Marketing Audit Siemens I&S Group

Marketing Audit
Siemens I&S Group: USFilter
MKT 551 Marketing Management
Donna Guevara
Karen Yunker
December 7, 2005
TABLE OF CONTENTS
Executive Summary 3
Environmental Aspects 6
Economics 6
Markets 7
Technology 8
Marketing 9
Objectives 9
Strategies 10
Tactics 11
4 P's 11
Product 11
Price 12
Place 13
Promotion 15
Organization 15

Executive Summary
Siemens Industrial Services and Solutions (I&S) specializes in developing systems solutions for customers, who include some of the world's largest corporations and municipalities. I&S contributed Group profit of US$162 million in fiscal 2005, up 46% from US$111 million a year earlier. Profit growth was due primarily to a full-year contribution from the Group's water systems business, acquired in the fourth quarter of fiscal 2004, backed by Group-wide earnings improvements. Sales climbed 26% for the year, to US$6.306 billion, including the water systems business and revenues from the portion of the VA Tech acquisition allocated to I&S. The acquisitions also contributed strongly to the year's 31% growth in orders, which reached US$6.652 billion. Effective with the beginning of fiscal 2006, I&S includes Siemens' Postal Automation and Airport Logistics divisions, which were formerly part of L&A.
The fourth quarter at I&S followed the pattern of the full year. Group profit rose to US$60.84 million from US$40.94 million a year earlier on broad-based earnings improvement, which more than offset amortization effects related to VA Tech. Acquisitions drove 42% growth in fourth-quarter sales and 39% growth in fourth-quarter orders.
Siemens recently purchased USFilter Corp. for US$993 million, a company that is based in Palm Desert, California and in Houston, Texas. US Filter is one of the leaders in providing "municipal and industrial water treatment products and services". This particular sector is managed by Siemens' Industrial Solutions and Services (I&S) group.
The sale of USFilter Water &... [continues]

Read full essay