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TUM: A model of entrepreneurial and innovative universities, the hidden champion behind the hidden champion

2025-09-08

Hidden Champion "is a concept proposed by German business management scholar Hermann Simon in 1990, specifically referring to companies with a market position ranking among the top three in the world or the number one in their continent, annual sales of less than 5 billion euros, but low public awareness. These so-called 'invisible champions' aim to pursue unique skills and lead the industry, working diligently in a niche market area and gradually gaining a' Only One Company 'position that dominates the global industry. Most of them are family businesses with a survival and development time of over 30 years, and some even have a history of over a hundred years. Although the expansion pace of invisible champion enterprises is slow, their development is steady, and they focus on value driven rather than blind expansion. There are so many 'hidden champions' in German companies, with a strong industrial foundation and many professional talents coming from Germany. Many of Germany's top universities are hidden champions behind the hidden champions.

On July 21, 2025, a group of teachers and students from the German study tour group of the School of Business at East China University of Science and Technology came to the Technical University of Munich (TUM) for intelligent "smart" manufacturing and technological innovation 2025. Peter from the Technical University of Munich (TUM) Joseph Professor Peter J. Brenner shared the latest industrial academic research topic "The Secret of Germany's Hidden Champions" with the faculty and students of East China University of Science and Technology in Shanghai. Professor Peter proposed a response plan for German companies under the "de risk" strategy of the German government and the European Union, from the perspectives of the current situation of start-ups in Germany, innovation management of "hidden champions", opportunities and challenges faced by enterprises, and future prospects. After the lecture, teachers and students from East China University of Technology visited UnternehmerTUM MakerSpace GmbH. As a key part of the innovation and entrepreneurship industry department of the Technical University of Munich, UnternehmerTUM MakerSpace GmbH's mission is to provide technical support to students and alumni, helping them turn their ideas into practical products. The head of MakerSpace provided a detailed introduction to the advanced equipment and operational mechanisms and achievements of the Maker Center for Huali faculty and students.

 

As one of the important birthplaces of the Industrial Revolution, TUM not only has a profound historical accumulation, but also demonstrates its unique charm in today's era. It is also a top research university in Europe and is considered a symbol of German universities in the world today, consistently ranking first among German universities. The departmental structure of the Technical University of Munich is mainly based on engineering sciences and some natural sciences, as well as some medical disciplines, sports sciences, economics, nutrition science centers, land planning, and environmental sciences. The combination of these departments gives the Technical University of Munich a unique advantage among many industrial universities in Europe. The Technical University of Munich places special emphasis and emphasis on cultivating students' three abilities. One is the ability to think systematically. The German education system places more emphasis on cultivating students' cooperative skills rather than competitive skills. This system thinking will bring a global perspective, which is conducive to finding the global optimal solution. The second is critical thinking. Simply put, it is an attitude of questioning things. Doubt is the foundation of innovation. Even if it's an axiom, you can question it. Any axiom will have limitations and timeliness. The third is the ability to deal with uncertainty. No longer fixated on helping students find a definite answer, but emphasizing how to face uncertainty while also making decisions. The organizational structure of the Technical University of Munich follows the concept of an entrepreneurial university: it is not only an attractive partner for the industrial sector, but also an attractive partner for all levels and fields. TUM has close ties with the industrial sector, with over 1000 research and economic cooperation projects annually. The Technical University of Munich has a specialized entrepreneurship research institute, whose task is to carefully analyze the lifecycle of newly established businesses and find best practices for growth oriented technology enterprises. At present, UnternehmerTUM, an entrepreneurship center located at the Technical University of Munich, is already the largest startup center in Europe. In recent years, UnternehmerTUM has ranked first in the Financial Times' selection of "Europe's Leading Entrepreneurship Centers". Every year, UnternehmerTUM cultivates over 50 startups, including successful companies such as travel provider FlixMobility, electric air taxi system developer Lilium, and Celonis, which helps businesses analyze and optimize business processes. The entrepreneurial ecosystem of German universities has become a global focus, and TUM has nurtured 1116 entrepreneurs with interdisciplinary support and a mature ecosystem. TUM has become a model for entrepreneurial and innovative universities worldwide.


At present, as a manufacturing powerhouse, Germany has over 1000 hidden champions active on the world stage, accounting for nearly half of the total number of hidden champions in the world. Similarly, China, as a global manufacturing powerhouse, still has a significant gap with Germany in terms of the total number and quality of "hidden champion" enterprises, globalization, and other aspects. Deep cultivation creates miracles, deception can only be temporary. In today's era of internal competition in China, many companies use black technology or unique technology as a gimmick for excessive marketing in order to compete and market, ultimately being eliminated by the market in the long-term market test. The phenomenon of hidden champions in Germany and the transformation of TUM research universities into entrepreneurial and innovative universities can provide some inspiration and validation for the reform and development of Chinese enterprises and research universities.

Extended reading:

East China University of Science and Technology, abbreviated as Huali, is located in Shanghai, the economic center of China. It is the first higher education institution in New China to be renowned for its chemical engineering characteristics and is known as the "cradle of chemical engineers" in China. It is a national key university directly under the Ministry of Education and is listed as a "211 Project", "985 Project Advantageous Discipline Innovation Platform", and "Double First Class" construction university. It has been selected as a national intellectual property information service center, university scientific and technological achievement transformation and technology transfer base, national intellectual property demonstration university, and one of the first pilot units for the construction of specialized national technology transfer institutions in universities.

Merida ® MerRIND Lean Lubrication was founded in 2008 by alumni of East China University of Science and Technology. MerRIND Chemical Technology Company has always advocated a lean lubrication management model based on lean products in the industry, starting from details and using lean lubrication products as a starting point to promote clean production and high-quality development of industrial enterprises. Joining hands with partners to integrate Merida ® High performance lean products, dataization, and lean management are applied in the field of equipment lubrication in industrial enterprises. Collaborate with partners to implement sustainable, green, low-carbon, and lean industry lubrication solutions. Through long-term unremitting efforts and persistence, the company has provided high-performance, professional grade Merida to many domestic enterprises for a long time ® Lean lubrication products. Renowned companies in the industry include Yum! Brands, Nongfu Spring, Gangnuo Co., Ltd., Longgong Co., Ltd., Laike Electric, Oak Chemical Co., Ltd., Ouwei Machinery, Minning Technology, Haitaikote, Yusen Bailian, Continental Electronics, Deprek Environmental Protection Technology, Shanghai Aomai Robotics, Baima Technology, Aisida Automation, AVIC Power, Taili Manufacturing, Wanhong Automotive Parts, Kyocera, Kovazaki Tools, and Kangkele Automation.

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