Siemens: Building a Structure to Drive Performance and Responsibility (A)

Siemens: building a Structure to Drive Performance and Responsibility (A) Below are the available bulk discount rates for each individual item when you purchase a certain amount Register as a Premium Educator at hbsp.harvard.edu, plan a course, and save your studENTs up to 50% with your academic discount. Publication Date:October 07, 2010 Source:Stanford Graduate School […]

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Siemens: Building a Structure to Drive Performance and Responsibility (A)

Below are the available bulk discount rates for each individual item when you purche a certain amount

Rester a Premium Educator at hbsp.harvard.edu, plan a course, and save your students up to 50% with your academic discount.

Publication Date:
October 07, 2010

Source:
Stanford Graduate School of Business

Peter Löscher became CEO of Siemens in July, 2007. It w one of the most turbulent times in the company’s history the company w reeling from a compliance scandal involving hundreds of millions of Euros in suspected bribes, and had to pay billions of Euros in fines and fees to clear its name. Further, the company’s operating groups were underperforming their peers in terms of profitability, and had been for some time. Adding to the , Löscher w the first outsider to run Siemens since the company’s founding in 1847. After his arrival, Löscher d quickly to sess the organization, a global, multiline technology and enneering firm with over 475,000 employees and over €66,487 million of revenue and €3,345 million of net . Klaus Kleinfeld, the previous CEO, had improved company performance, driven the company to become more globally focused, and sold off underperforming and noncore sets. However, his tenure w cut short by the bribery scandal. When Löscher arrived, he felt the company w overly complex, individuals lacked accountability and significant tension existed between headquarters and the reons. Löscher took advantage of the to reorganize the company from 10 operating groups to 3 sectors, introduce reonal clusters to enable smaller markets to focus on sales, establish the “right of way” of the global business, simplify financial reporting, and enhance the sales effort to market verticals. In addition to the changes that Löscher made to the company structure, he transformed employees’ attitudes and reed the entrepreneurial and innovative spirit among managers in the organization.

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Siemens: Building a Structure to Drive Performance and Responsibility (A)


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