Siemens AG - IT Sales Opportunities - 2008 by InfinitiResearch

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Siemens AG (Siemens) is engaged in electronics and electrical engineering. The majority of the company's business is focused on providing products and services to customers-based on Siemens' expertise in electrical engineering. The company's operations include designing, manufacturing, marketing, selling and servicing products and systems, or helps customers use and manage those products and systems. The Company's segments include its Groups, Financing and Real Estate business, as well as its Strategic Equity Investments. Industry trends and drivers have a direct or indirect affect on IT spending of all companies operating within an industry. For example – increase in sourcing from low cost countries might influence Siemens to relook at their supply chains, resulting in selling opportunities for SCM solutions, collaboration tools etc. Thus, we can conclude that industry spending on any particular IT product or service is an important indicator of the criticality of that product or service for the industry. Based on the IT spend information available in ‘TechNavio’, we have computed a ‘criticality score’ for various IT products and services, for Siemens. Various company level developments and events are important indicators of selling opportunities and drive the sales of IT products and services. For example – an acquisition by Siemens might result in opportunities for IT migration and integration services. By tracking these sales drivers (using ‘TechNavio’), we have arrived at a demand score for each product and service. Through an in-depth analysis of industry trends and drivers and company level developments and events, we have made the ‘IT Selling Opportunities Map’ for hardware, software and IT services for Siemens. These maps have been divided into four zones representing Level I, Level II and Level III opportunity areas. Level I opportunity areas have the highest scores and hence, there is a high probability that Siemens will buy these products an

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									   Siemens AG
IT Sales Opportunities - 2008
                                                                                                   Si em ens AG - 2 0 0 8




                                             Table of Contents

1. Comp any Overvi ew ....................................................................................... 4
   1.1 B usin ess Overvi ew ..................................................................................... 4
   1.2 Key Figures ................................................................................................ 4
   1.3 Corp orate Headqua rt ers ........................................................................... 4
2. I T Sp en din g an d Depl oyment s ........................................................................ 5
3. I T Sal es Opp ort uniti es ..................................................................................... 6
   3.1 I T Sal es Op p ort uniti es - Software ............................................................... 7
   3.2 I T Sal es Op p ort uniti es - H ardware ............................................................. 9
   3.3 I T Sal es Op p ort uniti es - Services .............................................................. 11
4. Sal es Drivers ................................................................................................. 13
   4.1 B ein g E nvironmental Friendl y .................................................................. 13
   4.2 B usin ess Portfol i o M anagement ............................................................... 13
   4.3 B usin ess Risk management ...................................................................... 14
   4.4 Ca pac it y E xp an sion ................................................................................ 14
   4.5 Coll ab orati on & Partn ersh ip .................................................................... 15
   4.6 Cost Cuttin g & Op erati onal Effi ciency .................................................... 15
   4.7 Currenc y & Forex M anagement .............................................................. 16
   4.8 Expan din g Researc h & Devel opment Acti viti es ...................................... 16
   4.9 I mprovi ng Cust omer Servic e ................................................................... 17
   4.10 M ergers & Ac q uisiti on s .......................................................................... 17
   4.11 Offsh ori ng & Outsourci ng ...................................................................... 18
   4.12 Op ening New Fac ilit y ............................................................................ 18
5. Con cl usi on ................................................................................................... 19
Ap p en dix A: Key I T Sp endin g Deci si on M ak ers ................................................. 20
   German y ....................................................................................................... 20
   US A ............................................................................................................... 21
Ap p en dix B : Defi niti on s .................................................................................... 22
   B .1 Software .................................................................................................. 22
   B .2 Ha rdware ................................................................................................ 24
   B .3 Servi ces ................................................................................................... 25
Ap p en dix C: M eth odol ogy ............................................................................... 27
   C.1 E va l uatin g Criticalit y Sc ore .................................................................... 27
   C.2 E va l uatin g Deman d Sc ore ...................................................................... 30
Oth er Rep orts in Thi s Seri es .............................................................................. 31




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                                                                                                                           Si em ens AG - 2 0 0 8




                                                           List of Exhibits
Exhibit 2.1: IT Deploym ent Details . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Exhibit 3.1: Soft ware Sal es Opportunities Map . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Exhibit 3.2: Opportunities and Related Sal es Dri vers for Software . . . . . . . . . . . . . . . . 8
Exhibit 3.3: Hardware Sales Opportunities Map . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Exhibit 3.4: Opportunities and Related Sal es Dri vers for Hardware . . . . . . . . . . . . . . 10
Exhibit 3.5: IT Services Sales Opportuniti es Map . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Exhibit 3.6: Opportunities and Related Sal es Dri vers for IT Servi ces . . . . . . . . . . . . 12
Exhibit 4.1: K ey Capaci t y Exp an sion Plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Exhibit 4.2: K ey Geographical Expan sion Pl an s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Exhibit C1: Cal culation s for Estimating Cri ticality Score . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
Exhibit C2: Cri tical ity Scores for Various Software Application s . . . . . . . . . . . . . . . . . . . 28
Exhibit C3: Cri tical ity Scores for Various Hardware Produ cts . . . . . . . . . . . . . . . . . . . . . . . 28
Exhibit C4: Cri tical ity Scores for Various IT Servi ces . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
Exhibit C5: Cal culation s for Estimating Deman d S core . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30




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                                                                         Si em ens AG - 2 0 0 8




1. Company Overview

1.1 Business Overview
Siemens AG (Siemens) is engaged in electronics and electrical engineering. The majority of
the company's business
								
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