Siemens aims to accelerate its growth and enhance profitability through its new “One Tech Company” strategy. According to CEO Roland Busch, the corporate target is to achieve consistent double-digit growth rates, not only in certain years but throughout an entire business cycle. While the current global economic climate presents challenges, the corporation believes it possesses the potential to meet this ambitious goal.
The firm presented its plans for initial structural reorganizations-which involve deep changes across the organization-to employee representatives recently. Busch highlighted that significant improvements are needed in several areas. He stated that the sales and distribution network shows major potential for enhancement, necessitating a noticeable increase in efficiency. Furthermore, changes are planned for technology development, including reducing dependence on intermediaries, increasing the number of employees directly engaging with customers, and utilizing digital tools more effectively.
These strategic adjustments follow a period where capital markets reacted negatively to the updated outlook provided last November. Busch acknowledged that the company may have been “a bit overcautious” at that time, having raised revenue expectations without correspondingly raising the profit targets. Nevertheless, these implemented adjustments are expected to streamline operations and ensure that the company achieves more profitable growth.
