Research and Development

The highest ranked Turkish company on the global list of R&D expenditures

The Koç Group is determined to enhance its competitive edge by leading in innovation and technology in its business areas. It maintains its focus on delivering innovative, environmentally friendly and energy efficient products and services.

The Koç Group spent TL 2.7 billion on R&D between 2007 and 2012. Koç Group’s R&D expenditure of TL 677 million in 2013 constitutes nearly 10% of total private sector R&D expenditure in Turkey.

Koç Holding ranked 614th on the European Commission’s global study of R&D expenditures, making it the highest ranking Turkish company on the list.

The Koç Technology Board, established in 2005, changed its name to the Koç Technology and Innovation Board in 2013. On the Board of Technology and Innovation Day, the topics of Innovation Models and Open Innovation Management, and Trends in Innovation Management and Innovative Companies, were examined.

European Union Projects

Koç Holding companies increased their involvement in EU-funded projects, with the number of its projects under the EU 7th Framework Program (FP7) rising to 14 and those under the Eureka program reaching 13.

The CelticPlus/Eureka R&D project C24Safety, coordinated by KoçSistem with the participation of Ford Otosan and Tofaş, was completed. The goal of this project was the development of inter-vehicle communication technology for safer traffic.

The FIspace, an FP7 project in which Arçelik and KoçSistem participated, was one of five FI-PPP program R&D projects undertaken through an EU initiative to raise European competitiveness. EUR 13.5 million of the EUR 20 million budget of the project was funded by the EU.

Tofaş became the first Turkish company to act as FP7 project coordinator in the field of production technology.

Yapı Kredi took part in the ITEA2/Eureka ADAX project to develop software capable of identifying and countering attacks on complex information systems. Work is underway to assume an even more active role in the Framework Program, which continues under the name Horizon2020 as of 1 January 2014.

Awards and Activities

The 2nd R&D Centers Summit was held with Arçelik as its main sponsor. The innovative products Arçelik, Ford Otosan and Tofaş displayed at their stands drew strong interest from the participants. In addition, officials from the Ministry of Science, Industry and Technology gained information about the products on display.

Arçelik received the Innovation Leadership award at Turkey Innovation Week, which the Turkish Exporters Assembly held for the 2nd time. Koç Holding Board Member Ali Y. Koç received the award from the Prime Minister, Recep Tayyip Erdoğan.

The new Transit Connect, designed in Turkey by Ford Otosan’s engineering team and launched by Ford plant in Spain, won the International Van of the Year award. The engine test center, which began operations in 2013, was named the Engine Test Center of the Year.

Aygaz’s LPG Camping Gas Cylinder Recognition System project received the Innovation Runner-up award from the World LPG Association (WLPGA).

Tofaş garnered 1st place in the R&D and Innovation category at the Bursa Chamber of Industry and Commerce’s 40th awards ceremony.

Defense Industry

Otokar contributed to the defense industry’s product portfolio with TULPAR, Turkey’s first original armored tracked vehicle, and URAL, a 4x4 Light Armoured Tactical Vehicle. Focusing on turret systems, Otokar has commissioned a six-degree of freedom (6DOF) simulator.

In its most recent R&D activities, RMK Marine has concentrated on surface platform systems and, with funding from TÜBİTAK, developed the Multi-layer Scalable Integrated Platform Management System.


Tüpraş and Koç University collaborated to open the Energy Systems Development Center. Field testing started for the simulation program developed after the R&D project “Exchanger Pollution Monitoring, Modeling, Simulation and Optimal Maintenance Planning to Reduce Refinery Energy Waste.”

Aygaz intensified its R&D work on three TÜBİTAK/TEYDEB-funded projects in 2013.

Environmentally friendly and innovative products that improve its customers’ quality of life


The Transit Courier, which will enable Ford to enter in a new sub-segment within the light-commercial-vehicles segment, went into production at Ford Otosan’s Yeniköy Plant. Work on the development of the new Euro 6 emission standard-compatible Ecotorq engine family, which will be used in Cargo trucks, continued. A technology licensing agreement signed with the Jiangling Motor Corporation (JMC) in China for a truck engine was the first of its kind in the Turkish automotive sector.

Otokar has launched a new product that it expects to parallel the success and leadership its Tempo model has enjoyed in the bus market. In the area of hazardous material transportation, Otokar is the first company to receive the Turkish Standards Institute’s Design Approval Certificate after the implementation of ADR regulations for the Company’s Elliptical Tanker Trailer and Truck Tankers. Otokar has launched its 8.5-ton Atlas lightweight trucks.

Tofaş continued R&D on adapting its Doblo model for the North American market and on its FaceLift project. In addition, investment decision was made for a new Sedan car model to meet domestic and various export market needs.

TürkTraktör designed the Compact Orchard tractor for ease of use in narrow vineyards and gardens. The Company conducted design-focused R&D on Narrow Orchard model tractors on the basis of customer demand. Two test systems became operational under a project, carried out with TEYDEB funding, to develop engines meeting Tier4 emission level standards.

Consumer Durables

Arçelik was named “Innovation Leader” at the Turkish Exporters Assembly’s Turkey Innovation Week. In the “First and the Only” category, the Company introduced such innovative products as its Automatic Tea Maker and a refrigerator with an integrated ice cream maker. The Beko Dolphin Series washing machine received the “Innovative Product” award at the 9th China Innovation in Electrical Home Appliances Awards held by the China Household Electric Appliance Research Institute (CHEARI). The Ministry of Finance approved the Beko Cash Register POS device, developed to meet the New Generation Cash Register Regulations, and it was launched.

Arçelik-LG developed new inverter products at energy efficiency levels between A and A +++ that conform to the new energy regulations that went into effect in Turkey on 1 January 2014. The Company launched the patented Fresh Air Kit.


Five Koç Sistem projects received approval on the Eureka platform. TÜBİTAK continued funding for two Eureka/ITEA2 projects and one Eureka/CelticPlus project that involves Otokar.

Yapı Kredi established an IT R&D unit and continued three TEYDEB projects and one Eureka project. It created a portal called EVREKA, taking advantage of its idea-generating potential, to collect and to implement innovative ideas.