Siemens 2014 Annual Report Download - page 98

We’ve set out to increase our Company’s value on a sustainable basis.
To measure our progress, we use a balanced system of defi ned fi nancial
performance indicators. We’ve further refi ned the range of the One
Siemens indicators we’ve reported to date:
1. Financial framework
Growth
Our aim is to outpace the average growth rate of our most relevant
competitors.
Capital effi ciency
We’ve set ourselves an ambitious target corridor of 15% to 20% for
sustainable return on capital employed.
Total cost productivity
We want to continuously optimize our costs and achieve total cost
productivity gains of 3% to 5% a year.
Capital structure
We’ve set ourselves a goal for our capital structure that will enable us
to maintain our very solid and effi cient fi nancial basis.
Dividend payout ratio
We want to achieve an attractive payout ratio of 40% to 60% of net
income.
Profi t margin ranges of businesses
At the level of our businesses, we’ve defi ned individual margin ranges
based on the profi tability of the most relevant competitors of each
business.
 Our strategy