Andy Chew at Siemen Nixdorf

Topics: Siemens, Siemens Nixdorf Informationssysteme Pages: 3 (502 words) Published: March 20, 2011
Andy Chew at Siemens Nixdorf
By Group 4 (LM Consulting – Aldo, Fanny, Jan and Jaya)

Siemens Nixdorf Informationsysteme AG
* Formed in 1990 by the merger of: Nixdorf Computer AG and Siemens Data Information Services (DIS) division * Business of SNI: Service, Solutions (SAP/R3), Product
* Products from SNI: PC, Mainframes, Support services
* Largest IT company in Europe once

Siemens Nixdorf Informationsysteme AG facing crisis – Losses continue * Losses ever since merger
* Sales stagnant
* 1994: USD 8 billion revenue with 39,000 people and USD 350 million net loss * Problems:
* Slow to adapt to market realities (Sluggish customer responsiveness) * High competition (Nimble entrepreneurial rivals focused on single markets) * Rigid, bureaucratic culture (not fit enough for an IT services / solutions company)

Differences in culture identified
Vital signs| Nixdorf| Siemens|
Power| Empowered to affect change| Sense of resignation| Identity| Identify with the enterprise as a whole| Seek the safety of their profession, locations and teams| Conflict| Handled directly and non-interfering| Avoid conflict or flare up| Learning| More receptive to ideas| Less receptive|

Schulmeyer joins as CEO
* Comes from outside (ABB USA) with academic exposure to managerial change * His responsibility is to bring profitability to SNI
* His goals are make SNI customer driven, evaluate employee based upon the value created, reduce number of employees by 4300, increase global market share and improve communication

Schulmeyer sets 3 objectives
* Change the behavior of managers & employees to achieve improvements in performance and results * Change work systems to achieve operational excellence
* Change processes to be customer oriented and ensure better service

Andy Chew joins as change agent
* Andy chew comes from solutions business, UK as GM
* Problems in solutions business...
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