
Supervisory Board
* Employee representative.
① Werner Ratzis berger*
Project engineerKnorr-Bremse Systeme für Nutzfahrzeuge GmbH, Munich
② Erich Starkl*
Deputy Chairman of the IG Metall Trade Union, Passau Office,Passau
③ Wolfgang Tölsner
Management consultant, Uetersen
⑦ Julia Thiele-Schürhoff
Chair of the Executive Board of Knorr-Bremse Global Care,Munich
⑧ Hans-Georg Härter
Chairman of the Supervisory Board, former Chairman of the Executive Board of ZF Friedrichshafen AG, Munich
⑨ Franz-Josef Birkeneder*
1st Deputy Chairman of the Supervisory Board, Plant Manager Aldersbach
④ Günter Wiese*
Chairman of the Works Council of Knorr-Bremse Systeme für Schienen- fahrzeuge GmbH, Berlin
⑤ Michael Jell*
Deputy Chairman of the Works Council of Knorr-Bremse Systeme für Schienenfahrzeuge GmbH, Knorr-Bremse AG, KB Media GmbH, Knorr-Bremse Services GmbH,Munich
⑥ Georg Weiberg
Retired Head of Development, Daimler Trucks,Stuttgart
⑩ Dr. Wolfram Mörsdorf
Retired Member of the Executive Board of Thyssen-Krupp AG,Essen
⑪ Sebastian Roloff*
Attorney-at-law with IG Metall Trade Union, Munich Office,Munich
① ② ③④
⑤⑥ ⑦ ⑧
⑨⑩
⑪
8 9
Drawing on our core competences, we develop pioneering digitalization and networking solutions that pave the way for automated driving and electrification. Thus we are actively helping to shape tomorrow’s mobility.
SHAPING MOBILITY
We create solutions for safe, comfortable and
sustainable mobility on rail
and road.
SAFEAssistance systems like ABS or automatic
emergency braking, together with predictive maintenance,
simply make driving safer.
AUTOMATEDSmart, networked assistance systems
combined with technically mature braking and steering systems are paving the
way for fully automated drive mode for trucks.
DIGITALDigitalization is part and parcel of
Knorr-Bremse’s strategy.
ELECTRIFIEDElectrical systems from Knorr-Bremse enable
emission-free operation of buses and rail mass transit systems.
WELL TRAINEDTop-quality training provisions around the world prepare a new generation of skilled
workers and managers for working at Knorr-Bremse.
RESPONSIBLEIn 2017, Knorr-Bremse Global Care helped more than 36,000 people
in 60 projects.
HELPFULKnorr-Bremse Local Care encourages
voluntary work by employees at all sites.
ECO-FRIENDLYQuiet, efficient, and sustainable:
Knorr-Bremse helps make rail and road transportation more
eco-friendly.
10 11
Knorr-Bremse creates an attractive working environment in which trust, team-work, diversity, equality of opportunity, and mutual respect are valued and practiced. The basis for this is provided by the corporate values: Entrepreneur-ship, Technological Excellence, Reliability, Passion, and Responsibility.
Knorr-Bremse is an attractive employer.
At our sites around the world we offer
young people opportunities to undergo
training in a variety of technical and com-
mercial occupations. Among the most
popular of these are industrial technology,
machining technology, electronics, me-
chatronics, and IT. Depending on the
sites where they are employed, staff are
also offered a range of voluntary extra
benefits such as meal allowances, subsi-
dized travel, and sport and health provi-
sions. Within the framework of what is
locally feasible, Knorr-Bremse also offers
voluntary contributions to a company
pension. As a global market leader, Knorr-
Bremse can only succeed if it attracts the
best talents and experts in the sector. It
already has – and is constantly seeking –
Sustainable Prospects
high-performing, hard-working employees
who are willing and able to sustain its
success. When such specialists join Knorr-
Bremse they discover fascinating tech-
nologies, state-of-the-art workplaces, a
flexible working environment, and exciting
opportunities to build and shape a career
at home or abroad.
Knorr-Bremse deliberately offers employ-
ees a variety of programs and measures
designed to achieve a good work/life
balance. Whether it is a question of high-
ly-qualified women wishing to stay at
work after having children, fathers want-
ing to play a bigger part in bringing up
their offspring, or families with sick de-
pendents temporarily requiring extra
care: Knorr-Bremse responds to the needs
of its employees, not least by offering
them flexible working time models and
teleworking.
At the end of 2017, the Knorr-Bremse
Group had a global workforce of 27,705
(24,925 excl. HR leasing).
Number of employees (incl. HR leasing) worldwide on Dec. 31, 2017
Distribution of employees (incl. HR leasing) by region on Dec. 31, 2017
Americas
18.4%
Europe/Africa
57.4%
Asia/Australia
24.2%
2013
2014
2015
2016
2017
20,833
23,91624,275
27,705
24,565
12 13
Sustainability is an important part of Knorr-Bremse’s business model. The Company combines the creation of long-term economic value with environmental and social responsibility.
Knorr-Bremse systematically integrates
aspects of sustainability into the product
creation process – from the initial vision,
via product development and manu-
facturing, all the way to sales, product
maintenance, and remanufacturing.
Knorr-Bremse applies sustainability criteria
when evaluating product ideas and also
takes the results of life cycle analyses into
account, so that negative environmental
impacts can be avoided as far as possible.
With research and development invest-
ment amounting to EUR 359 million, the
Company further strengthened its long-
term innovative capabilities in 2017. This
is reflected in an extensive portfolio of
patents, with a current total of some
Investments and Innovations
6,800 active industrial property rights
worldwide. On December 31, 2017, the
Company employed more than 3,700
people in the field of R&D (2016: over
3,200). The IT sector is caught up in
far-reaching change. Digitalization in the
shape of Industry 4.0 and the Internet of
Things (IoT) is driving a rethink of IT
strategies and a remodeling of IT systems
and applications. The ongoing trend is
toward mobility and the Cloud, opening
the door to the utilization of technolo-
gies such as augmented reality, Big Data
and machine learning.
The Knorr-Bremse Group’s investments
in fixed and intangible assets reflect the
importance assigned to growth and
Consolidated research and development expenditure in EUR millions
2013
2014
2015
2016
2017
253
296347
359328
innovation across the Group. In the year
under review, these totaled EUR 185.6
million. Investment activity focused
primarily on machines and equipment
related to the introduction of new prod-
uct generations, as well as on expanding
capacity in high-growth fields of business
and locations. Investments were also
made in the establishment of the Guo
Tong site in China, the new Business
Services Center in Liberec, Czech Republic,
and IT infrastructure projects worldwide.
Replacement investments were also
regularly undertaken.
14 15
Knorr-Bremse is the leading manufacturer of braking systems for mass transit and mainline trains. The Company’s systems are used in high-speed trains, multi-ple units, metros, light rail vehicles, locomotives, and freight cars. At the end of 2017, the Rail Vehicle Systems division employed 16,051 people and generated sales of EUR 3.33 billion.
All over the world, Knorr-Bremse systems
ensure greater safety and comfort for rail
transportation. In addition to braking
systems, important elements in Knorr-
Bremse’s portfolio are train entrance sys-
tems from IFE, platform doors from
Westinghouse Platform Screen Doors,
and HVAC systems from Merak. With the
iCOM family, Knorr-Bremse has developed
an open digital platform – Platform 4.0.
Applications such as condition monitor-
ing, driver assistance systems, and energy
metering help operators increase the
availability of their vehicles and enable
them to introduce lower-cost predictive
maintenance. The product portfolio is
rounded off with energy supply systems,
sanding units, and additional equipment
such as derailment detectors, as well as
brake pads, modern drive technologies,
and electrical systems from Kiepe Electric.
Increasing competition, pressure on prices,
and passengers’ growing expectations
regarding modernity and comfort are
changes that are increasingly impacting
on the maintenance, repair, and overhaul
of rail vehicles. Knorr-Bremse has bundled
its global service activities under the
RailServices brand in order to be able to
offer a customized service package to
meet all requirements.
Rail Vehicle Systems Products and services
BRAKING SYSTEMS Air supply
Bogie equipment Brake control
RAILSERVICES Maintenance
On-site service Customer training Modernization and engineering Spare parts and logistics
2013
2014
2015
2016
2017
3,3412,990
3,325
Global sales in the Rail Vehicle Systems division in EUR millions
2,982
2,247
ONBOARD SYSTEMS Entrance systems
HVAC systems Power electronics Power supply systems Train control management systems iCOM family
OFFBOARD SYSTEMS Platform screen doors
Driving simulators Signaling systems for grade crossings
16 17
Knorr-Bremse supplies braking systems for trucks, buses, trailers, and agricultural vehicles and is a market leader for electronic brake control and driver assistance systems. Other product areas are steering and powertrain-related systems. In 2017, the division employed 11,082 people and generated sales of EUR 2.93 billion.
Knorr-Bremse has a reputation for pio-
neering solutions aimed at ensuring
greater safety and efficiency of commer-
cial vehicle systems – today and tomor-
row – in an increasingly mobile society.
The Company contributes in particular to
paving the way for automated driving, re-
ducing the volume of resources required
for manufacturing processes, and continu-
ously improving the components used.
By offering innovative solutions with lower
weight, greater fuel efficiency, and longer
service lives, Knorr-Bremse ensures greater
safety, sustainability, and economy. Another
area of focus is the development of drive
components that reduce emissions – for
example by electrification. Knorr-Bremse
has successfully established itself in the
market with safety-critical systems such
as brake control, stability regulation, and
driver assistance systems. And it contin-
ues to increase its competence in the
commercial vehicle sector, with a new
offer of steering systems and automated
driving functions, as well as an extended
engine air management portfolio. Knorr-
Bremse has bundled its aftermarket ser-
vices under the TruckServices brand
name. It also cooperates with Bosch and
ZF in operating the Alltrucks full-service
workshop system.
Commercial Vehicle Systems
Products and services
BRAKING AND DRIVER ASSISTANCE SYSTEMS Compressors and air treatment
Electronic brake control Drive stability control Driver assistance systems Valves and actuators Disc and drum brakes Slack adjusters
STEERING SYSTEMS Conventional hydraulic steering systems
Superimposed steering systems
CHASSIS Leveling valves
Electronic pneumatic suspension
POWERTRAIN Torsional vibration dampers
Engine air control valves Clutch actuators Electric and electro-pneumatic transmission control
TRUCKSERVICES Value-based service solutions
Product training Technical hotline Technical documentation Diagnostics and tools Digital product catalogue Telematics
2013
2014
2015
2016
2017
2,492
2,5232,928
Global sales in the Commercial Vehicle Systems division in EUR millions
2,228
2,070
18 19
Knorr-Bremse involves itself in social issues and is engaged worldwide as a good corporate citizen.
Responsibility is a Knorr-Bremse corporate
value and one that the Company lives
by on a daily basis – not only through its
products, which make global mobility
safer, and through its endeavors to make
its production methods as resource-
efficient and climate-friendly as possible,
but also through its active involvement in
community affairs. Taking part in the life of
the community, having a positive impact
in the areas around our sites, and playing a
constructive role in shaping them are a key
part of our identity.
Knorr-Bremse’s social commitment is based
on two pillars: Local Care and Global Care.
Local Care covers all the local community
activities at Knorr-Bremse sites, whereas
Knorr-Bremse Global Care is a charitable
organization that promotes longer-term
projects with bigger financial implications
all over the world – in countries with Knorr-
Bremse sites and in ten other developing
countries. Both pillars offer our employees
a wide range of opportunities to become
involved in community projects.
Networked projects involving both Local
Care and Knorr-Bremse Global Care are
common. Two current examples that
demonstrate how the two pillars can be
combined in a meaningful way are the re-
furbishment of a women’s refuge in Austria
and planting and maintaining a community
garden in Hungary. Both projects were
funded by Knorr-Bremse Global Care and
supported by local employees, who in-
vested considerable time and effort in
them. The Knorr-Bremse site in Budapest
created a community garden in a suburb
of the capital, which is run and maintained
by Knorr-Bremse staff. The garden is for the
benefit of socially disadvantaged people,
a local home for the elderly, and a facility
for people with disabilities. In Mödling,
the residents of the women’s refuge are
delighted with their refurbished kitchen
area. Staff at the Knorr-Bremse and Zelisko
sites in Mödling worked hard to create
an attractive temporary home for women
and children who have been the victims of
domestic violence.
Responsibility
20 21
22
1905
Georg Knorr founds Knorr-Bremse GmbH
in Berlin.
1918 – 1926
Knorr-Bremse sets new technological
standards for freight trains with its
pneumatic brakes. Knorr-Bremse
becomes Europe’s biggest manufacturer
of braking systems for rail vehicles.
1922
Development of the pneumatic braking
system for commercial vehicles begins.
1931 – 1939
The Hildebrand-Knorr braking system for
rail vehicles (Hik brake) sweeps the mar-
ket and becomes the standard system
in 17 different countries. By 1939, some
90% of all German trucks from 7 – 16t
are equipped with Knorr-Bremse brakes.
1945
The Knorr-Bremse plant in Berlin is
expropriated and dismantled at the
end of the Second World War.
1945 – 1953
Development and manufacture of
braking equipment resume in the
western part of Germany. Company
headquarters move to Munich.
1960 – 1980
Knorr-Bremse establishes the new
UIC standard with its KE control valve.
1985
Heinz Hermann Thiele gradually becomes
sole owner of Knorr-Bremse. As well as
giving the Company an increasingly
international orientation, he focuses it
on two divisions, Rail Vehicle Systems
and Commercial Vehicle Systems.
1999
The commercial vehicle brakes division
of Robert Bosch GmbH is integrated
into Knorr-Bremse, complementing
the Company’s activities in the field
of electronic brake control.
2002
Knorr-Bremse acquires Bendix Commercial
Vehicle Systems, one of the leading U.S.
manufacturers of air brakes and ABS
anti-lock braking systems for commercial
vehicles.
2005
Knorr-Bremse celebrates its centenary.
In response to the tsunami disaster in
Southeast Asia, Knorr-Bremse sets up
the charity Knorr-Bremse Global Care.
2010
Knorr-Bremse opens new production
plants in the Czech Republic and
Hungary featuring state-of-the-art
production and logistics concepts.
Knorr-Bremse signs up to the UN Global
Compact and adopts a Group-wide
Corporate Responsibility Strategy.
2011
30 years of ABS (anti-lock braking
systems) and 10 years of ESP (electronic
stability program) – Knorr-Bremse
celebrates two important anniversaries.
2012
Knorr-Bremse introduces new corporate
values which describe what the Company
is about: Entrepreneurship, Technological
Excellence, Reliability, Passion, and
Responsibility.
2013
Knorr-Bremse continues its extensive
program of investment in state-of-the-art
production plant and buildings by open-
ing six new facilities around the world.
2014
Knorr-Bremse launches the new
Knorr-Bremse PowerTech brand for
power supply systems, and sets up
a truck joint venture in China with
Dongfeng Motor Group Co., Ltd.
2015
With the integration of Selectron,
Knorr-Bremse expands its expertise
in train control management systems.
The Company celebrates its 110th
anniversary and the 10th anniversary
of the charity Knorr-Bremse Global Care.
2016
Knorr-Bremse triggers six acquisitions
in order to offer customers connected
systems from a single source.
2017
Knorr-Bremse posts record sales of
EUR 6.24 billion.
History
22 23
Knorr-Bremse AG
Moosacher Str. 80
80809 Munich
Germany
www.knorr-bremse.com
Basic information on the Company’s
products and projects can be found in
the Knorr-Bremse AG Annual Report:
“Shaping Mobility”.
Further information on sustainability
management at Knorr-Bremse can be found
in the Knorr-Bremse AG Communication on
Progress Report: “Shaping Sustainability”.
Details on the work of Knorr-Bremse Global
Care can be found in the organization’s
annual report: “Shaping Futures”.