Siemens 2014 Annual Report Download - page 172

108 A. To our Shareholders 131 B. Corporate Governance 171 C. Combined Management Report
172 C. Business and economic environment
187 C. Financial performance system
193 C. Results of operations
205 C. Financial position
210 C. Net assets position

C.. The Siemens Group
C... ORGANIZATION AND BASIS OF PRESENTATION
We are a globally operating technology company with core ac-
tivities in the fields of electrification, automation and digital-
ization, and we occupy leading market positions worldwide in
the majority of our businesses. We can look back on a success-
ful history spanning  years, with groundbreaking and revo-
lutionary innovations such as the invention of the dynamo,
the first electric streetcar, the construction of the first public
power plant, and the first images of the inside of the human
body. On a continuing basis, we have around , employees
as of September ,  and business activities in nearly all
countries of the world and reported consolidated revenue of
€ . billion in fiscal . We operate  major produc-
tion and manufacturing plants worldwide. In addition, we have
office buildings, warehouses, research and development facili-
ties or sales offices in almost every country in the world.
Siemens comprises Siemens AG, a stock corporation under the
Federal laws of Germany, as the parent company and a total
of about  legal entities, including minority investments.
Our Company is incorporated in Germany, with our corporate
headquarters situated in Munich. Siemens operates under the
leader ship of its Managing Board. The Siemens Managing
Board is the sole management body and has overall business
responsibility in accordance with the German Stock Corporation
Act (Aktiengesetz, AktG). At all other organizational levels
within our Company, management responsibility is assigned to
individuals who make decisions and assume personal responsi-
bility (CEO principle). This principle establishes clear and direct
responsibilities and fosters efficient decision-making.
Below the Managing Board, Siemens was structured organiza-
tionally into four Sectors (Energy, Healthcare, Industry and
Infrastructure & Cities), Financial Services (SFS), Cross-Sector
Services, Corporate Units and Countries in fiscal . The
Sectors were principally broken down into Divisions and these
in turn into Business Units.
In fiscal , the Sectors formed four of our reportable seg-
ments. In addition to our four Sectors, we had two additional
reportable segments: Equity Investments and SFS. The following
figure shows our reportable segments as of September , .
C. Business and economic environment
Reportable segments as of September 30, 2014
Total Sectors
Energy
Sector
therein:
>
Power Generation
>
Wind Power
>
Power Transmission
Healthcare
Sector
therein:
>
Diagnostics
Industry
Sector
therein:
> Industry Automation
> Drive Technologies
Infrastructure & Cities
Sector
therein:
> Transportation &
Logistics
>
Power Grid
Solutions & Products
>
Building
Technologies
Equity
Investments
Financial
Services
During fiscal , we initiated a change in the organizational
structure of Siemens, which became effective as of October ,
. Beginning with fiscal , we eliminated the Sectors and
bundled the businesses of the former Energy, Industry and
Infrastructure & Cities Sectors into seven reportable segments,
which consist of the following Divisions: Power and Gas;
Wind Power and Renewables; Energy Management; Build-
ing Technologies; Mobility; Digital Factory; and Process
Industries and Drives.