Abstract
SiemensAG - a major international corporation , an independent company working in the field of electrical engineering, electronics , power equipment, transport engineering, medical equipment and lighting , as well as specialized services in various fields of industry, transport and communications. Headquartered in Berlin and Munich (Germany) .
Basically, the company most widely represented in three sectors : industry, energy and healthcare sectors .
The company's shares are included in the calculation base of the following stock indices : DAX, S & P Global 100 , Dow Jones EuroStoxx 50 , Dow Jones Stoxx 50 , Dow Jones Global Titans 50 .
The company has a decentralized structure : the responsibility for work in the world market rests with the 14 departments . In various countries, commercial purpose departments implement regional representation.
Siemens is known worldwide , not only as a reliable manufacturer and innovator in many areas of industry. For nearly 160 years, Siemens has sought to use the most innovative materials and technologies , bringing a great contribution to the development of world progress , coming up with new technologies and devices . Us she is more known for its quality line appliances - from irons to refrigerators , and in industry it is famous for lighting systems , electronic systems, air-conditioning and ventilation installation , etc.
Today by Siemens is one of the largest electrical and electronic companies in the world . The company employs 405,000 employees , with about 57% work directly in markets outside Germany. More than 80 % of its production is by the means of production .
Siemens in Russia brings together more than a thousand employees or more than 3500 , including subsidiaries and joint venture companies . «Siemens» present in 30 regions of Russia and is one of the leading suppliers of products, services and integrated solutions for the modernization of Russia's key industries . Implementing numerous successful projects , «Siemens» is an important link for the introduction in Russia the world's technological achievements and real participation of the global economy. Also , in Russia the company acted as one of the creators of the mobile network , namely MTS. Today , thanks to the collaboration with the Japanese company Fujitsu, our market can meet the computer technology : PDAs , smartphones and laptops under the joint brand Fujitsu-Siemens.
Board of Directors:
• Peter Loescher - CEO
• Roland Bush
• Brigitte Heredero
• Klaus Helmrih
• Joe Kaiser
Major shareholders and investors of the company are people who can be divided into several groups relationship with Siemens. Types of investors , you can see in Appendix 1.
According to the company its competitors are:
• Sector Industry - ABB, Alstom, Bombardier, Cegelec, Dassault, Emerson, Finmeccanica, GE, Honeywell, Invensys, Rockwell, Schneider Electric, ITT, SMS, Johnson Controls, Tyco, UTC, Matsushita, Nichia, Philips
• Sector Energy - Alstom, GE, Mitsubishi Heavy Industries, Vestas, ABB, Areva, Schneider Electric
• Sector Healthcare - Beckman Coulter, Cerner, GE, Philips, McKesson, Phonak, Roche
• Cross-sector o Siemens IT Solutions and Services - Accenture, Atos, Cap Gemini, CSC Ploenzke, EDS, IBM Global Services, T-Systems
• SEI o BSH - Electrolux AB, Miele o Nokia Siemens Networks - Alcatel-Lucent, Ericsson, Huawei Основные этапы и критерии их выделения When you select the main stages of formation and development of the company , we have been guided InternationalDirectoryofCompaniesvol.57 p. 318 - 323 , as we believe that this book is most fully reflected periods of life . o Phase I (1847-1877) reflects the period of formation of the company , in the meantime, she remained firm and entrepreneurial supplied only one item - the telegraph system. 1877 - this is the moment when production Siemens & Halskevpervye diversified , and the company has moved beyond the markets of Germany. o Phase II (1877-1929) is notable for the fact that in this period the company is moving from entrepreneurial firms to the modern enterprise. S & Huzhe can be called an international modern enterprise (multiple product lines , several commodity markets , the use of high technology ) . Thus , this step shows the formation of the company. It is limited to 1929 , as the years have been a turning point for the S & Hiz -last Great Depression , and immediately after it started the war period . Naturally, it is impossible not to allocate a separate step wartime, as in this period the production of radically changing to meet government orders. o Stage IIIvydelen years ( 1930-1945 ) . This year, the military , which have not been the most successful for the company, also a period of great depression , which noticeably " patted " the company . There is a kind of stagnation . o Phase IV (1950-1970) was adopted by us because in this period of time , the company was able to recover and implement major restructuring , thus , carrying offensive strategies to capture new markets and diversification . Now the company has brought together all the subsidiaries under the wing of one SiemensAG. Limited to this stage in 1970. o Phase V beginning of the 1980s is characterized by the moment when the first Siemens family has ceased to be the absolute owners of the company . Also in this period of time the company took seriously by policy changes and now the company Siemens planned change focus from engineering , through which they have always been famous for innovation and service , and this is a radical change in the life of Siemens . And in our opinion the main criteria for the selection of this phase were to yield many new geographic markets that show the impact of globalization on Siemens , and huge investments in research and development, which the company previously had never done that means moving Siemens pace with the latest advanced technology. o Stage VI (1995-2000 -s ) tells about the actions of General Director, who many called revolutionary, since nothing like this has happened already for 153 years. Company leaves the markets where they have a problem and there was only on that niche where I could keep the lead.

Stage I. First prerequisites of international concern (1847-1877)

Today SiemensA.G. this technology giant in the world market and the leading concern in western Germany . Once George Williamson puts it: "The second - best" and these words can be a great motto for the history of the company Siemens, which has achieved success by improving others' inventions. But the desire to succeed at all costs - not the most interesting in the history of Siemens, which is also a long history of family tradition and direct participation in the most important events of the 19th and 20th centuries.
Siemens & Halske was opened in Berlin in 1847 byWernerSiemensandJ.G. Halske to install and telegraph systems . Siemens, a former artillery officer , who has already received a lucrative patent for electroplating (electroplanting), was the driving force behind the company and remained so until the end of his days. The company received its first commission in 1848 after signed a contract for the construction of a telegraph line between Berlin and Frankfurt , where the company first came into contact with the state. Construction of telegraph systems created a stir in the mid 19th century , and at this time Siemens & Halske have been quite willing to exploit this situation for their own purposes . In 1853 , the company received an order for the construction of the telegraph in Russia . Once completed , the company opened an office in St. Petersburg under the control of Charles Siemens - Siemens brother Werner . In 1857 Siemens & Halske participated in the construction of the first telegraph passing through the seafloor . This led to the transformation office in London as an independent company under the control of William Siemens - another brother Venus, in the next year . By 1865 the English company's actions become significant . Company name change occurs SiemensBrothers, which is still under the patronage of William Siemens .

In 1867 SiemensBrothers contracted for the construction of 11,000 kilometer London Telegraph - Calcutta (Calcutta), which was completed in 1870. In 1871 joined the London Telegraph and Tehran . And in 1874 SiemensBrothers launched its own cable ship, for computation . The following year, the U.S. and Ireland were united the world's first transatlantic cable .
Thus, the Company for the period of time you can say the owners and top management - are not separated ( Family Siemens remained the owners and managers of the company ) , there was only one product line - the telegraph system , already in 1853, Siemens & Halske beyond Germany and telegraph holds in Russia - the first hints of geographic expansion . Sufficiently pronounced interaction with the state, which , one might say , has given impetus to the further development of the company. Cooperation with the state manifests itself in the fact that Siemens has built a telegraph line between Berlin and Frankfurt , then received his first commission .
On the basis of available data , we concluded that this period kkontsu company structure was functional form with some " echoes " of linear , as superiors - Werner von Siemens provides personal leadership subordinate subordinate leaders - and Carl Wilhelm Siemens and subordinate leaders obey only one person - his immediate superiors and the company performs three functions that , in turn, says that she funktsionalnaya1 . You can also say that Siemens had signs of entrepreneurial firms (fully identical to the traditional enterprise , except that here we use capital-intensive technologies ) . We can assume that telegraph systems were delivered to the assembly line production , and therefore are made by machines , and hence capital-intensive technologies have been used ) . So , we presented the organizational structure of the company, based on the available data :
Stage II. Expansion and Diversification (1877-1929) In 1877, Alexander Graham new phones Bela first appeared in Berlin. Immediately realizing the value of their rapidly Werner Siemens patented and improved version of the device and began production . In the next decade, Siemens and Halske (Siemens & Halske) also developed and started production of electric lighting and power generators, immediately after Vernes Siemens discovered the dynamo - electric principle in 1866 .
In 1888, Werner Siemens was awarded the German Kaiser for their achievements . Two years later he resigned and turned his company into a limited liability company managed by his sons Arnold , William and his brother Carl . Werner Siemens died in 1892 , but the company House of Siemensprodolzhila flourish. In the same year the company Siemens & Halske was built power plant in Erding in Bavaria. Also , in Chicago, was founded by an American subsidiary - Siemens & Halske ElectricCompany, which, however, in 1904, was closed. In 1895 Wilhelm Conrad Roentgen discovered the rays named in his honor , and in the next year Siemens & Halske owned the patent on the production of X-ray tubes . In 1897 Siemens & Halske was transformed into a joint stock company . Was reorganized Carl Henry , now Carl von Siemens , after awarding the Russian Tsar in 1895 as chairman of the supervisory board. He resigned after seven years in office , and it was replaced by his nephew Arnold .
At Siemens & Halske was a lot of work , because replace the 19 th century came 20th . In 1903 it proved Siemens Schuckertwerke GmbH - a subsidiary company engaged in power generation. In 1909 Siemens & Halske developed an automatic telephone exchange ( PBX ), which was able to serve 2,500 users in Munich. But the outbreak of the First World War , the demand for civil electrical equipment has fallen dramatically and the company began producing military peregovorinye device factory in Berlin. Siemens & Halske also produced explosive closures for weapons and , later , during the war , aircraft engines . But perhaps the best contribution of fire extinguishing system was produced for naval cruisers. This system has proven its usefulness in the Battle of the Skagerrak ( Battle of Jutland ) in 1916. There squadron of Navy cruisers seas met his British counterpart the only time during the war . While the main fleet fought to a draw , the German cruiser used their superior artillery equipment to beat their opponents , sinking two British ships and seriously injuring several others. It was an event for the German fleet at the Battle of which he , the circumstances are different, would not receive any benefits .
However , the war also hard hit by Siemens & Halske. Bolshevik government seized power in Russia in 1917, and also seized the property of the St. Petersburg subsidiary , which was estimated at 50 million rubles. SiemensBrothers passed into the hands of the British Government in 1915 and was sold in favor of British interests in the following year . The company was not returned to the family of Siemens and after the armistice , although the names of the company and has been retained for business purposes . SiemensBrothers immediately regained contact with his company , and its parent (SiemensBrothers) General Manager - Dr. Henry Wright (Dr. HenryWright), even became a member of the Supervisory Board of Siemens & Halske in 1929. But Carl Friedrich von Siemens (CarlFriedrichvonSiemens), son of Werner , who led the British subsidiary for six years and has many English friends , was shocked by these events : " They stole our name " - he complained .
Arnold von Siemens died in 1918 , before the end of the war. He was succeeded by his brother Wilhelm , who died the following year and was succeeded by Carl Friedrich . Despite the precarious state of the German economy in the 1920s and Prejudice buyers toward rejection of doing business with the German company , the company continued to manufacture electrical appliances. In 1923 she began producing radios for the consumer market . In the same year , the awareness of the growing importance of Japan as an industrial power and unwillingness to cede the market to General Electric and Westinghouse. Siemens & Halske established a Tokyo subsidiary - Fusi Denk, later known as FujiElectric, which is a good example of an offensive strategy . In 1925 , Siemens began construction of the power plant on the River Shannon in Ireland, and in 1927 began construction of hydroelectric power for the Soviet government near Zaporozhye. Houses in Germany Siemens & Halske funded and paved the railway network in the suburbs of Berlin, which was launched in 1928. By the end of the decade the Company accounted for one third of the total production of the electrical industry , and about the same number of employees.
Analyzing the period of development , we can conclude that the company has started an offensive strategy by the majority of serious unrelated diversification, since the production of these products lies in the different workflows . Thus, all of the following production was not associated with the main production and does not intersect with each other at any stage of production ( construction of power plants , production of X-ray tubes , explosives , gates , aircraft engines , fire extinguishing system ) was also observed related diversification - creating PBX . As you know the main production was the production of Siemens telegraph systems, and automatic telephone exchange was directly connected with it. Besides it can be observed (in this period already wide ) geographic expansion : the creation of a subsidiary in Japan because of its growing importance , and also because of the reluctance to give market GeneralElectrici Westinghouse, hydroelectric near Zaporozhye, power plant construction in Ireland.
You can observe the interaction with the state , which is expressed in the production of military communication equipment , fire extinguishing systems for naval cruisers on government orders. The structure has the form of a functional , also possessing characteristics of the modern enterprise , namely ( capital-intensive technologies , such as the production of goods requires the development of machine production , it can be assumed that many of these products are meant to work on marketing, which in itself is a new feature on a par with production, sales and procurement , geographic markets spread to Russia , Japan, Ireland , Ukraine, owners and management - are , however, Siemens still remain the absolute owners of the company , despite the fact that in 1897 the company reorganized , becoming a joint-stock company also you can draw attention to the fact that R & D began to occupy an important place in the Siemens PBX so making requires research capacity ) .
Analyzing all of the above , we concluded that the company had a functional organization structure , with the following structural units :

Stage III. Company in wartime : 1930-45

Siemens & Halske was severely depleted by the Great Depression , but survived . She was forced to halve dividend of 1930 and lay off employees in large numbers , but relied on a relatively sound financial basis , until such time as the plan re- Nazi government did not help restore its former glory in 1935. During the remainder of the decade Siemens & Halske produced an enormous amount of very different military equipment for all kinds of German troops. One of the most significant technological innovations of the time - the development of an autopilot system for planes - the result of a project initiated for the Luftwaffe. Difficult to estimate of the assets of the company at that time. On the one hand , judging by the words of the family historian , George Siemens , Carl Friedrich von Siemens did not support the Nazi anti-Semitic ideas from the outset and their aversion to used their aims and methods , only increased with time . Before his death in 1941 he wrote to his assistant : "My job is no longer brings me no satisfaction , no joy . Those who once were proud that their work has been devoted to the challenges of development and service to humanity , can now only see what their results are used for destruction in the name of evil. Once I start thinking ' why? ' I should hide in a corner , not to see or hear anything else . " Nevertheless , there is no doubt that Siemens won by German rearmament in the late 1930s . Of course , the company has not taken any serious measures to prevent the Nazi military.
In 1940, Carl Friedrich retired and appointed Hermann von Siemens , the eldest son of Arnold , as his successor. By this time, almost all production Siemens & Halske was occupied by military orders. So it will be throughout the war . In 1944, the company has helped to develop a rocket V2. Its factory is also affected by Allied bombing . After Soveskaya Army captured Berlin in 1945 , Russian occupation authorities completely stopped work and shut down the plant Siemensstadt corporate headquarters . In 1945 Hermann von Siemens , who was also the director of Deutsche Bank, was arrested by the American occupation authorities and interned for two years. There is also no doubt that the company , during the war, used slave labor. George Siemens noted that any major German industrial concern has used forced labor due to the reduction of the number of labor caused by the war , and claimed that Siemens & Halske treated their employees better than most other companies. But in 1947, charges were filed against the three directors of the company , who were accused of being involved in the increase of import slave labor from the occupied countries. In addition , at the same time , were made public testimonies of Holocaust survivors , who claimed that Siemens supplied equipment for the gas chambers concentration camps . These allegations have not been proven , and the company from the outset denied them .
This period was not the best time for the company , despite the fact that Siemensusilenno financed by the state , as produced most of the military equipment , however , dividends and staff were halved . On the basis of available data , we concluded that : involved in the production of mainly capital-intensive technologies , although the use of slave labor in large numbers shows us the need for manual labor , which indicates the presence of labor-intensive technologies . SiemensandHalskerealizuet defensive strategy as forced to withdraw from many markets and reduce its activity . The company has gone from the consumer market and goods produced exclusively for the state. Since the company is experiencing a period of stagnation , then there is no change in the management and organizational structure.

Stage IV. Recovery and reorganization of 1945-1970

Hermann von Siemens regained his chairmanship of the Council immediately after the liberation in 1948 . The company has been exhausted by the war and in need of refurbishment to revert to normal. In 1949, the company headquarters was moved to Munich. By early 1950 , Siemens & Halske again produced railroad medical , telephone and power equipment . In 1954 was founded Siemens Inc. - American subsidiary, based in New York. The first product released to the U.S. market , was the electron microscope . In the mid-1950s, Siemens & Halske entered the growing market for data processing and nuclear energy . It introduced its first computer in 1959 in Munich Garching .
Hermann von Siemens retired in 1956 and was replaced by Ernst von Siemens , the only son of Karl Friedrich . In the mid -1960s technology company Siemens & Halske reached Mars, after the company has developed a special triode , which was used in the transmitter of the American space probe MarineIV.
In 1965 she made another coup when its high passenger train went into operation the German Federal Railways commissioned by the state. Three years later, the company began to construct a nuclear power plant Atucha that in Argentina . It was the first such facility in South America.
In 1966 the company once again undergone a large restructuring . All subsidiaries were now under the direct control of the parent company , and after the company became known peresliyaniya Siemens AG By the end of the decade , global sales reached 10 billion marks , in 1970 - 12 billion marks . In 1971 Ernst von Siemens retired and his cousin Peter succeeded him as chairman . 1970 years were great years for Siemens. Despite the slowdown in the world economy, which covered customer orders in some areas and forced the company to reduce its workforce , sales rose to 20.7 billion marks , and net profit to 606 million in 1976 . When in Munich Summer Olympic Games were held in 1972 , Siemens was the first official supplier of telecommunications and computing equipment. In 1977 the company established a joint venture with an American engineering firm Allis Chalmers, called Siemens Allis Inc., To market turbine generator USA. In fact, the status of Siemens, as the amazing producer has grown to such an extent that Fortune wrote in 1978 that it " has replaced Westinghouse Demonology General Electric ." Siemens Westinghouse replaced as the world's second -largest electricity generating concern priced " as a major competitor in everything from GE motors and switchgear to generators and nuclear reactors ." The company also increased its market share to 21% of computers , rather sharply poshatnuv position IBM, as a leading supplier.
In the late 1970s , Siemens « tripped " by initiating research on the chip technology , on board a consulting firm hired by the West German government to give advice , advise national industrial companies . It was believed that the slow and consistent methods used company will make it uncompetitive in relation to small and fast firms in Silicon Valley , which produced more and more new discoveries. Nevertheless , Siemens AG, with its research budget of $ 1 billion ( one-eighth of all the money spent by industrial companies in western Germany at the time) in the end the company has entered into a joint venture with German rival Fillips, to develop modern microprocessors . However, none of the attempts of the company in this area failed. During the 1987 unit , which produces accessories , scammed and Siemens had to buy chips from Toshiba, to fulfill their obligations as its own production has not been established in early 1988 .
At this stage, dominated by capital-intensive and high- technology ( the company started production of electron microscopes , and released the first computer , which means a lot of attention to research and development activities ( R & D) ) . After the war, the company regained its continuing diversification of production coming on radically new markets , and therefore implementing an aggressive strategy : related (manufacture computers , microscopes ) and unbound ( nuclear power , high-speed passenger trains ) . Offensive strategy is also manifested in the construction of a nuclear power plant in Argentina.
Ownership and management are now - now governed by a Board of Directors ( Supervisory Board ) headed by 1971 stood Peter von Siemens . Also an important point in the development of the company Siemens was the merger of subsidiaries into one , called SiemensAG. In 1977 the company held back vertical integration , by merging with the company AllisChalmer, allowing Siemensvyyti turbine generators on the market . In 1988, we again see an attempt of vertical integration , which this time was unsuccessful , the unit produces components for microchips suffered losses.
You might also notice the regular contact with the state of the company , as the order for high-speed passenger train was coming from the state. In this period , based on the available data , we hypothesized that the organizational structure was still functional , but with a radically new goods .

Phase V. Keeping pace with the high technology and globalization.

In 1981 Peter von Siemens , resigned and was replaced by Bernard Pletner (BernardPlettner). Siemens first family did not have absolute control over the company , founded over a hundred years ago . But 67 - a summer Pletner worked for all my life , and Peter von Siemens realized that his own son , who was 44 years old, is still too young and inexperienced for such a demanding job .
During operation Pletner and new CEO Karlheinz Helmets (KarlheinzKaske), Siemens took up expensive and ambitious program of acquisitions and research and development ( R & D) in order to acquire the title of the world's leader in high technology . Trying to develop its microchips has been part of this program , as well as the absorption of subsidiary IBM, namely Rolm System in 1988. This transaction cost Siemens $ 844 million , but gave control over the third -largest supplier of switching equipment for automatic telephone exchanges ( PBX ) in North America. Siemens strategy for 1980 was to pay current liabilities and to receive some tangible benefits in the short term . The company has spent $ 24 billion on R & D and acquisitions between the 1983rd and 1988 years. This huge cash outflow resulted in a significant outflow of cash and a decrease in dividends in 1988 . As one analyst told the newspaper Business Week: « Siemens will have an interesting story in the 1990s ."
Once a company has entered into a new decade , globalization has become an integral part of its policy , that meant restructuring its monocultural environment. Europe stoknulas recession and Asian and North American markets offer tremendous opportunities for growth. To help lead the movement in a new direction , the company has appointed Hermann Franz (HermannFranz) and chairman Heinrich von Pierer (Heinrich von Pierer) CEO. Purpose von Pierer as head of the company in 1992 reflected the need for a cultural change to ensure higher profits .
Siemens is always in the lead thanks to the engineers. When von Pierer , economist and lawyer , was elected to lead the company , the move was seen as a commitment to greater commercialization company. Rates von Pierer identified three main trends : the first - 85 % of the business Siemens will focus on global markets or in markets that are just developing in favor of globalization , and secondly - a marked improvement in production depend on reducing the " density, intensity" of production and is the third - Software - a crucial commercial factor.
Inside the company, von Pierer produced a cultural revolution . He continued reorganization begun by his predecessor , helmets , and formed a program to make Siemens more competitive against Japanese companies , by becoming her more responsive to market demands. He replaced the hierarchical structure and concentration on engineering focus on innovation and new services. He gave managers at local stores right to reduce prices and to nominate projects . At the same time , he appointed a young manager who was about 40-50 years Moreover, von Pierer reduced the number of employees by 7.5% and sold $ 2 billion in non-core businesses and cut operating costs by $ 3.6 billion in 1995 financial year. He kept asking if there was a company flexible enough and scrolling , and in order to know this , he invented himself addressed postcards that were invested in corporate magazine , and where employees can express their ideas.
These measures were part of the strategy , which was to bring Siemens to emerging markets , particularly in Asia . Von Pierer planned to invest $ 3.4 billion in Asia by 2000 and to double sales , bringing them up to the level of $ 14.3 billion , according to Business Week, in 1995. He created a power in Asia to reduce costs and attract new customers , and telecommunication units in the U.S. and Italy. He also planned further acquisitions, to bring as many production facilities outside of Germany . Strategy has begun to bear fruit. When the net profit increased by 17% in 1994 to $ 1.18 billion , gross profit increased by 8% for the three months and analysts predicted an increase of 20 % per year. In 1995 , sales continued to increase, and decreasing to this income began to increase , too .
Another step towards globalization - a partnership with the world's largest computer manufacturer and the second largest producer of microchips in Japan. In 1992, Siemens joined forces with IBM and Toshiba Corporation, to develop 256M- bit chip , a microprocessor with a power of a supercomputer . The first delivery of the chip market is expected in 1998. Project was estimated at $ 2 billion a billion for the development of a chip and a billion for production. It was expected that alliance Siemes, IBM and Toshiba will be the norm , giving higher operating costs and providing concentration on the " unlimited " world economy.
Innovation has always been part of the tradition of the company Siemens. But social pressure and rapidly changing technologies worldwide, brought new challenges for Siemens. So the company has met 21. To cope with the new market , Siemens has used its tradition , intelligence , resources and systematic approach to continue to be a strong international force. As noted by von Pierer in its annual report in 1994 : "To help set the course for change - that's what was important task of our company for 150 years .... Fifteen years ago , only half of all global sales were products existed for less than five years ago. Now this figure had risen to two-thirds - is solid proof that we do not simply correspond increased demands for change, but also sets up the pace with which these changes occur . "
We estimate the company during the 1980s and 90s and has made the following conclusions. Siemensstremilas take a leading position in high-tech and therefore resorted to expensive and ambitious program of acquisitions, research and development ( R & D) . In this regard , we note the following : the company was dominated by high-end technologies (microprocessors , computers, PBX - imply the presence of high technology ) , you can watch an offensive strategy to gain a large market share and even a leading position in a new industry . She (strategy ) is based on innovative technologies , discoveries , because the company has invested a lot of money in R & D and acquisitions Rolm System ( horizontal integration) , which gave Siemens control over quite a large portion of the North American market switching equipment . The company also sells offensive strategy , organizing IBMi alliance with Toshiba, allowing it to expand into new markets .
It is also worth noting that the company began to geographic expansion to Asian and North American markets , as They offer great opportunities for growth and development, especially in a crisis European markets .
On interaction with the state at this stage , little is known , but we assumed that it is gradually reduced to a minimum , as the company enters new markets and it is no longer needed such a strong support from the state .
Appointed manager von Pierer continued restructuring of the company , shifting the focus from engineering to innovation and globalization. Because of the rapid development of the company and its main directions of reforming the new management in the organizational structure SiemensAG replace functional organizational structure comes divisional . We made this conclusion on the basis of its determination , because we have a large selection of autonomous production and business units ( Industry , Energy and Healthcare ) , which provided a certain percentage of operational and production autonomy , and which are responsible for making a profit , and the leaders of these offices , in turn, are responsible for the results of the activities of their departments.

Stage VI. Radical restructuring for the 21st century

1990s were difficult years for Siemens. Combined with the sluggish conditions in Europe , in 1996 the economic crisis in Asia caused serious damage to the company , namely the reduction of the company's profits by two-thirds between 1996 and 1998 .
Analysts criticized for its slowness Siemens in response to new demands growing , globalized market environment , and many called for the company to overhaul the structure staroekonomicheskoy conglomerate , by abandoning the business, relying on slow-growing markets , such as electricity production .
Once time put everything in its place , the program was implemented , a three-pronged strategy to promote cost reduction , growth, and innovation , management made a significant restructuring of the organization and there was a significant increase in productivity since the early 1990s. Benefits were unclear , however, to finance global expansion , you need to keep up with competitors .
Earnings fell because of especially semiconductor business , that being infected especially serious price war for memory chips , lost $ 727 million in 1998 . Other units also suffered greatly : for electricity, transportation system , and private communication networks .
Despite the criticism, von Pierer firmly believe that there is synergy between the different areas of the company , as most of the business was in the field of electrical and electricity, and a breadth of scope of the company saved it from the inevitable ups and downs during different business cycles. However , by 1998 the CEO admitted that the company sprayed his hand at too many spheres of activity. It was decided to retain only the niche where Siemens could easily hold the lead . Von Pierer decided to stop the production of small companies , such as military electronics and dental equipment . It also includes the sale of its stake in the group suffering from a crisis of telecommunications companies GPT English GEC. However, most investors remained frustrated , arguing that this modernization has meant little more than a partial restructuring and was radical enough to bring a "sick " company to its previous level of high yield.
Finally in 1998, von Pierer presented a global plan consisting of ten items , which was perceived as a revolution for the 153 -year company. During this radical shake-up designed to maintain the level of gross revenue and eliminate discontent among investors , Siemens would sell or be separated from their one-seventh of the shares - units with a combined annual sales of more than $ 10 billion. The essence of this action is that Siemens decided to separate Infineon, he owns " cyclical " semiconductor business , which again predicted a huge loss in 1998 . Further, the company got rid of business, producing copper cable , electronic components, and locomotives.
Siemens update consisted of four main business units: power generation, industry, rail systems , and information and communications. To support the production of electricity and to achieve cost reductions , Siemens, in 1998, acquired a division of Westinghouse, responsible for electricity . With the formation of Siemens Westinghouse Power Corporation, Siemens is in a perfect position to take advantage of the high demand in the U.S. and to restructure its production facilities worldwide. Further , the merger presented a chance to make a big step in the direction of movement of the bulk of production outside Germany, is one of the goals of von Pierer . Industrial division has undergone its own restructuring of Edward Krubasika (EdwardKrubasik), and thanks to revenue , which increased in 1997 by 60% beginning to flourish. Krubasik introduced best practices , joint accounts , thus uniting the scattered offices of the company, whose activities ranged from the construction of industrial buildings and factories to the production of automated machines (devices ) . Railway division, which lost $ 479 million in 1997, was the last life decision Siemens. Thanks to the reforms , which held von Pierer , it received a new management team , which was tasked to "strengthen " unit so that it can be sold in the coming years .
Unit responsible for information and communication, was the biggest in the company. In this sector, Siemens was hoping for partnerships in the business of manufacturing mobile phones and personal computers . These are two areas in which it did not have sufficient market share to compete effectively and independently with other companies. Further, when the company had a share in a secure telecommunications switching market , strategic acquisition was necessary to unit kept pace with the Internet technology. After all, they are a critical area of competence and responsibility as the global volume of data is increasing and will soon exceed the capabilities of the Internet phone line .
Success in this area depended on the rapid release of the U.S. market , where competition asked companies such as NortelNetworks, LucentTechnologies and CiscoSystems. To this end , in 1999 Siemens acquired two Massachusetts companies working in the field of Internet technologies Castle Networks Inc. and Argon Networks Inc., for the formation of a subsidiary company in Boston. Then in 2001 , the company held its first listing on the New York Stock Exchange, paving the way for future , share-based acquisitions. Also this year , Siemens has adopted the practice of conducting transparent financial statements and its annual report published in an appropriate style .
Analysts applauded the visionary von Pierer for restructuring undertaken since, as noted , Siemens has doubled its revenue in 1999 , in addition net income increased from 1.2 billion euros in 1999 to 8.9 billion euros in the year 2000 . With the upcoming retirement in 2004 , von Pierer continued to praise the synergistic benefits of the bundled structure Siemens. As he told the newspaper Finantial Times January 21, 2002 : "Our relative strength is that we are in a number of different business areas that are influenced by various economic cycles. A few years ago no one knew the whole validity of this approach . "
However, being in a constant desire to firmly establish itself in the market as a world-class company , Siemens continued its "operation" on itself in the first years of the 21st century , removing the "fat" from all departments and focusing on Internet technology and communications industry and . Von Pierer was going to restore the profitability of three divisions : 1) related to Internet technology division of telecommunications equipment, 2) mobile phones and 3) business services. Back to its previous level of profitability it would by reducing the number of jobs , the closure of non-essential production sites and redouble their efforts to develop new products to market. Using a similar strategy to achieve results in the well- units responsible for medical equipment and trains, it is likely that Siemens will continue to keep the brand .
Making an analysis of the late 1990s and early 2000s , we made the following conclusions. In 1996 the company began to lose money ( profit fell by two-thirds ) due to the crisis broke out in Asia . Therefore it was decided to retain only the niche where Siemens could easily hold the lead . Von Pierer decided to stop the production of small companies , such as military electronics and dental equipment and to sell its stake in the group GPT telecoms company got rid of the business for the production of semiconductors, and businesses producing copper cable , electronic components, and locomotives. Siemens update consisted of four main business units: power generation, industry, rail systems , and information and communications.
The company dominated the high-end technologies (most of the business is in the field of electrical and electricity ), but there have been capital-intensive and technology as the production of most goods produced in factories , and many products have been put on the production and assembly-line production . Siemens is now a modern enterprise in all characteristics ( ownership and management - are , different geographic product markets (Japan , USA , Argentina, Russia , Germany , etc.) , different product lines ( higher indicates products made by the company ) .
The company produced the horizontal integration , absorbing two kompaniiCastleNetworkInc Massachusetts . and ArgonNetworksInc. to exit the sphere of Internet technologies. The organizational structure of the company SiemensAGsohranyala previous form with the late 1990s years.

Conclusion
Analyzing how developed by Siemens are several national features of industrialization in Germany , which somehow affected the company's growth strategy .
1) a high proportion of enterprises in technologically advanced capital-intensive industries . This contributed to the fact that in the last third of the XIX century . industry began to play a major role in the country's economic system . German technical level , a relatively new industry, was above the English , old . German industry barely knew the problems of technical re - created immediately on the latest by the time the technical basis - electric , diesel , steam turbine power at a distance , the production of nitrogen from the air , etc. Certainly , we can say that Siemens refers to such enterprises , because it is the use of advanced technologies in its production allowed it to win a place in the world leader in the manufacture of a wide variety of goods and keep this place to this day .
2) a high proportion of enterprises that produce capital goods . It is most likely that the economic recovery 1850-1860 -ies. , Which was characterized by a very impressive quantitative and qualitative changes in the sectoral structure of the economy , especially in heavy industry , is a prerequisite for this . After all, after the production of the means of production from 1861 to 1870 increased by 23 % , while production of consumer goods - only 9%. Siemens has almost from its inception, producing capital goods .
We should also mention the complex and advanced management structure of the German company , which is quite a large number of times changed during the lifetime of the company. There is no doubt that it is flexible and at the same time a strong management structure allowed the company to survive its most difficult times. That the structure of successfully adapting to the constant changes of the market shows that the work of von Pierer on the reorganization of the company was not in vain and that his dream of a constantly evolving and adapting the company's true.
3) One of the features of this period of industrialization in Germany was the birth of new industries. Extensive development chemicals . Opening aniline dyes (1856 ) formed the basis for the production of not only paints, but also pharmaceuticals , explosives (Siemens produced explosives for the German military during the First World War). Siemens almost since the beginning of its activity proved to be a company that uses high technologies, started development of production associated with these new , developing industries. The outcome of this development, we can see now , because Siemens is a leader in the production of advanced medical equipment to the world renowned for its quality and reliability.
4) For the period of industrialization is also characterized by co-operation with local banks .
In Germany, the private joint-stock banks established close ties with industry . The close relationship between banks and industry, became the basis for further weave their activities. For example, the German bank, created by private bankers and industrial firms (including firm Siemens), first director was Mr. Siemens . No wonder so widespread cooperation with banks , as a feature of German business is investing a lot of money in the venture. Specifically in its management and logistics , in order to maximize capacity utilization due to the international activities of the company and get off at high monopoly profits. What worked and Siemens , as already four years after the company was founded in 1853, was held the first telegraph office in Russia ( as an example of international activities ) . Currently , Siemens presented a huge number of countries , and to this day one of the key aspects of its strategy is "to strengthen its global presence to be a strong local partner for customers worldwide ."
5 ) Siemens is very kind to our planet and strongly supports a variety of initiatives to protect the environment. Siemens has positioned itself as a pioneer in the manufacture and construction using "green technologies ." This is confirmed by the fact that the summer of 2012 is almost in the center of London will be built building The Crystal, which will be an example of environmentally friendly building the future . The company is also fighting for the greatest possible reduction of CO2 emissions into the atmosphere.
Currently, the company's strategy can be described in three words: responsibility , excellence and innovation. Siemens is an integrated technology company . Painstaking work in sectors such as its activities Energy, Health , Industry, and Infrastructure and the city made it a leading company in the global market and technology leader . Technological excellence , innovation, quality , reliability and focus on the presence of the world were its hallmarks are more than 160 years, and they remain to this day .

References

1. Siemens Global Website [ electronic resource ] - http://www.siemens.com
2 . ABB in Russia (Russian Version) [ Elektronnyyresurs ] - http://www.abb.ru
3 . Major competitors [ electronic resource] / / Website Siemens AG, [ 2011] . - Mode of access : http://www.simensag.ru/sovremennoe-polojenie/osnovnye-konkurenty.html, free - Caps . from the screen. ( 21.12.2010 ) .
4 . Nucléaire: lesdessousdel'accordentrelaFranceetlaLibye [ electronic resource] / / Website leParisien, [ 2011] . - Mode of access : free - Caps . from the screen. ( 21.12.2010 ) .
5 . Global leader in nuclear energy and renewable energy solutions [ electronic resource] / / Website Areva, [ 2011] . - Mode of access : free - Caps . from the screen. ( 21.12.2010 ) .
6. GE: Russia and CIS: Our Company [ electronic resource] / / Website GE, [ 2011] . - Mode of access : http://www.ge.com/ru/ru/company/index.html, free - Caps . from the screen. ( 21.12.2010 ) .
7. Forbes: the 2,000 largest public companies in the world [ electronic resource] / / Website Forbes, [ 2011] . - Mode of access : http://www.forbes.ru/ekonomika/kompanii/66990-forbes-2000-krupneishih-publichnyh-kompanii-mira, free - Caps . from the screen. ( 21.12.2010 ) .
8. International Directory of company histories / A. Hast [et al.]. - Chicago and London: St James Press, 2008 . - Vol. 57.
9. International Directory of company histories / A. Hast [et al.]. - Chicago and London: St James Press, 2008 . - Vol. 2 .