Case Study Of Siemens

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Siemens is a worldwide company that started in 1847 founded by Werner von Siemens. Since then Siemens has been in developing and growing across the globe, coming up with innovative ideas focusing on electrification, automation and digitalization. In 2005, Siemens was accused of bribing officials to win contracts and the company paid around $1.3 billion in bribes in many countries (keeping separate account details to hide them). The company then hired the first non-German CEO Peter Löscher as an independent director to its board. Eventually Siemens endorsed a series of anti-corruption compliance policies and appointing a corporate disciplinary committee to impose appropriate disciplinary measures. The culture of bribery was old in Siemens,…show more content…
Peter Löscher’s managerial decision making Peter Löscher was hired amid a global bribery investigation and Siemens is a very proud company with a history of innovation and success. Peter examined the organisational structure and checked whether they have employed the appropriate people in the right jobs. Within a month 80% of the top-level executive, 70% of the next level down and 40% of the level below that was replaced. Siemens Facts and Financials Peter went off travelling the world to get to know the company by engaging with people including customers, politicians, young high-potential Siemens employees and top leadership teams of the specific location. He had specific routine to meet up with everyone and he continued it repeatedly city after city. Ultimately getting a clearer view of what is happening. Most Siemens employees were frustrated with top management decision making and bureaucracy. Employees were proud and happy to work in the company at the same time they were disappointed of how career progression was difficult, cheating HR managers, very centralist, and little flexibility in decision…show more content…
Basically, it was showcases of more energy-efficient and resource-efficient products compared to other average market products. This was the first new strategic pillar. The second pillar was to focus back on infrastructure and third was to be pioneers. Peter also pushed Siemens to be more customer-driven. He included the management of key accounts to the managing board’s responsibilities making each member of the board responsible for every customer. To emphasize the entire organization that customers should be the primary focus, Peter mapped how much time CEOs and board members had spent with their customers and ranked them. With time the curve started to shift and Siemens achieved a much stronger emphasis on customers in the top management echelons. Peter used another simple thing to make Simple to be diverse. He appointed women on the company’s managing board and he boldly stated that “our organization is too male, too white and too German”. Peter was a exemplary CEO who portrayed exemplary managerial strategies and solutions when Siemens’ image was badly corrupted by bribery. Siemens differentiated through innovation and even during the economic crisis they significantly increased their research and development

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