geo netherlands chapter event
DESCRIPTION
DRAFT. GEO Netherlands Chapter Event. Siemens Equity Strategy. Agenda. The Siemens Equity Strategy. Plan Design. Communication . Equity Culture Enhancement Project. Siemens – sectors and divisions. Siemens AG. Employees : 370,000 Revenue (in Mio. €): 78,300 Income (in Mio. €): 5,200. - PowerPoint PPT PresentationTRANSCRIPT
GEO Netherlands Chapter Event
Siemens Equity Strategy
DRAFT
For internal use only / Copyright © Siemens AG 2013. All rights reserved.Page 2 CD EA - May 2013
Agenda
The Siemens Equity Strategy
Plan Design
Communication
Equity Culture Enhancement Project
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Divisions
Rail Systems Mobility and Logistics Low and Medium
Voltage Smart Grid Building Technologies OSRAM 1
Divisions
Fossil Power Generation
Wind Power Solar & Hydro Oil & Gas Energy Service Power Transmission
Divisions
Imaging & Therapy Systems
Clinical Products Diagnostics Customer Solutions
Divisions
Industry Automation Drive Technologies Customer Services
Siemens – sectors and divisions
1) In fiscal2011, Siemens announced its intention to publicly list OSRAM and, as an anchor shareholder, to hold a minority stake in OSRAM AG over the long term
Energy Healthcare Industry Infrastructures & Cities
Financial Information
Employees: 86,000Revenue (in Mio. €): 27,500Income (in Mio. €): 2,200
Financial Information
Employees: 51,000Revenue (in Mio. €): 13,600Income (in Mio. €): 1,800
Financial Information
Employees: 105,000Revenue (in Mio. €): 20,500Income (in Mio. €): 2,500
Financial Information
Employees: 89,000Revenue (in Mio. €): 17,600Income (in Mio. €): 1,100
Siemens AG
Employees: 370,000 Revenue (in Mio. €): 78,300 Income (in Mio. €): 5,200
Global powerhouse in electrical engineering and electronics working to develop products, design and install complex
systems and projects, and tailor a wide range of services for individual requirements.
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"I've still always found that it's the greatest waste not to give those involved in managing businesses a share of the results."
Werner von Siemens, 1868
"I will not sell the future for short-term profit!"
Werner von Siemens, 1884
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The Siemens Equity Culture
Peter Löscher has laid the groundworkfor a living Equity Culture embedded in the overall company culture with the objective to:
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Being a role model
Act as One Siemens
Spreading Equity Culture into the organization
Equity as global brand
Act as One Siemens
Equity as attractive HR instrument
Strategic HR com-pensation element
Element of local employer branding
Market competitive benefit system
Accordance with local market best practice
Retain & engage
employees
Support entre-preneurial spirit
Foster sustain-able behaviour
Support mobile high potentials
Perception in the War for talents
Support long-term thinkingTo
ne fr
om th
e To
p
Livi
ng th
e Eq
uity
Cul
ture
Equity Culture fosters employees to act as one Siemens. Local attractiveness is key success factor for living Equity Culture.
Living the Equity Culture
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Tone from the Top
Act as One Siemens
GlobalCommunication
Equity asglobal brand
Local Communication
Equity as attractiveHR instrument
e.g. CEO Trailer, Equity Culture booklet
Tailor-made communication material in order to meet local requirements
Tailor-made communication strategy to live a sustainable Equity Culture
CommitmentTop Senior
Management
Spread the vision of a global Siemens Equity Culture
e.g. Road shows Local, individual trailer Town-hall-Meetings External, local communication
Local brochure/flyer Face-to-face communication Local Management team meetings
Toolbox Template cover letter Key messages Poster, Banner Key visual
Media package Web-based training Brochures Equity Trailer
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Plan Design
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Siemens’ Share Programs
Share Matching Plan CEO Special Allocation
Share Ownership Guidelines Performance Oriented Stock Awards
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Share Matching Plan 2013Key Messages
148,000 Siemens employees are part of the Siemens equity culture Highlights Share Matching Plan 2013
Population and Country Scope Share Matching Plan 2013 – 107,000 elections
Over 107.000 employees elected to participate in the Share Matching Plan 2013
This represents an increase of 5% compared to the previous year´s election
380,000 employees in 60 countries were eligible to participate in the Share Matching Plan 2013.
Share Matching Plan 2013 implemented in 1 additional country (UAE). Equity Culture Enhancement Project for optimizing local communication
measures and establishing a living equity culture in the whole organization.- CZ: Participation rate increase of 17,6 % - SG: Constant participation rate although negative trend in Asia visible
MIP participation rate increase of 11% on a global level 9% increase of the participation rate in total in Central Eastern Europe Constant increase of the participation rate in Germany
- BAP: + 7%- MIP: + 12%
Constant positive trend in Middle East
Since 2009 the participation in the Share Matching Plan is constantly increasing. World- wide about 148,000 Siemens employees are part of the Siemens equity culture by owning shares from one of the Siemens share plans. This is 54% more than 2009.
+8%
+5%
Please note: all figures including OSRAM
380,000
2011(54 countries)
2012(59 countries)
380,000335,000
2009(7 countries)
2013(60 countries)
347,000
180,000
2010(40 countries)
2013
2012 137,000
2011 125,000
2010 115,000
2009
148,000
96,000
2013
2012 102,500
2011 99,000
2010 88,000
2009 96,000
107,000
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Communication
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Global Equity Culture Communication Toolbox
The global Equity Culture Communication Toolbox shows two different communication approaches. The direct, meaning fact to face communication and the indirect, media driven communication.
CEO/CFO Interviews Buy in of major stakeholdersInterviews with country CEOs/CFOs regarding Equity Culture and Equity Based Compensation
Local Management Communication Tone from the topKnowledge Transfer regarding compensation structure and Equity Based Compensation
Face-to-face meetings
Personalized Emails Outline attractive benefitIndividualized Email communication to all eligible employees in the respective country
Joint responsibility between GSP and local HR
External Local Communication Siemens as Employer of ChoiceArticles in different local newspapers (trade press)
Local conferences and congresses
Brochures Target-oriented and cost efficientProvision of individual brochures, posters and banners adjusted to the local requirements (content, key visuals etc)
Joint responsibility: Local HR and GSP
Trailers Spread the vision of the local Equity CultureIndividual Emotions Trailer
Video Statement of local management
Direct / face to face communication methods Indirect / media driven communication methods
Banners Target-oriented and cost efficientProvision of individual brochures, posters and banners adjusted to the local requirements (content, key visuals etc)
Joint responsibility: Local HR and GSP
Posters Target-oriented and cost efficientProvision of individual brochures, posters and banners adjusted to the local requirements (content, key visuals etc)
Joint responsibility: Local HR and GSP
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Global Equity Culture Communication ToolboxDirect Communication
The global Equity Culture Communication Toolbox shows two different communication approaches. The direct, meaning fact-to-face communication and the indirect, media-driven communication.
Direct communication
Local Management Communication Tone from the top
•Knowledge Transfer regarding compensation structure and Equity Based Compensation
•Face-to-face meetings
CEO/CFO InterviewsBuy in of major stakeholders
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The global Equity Culture Communication Toolbox shows two different communication approaches.
Global Equity Culture Communication ToolboxIndirect Communication
Personalized EmailsOutline attractive benefit
External Local CommunicationSiemens as Employer of Choice
BrochuresTarget-oriented and cost efficient
TrailersSpread the vision of the local Equity Culture
BannersTarget-oriented and cost efficient
PostersTarget-oriented and cost efficient
Indirect communication
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Current global Equity Culture Trailer
Theme and content- “That’s why we hold a part of it” - “Proud to be Siemens”- “Siemens Equity Culture”
Media channel- local country websites- youtube.com
MusicEmotional music that transports the message of being proud to own a part of Siemens by being a shareholder
MotivesSiemens employees achieving daily greatness
Trailer
In addition to the “regular communication material” an individual local emotions trailer can be produced adjusted to your special local needs.
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Equity Culture Enhancement Project
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Equity Culture Enhancement Project
A communication mix designed for local needs under the global umbrella is supporting our sustainable company´s Equity Culture.
Implementation of a communication mix that…establishes a global living and sustainable Equity Cultureis local and target group orientedsupports the global brandingis cost efficient and effective
Localized Communication in Pilotcountries, e.g.:Country CEO Video StatementRoad ShowsLocalized Poster and Roll UpsEmployee Survey
Project Target Measures
Project Setup
6 Pilotcountries were selected with three different communication approaches of intensity
Module 1Low intense
communication
Module 2Medium intense communication
Module 3High intense communication
Res
ult The Communication approach has a significant impact on participants. A perfect communication mix aligned
with local communication needs increases the awareness and the understanding.
Nevertheless a continuesly communication is key for success.
Brazil
Austria
Mexico
Malaysia Singapore
Czech Republic
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Global Survey Analysis Highlights
General attitude towards shares influences awareness and plan participation in a positive way Employees who invest in shares (not necessarily in Siemens
shares) have the highest awareness and participation rates Negative general attitude towards investment in shares has
only little influence on awareness whereas the negative impact on participation is high
Employees are aware and participate in the SMP independant from how they evaluate the risk of investing in Siemens shares (high or low risk)
Influence of process design is heterogenous Process parts which are easy to understand lead mostly to
high awareness and participation rates Evaluating the process as difficult to understand has a
negative influence on awareness, but only little influence on participation compared to evaluating it as easy to understand
Second survey shows strong increase of awareness Strong increase of awareness is confronted by a little
increase of participation Strong increase of awareness in MX and CZ, whereas in
total employees from SG and CZ are most aware of the plan Little increase of participation however participating
employees act as multipliers for the plan communication Supports findings from the first survey that participation is
mainly influenced by a positive general attitude towards shares
Communication has impact on behavior, particularly on awareness Election statistic over time for SG and CZ in focus show an
impact of communication on elections According to the second survey, communication tools
(Intranet, Events and Print media) increased the awareness of employees
Influence on general attitude Influence on process design
Comparison first and second survey Influence on communication
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" I take it as a given that our employees should be offered, beyond their daily work, the possibility to invest in the long-term future development of the our company. Through our share programs, we encourage our employees to take a stake in the company as responsible shareholders. "
Peter Löscher, 2010