Siemens 2006 Annual Report Download - page 25

Fit4More 25
How does Siemens motivate
its employees?
We engage in open dia-
logue with our employees
concerning their goals,
achievements and prospects
for further career develop-
ment. The photo shows
Siemens employees at a
Company facility in Munich,
Germany.
New hires
• In fiscal 2006, Siemens hired 75,200
employees worldwide, 36 percent of
whom hold university degrees.
• About 60 percent of our university-
trained new hires are scientists or
engineers. As these figures attest, we
continue to boast an exceptionally
well-qualified workforce.
Achieving a high-performance culture
A high-performance culture is one in
which employees measure themselves
against the best of the best, accept per-
sonal responsibility and strive to excel.
Only if our people are highly qualified and
intensely committed can we offer world-
class products, services and solutions.
At Siemens, we create a working envi-
ronment in which every employee knows
exactly what is expected of him or her.
We provide regular feedback so that our
people can develop their potential to the
fullest. Based on a clear evaluation of
individual performance and results, we
define specific career opportunities and
determine appropriate compensation for
every employee. We offer our people
excellent career prospects at a world-
class company.
Siemens’ global Performance Man-
agement Process is a powerful tool for
appraising employee performance in
terms of carefully defined criteria and nur-
turing the talented young people who will
one day lead our Company. It enables us
to evaluate the skills and achievements of
individuals at all our Groups, Regional
Companies and Corporate Units. Once
we’ve identified the strengths of our top
talents and key experts, we can imple-
ment the development measures that will
best equip them to leverage their unique
know-how and capabilities for the benefit
of our customers and investors.
One key element of this rigorous high-
performance culture is our system of
performance-oriented compensation for
senior managers. All decisions regarding
managerial compensation are based on a
transparent and uniform evaluation pro-
cedure that takes into account not only
business success but also factors like per-
sonal leadership qualities, customer satis-
faction, process excellence and coopera-
tive networking within Siemens.
Increasing our global talent pool
Our top talents are people who have
great potential and who consistently pro-
duce outstanding results. These are the
future leaders of Siemens – the individu-
als who will be responsible for safeguard-
ing our future and ensuring that we
remain a market leader in all our business
areas. Our ability to recognize and nur-
ture top talents early on is a decisive fac-
tor in our success.
In addition to being highly motivated
themselves, excellent employees inspire
others to produce world-class results.
They’re willing to make difficult decisions
and take personal responsibility for the
consequences of their actions. We offer
University degrees
173,000 = 36%
of which 113,500
are in engineering
or the sciences
Unrelated
qualifications or
no prior training
145,800 = 31%
Vocational training
or apprenticeships
156,100 = 33%
Employee qualifications