SIt took about 21 hours before they banished explosive speculation into the realm of fables. The technology group which was refused on Friday morning and which was also recorded by FAZ.NET reports that the Munich-based technology group wants to radically reduce the number of jobs in the administration. "The report on the alleged reduction of 20,000 jobs in the context of the implementation of the Vision 2020+ business strategy lacks every basis", it said in a press release. "We can not understand the numbers in the magazine." And: "There were no such statements in this form."
Manager Magazine reported that CEO Joe Kaeser has mentioned the number of threatened jobs in key functions such as finance, legal affairs, controlling, sales, marketing and IT during a roadshow in discussions with investors. A spokesman for the company refused to ask for a comment on Thursday. However, he also did not deny the actual factual evidence, whether there have been discussions about this or similar content.
Rumors have been circulating for weeks
The situation is confusing because the accusation in the room is that Kaeser could have provided additional information to individual investors after he had opened an analyst and press conference on 2 August, on request all the details of the new strategy program presented by him had departed. This included the intention to streamline the head office and transfer many business functions to three independently operating industrial units as well as three already independent departments (wind energy, medical technology, railway technology). There are already many of these administrative functions, so it's all about destroying duplicate structures.
Despite the denial, nothing changes the challenges. The aforementioned high number of 20,000 administrations involved obviously caused a lot of unrest in the company. This is not new. Rumors have been circulating for weeks at the head office at Wittelsbacher Platz in Munich alone, up to one in two of the 1,200 jobs in total. If they do not drop out, they will at least be outsourced to other places.
No central cost savings program
The restlessness is not in the last place a consequence of the vague statements made by Kaeser, CEO of Siemens, about the future appearance of the group, which must be shortened to even more profitability, efficiency and efficiency and must be completely reorganized with an increasing number of guard-oriented structure. Wind power subsidiary Siemens Gamesa and medical technology Healthineers are already on the stock market, railway technology must be merged with Alstom and listed on the Pariser stock exchange. The three other units Gas and Electricity (energy), Smart Infrastructure (networks in cities and buildings) and the digital industry are not yet legally independent, but in the future they should work in this way. The new structure comes into effect on 1 October, the beginning of the new financial year.
"With a simplified and leaner corporate structure, Siemens sets the course for sustainable value creation through accelerated growth and stronger profitability," said Siemens in the press release. "The core of the business strategy is to give the individual companies considerably more entrepreneurial freedom under the strong Siemens brand, thus sharpening the focus on the respective markets." It is also the intention to invest in new growth areas such as the internet of things, decentralized energy management or infrastructure Electric mobility to strengthen the growth portfolio. The newly established "Operating Companies" are currently working on concrete detailed plans. "A centrally initiated and group-wide cost savings program is not planned," Siemens emphasized.
The plans are to increase the twelve-month growth in sales and the profit margin of the industrial company by two percentage points in the medium term. It is also necessary to mention the "support functions" whose efficiency must be increased by more than 20% in the coming years. The administration is meant.