Siemens 2011 Annual Report Download - page 157

153 D. Consolidated Financial Statements
273 E. Additional information
143 C.2 Additional information for supplemental
financial measures
145 C. Siemens AG (Discussion on basis of
German Commercial Code)
151 C. Notes and forward-looking statements
140 C. Information required pursuant to Section  ()
and Section  () no.  of the German Commer-
cial Code (HGB) and explanatory report
142 C. Compensation report and Corporate Governance
statement pursuant to Section a of the German
Commercial Code (HGB)

portfolio with the principal aim of achieving or maintaining a
no.  or no.  position in our current and future markets. To
provide a leading environmental portfolio is our third focus
area: Not only does our Environmental Portfolio enhance our
Company ’s revenue, it also makes a significant contribution
to climate protection. Within our One Siemens framework we
have set ourselves the target in fiscal  to exceed €40 bil-
lion in revenue from the Environmental Portfolio by the end
of fiscal . We continue to strive for that goal, although
due to the planned public offering of OSRAM AG, it will be
more challenging to achieve it.
In the second strategic direction of getting closer to our cus-
tomers, one of our focus areas is to grow in emerging mar-
kets while maintaining our position in our established mar-
kets. We plan to offer more products, solutions and services
for the rapidly growing entry-level segments, which are more
price sensitive and mostly found in emerging markets. As a
consequence, we aim to continuously increase our share of
revenue from emerging markets. A second focus area is to ex-
pand our service business, which is highly diversified and
broadly distributed throughout our Company. We believe that
the large installed base of our products and solutions at our
clients provides promising growth opportunities for our ser-
vice business. Services play a key role in profitability at
Siemens and, in addition, long-term service agreements are
less likely to be impacted by economic fluctuations. To inten-
sify our customer focus and to increase customer satisfac-
tion is our third focus area. We believe that customer proximi-
ty and local presence are important factors in being able to re-
spond quickly to changing market requirements.
In the strategic direction of using the power of Siemens, our
first focus area is to encourage lifelong learning and devel-
opment of our employees. We invest continuously in expand-
ing the expertise of our people through demanding training
and education programs. We aim to develop our employees
worldwide by identifying talent and offering challenging
tasks. To empower our diverse and engaged people world-
wide is our second focus area which involves strengthening
diversity. We believe that the strong potential of our employ-
ees’ skills, experience and qualifications can give us a clear
competitive advantage in our global markets. The third focus
area is to stand for integrity. On the basis of our values, we
have formulated clear and binding principles of conduct that
cover all aspects of our entrepreneurial activities.
C... SEGMENT STRATEGIES
The following overview of the strategies of our segments
takes into account the new Sector structure that became ef-
fective as of October , . All Sectors share the common tar-
get established in our One Siemens framework: to grow faster
than our competitors without compromising profitability in
order to reach or maintain a leading position in their respec-
tive markets.
Our Energy Sector covers the entire energy landscape, com-
prising large power plants, distributed generation, transmis-
sion networks and energy storage. As an integrated technolo-
gy organization with a thorough understanding of local mar-
kets around the globe, the Sector offers a comprehensive
portfolio of products, solutions and services. They help our
customers to provide reliable and affordable electric power,
while becoming more efficient in energy consumption and in
reducing their environmental impact. The Energy Sector occu-
pies a leading position in its industry in terms of technology
and continues to set industry standards.
Our Healthcare Sector strives to be the pioneer in affordable
and personalized healthcare. We aim to generate high returns
by helping our customers to gain efficiencies in healthcare de-
livery – a key imperative to meet globally increasing demand
for healthcare in constrained budget environments. We drive
innovation across our portfolio to meet tomorrow’s clinical
and financial demands of our customers and to continuously
improve our cost position. We push operational excellence in
our various businesses, and tap into new growth opportuni-
ties in healthcare, characterized by closer integration be-
tween diagnostics and therapy and by increasing demand
from emerging markets. The Sector’s integrated approach
combines medical imaging and therapy systems, laboratory
diagnostics and healthcare IT systems to address the entire
medical treatment chain – from prevention and early detec-
tion to diagnosis, therapy and aftercare.
Our Industry Sector is one of the world’s leading suppliers of
productivity, flexibility and efficiency offerings for industrial
enterprises. The Sector aims to make its customers’ techno-
logical processes, such as production or engineering, more
competitive over the entire lifecycle of their technology in-
vestments. The Sector’s innovative and environmentally
friendly products, systems, services and solutions are de-
signed specifically to increase the productivity and flexibility
of its customers and to help them to make more efficient use
of resources and energy.
Our Industry Sector relies on com-