I had the opportunity to visit the Siemens exider dome in Detroit. If you haven't seen it, you should try to make one of the stops. http://www.exiderdome.com/us

Interesting that they are sinking so much money into the US. Seems rather contrarian the economy being what it is and in light of the cuts that Rockwell announced this week. I read someplace that this is a major multi-million dollar investment. I get the feeling that Siemens is really getting serious now about the US.

Friday, July 18, 2008

Has anyone heard how the move of Breaker production to Mexico is going?

Tuesday, July 08, 2008

Extract from AP News)
FRANKFURT, Germany - Siemens says it is cutting 16,750 jobs, 4.2% of its global work force worldwide because of the slowing economy. The cuts will include 12,600 mostly administrative jobs, along with another 4,150 positions in a restructuring in some of its units. Siemens has a worldwide work force of approximately 400,000 people. Siemens said the cuts were being made in an effort to reduce total costs by $1.8 billion by 2010.

Siemens will consolidate its businesses from the current 1,800 separate legal entities to fewer than 1,000 and take its 70 regional companies and transform them into 20 regional clusters.

The company said it would also reduce costs further by cutting back expenditures for information technology infrastructure and consultants, and the recent streamlining of its management structure and divisions.

Siemens said 5,250 jobs will be cut in Germany - with operations in Erlangen, Munich, Nuremberg and Berlin bearing the brunt of the cuts. Siemens employs approximately 136,000 workers in Germany.

Wednesday, June 25, 2008

I was about to become Siemens employee. They sent me draft contract to read while they worked for internal approval on the document. In the interim, they notified me the progress as well as postponed the start date. The start date kept postponing for 12 weeks. Suddenly, they came back with: Sorry that the hiring was now cancelled and disapproved by their management at corporate.

My point is that they reconfirmed me many time the hiring and provided the hiring document. This made me to decline other offers. Their attitude was, once apology is made, that we don't want you anymore and we can give you only the apology, which is enough. This is surely illegal act in my country and inhuman. They claim they are good governance and ethical company but they give commitment which they cannot follow.

Anyy suggestions?

Tuesday, June 17, 2008

I am a German IT-guy, working since many years in the area of automatic material handling systems, doing SW-development for big car manufacturers, airlines etc. all over the world, even "Down-Under".

Very often there was some form of contact with Siemens, and never-ever it was anything positive. From a technical standpoint of view, I can simply copy the remarks of a higher Siemens executive, whom I met during a business meeting in Frankfurt. He was wondering about the fact, that my (small) company at that time got a large SW-contract from a German airline, instead of Siemens receiving the contract. They only got the contract for the lowel-level controls. During lunch time, after some discussion, he said: "No wonder, that Siemens only has second choice professionals. The good ones form their own company".

Personally many years ago I had to program a device driver to communicate with Siemens S5 PLCs. Because of rigid timing requirements, there had to be spontaneous telegrams both from the PLC abd from my device driver on the controlling computer. So I wanted some info regarding the communication protocol from the guys in Erlangen, one the development centres of Siemens in Germany. These guys could have asked me some questions, could not answer any of my questions. They even warned me about what I wanted to do: They did not believe, my driver would work in interrupt mode. After that, my device driver worked for many years, in a high-availability environment at Frankfurt airport.

Another example: Once I was introduced to the IT-manager of a well-known German company of sports wear. Because my company had to do the SW for a high-rise warehouse and distribution centre for this co of sports wear. Then this IT-manager asked me, whether my company (or I) have anything to do with the high-rise storage control, just being commissioned on the other side of the street, within a factory for special types of bearings. No, I even did not know about it. And the sales guy of the general contractor, my co was working for, confirmed it with the words: "No, that is Siemens doing". Later on I asked the sales guy, what is going on. He responded. "Oh, there are some problems during commissioning". 9 months later, my co already got the acceptance document signed, Siemens was stil commissioning ... Remember, we just started a similar task when Siemens already was commissioning!

I can add a few more stories about Siemens failures in my business, at least.

Thursday, June 5, 2008

Siemens is a great company with awesome technology and great solutions. Little Ceasar was an agent of change, an advocate for the customer. It just so happens, as in any company, the new guard who push for radical change and focus on the customer face an uphill battle with those whom want the status quo and inaction.

I have worked for the number one competitor in core PLC's for over 10+ years. Siemens is a bright spot compared to Rockwell. Yes, there have been management changes. It happens in every company.

Rockwell has changed over 20 sales managers in the USA and that is why their teams are weaker than ever and follow behind the distribution channel.

Siemens best days are ahead.

Tuesday, May 27, 2008

Oh I think a little rejoicing is in order. "Little Caesar" was a bully of the worst kind and it seems only appropriate that the survivors have a bit of fun.

Wednesday, May 21, 2008

I have been an empoyee of Siemens in the US for several years now, and I can relate and/or attest to almost all of the posts made previously in this blog. I would also like to point out that the infrastructure required to support what has been an utterly ineffectual sales and marketing strategy has never taken root because it is too expensive, and almost completely illogical...I hope that future management keeps this in mind.

In a nutshell: The process of selling engineered solutions is very different than selling horse breaking services, internet service, pre-paid legal, newspapers on street corners, or soap-on-a-rope.

Moving Forward: As much as I may hate to admit it, Little Ceasar is a person too, and rejoicing in his impeachment, or any other form of negativity for that matter, is likely not going to fix anything at this point.

Those of us that are left now have the responsibility to focus on the future, and to build our organization into a hopeful and powerful place where the most talented desire to work, where those who want to learn can be taught, and where everyone has the opportunity to succeed personally.

Monday, May 19, 2008

The real question is how will Siemens live without it's "Parts Guy"? Because as everyone knows "You always need a good Parts Guy".

Saturday, May 17, 2008

(edited) This "Little Ceasar" you speak of. He was the same at Rockwell too. Not sure if he was walked out, but if not, he should have been. He ruled with the same format as I see on this blog. How do these miserable people get ahead? When will people stand up for themselves as a group, or the Govt. step in and slam massive lawsuits against the companies that allow this nonsense?

Friday, May 16, 2008

I'm not sure the author of the "6+ years of growth" comment has a clue. Probably he is tied to the regime and is trying to save face? If the VP was so good then why did he get cut loose? Ethics? Maybe that's why they are on probation globally. "Oh by the way", most of the growth was through Siemens AG acquisitions over that time period. But go pat yourself on a the back for your job well done. Please....!

Friday, May 16, 2008

Specific to the recent change in VP - look at the last five or six years. The Siemens industrial business saw growth rates of 20+ pecent each year with major wins in all areas. The market certainly did not see that growth. Sr. Management led that charge. In general, Sr. Management is a pretty mobile group in most large companies, making their impact and moving on to new challenges. Siemens too will move on and will have continued success.

Friday, May 16, 2008

Ding Dong the wicked witch is dead....... Look out all you dead-beat managers, your cover is gone.

Friday, May 16, 2008

It has finally happened - "Little Caesar" has been canned! His posse is in a state of sheer panic. "Paybacks".... Sit back and watch the fireworks. It’s to bad that his regime ruined and abundance of good peoples lives in the process.

Wednesday, May 14, 2008

Unfortunately, Siemens builds trade show booths a lot better than they build software. The Simatic IT story is a mangled, jumbled mess. In North America, most installations have been disasters. Many US employees are actively looking for other opportunities. No one in Erlangen (or Genoa) has the guts to "rightsize" this thing.

Sunday, May 11, 2008

Despite sour grapes posted here, this company has its act together. Taking it to the industrial market with exiderdome. Check out their web site:
http://www2.sea.siemens.com/exiderdome

Friday, May 9, 2008

Regarding the last post, the industrial senior management team has no desire to have competent leaders at middle management. This could expose their incompetence. It truly is a shame that a hatchet man is running the best automation company in the world and has been allowed to surround himself with weak kneed yes men. Imagine the growth that is possible for Siemens Automation in the US with real leaders in each region and a real distribution / integration strategy vs. the zone champion failure. The only light at the end of this tunnel- "he who lives by the sword dies by the sword."

My apologies. Due to spam filters and other reasons, the weblogs have been blocked. The problem has now been corrected, and your comments are now coming through. Please continue your weblogs.

Jim Pinto

Monday, April 28, 2008

Concerning the latest post. It will be interesting to see what happens with Siemens as certain business unit upper level managers, who don't have a clue about certain vertical markets they are responsible for, are free to either "set up", sacrifice, or drive out experienced employees, lest they be unmasked and shown to be the root cause of the problem. Unfortunately, this demonstrates a calculating passion for self preservation, whatever the cost, at much higher levels. Tragic, when you know what is possible with the right people in place.

Friday, April 25, 2008

The Siemens Mid-Atlantic industrial sales management team is a disgrace. The Regional manager, also know as the invisible man, and his total lack of leadership skills, work ethic or people skills would make his boss blush.

The area manager for the Carolinas is on equal footing with his boss as it relates to management & work ethic skills. His motto"Do as little as possible for as long as possible for as much as possible." The regional drives Rep is even better than his boss, he only leaves his house for a free round of golf or lunch at the local mens club.

Now that the wave of revenue from a strong global economy is heading back out to sea, perhaps the Germans will recognize the damage that has been inflicted on the industrial group since 2002 and make some very necessary changes.

Friday, November 9, 2007

Anyone looking for an APACS HMI based on up to date versions of Wonderware may want to look at InSightHMI.com

Wednesday, October 24, 2007

According to recent events Mr. Bi-Polar is extremely upset with being famous and making the internet blogs. According to one, someone that recently was at an event with him. He could not understand why everyone would leave him as manager. Also that why where ever he goes he leaves mayhem behind. Apparently he is on the path of being the team of "ONE". Because sooner or later he to will be putting the remain personnel on performance reviews. He has become a cancer to sales and anyone that has reported to him in the past and currently.

Siemens needs to clean house with in the Northeast management. Since they are mainly puppet heads to Lil Ceasar. A lot of good people are still working there only to have to deal with someone that is medicated, and lies to save his own rump only to throw his people in the lions den. This to will catch up to him.

With the new president in place and the roll out that recently happened, he will have a little trouble hiding.

Tuesday, October 16, 2007

A stunning turn of events must have transpired recently in the NY/NJ metro Area. It seems that the ASM Mr. Bi-Polar himself has been baffled by a recent hires departure. "Image that, his chosen disciple”. With only few to manage in that region, what will the posse and the dictator do next? Maybe they will put themselves on "PIPS". The freak show continues and yes, once again more will leave. This has nothing to do with the economy, goals or margins that a fellow blogger has surmised.

Sunday, October 14, 2007

Seems there were a fair amount of SEA salespeople let go recently in the US. What's the reason? The economy? Germany not getting the gains they want? Cutting dead weight?

Wednesday, August 29, 2007 - Re: Tuesday, August 21, 2007 weblog.

Doesn't Siemens & EA do neurological exam on new hired sales managers? Hmmmm sounds like a interesting thought? Or do new manager hires have to read enough "How to sell, and kill off your sales personnel" books to make them a sales manager in the Northeast Region? Or raising horses is the key, the combination of the two? Or is it key to be a social misfit that lies to HR about their actions on how they treat people?

HR continues to swallow the lies from local sales management. Everyone knows that "Little Ceasar" rules the place. But soon that castle will also fall and his "Boys Club" will be escorted out. They all fall sooner or later. With a possible lawsuit to come down.

This too will pass hopefully soon. But we have all been hoping this for a while..... The area will never be the same again. Ruined again by so called experts in management, that have no customer experience, and do not trust their people. Sounds like a dictatorship. Or could I be wrong?

Its amazing how people who were employed by the number one marketshare company believe they have all the answers - when they were really only mantaining the business that was built way before their careers had started. Yes it is also difficult, but not as difficult then trying to convert business.

Wednesday, August 22, 2007

People should check their facts before posting comments about others on a public site like this. If they think the grass is greener somewhere else; they should surf over to any one of the weblogs which discuss the major suppliers in the industrial automation market (on this JimPinto.com website).

Tuesday, August 21, 2007

Now the Siemens Industrial team in the northeast region in shambles.

What is management to do? A once strong region that had experienced sales people with a min of 5-8 Siemens experience are all but gone. The former "Rockwell HACKS" that could not make it in Rockwell have all but destroyed a very strong market share region. People continue to leave, like rats on a ship. The local management continues to hire inexperienced sales people from different industries. The last one was a joke, a person who raised horses for the past 4 years. I guess that qualifies him as a sales manager for the largest automation company in the world. Also with a former Rockwell now Siemens sales manager that was asked to leave Rockwell, that is neurotic, ADD type individual with little respect for anyone. That recently passed out business cards (And mentioned he was currently hiring.) at a funeral at his former company that he was escorted out of.

Currently Siemens divisions are all up in arms with the turnover with little they can do. Its a shame that a few individuals have no clue what they have done. The region will take a min of 5yrs to rebound.

Friday, August 10, 2007

The inhalation of the previous Siemens Management is almost complete. The infusion of Rockwell castoffs has been implemented and the plan has come full circle. It seems that “Little Caesar” has buffooned the Germans once again. He now has his "boys club” and is focusing on complete control of HR. It is utterly amazing how Siemens AG has taken the bait “hook, line & sinker".

The sad part is that employees with years of knowledge, experience and tenure are being forced out. The tactics that are being used are a disgrace to ethics and employee morale. Individuals with no automation experience, business savvy and customer relationship are being hired. Furthermore, the STC distribution channel that took years to establish is being threatened by a vast majority of ill fated programs that continue to fail. To date, automation competitors are swallowing up the talent pool that have left or been displaced. All of them are aware what continues to transpire internally within SE&A. They are effectively capitalizing on the weaknesses of a vindictive management regime. Many hope that the new leader of SE&A will stop the bleeding and start listening to individuals that have not yet been terminated.

Monday, August 6, 2007

Siemens SEA continues to GROW year in year out, despite the upper sales management, that continues to suck the money out with golf outings and expensive trips for their families. People continue to leave, especially good people with 8+ years of tenure. When is the dam going to stop leaking? With the most recent scare tactics that come from sales management, everyone needs to have something else in the pipe line, life is to short. They continue to hire people that do not know the automation business.

Saturday, May 26, 2007

Siemens management is too far bought into the Simatic IT concept to pull out now. That will never happen. While they are not doing well in the Americas, in Europe they are getting deals.

Saturday, May 19, 2007

Siemens has approximately $450 million invested to date in MES, with little return on that investment. When will they pull the plug, particularly in light of the latest goings on in the executive suite?

Thursday, April 26, 2007

Potentially costly legal problems mounted Thursday at Siemens, plagued by a string of bribery scandals and resignations of senior management. A day after the company's chief executive suddenly announced he was stepping down, Siemens warned that it was expecting to report a "significant increase" in the number of possible bribes identified by its own continuing internal investigation.

Potentially costly legal woes mount at Siemens: http://www.iht.com/articles/2007/04/26/business/siemens.php

Siemens insiders - any comments?

Friday, April 20, 2007 - from Bob McIntyre [mhouhuabob@aol.com]:

Re:Shape of Things to Come or Blast from the Past?

Just completed a six month project working with some Outstanding people from Siemens VAI. The project was a State of the Art upgrade of Automation, Drives, Controls, etc.. to a 30+ year old Hot Dip Galvanizing Line for Steelscape in Shreveport, LA.

The line was gathering dust in Richmond, Ca. after Steelscape's acquisition of Pinole Point Steel. After cannabalizing half the old Reliance Electric Automax equipment to upgrade their ailing Paint Line, Steelscape moved the entire plant's equipment to Shreveport. Siemens VAI Steel Group from Pittsburg, PA. quoted and won a multi-million dollar order to restore the old Galv Line to health. Steelscape asked for and got what they wanted.

WonderWare HMI's, Rockwell ControlLogix PLC's, I/O, PowerFlex AC Drives and the 1756 DMD modules which let them keep their Automax DC drives for web transport. Clecim Tension Leveller, Skin Pass Mill, Air Knives, Welder. Siemens MCC with profibus Simocode controllers. EFCO Furnace. Truly a Best of the Rest scenario and from Start to Finish the job was done completely Old School. Here's the Delta:

Everyone involved was experienced and highly professional. None of this "I'm a Drives Guy, I'm an HMI guy",etc.. The Engineers were all multi-discipline and worked on EVERY subsystem when the need took them there.

The Siemens VAI people always performed above and beyond tackling problems on equipment regardless of the Supplier. Even when most of the job was complete they spent virtually no time "Babysitting" They continually went the Extra Mile adding enhancements and functionality to most subsystems. They even outvendored some of the vendors by fixing problems then teaching the vendor how his Own Equipment is supposed to work!!!

On the minus side the average age of everyone was about 45+. Some people had even come "Out of Retirement" for this project which does not bode well for the future of Automation. I've known for some time that the "Road Warrior" is getting older and I keep running into the same people that I have worked with for years all over the World.

Maybe a category for System Integrators could be added to the WebLog because I'm not sure this belongs under Siemens but I just wanted to let everyone know that there are still some providers out there who will sell a customer what he wants instead of insisting on the nonsense concept of a "Total Solution" meaning only stuff he makes.

Tuesday, March 13, 2007

The industry should be watching Siemens in the Automation and MES areas. Customers, and I mean BIG customers, are paying attention and following along.

Saturday, February 24, 2007 - Siemens to move to Mexico
Extracts from Springfield News Sun, Springfield, OH - Friday, February 23, 2007

Siemens Energy and Automation announced Friday it will close its plants in Urbana and Bellefontaine — a loss of more than 700 jobs to the area.

The company said the plants, which manufacture circuit breakers, are no longer competitive in their markets, and the products will be outsourced to plants in Mexico and to other third-party suppliers. The decision will be felt this fall as the company begins to move some of the product lines to Mexico.

Employee job loss will begin in January 2008 with final shutdowns scheduled for the Bellefontaine plant in late 2008 and the Urbana plant in the summer of 2010.

Friday, February 23, 2007 - More of a question:

Can anyone out there say what there is to expect when your company has been acquired by Siemens? The management spin here is becoming old, and I really don't believe a word they say. How does Siemens manage their back-office support (A/P, A/R, etc). I find it very hard to believe that a $100B+ company has dozens of divisions operating as independent entities without some level of control from corporate.

Monday, January 29, 2007 - Commenting on the Siemens Sales Management Changes:

As a Siemens Automation Distributor I'm pretty happy with all the changes that have been made within the Siemens sales organization and Sales Managment. My purchases from Siemens have doubled each year the last three years and I expect healthy gains again this year. I had to deal with the "old" Siemens sales management and our business was flat at best for the three years prior, not to mention frustrating.

Maybe the good old days weren't so good (niether were those Siemens Salespeople) and change was just what was needed? I like increasing sales and profits at the expense of my competitors, what's the problem if the new guys all come from the same competitor? Last time I checked Rockwell has the most market share and the most resources to draw from, seems reasonable that's where the talent would come from too.

I wish more of my manufacturers were as agressive as Siemens is on growing business and hiring people away from the number one competitor. Seems like a good plan to me.

Saturday, December 9, 2006

Both of the Ohio plants (Bellefontaine and Urbana) made subtantial profits for Siemens. They were recognized over and over within the company and used as examples for other plants to follow concerning "best practices" etc.

Friday, December 8, 2006

News and views, here and there (editor doesn't like the work "rumors") about Schneider/Square D buying Siemens Industrial Services Division. Anyone have any more information?

Friday, December 8, 2006

Siemens Energy to Close Two Ohio Plants (extracts from AP article Dec 08 2006

Siemens Energy & Automation Inc. said Friday it plans to close two plants in western Ohio, a move that will result in the loss of about 700 jobs. The Atlanta-based company, which makes industrial circuit breakers at the plants, intends to close plants in Bellefontaine and nearby Urbana. About 500 workers are employed at the Bellefontaine facility and 220 in Urbana.

Siemens said it intends to move production of the products to existing facilities operated by Siemens Mexico or other third-party suppliers. The company said it will begin closing the Ohio plants in phases, with the first phase not beginning before August.

The plants make circuit breakers and related parts for commercial and industrial use. The plants have been operating since the 1950s and were purchased by Siemens in 1983. The Bellefontaine operation is one of the largest employers in Logan County. Siemens said it will offer separation pay, extended health care benefits and career help to the employees.

Friday, December 8, 2006

Bellefontaine and Urbana Ohio plants closed today. These plants have profited for a long time and no matter all the concession given by the employees it was not enough. Another one bites the dust.

Thursday, November 30, 2006 - from concerned watchdog:

Thank you for being so accurate with the description of the VP-Industrial Sales.

As for the previous articles about "animal house like" and "big spender"... Animal house: He literally burned chairs and furniture at national sales meetings. Big spender: He has totally abused company T&E policies with thirty-thousand-dollar jaunts to Las Vegas with spouses, entertaining the same distributor person at Siemens corp. events, expensive limo rides, exotic trips with distributors spending tens of thousands of dollars.

How is this allowed to happen? Is this what Rockwell people were allowed to do? Siemens is a great company - honest, decent and high caliber employees. I feel bad for those people.

Tuesday, November 21, 2006

Per the article "Siemens from a managers point of view" (Click on link) http://jimpinto.com/commentary/siemens.html I can only add that the comments and assessments were quite accurate.

The Vice President of Industrial Sales for Siemens Energy and Automation represents a "big talker" and "big spender" with no tangible results. Ironically, he has no technology expertise which unfortunately sets the model for the rest of his sales organization which is completely built on layer after layer of technology specialists. Siemens is a company that is built on product innovation and technology advantage, which provids a powerful monopolisitic position when leveraged correctly.

The VP of Industrial Sales has done an excellent job convincing the Siemens Germany groups (GG's) to infuse cash for half-baked unsuccessful strategies that show tremendous growth and market share returns via excel spreadsheets. Regretfully, the Siemens-Germany (GG) colleagues are very trusting, loyal and decent individuals who really have a passion to drive aggressive growth and most likely will NEVER realize the returns of market share growth from their investments.

The Vice President-Industrial Sales is now pummeling cash into building a distribution network that replicates Rockwell Automation. This further reinforces the opinion on this site: the sad reality is that Siemens is trying to replicate an excessively priced distribution business model with totally different market conditions.

Knowing Rockwell well, they would never let their top talent migrate to Siemens, I think that Rockwell Automation built a marvelous "Trojan Horse" and wheeled-in the third string substandard players.

Saturday, November 4, 2006

So now we have a complete bypass for the overpriced Texas Instruments line from Siemens. The 2500-C400 CPU from CTi has 3MB of RAM - enough for the most demanding APT application.

The S7 is overpriced and can be difficult to use. The S5 is obsolete and very difficult to use unless you use it on a regular basis. The 500 series isn't difficult to use and isn't obsolete. The 505 software from FasTrak is a bit clunky, but it does the job. HMIs are easy - lots of OPC drivers and the like.

Tuesday, October 24, 2006 - from a former Siemen Employee:

I can attest there are too many ex-Rockwell sales people in the E&A sales team. The market share is not moving up, but rides the market. The behavior at sales meeting of the industrial sales VP is close to Animal-House like.

Sunday, October 22, 2006

In the past 4 years the energy and automation division has moved factories from Miami and Atlanta to the Juarez, Mexico area. Now I am hearing more closures are on the horizon. Can anyone comment on the rumored closure/down sizing of the circuit protection plants in Bellefontaine and Urbana Ohio? Or, the recent purchase of a facility in Monterrey Mexico?

Thursday, September 14, 2006

As Siemens continues to pick up Rockwell's employees, the former Rockwell people are trying to coexist in a Siemens world that has less than one third the support Rockwell has in the field. Many of these new ex-Rockwell employees are acting as though the Siemens personnel are useless - which they are not; they are putting out fires, with internal and external issues beyond just the sales organization, which no one can fix overnight.

When, oh when, will Siemens hire a Rockwell person who's real IQ is close to their weight, not their shoe size? If these former Rockwell personnel were so successful at Rockwell, why would Rockwell let them go? Many of these former Rockwell people were pushed out of Rockwell due to the restructure of regions. If they were so good, then why get rid of them, or push them into lacky positions? Now they are management material at Siemens. Go figure....

Good luck to all former Rockwell personnel who are managers in Siemens. When the new president arrives their sponsor will more than likely not be arround to cover them. Let the GAMES begin !

Sunday, September 10, 2006 - from Siemens Power Generation Employee:

As a middle manager at Siemens I see one major company-wide problem; there seems to be an extraordinary amount of time & energy being spent by Quality & IT types developing new "Programs & Initiatives". These programs are then forced upon already over-worked managers to "Implement & Oversee"; most US employees look at these programs as a waste of time and money and rarely see any positive results. This does not seem to affect the decision to send yet another email praising the next great new program! All it means to middle management is another new PASSWORD and another reason not to be home in time for dinner!

Monday, September 04, 2006

I have seen reports on this weblog about this subject before. The upper mangment of Siemens (the ex-Rockwell people) continues on a very aggressive dissection of the orginial Siemens sales people. It's reaching down to the salesman level now, slowly but surely, they are replacing all with ex-AB people. The Executive VP of industrial sales rules; the Germans like him so much that he seems to get away with anthing. He thinks the answer to Siemens success is the termination of all orginal Siemens people (who, by they way, are the core and strength of the company.)

The internal company is in complete disarray. The morale is at it's lowest, and anybody you talk to who is not ex-AB is looking for a job. We all believe that this ex-AB management is pushing the company down the path of failure. The goal for next year are rumored to be so big, with the lack of resources and salesmen, and the constant cut on the budgets, there is no way to make goal. It's a very sad time, if your are one of the orginial Siemens sales people.

Wednesday, August 30, 2006

Siemens supports EDDL with Emerson, and are anti-FDT. They also sit on the FDT board and wish to involved in all FDT decisions. So you try and work it out....

Friday, August 18, 2006

Can anyone elaborate on Siemens' committment to FTD/DTM?

Thursday, August 10, 2006 - From Jeff Mason [masotek@earthlink.net]:

To answer the question of 2-1-06 regarding marketing assets of SAG &SEA I would say during my time there 1985-2000 there was very little "marketing" personel. Germans call their app. engineers marketing so there is a disconnect as compared to the US concept. I once stood up in a high level meeting and made that statement, a few years later I became a marketing manager in systems. At A&D in Erlangen, there was no marketing staff as we know it in the US market. For the Euro market it was not needed as others have pointed out, when you have 70-80% market share you can see their point. Conversely, trying to establish a position in the US market the marketing part was overlooked. Early in 2000 SE&A scraped their corporate marketing dept. which was doing some good strategic work. I guess all those Rockwell castoffs would fill that gap - not.

I used Rockwell as my benchmark when I developed the MV drive product line. Coming from Reliance I always was impressed how AB had their customers convienced they invented drives; we know different. But that was good marketing on their part and I give them that.

Since our industrial base is sinking into the sunset I will enjoy my retirement in Florida, playing golf and hope my pension from Rockwell & Siemens holds out!

Wednesday, August 9, 2006 - Re: rumor Emerson selling the process systems division to Siemens:

The process systems division is not the most profitable division within Emerson. Field instrumentation and valves are still the money makers. It would greatly amaze me if such a step is taken - the process systems division is seen as a (very)important part of the Emerson overall PlantWeb strategy. Think that this rumor is wishfull thinking from Siemens people.

Saturday, August 5, 2006

Any insiders care to share what is in store for the Ohio Operations of Siemens Energy & Automation? It's starting to look like the cheerleaders for the outsource team are about to start cheering.

Thursday, July 27, 2006

In regards to the entry PDF &FF agreement below,I have heard rummors(from SE&A employees) that Emerson is planing on selling the entire process div to Siemens. I can not see this happening. Isn't the process group the most profitable of all the Emerson divisons?

Friday, July 21, 2006

Siemens and Emerson announced last week that both companies will have some kind of technology exchange. Siemens will support FF in their PCS7 system and Emerson will support Profibus/Profinet in their DeltaV system. What is the real message behind this collaboration?

Thursday, July 20, 2006

Being a Siemens employee, and working in the HVAC field, I have heard more than once about the possibility of Siemens purchasing Trane. Does anyone know if there is any validity to this?

Tuesday, June 13, 2006

The final change in Siemens SEA has been accomplished. Now all the Regional Managers have had Rockwell experience, and about 80% of the current sales managers have been once employed by Rockwell. Is there not one SEA person qualified to be a sales or regional manager, without having to move some where else in country, to get the job? Siemens E&A has become an employment office for Rockwell people. We keep hiring people to figure out what the competition is doing, only to figure out we are not sure what we are doing..... When is Germany going to get involved?

Monday, June 12, 2006

Just to let people know that Siemens just listed a bunch of Apacs modules on eBay with no reserve for Moore. You may want them for customer service or stock.

Monday, May 1, 2006

I read in the German newspaper Handelsblatt that Philips are stepping up competition against Siemens in Europe and Germany in particular. How are Siemens likely to react? Is there any indication from past behaviour as to what strategy they would adopt? How do they react to competitors in Europe threatening their market share?

Friday, March 31, 2006

Are Siemens really interested in Invensys?

Monday, March 27, 2006

The Simatic IT "MESS" is just that. A mishmash of products, very service intensive, not very easy to implement. I have heard that hundreds of millions of dollars invested to date - and by best estimates, license sales are minimal. In the USA, I heard they were recently booted from a major customer in the food industry and are in jeopardy at other key accounts. The senior management in A&D has been duped into believing some ridiculous market opportunity numbers that simply don't exist. This is a house of cards ready to collapse under its own weight unless sweeping changes are made. Problem is, the senior management that could make the changes are the same ones that bought into the story...

Monday, March 13, 2006

While under the sales leadership of former Rockwell personel, Siemens SEA sales force has undergone a 180 degree turn for the worse. They mention the sales force needs more face time. While being bogged down with reports and processes that basically have cut down customer face time, everyone is doing internal reports to statisfy managers, instead of being in front of customers.

People make sales not CRM programs and mundane reports that local or higher management don't even read. Apparently the former Rockwell personel in charge are only interested in good news and do not want to hear the truth (good or bad) what is going on in the market or with customers.

SEA sales management has become the home of Rockwell misfits. The door continues to open for more to enter the SEA world. Apparently the Rockwell personel coming over to SEA were business maintainers, not brick-and-morter sales engineers. The Rockwell personnel continue to stay at Rockwell and SEA continues to let the Rockwell mifits in. Customers apparently no longer come first in the current Napoleonic regime, ruled by threats of being fired.

Positions in sales management on the local levels are no longer meant for very qualified Siemens personel, but for Rockwell personel. Rockwell sales engineers and managers know that if they need a place after Rockwell, SEA will hire them in a heart beat, sight unseen. We know is this will change also; it normally takes 4 yrs for it happen in SEA for a management change. The winds of change is in the air again, and then the former Rockwell misfits will jump ship again.

Monday, February 27, 2006

I have worked for Siemens E&A and feel that it's a stupid company, out of control. The management people are the most ill-informed that I have ever been around, with no leadership skills and even less knowledge of their jobs than those who are supposed to follow them.

The VP of Manufacturing is a MARKETING guy. Everything is considered a "commodity" and bought on price. That means engineering program management is no longer in the hands of engineers, but in the hands of a commodity purchasing person who gets incentive-pay based on hitting his target-savings number that is provided by some German VP with no manufacturing experience at all.

Their system is extremely self-serving. There is no loyalty at all within Siemens US because of the management style of the Germans. US managers are nothing more than sock puppets to the German group, and individual performance is not rewarded or appreciated unless it is based on mangement "orders".

For such a large company that is so respected in Europe, and based on what I know about their internal processes, I can honestly say that I would think twice before buying many of their products.

Monday, February 13, 2006 - from Stuart Mitchell [stuart.mitchell@cal-tech.co.uk]:

Can anyone recommend a good OPC server to APACS. I will use the Siemens IEM's (Industrial Ethernet Modules) to go from Module Bus to Ethernet. I am undecided about going Intouch or WinnCC but its my understanding now that the new I/O driver bundled with 4-mation V6.1 won't be validated for XP.I will therefore need OPC. I've checked Matikon and Siemens but both are plus £2K GBP. Any help appreciated.

Wednesday, February 1, 2006

Can anyone estimate the number of "marketing" people Siemens Automation & Drives has globally? I know their technology sells itself in Europe, however I would appreciate any insight a former A&D or SEA manager can provide on the size of their product marketing team back in Germany as well as commercial marketing resources here in the U.S.

Sunday, January 29, 2006 - from Ex-TI and Siemens employee:

CTI - the previous supplier to TI, then Siemens, for several components of the 505 Product family is announcing the release of new 505 compatible CPUs that will counteract Siemens desire to obsolete and kill that product. The 505 controller family is relied upon by a number of large companies. The controller family really shines when used in batching systems.

As a result of this, Siemens has put pressure on their automation distributors to drop the CTI line of products since Siemens now considers CTI to be a competitor since they are marketing a product line that Siemens wishes to kill, while their customer base desires otherwise. (This is the "it was not developed in Germany - hence it must be crap" philosophy that is pervasive within Siemens) and accompanies the other pervasime Siemens philosphy "why listen to the customer when we can talk amongst ourselves".

I personally think that the 505 product family may be long from dead if CTI can supply CPUs (they already supply everything else but programming software - supplied by Fastrak). Any comments?

The RVSI and Robicon purchases were the big buys for Siemens this year, and they have already provide huge benefits to Siemens Energy and Automation. The SICK rumors are just that - rumors. But they are on the list to buy. That would be a big deal in the safety world. Stay tuned for more Siemens buys in 2006.

Tuesday, November 22, 2005

News going around about an acquisition of ifm (also a German company) by Siemens.

Thursday, November 3, 2005

SICK with sales around $55 million would make sense, considering that Siemens just acquired RVSI in order to complement the product line. SICK & Wengelor compete for business in Europe and recently Wengelor made a push into North America. Much of the sensor market is low-tech, on/off photo-eye, and the distribution channels are confused after Cognex acquired DVT in attempts to displace Banner and IFM Efector. Quick - Rockwell, GE Fanuc, Square D, Keyence, Omron bring in the Forensic accountants.

Monday, October 3, 2005

I have heard discussions that Siemens is in talks to buy Sick (of Germany). Has anyone heard anything, or care to comment? I know that Siemens has been looking for a sensor company for a while, and even made offers to buy Turck, but with no luck.

Monday, October 3, 2005

The only Siemens products moving to China are from the Definite Purpose Contactor business.

Tuesday, September 27, 2005

Circuit Protection Division moving to China ??

Tuesday, May 10, 2005

Does anyone have any commentary from the Siemens Users Conference just held in Tampa, Florida?

Thursday, April 7, 2005

With Siemens buying Flender, they truly are on their way to becoming a design/build company for automation... It will be interesting to see what happens.

Monday, March 21, 2005 - Re Siemens support - from the person who complained:

Whoever sent the link to the support page, Thanks! Once there, I found a familiar and intuitive "Explorer-type" interface that allowed me to drill down to the information I was looking for. My mistake was I considered "support" something associated with AFTER the sale; consequently I was looking in the wrong place for product descriptions.

Monday, March 21, 2005 - Re: Siemens support:

Siemens is structured like most companies in their sales and support. You go to the store (A&D Mall) to buy a product. And you go to the support web site to find documents on the product. You will not find any support information in the A&D Mall.

Siemens Support web site is: http://support.automation.siemens.com

Saturday, March 19, 2005 - Forced to use Siemens:

Have any of you Siemens employees used the Siemens web site to find product information? As part of a contract I'm working on, I am required to include some siemens PLCs as part of the package. Trying to find product information has been extremely difficult.

Do a search for "S7 HMI" and it takes you to a promising page. But the pages that follow are useless and take you no closer to a succint description of the products. I have yet to really find out the capabilities of your 670 panel pc.

One link took me to what appeared to be internal marketing information. Really, why would a customer need to see all of the different photo poses of a product when he can't find any substantive technical description? Another link took me to a page in German with no way to click on "English." And what's with this A&D Mall? I'm really disappointed.

I have spent over three hours over the past two days trying to get information on HMIs and PLCs with only limited success on the PLC side. Perhaps you who sit on this blog and fuss about the company could better serve siemens by taking steps to make information more readily available to your customers.

Tuesday, March 15, 2005 - Re: Siemens business practices:

The best part of the Siemens picture is when we sit in the high level meetings and hear, "For the first time in 5 years SE&A has made a profit". For anyone who has taken a spin through product marketing, this just means the transfer cost structure changed to make us look good. Next year it will change back.

The only TRUE rating is Marketshare but those numbers don't regularly show up these days. Someone also once mentioned that we compensate our NEMA numbers with European imports, which honestly I can’t verify but it does raise the question- How does Siemens know which OEM’s/VAR’s/System integrators are shipping to the states?

I also couldn’t help to notice that when SE&A went through it’s re-organization years, meaning 4 years of lay-offs, the German Automation & Drives division had fantastic years and as far as I know, didn’t have any workforce cuts.

Monday, March 07, 2005 - regarding Siemens international business practices:

The comments on Siemens are very interesting and mostly true, I should know I spent 15 years with them. I was one of the first along with some of my other colleagues from Reliance and GE to join Siemens in 1985. That is when nobody had heard of them, I spent the next 15 years working my way up from field sales to upper management. Yes, Siemens is a powerhouse of technology but the dark side of its business dealings is even more interesting. I was one of the very few Americans "embedded" with the Germans and Indian engineers on projects around the world even living for a short time in Erlangen (home to Drives).

It's right, about all products coming from Germany, but the interesting thing is how they avoid taxes on these imports. The prices are are termed "transfer cost" and do not fall under the same tax and import duties as most other products. Through a complex chain of creative accounting, the business units move products around the world. I cannot believe the government does not know this is going on. I did not know of this until I worked at the SE&A systems business unit located in Alpharetta, Ga. It was only by accident when I questioned one of the accounting people on a price issue for a project, that it became known.

The way it works is - the business unit pays inflated prices back to Germany and keeps track on two sets of books; that way the profits are laundered back and the US unit shows lower profit, and thus less tax. The systems group takes the hit for the product groups, but is compensated by exporting to countries where they receive higher margins.

The same is true of the work force, which is shuffled around the globe too. To keep cost down Indian engineers are brought into the US under the visa H1B program. When the request goes out to the business units for personnel, they put on the paperwork: "must speak German", which for the most part eliminates US engineers. Very few of the Indian engineers I worked with spoke German, even though they had worked at SAG in Germany. What is further troubling is the local infrastructure, paid for by taxpayers to Siemens - they receive the standard enticements to locate and hire locals. But that is not all. The Junior College in the area spent money to set up departments for Siemens exclusively to train workers. This all sounds well and good for the community, but after a few years these jobs disappear and are replaced by foreign labor - under the radar screen once market recognition is achieved.

A consultant who seemed to know about Siemens practices in the US said, thaqt the US is nothing but a channel to market. He had spent considerable time with many high level Germans and attended meetings where they discussed money transfers from Belgian slush funds, computer systems for Libyaa, and Iraq nuclear projects. This was only the tip of the iceberg. I am sure it not the only multi-national that conducts business this way in the US.

Monday, January 31, 2005

There appears to be additional changes now and in the future at SEA, particularly in business segment sales. Does anyone care to comment about the Oil & Gas segment which is losing some experienced people, who are leaving by choice?

Tuesday, January 18, 2005

505 is now mature. It lasted 13 years under Siemens. Start looking to replace. You have 10 years or less.

Monday, January 26, 2004 - regarding previous weblog - Dennis Morin "wisely ran away!":

Not quite as fanciful as that. Dennis Morin was chased out. He fought with the Board, the Management, and the investors. Morin did not stop the gross waste of investors' money on useless activities, so the investors put in their own man. Emphasizing a key market while watching spending proved to be the ticket. What a surprise!

Thursday, January 22, 2004 - on IndX:

Pure greed. I hope those responsible for fleecing the employees get some type of comeuppance. That said, the company was in bad financial straits for years. WonderWare's Dennis Morin got involved for a while and wisely ran away. Should not have been a surprise to anyone that it ended badly. And make no mistake, it is ending, not beginning.

Wednesday, January 21, 2004 - on the acquisition of IndX by Siemens:

Very few IndX employees are happy with the Siemens deal! Some of them are so very unhappy they have met with lawyers. I am sure the CEO is very happy; he personally gets a very big check (relative to what he did). And the investment company that he represents gets an even bigger check. (Some would say this is a conflict of interest). A lot of the people who put money in at the begining get nothing, while the management walks away with handsome rewards. But, the employees who are most unhappy are those who were forced to leave the company when the management could not pay them. They had no choice - they were not wealthy enough to stay; they had mortgages to pay and kids to feed. Some of these were the core developers. They were cheated, because in the end the management and the Board of Directors, by making the common stock worthless, told them their sweat and toil did not matter.

Monday, January 5, 2004

Siemens was previously committed ONLY to Profibus; now the company has also joined Fieldbus Foundation. The first Siemens FF device registered by Fieldbus Foundation: Positioner SIPART PS2 FF

The following Siemens organizations have joined as FF members:

• Siemens AG
• Siemens Energy & Automation
• Siemens Flow Instruments AS
• Siemens Flow Instruments LTD
• Siemens Laser Analytics
• Siemens Milltronics Process Instruments
• Siemens Production Automatisation

Monday, December 29, 2003 - about the general feelings at INDX:

Of course, any thing to keep the company afloat is a "good thing". But, it will dramatically change the culture, direction, and structure of the company in the coming weeks and months. Expect a few of the senior staff to leave for "warmer climates" with more money making potential soon.

Wednesday, December 17, 2003

Everyone always hacks on the culture of Siemens and the Germans for screwing things up. I feel, from a inside point of view, they are doing the best they can. Siemens gains a lot of these employees by acquisitions (Moore, Milltronics, TI etc.) which creates the internal resistance. The strongest will survive, maybe we should not forgot this.

Maybe the Germans are not screwing things up. Maybe it is the inept managers that they put in place after an acquisition who run around spending Siemens' money until they get canned. No accountability in the Siemens organization is making the biggest mess, not the Germans!

Monday, December 8, 2003

After Indx, Siemens is said to be talking with AspenTech. By the way, not all Indx employees are as happy as the last poster. He/she must have cut a side deal. Common shares are worthless.

Saturday, December 6, 2003

The last few posts on this forum about the Siemens IndX buyout are NOT representative of IndX employees. The general feeling at IndX is the buyout is a very good thing.

This is my third buyout experience and it significantly more lucrative than the previous two. Granted it was not as good as a few of the IPOs in the '90, but it can easily be argued that very few payouts for employees in the last 3 years have been as good as this one!

Wednesday, December 3, 2003

Indx buyout by Siemens is a done deal. Employees were very screwed, founders were mostly screwed, and (some) early VC's screwed as well. Not that it wasn't inevitable after going back to the well for money so many times. Seems like one that the lawyers will have to get involved in someday soon.

Click to read:Siemens to buy IndX Software:

Wednesday, November 26, 2003

We hear that Siemens/Indx may announce this buyout at their User's Group. I'm sure that will make for lots of happy faces. NOT!

Friday, November 14, 2003

History has not been kind to North American companies acquired by Siemens. Witness the Moore debacle. Maybe there will be good deals on office space in Orange County, CA. soon....

Tuesday, November 11, 2003 - from Mike Brooks:

Much as I would like to claim credit for the last post, I can honestly say it was not mine. As for Siemens acquiring INDX - who knows if there's any value left there. Surprise, surprise - Siemens did not ask me. As the founder's getting screwed - sometimes you get exactly what you deserve (shame on me). MBA homework assignments are not like the real thing; and even if you follow the recipe in the cookbook, it might still taste bad.

Wednesday, October 29, 2003

Heard that Siemens is about to "officially" absorb Indx. Seems like the venture investment was really a time-delayed acquisition "on the cheap", screwing the Indx employees/founders. Any Siemens folks care to comment?

Friday, May 30, 2003 - regarding previous weblog:

Both could be true. During the last UTX takeover attempt of HON, I think there was a back door deal for Siemens to buy some portion of the automation business.

Friday, May 30, 2003

Interesting - on the Siemens/Honeywell rumour. I had heard that Honeywell and United Technologies had also renewed discussions, and that it was almost a done deal. Perhaps both rumours are true?

Thursday, May 29, 2003

Siemens & Honeywell - extract from JimPinto.com eNews

Click to read:JimPinto.com eNews - May 29 2003

Sunday, May 18, 2003

Well its interesting reading the comments that Jim Pinto has placed after the "Siemens US managers View". I work for Siemens in SES (Siemens Electronic Security) in Australia. And yes, I share the same view as the Siemens managers in Jim's article on Siemens.

In Australia, we think with a mix of US and UK flavours. We can't see how the Germans can possibly use their "mind set" to run a Corporate machine globally, as they currently are. Their Buliding technologies business is losing money like there's no tomorrow! In Australie, which is part of the Zone Asia/Pacific region which is being De-regionalised in the Siemens corporate world, they are moving major functions back to Germany and Switzerland. The philosophy is that the "Siemens world is One Zone" .

Tuesday, May 6, 2003 - 2nd comment to 3/25 weblog:

It's not surprising that Wonderware has a solid migration plan. Siemens isn't known for having painless migrations to US purchased companies. There was nothing offered for the TI305/405 (or for that case the current 505 Tisoft or APT) that assisted us in getting to the S7. I'm guessing the competition knows this and sees opportunities.

Friday, April 25, 2003

Regardingthe post on 3/25. . . from an end-user, regarding Siemens acquisition of Moore Products. Check out Wonderware's strategy to convert APACs users back to Wonderware part numbers. Pretty interesting.

Sunday, April 13, 2003 - from an Invensys Rail Group Employee:

With the possibility of disposals from Invensys on the horizon at the trading update on 15th April 2003, I wonder if Siemens will be making a pitch for the Rail Group? Invensys have just got a foot in the Siemens Rail home market with future opportunities on the horizon, while Siemens have been struggling to get into the UK Rail market, with no real hope of major access. One to ponder - for a quick fire sale.

Tuesday, March 25, 2003 - from an end-user, regarding Siemens acquisition of Moore Products.

Our facility has had a twenty three year relationship with Moore Products. We were fiercely loyal to them and they served us well that entire time. It has been with considerable dismay that we have watched the blunders Siemens has made since its takeover of Moore Products. Their acquisition is a textbook study of (a) what shouldn't be done to your newly acquired customer base, and (b) how to alienate your customers in 10 easy steps.

I received this announcement recently (extract below, the sections that cause me particular heartburn). It certainly seems to fit into the overall plan (if it can be called that) that Siemens is taking with regard to the product lines they acquired from Moore Products. They don't seem to be able to figure out what they want to do with them. Most of the product lines they have acquired have been obsoleted, and in every case where this has directly impacted our operation they have bungled the transition to a Siemens alternate component. Looking back on the relationship we had, and comparing it to what we have today, I feel like my spouse has just died and I have to go find a new partner.

Extract from announcement:

---

APACS+ is still to be supported (guaranteed through to 2016) but, as part of the second development announced in January, will now only be offered to existing customers. New projects will instead be the prime targets for the newly announced Version 6 of PCS7, which will also provide a migration path for APACS.

Although PCS7 is designed to operate with a variety of communication protocols - Profibus, Ethernet, OPC - Siemens Process Automation has no plans to include Foundation fieldbus.

---

Tuesday, March 25, 2003

Siemens is going to announce that the 505 is obsolete and start charging for telephone support.

And, Siemens is forcing Rapistan to use S7.

Monday, February 17, 2003

Siemens Sales force no longer gets a commision on 505.

Monday, February 3, 2003

Siemens may be in trouble with their analytical group Applied Automation. Two weeks ago they had a large layoff, where they let some senior people go. Included in this group of around 10% of the work force were long-term people in several key positions. It is also understood that AAI has cut its order forecast by a large amount after their FY03 1st Quarter results were bad.

Extract JimPinto.com eNews Dec. 30 2002
Automation update - year-end 2002 - Siemens

Friday, November 22, 2002

1. WinCC - The WinCC technical team did not go away from Princeton it was moved to Spring House. (40 miles away) - This was an increase in people and responsibility for the former "Moore" group. The fact that there are things being added to Spring House will most likely disappoint your readers - who are quick to point out the false demise. The marketing people did relocate to Georgia.
2. Measurement Systems - This business was identified as non-core at the time of acquisition and competes with Siemens integrators in this space. Siemens is retaining a team to service and support the installed systems.
3. The TI support team is still vibrant and located in Johnson City.

Saturday, November 16, 2002

Well Siemens of Germany has done it again. There will be 80 more parking places available at The fomer Moore Products in Spring House, Pa. All U.S. Measurement Systems is being closed down by 3/31/03.

Friday, November 15, 2002

A good way to judge the Siemens ABB article would be to count the number of Web Logs. Seems ABB has at least 3-4 Logs defending ABB, where-as on the Siemens side I'm not seeing much.

Who's still aggresive in the market??? Kind of puts things in perspective if you ask me.

JimPinto.com eNews - 12 November, 2002

Siemens & ABB - Compare & Contrast

Wednesday, October 16, 2002

In the vein of failed takeovers...

Apparently the Siemens 505 line is up for sale. They finally gotten rid of most of the old TI'ers here in the US and have almost completed their plans to run the line into the ground. They stick by their guns (at a recent user meeting for TI, Siemens and Moore equipment) that they will continue to support the 505 line of products and that they are not (all) officially mature yet. But, at the same time they are apparently looking for a back door to sell off the remaining Johnson City plant to someone else.

Most of the original TI people are long gone including the support personel that were lost during the relocation to PA. The people that are still there are from Moore for the most part. What this will mean for those who still have the equipment I'm not sure, they won't answer my questions directly and won't comment on the possibility of a sale. However, I've talked to at least one person who has heard a price quote.

Next stop, Moore....

Thursday, September 26, 2002

Another announcement regarding the restructure of Siemens Energy & Automation.

Today we announced plans to cease manufacturing operations at our Osceola, Iowa facility and transfer the stamping and plating operations to Bellefontaine, Ohio. The Osceola facility manufactures and assembles soft starters. The transfer of product will commence immediately and will continue until all manufacturing activities are relocated. At this time, we anticipate this activity will be complete by June 2003.

The decision to close the Osceola operations was made after a thorough analysis of all SE&A manufacturing facilities. While a difficult decision, we determined that excess capacity existed in many facilities and a consolidation was our only alternative to ensure long-term viability in this highly competitive industrial controls market.

During the transfer, we expect to continue to maintain excellent quality and high services levels.

Please continue to offer your support to those individuals impacted by this decision and assist them during this transition.

Sincerely
Dennis Sadlowski, Vice President
Power Distribution Infrastructure and Controls Division
Siemens Energy & Automation, Inc.

Wednesday, September 25, 2002

After a 3-4 year stint in New Jersey and major investments from the German parent, seems the SCADA SE&A business is on its way back to Atlanta. Rumors have it that the entire WinCC team has been re-engineered (layed-off) or found other jobs. This means WinCC as a product will be placed under the Operator Interface Product Manager. If this is true the problem is the Product manager also just lost his entire 4 man team. Does this mean the entire WinnCC and Operator Interface panel offerings are being supported by one person??

On Tuesday, September 24, 2002 - a knowledgeable industry observer wrote:

Very confidential - but this may generate some confirmation from the Honeywell-Siemens rumor mill.

An ex-Honeywell manager confirmed that when the United Technology buyout of Honeywell was announced internally (on a Friday) they were also told that concurrent with that deal, IAC was being sold to Siemens. All this fell through on Saturday when GE made their counter-offer. GE at the time wanted to keep IAC (IS), so the Siemens deal was off.

We have to wonder why someone hasn't jumped on the $23 a share price of Honeywell and buy the whole thing. Or, why Siemens hasn't completed the original IAC deal. Is there some regulatory reason Honeywell might want to wait until 2003 before agreeing to a buyout?

Another reason why Siemens may be hedging on the deal might be that they realize that any announcement of IS being sold will again force the Honeywell installed base to stop spending. Forcing another 6-12 month wait to find out if the deal gets approved plus another year to find out the new product direction would likely give the Honeywell installed base enough reasons to finally give up on Honeywell IS altogether.

But this assumes Siemens is smart enough to figure that out... (The same Siemens that was surprised when Moore sales dropped off significantly in 2000 - forgetting the impact of Y2K spending in 1999 and the impact of any takeover).

Thursday, September 19, 2002 - from a Siemens SE&A insider:

This memo illustrates the total lack of understanding by SE&A management when it comes to customer service. (extracts only here)

TO: ALL SE&A SALES
FROM: Dale C. Wilson, VP - Sales Division & Jeffrey S. Scholl, VP & Controller

Faced with challenges to our business brought on by the economy and other business conditions, we continue to transition our organization to better serve our customers and increase efficiency. Changes began last May with the Reinventing of SE&A, progressed to the realignment of the direct sales force in January and now involve the Sales Support, or inside sales organization.

This transition of our Sales Support organization began with a comprehensive review of its procedures, practices and processes by a cross-functional team, comprised of employees from all aspects of Sales and Operations. The review indicated that opportunities exist for us in the area of standardization, economy, efficiency and focus.

The new Sales Support organization will consist of seven regional sales support centers which will replace the 34 locations housing support personnel today. A CofE Manager, assisted by a Sales Support Supervisor, will manage the centers.

This pooling of resources is intended to allow us to achieve service excellence for our customers.

Dale C. Wilson, VP - Sales Division
Jeffrey S. Scholl, VP & Controller

Thursday, September 12, 2002

Pinto Note - regarding item about Don Bogle & Ed Hurd working for Siemens (below):

Don Bogle has reported that he is not involved. As of now, no one who is anyone has heard from Ed Hurd. He is invited to contact me, or anyone else.

Wednesday, September 11, 2002 - from an industry observer:

Heard from a former Siemens employee who heard from his contacts within Siemens that Don Bogle is on retainer at Siemens and working on the Honeywell IS acquisition. Don and Ed Hurd were at the helm of Moore Products at the time of the Siemens acquisition. Coincidence?

It also appears that they are now just haggling over the price ...

A Honeywell & Siemens observer wrote on Wednesday, September 11, 2002

Heard from an Emerson ex-Honeyweller who had heard from his Honeywell contacts that Ed Hurd was spotted in Honeywell IS Phoenix offices recently. Ed was apparently wearing a Siemens contractor badge - part of a Siemens due diligence team no doubt ...

On Friday, August 16, 2002, this came in :

From Friday's 16 August 2002 Johnson City Tennessee's local paper :

Siemens looking for buyer

Siemens’ Electronics Manufacturing Center has two operations - the local plant with some 700 employees and one in South Lebanon, Ohio, which employs about 130. Workers at both sites will be retained and all their benefits paid while the business is on the market, the company said. Both locations will operate as usual with no interruption in deliveries. The sale will not affect the company’s engineering operation or the motion control systems business in South Lebanon.

Siemens is selling the business as part of an overall restructuring. Electronics manufacturing is not a core component of the German company’s U.S. business strategy, officials said. “Siemens doesn’t have sufficient business to support the infrastructure,” local plant manager Larry Watford said.

The south Johnson City operation at first provided circuitry design and manufacturing services for Siemens only. The plant four years ago began doing contract work for outside clients, supplying circuitry to the automotive, medical, pharmaceutical and other industries.

Siemens hopes to sell the business to someone who will continue to serve its current and future clients. “Siemens will continue to be a customer, we hope,” Watford said. The local plant’s ultimate goal is to find a niche in the local technology market. “We want to capitalize on this as an opportunity to expand and perhaps link with the Med-Tech Corridor as a southern anchor,” Watford.

Marketing of the business is in its preliminary stages. “It could be several months before any real activity takes place, but then it could move quickly,” Watford said. In the meantime, company officials said they are trying to keep local employees and community leaders informed. “The success of this depends on the employees staying with us and staying focused,” Watford said.

Siemens last year laid off about 325 people locally, most of them part-time and temporary workers. The cutbacks became necessary due to a general slowdown in the nation’s economy and the “further erosion of the marketplace for our products,” company spokesman Marc Marton said in October, around the time of the last round of layoffs.

Watford said Thursday that the market for his plant’s business is strong, particularly because its clients require high-value electronics that cannot be manufactured overseas. “We do not have to compete with offshore companies that use low-cost labor,” he said.

On Friday, August 02, 2002 - a Siemens insider reported:

Siemens has spun off the Electronics Manufacturing Center in Johnson City, TN - the old Texas Instruments PLC HQ. I have heard that they may sell this unit.

The old TI PLC plus micro-PLC products are still made in Johnson City. Everything else is now made in Germany.

On Friday, August 02, 2002, this was logged on the

We can't be judgmental about products. Discussions of how technical products are designed is a religion, with no objective criteria possible for what is good or bad. In the end, success is determined in the marketplace.

On Thursday, August 01, 2002 an 'Engineer' blogged:

To the 'someone' trying to incite a sectarian war: Historically, battles like the one you’re trying to fight have never had a solid foundation in an ‘intellectual standpoint’. (i.e. Mac vs. PC, unix vs. Windows, Religion A vs. Religion B, etc. )You get the idea. Your obvious religious fervor would be better directed elsewhere.

On Thursday, August 01, 2002, someone weblogged:

Whoopee! Go Siemens! After 10 years of top German management they held their (bought) position in the N. American PLC market during the longest expansion on record! Maybe they will do even better during the "mildest recession on record". From an intellectual standpoint their products are non-elegant. Anyone want to argue that?

On Wednesday, July 31, 2002, a Siemens manager asked :

It has been mentioned recently that Siemens wants to sell off 50 non-core businesses. A list was mentioned. Have you run across such a list?

After reading Dick Caro's comments on Siemens (see below), an evidently knowledgeable and experienced industry observer sent this in on Tuesday, July 30, 2002 :

Some "statistics" and commentary regarding Caro's comments on Siemens (from someone with about 19 years in the Factory Automation industry, but none directly with Siemens).

I agree with Caro's opinion suggesting Siemens regimented methodology and lack of understanding of TI strengths (or lack of interest to leverage these) as heavy handed and (so far) ineffective at growing share or profits in NA. As with most of the other PLC companies, Siemens knew little about the continuous/batch markets that were TI strengths at the time of acquisition.

Disagreement:
Though I too see a "tragedy" in the Siemens/TI story, Siemens has paid no price in significant loss of market share or market position - their position holds due to the inordinate parent company investments and purchase/transition of NA customer base.

Statistics: We rate US PLC market share as follows:

1. Rockwell
2. Schneider
3. GE
4. Siemens
5. Mitsubishi/Omron (approximately tied)

Commentary:
It is no wonder that, even with their "limited" business style, their "crimes" committed integrating TI's factory automation group, and their blunder against Koyo, Siemens has maintained most of the market share they bought with TI (plus or minus a few points). Siemens has for at least 15 years (and continues to) throw very extensive funding and resources at the NA Automation market. In addition, they have purchased many companies in the US (such as the material handling company Rapistan, for instance) who have become users of Siemens electrical and automation products. I can't say how much of the TI customer base they have successfully maintained or transitioned, but it seems relatively high.

There is a parallel to Modicon, which successfully penetrated the user process markets even before TI. It seems that no matter what "extreme" and seemingly damaging moves Modicon made (such as firing everyone except 2 people West of the Mississippi in1986, ostensibly to bolster the balance sheet), the various ownership transfers, and the various management and strategy coups that have transpired, many customers continue on with the same products. Perhaps it is much more difficult to kill off business share in the FA business (or to gain it) than any normal person would expect.

On Monday, July 29, 2002, a Manager from Siemens Energy & Automation logged this:

I currently work for Siemen's Electronic Manufacturing Center in Johnson City, TN and the vibe in this place is eerie. We are spending money hand over fist re-painting and re-decorating our facility for what we have to believe will be a potential buy-out. Morale is down as we await word from Herr Martin to make a decision about our fate. Our move to get out of the PLC market and concentrate on contract manufacturing may have sealed our fate...

On Wednesday, July 24, this was weblogged:

The push at Siemens is to do better than GE financially. Siemens wants profits now! No matter how bad business is. That is why Aubert Martin was put in at SE&A. The EMC part of SE&A is going somewhere. If it can't be sold then its going to be shut down.

Mr. Martin seems to be the real stuff. He continually stresses execution. I expect things to go amuck since most of SE&A's systemic problems originate in Germany. It is easier to find a new job than to try to get Siemens Germany to be reasonable.

On Tuesday, July 23, an industry observer wrote:

I look forward to your email newsletter every week and have been especially intrigued by the ongoing saga of the possible Honeywell/Siemens acquisition.

I worked at Honeywell for over 15 years and watched the top brass take that company from a world-class organization to the current wreck that it is with disbelief and dismay.

I find the current situation amazing and depressing. The Siemens mentality, as described by a number of your readers seems right-on. I have always heard that Siemens can't believe that the mention of their name in North America doesn't clinch the sale, much as Honeywell could never believe that the same wasn't true for them in Europe. Both have had large ego problems that have prevented a logical and profitable market strategy. It's sadder still that Moore ended up "road-kill" in the Siemens move into the measurement & control market in the U.S.

I have just heard that the infamous purple Procidia is being revived sans purple and will be pushed by Siemens. It has been in the doldrums since the initial launch was interrupted by the Siemens acquisition. I remain unimpressed, unless some major redesigns are done. There are too many inherent design problems to mention here, but I would be extremely surprised if they came up with a unit capable of displacing the entrenched competition.

The Moore 353 controller seems to be off the radar screen for any changes, even though it is extremely long in the tooth and over priced. Who actually buys a $2000+ controller for a couple loops of control (sometimes a single loop…), when ethernet and RTD inputs are a very expensive option that adds to that already outrageous price?

On Tuesday, July 16, 2002, a Honeywell observer wrote:

It's usually more important, what people don't say, than what they say:

Der Spiegel (German magazine like "Time/Newsweek" and famous for its interrogative interviews) yesterday had an interview with Mr. Pierer (Siemens CEO) about Siemens, mostly about Siemens in the US, CEO income, mergers. Not a word about Honeywell......

Did they not want to ask? Were they asked not to ask?

Pinto response:

The Honeywell affair is still under NDA (non-disclosure) - so, if Der Spiegel is aware of it, they were asked NOT to ask.

On Monday, July 15, 2002. Dick Caro [rcaro@Caro.us] wrote :

While we watch, Siemens is destroying the equity they purchased at Moore Products. I always had great respect for the Moore family and their company. It hurts to watch their innovative products destroyed by the forced integration with Siemens technology. PCS7 is a fine PLC platform, but it is not a process control system by any measure. It does have the capability to be programmed like a computer in the STEP7 language that allows it to be used for any control purpose -- as long as Siemens does the programming. PCS7 is not a DCS, and isn't even close. It is a good controller for discrete control, but does not have the software flexibility of a DCS controller.

Meanwhile, Siemens owns the rights to APACS which is a very innovative DCS and Safety System. If Siemens was not so full of German bravado, they would take advantage of APACS, especially the software, and just slide in PCS7 for the controller hardware. However, I fear that all of the former Moore Products engineers who could have pulled this off in 3-4 months are gone since APACS has been reduced to maintenance-only status. The Procidia story is much the same, I fear.

Spanish philosopher George Santayana wrote "Those who forget history are doomed to repeat it." It seems that Siemens management in the Automation and Controls Business Unit have taken this as their business model. I refer to the debacle that was Siemens purchase of the Texas Instruments PLC division about 10 years ago. At the time, TI was the third or fourth ranking PLC supplier in the US, and Siemens was way down behind Omron, Telemechanique, and Square-D. TI and GE took turns as 3 or 4 each year. TI was the only one of the PLC vendors to have a significant share of the process control batch market, mostly due to their excellent process control software for the TI-550 line written by Dr. Cecil Smith. The result of the purchase of this TI division was to firmly secure GE as the number 3 PLC supplier and raise Omron to the number 4 position. Siemens was never able to take advantage of the technology or market distribution they purchased. The very same action is happening to Moore Products as it becomes a local office of Siemens Automation and Controls.

The US industrial automation market is unique, but Siemens management keeps trying to fit it to the German business model. Worse, they do not seek or accept advice from those who are capable of giving it -- internal, for free, or by strategy consultants like me. And, they still wonder why they are not more successful in the US market. Buying Honeywell is NO ANSWER.

Signed :
Richard H. Caro, CEO
CMC Associates
Acton, MA 01720
Web: http://www.CMC.us

On 12 July '02, a prominent industry observer and analyst wrote:

"It is my opinion that, because of dissatisfaction, the value of Honeywell’s installed base has been over estimated. When one couples the growing resentment of Honeywell customers with the over-hype of Experion, because of its inherent technical restrictions and slow roll-out schedule, I think that if Siemens picks up Honeywell’s process control business, they will be in for a bad surprise.

"Of course Siemens, being Siemens, will be supremely confident that they can remedy any Honeywell short-comings. They will be able to turn-around Honeywell better than anyone else on this planet."

On 7 July '02, a senior officer of Siemens in the U.S. commented:

"There has been, and still is, an awful lot of internal angst about what we are doing, where we are going (or not doing/going) when it comes to our process control initiatives. Siemens has a strong desire, from the very top, to get into this business in a most serious way. It is obvious that PCS7 has not done it for us. However, we have messed up things badly with all of our recent acquisitions, and we don't seem to really know what we should do next!

"We recognize that Honeywell has the largest installed base of process control systems of any vendor. This is incredibly attractive to us! We are being pressured from Dr. Pierer to get things in better shape in the Americas, and to keep going after Honeywell in order to acquire their process control business. Siemens is deadly serious about this - Honeywell is just not cooperating with us on the price."

On Friday, June 28, 2002, an interested and knowledgeable observer wrote:

It is hard to believe that Siemens would give up its lucrative building management business, which generates recurring revenue from service contracts and a split of energy savings. In today's chaotic business environment, it is an ideal business entity that provides stability. Why would Siemens give up a solid business to trade for Honeywell's IAC, which is pretty much lost?

On Friday, June 28, 2002, a JimPinto.com eNews reader weblogged:

"Of course, it makes sense for both Honeywell and Siemens to swap these divisions. However, don't you think there is some anti-trust issue? Especially in Building management business? Would this agreement be global or US ?

By the way, there will wonderful opportunity for hiring people if, by chance, it is confirmed!

On Monday, July 01, 2002, someone logged :

Does anyone have any feedback on how the newly reorganized SEA salesforce is working out?

On Thursday, June 27, 2002 someone (name witheld, evidently from Siemens) weblogged:

Don't anyone think that Siemens needs Honeywell technology. The PCS7 system is now capable of running anything from a FCCU to an LNG plant. Their problem is no supervising control engineer in the end-users or any requisitioning engineer in the EPC contractors is willing to put his career on the line by selecting it. Chicken before the egg, I think. What Siemens needs is the Honeywell position, through which they can market a Honeywell system improved by the Siemens engineers and their own PCS7.

On Wednesday, June 26, 2002, a major UK solutions provider(name withheld) wrote:

Concerning the news of Siemens possibly getting their hands on Honeywell process automation, this is no doubt going to be interesting to see from Rockwell Automation's perspective. They have collaberation with Honeywell for the top end of their ProcessLogix offering (Honeywell Plantscape).

This could well (at last!) mean Rockwell use their new Supervisory Edition SCADA as a common platform SCADA for both PLX and ControlLogix (CLX) and provide a more credible and serviceable solution to the market which will compete headon with Emmerson DeltaV and Siemens PCS7 and I'm sure position themselves ahead in the hybrid solutions market space.

My understanding is that Rockwells technology provided to Honeywell Plantscape is the PLX hardware.Rockwell use Honeywells SCADA layer from the Plantscape for their PLX solution ie their server and applications that sit on it

On Monday, June 24, 2002, the following comment was logged:

With respect to the Siemens and Honeywell trade - I work for Siemens Building Technologies, though not high enough up to know the people who would know we were on the block.

I'm sceptical about the report for two reasons. First, those aren't the right names for the Siemens organizations. Second, I would think it's more likely that Siemens would just pay cash. They paid cash for us when they bought us (Landis & Staefa) from Electrowatt.

On Friday, June 21 we heard noises of some big news brewing:

Siemens and Honeywell will trade - the Siemens fire protection and building management business for the Honeywell process automation business, plus some cash.

This despite new Honeywell CEO David Cote's insistence that industrial process automation is important to Honeywell.

A knowledgeable industry observer commented:

"Siemens has coveted Honeywell's industrial automation business for quite some time, and have made more than one approach. Siemens is off balance just now, given the business fall off and various re-structuring activities so I wonder if they have the balls for a big play like this."

"The move would makes a lot of sense for both parties. Siemens needs Honeywell more than any other potential player. Both have lousy systems and both need a redo badly.

"Ed Hurd is now back working as a consultant in Phoenix. If they would employ both Hurd and Don Bogle (previously CEO of Moore Products when it was acquired by Siemens) they might get something for their money. But it would still take a good three years. However, I doubt that the remaining people and value of Honeywell would survive a German onslaught!"

On Thursday, June 20, 2002, this weblog comment came, evidently from Germany:

"A remark to the JimPinto note below: If you are refering to the American culture, you should not forget that in Europe, you show respect by using Mr. and Sir instead of first names."

Pinto response : "Yes, that's exactly my point. In the US culture, respect goes beyond just calling someone Herr or Mr. BUt, the Siemens Press release - signed by Dr. Klaus Wucherer, SE&A's Chairman of the Board of Directors - did NOT use the tiles for either Herr Martin or Mr. Buzun. Their first names were used - which is VERY un-German!

On Monday, June 17, 2002, an industry observer based in Germany wrote :

"It seems the rumors about Siemens Energy & Automation are true. Richard Buzun's "retirement" made it to an internal e-mail. And not surprising he is being replaced by a German.

This seems to follow pace with last year decision to pull the Siemens Autmomation UK President in favor of a German."

On Saturday, June 15, 2002, this news came from an ex-Siemens senior manager whose comments have been published previously in JimPinto.com eNews:

"Confirming my previous report, Richard Buzun , SE&A CEO has "retired" and will be replaced by Aubert Martin.

"Looks like the Siemens German brain trust has finally solved the problem of breaking into the US market: .....put a German in charge!

"The new Siemens Energy & Automation marketing slogan will likely be:
You vill buy Siemens and you vill like it!

The following are extracts from a Siemens announcement to "SEA - All E-mail Users" dated Friday, June 14, 2002:

Subject: SE&A Welcomes Aubert Martin as President & CEO

Please see the following announcement from Dr. Klaus Wucherer, SE&A's Chairman of the Board of Directors.

I am pleased to report that Aubert Martin has been named president and chief executive officer of Siemens Energy & Automation (SE&A), effective immediately. Aubert succeeds Richard Buzun, who is retiring.

Aubert brings to SE&A solid leadership skills and a proven track record with Siemens. He began his professional career with the company in 1967, as an engineering trainee. Since then, he has held a variety of engineering, sales and marketing, and business development positions of increasing responsibility with Siemens Automation & Drives and Siemens Transportation Systems.

Aubert will be based at the SE&A corporate headquarters in Alpharetta. Please join me in welcoming him to the Siemens USA team.

I also want to take this opportunity to thank Richard Buzun for his contributions to Siemens.Please join me in wishing Richard the best of luck.

Dr. Klaus Wucherer,
Chairman of the Board of Directors, Siemens Energy & Automation, Inc.
Member of Managing Board, Siemens AG

Somehow, it seems that the culture cannot change below those surface items.....

On Tuesday, June 04, 2002 a Siemens executive commented.

"I worked for Siemens for several years, and believe that the German organization is top notch. Unfortunately, the USA group is several notches below."

On Sunday, June 02, 2002, a Siemens USA manager reported:

"I recently spoke to some former Moore and Siemens managers, and things remain highly unstable at Siemens Energy and Automation, USA. The former Moore operation has been assimilated into various Siemens business units with heavy workforce reductions. Anyone who had DCS sales, marketing, development, and operations knowledge is now gone. The APACS systems group was folded into a new unit called Process Instrumentation Division with the mission to provide systems solutions to the process industries (APACS, PCS7, PLC, and Drives). Total confusion and mis-direction followed this organization that was put in place in early 2001. Now SE&A has dis-banded the Process Instrumentation Division in a cost cutting move. People and products are once again being re-assigned. The German parent business unit, Automation & Drives, has been the most profitable unit within Siemens in the past, but global profits have been halved so major cost cutting is required. The Pres and CEO of SE&A, US is rumored to be out by the end of Siemens fiscal year, Sep 30.

What is so sad about our industry is that the sorry Siemens saga, is being played out in similar moves at Invensys, Honeywell, Rockwell, and ABB. Only Emerson escapes the negative hits, although they have their own challenges.

An ex-Siemens executive (name withheld - "it may unwittingly offend some of my German friends") provided these insights from his time with Siemens in Australia:

"I was with the major exodus of Siemens employees in Australia when they shut down their Industrial Services division. Your comments on German/Japanese companies therefore caught my attention as a former Siemens employee.

"I couldn't help but sense that many of the German Siemens management I met who were visiting the Antipodes were viewing us as "inferiors" to be looked down upon. I could only think how out of place it was. None of the German staff in Australia were like that fortunately, and I am grateful for these friendships that have continued beyond my time there.

"Another observation was of a meeting that took place in Berlin with about 500 senior management from around the world. They were told by 'the Fuehrer' that if they did not improve their game, they would experience 'disposition'. They were also told that the reason why they were not meeting their sales was not that the targets were too high, but rather because they were not using the approved 'Top Plus' strategy. I was amazed that one could ignore a global meltdown in the technology industry, and blame subordinates.

"It was also sad to see that 'the Fuehrer' was not modeling the success that he was expecting of his senior managers. In true autocratic style, one manager was interviewed after the bashing they all received, and said: 'I was encouraged to learn that we can do it.' Dream on!"

On Thursday, May 09, 2002, an instrumentation engineer in India, working a German transnational company wrote:

"Some of the things that you mentioned about the German business culture seem true. Still things are changing and they are looking beyond Germany. Their marketing is also getting more aggressive (earlier it wasn't, compared to the Americans).The conservativism does remain however and sometimes it appears more sane: e.g.many of the American investments in the "New Economy" did go bust, but the Germans didn't lose as much since their investments were always more conservative.

Rick Carel [rickcarel@hotmail.com]wrote on Thursday, May 09, 2002 :

"A few years ago I worked for a German Company that manufactured networked I/O blocks. When a new product line was introduced, there were initially no 115VAC input or output modules. The attitude was: in Germany we use 24VDC, it is safer, therefore Americans will want to use 24VDC instead of 115VAC. When the salesforce convinced the emperor that he wasn't wearing any clothes, they condescended to build what the American market wanted. This is the typical attitude of German companies."

On Friday, April 26, 2002, a Siemens employee wrote:

"I am a field service engineer who was working for Moore when Siemens took over. (Prefer that name is not mentioned)

"Siemens has had a layoff every quarter since the start of June '01 that has affected personnel from the old Moore headquarters in Spring House,PA.

"Changes include:

• Decreasing service sub regions from 5 to 3 and decreasing field service personnel count by over 15%
• Eliminating R&D on APACS for future enhancements. (EG - Ethernet controller) Budget and personnel cuts have occurred.
• Decreasing project engineering personnel by over 15% due to lack of business.

"From communications received from upper management the power business is being emphasized and the DCS business remains almost as an 'afterthought' with no mention on the company intranet."

Ricardo Pessoa [ricardo@ibiseng.com]wrote about the similarities between the Japan and Germany approaches to business:

"German and Japanese cultures have much in common, specially regarding the view towards aliens and foreign cultures.

Japanese countries cannot, as well as Germany, be clearly understood from a US-based paradigm. One has to understand how these cultures have evolved over time to avoid misconcepts and myths.

"I'd suggest a revisitation of one of the clearer books on Japanese culture written in the times when Japanese juggernauts assaulted the business world, initiating the TQM, TPM and other initiatives in manufacturing. It is "The Enigma of Japanese Power" by Karel van Wolferen."

Neil Brown [neil.brown@rtel.com] from the UK wrote:

"Your comments about Siemens fit in well with my own observations. One interesting thing about Siemens, in the UK at least, is that sites tend to be either all Siemens or virtually none (apart from the odd PLC in packaging plants and OEM machines).

"Like you, I think it odd that Siemens - who could easily have afforded to give Emerson a run for their money - seem to be ignoring the DCS market for the third generation in a row. My guess is that, culturally at least, Siemens just don't do DCS and can't get out of this mind set.

"I don't see any signs out there that Siemens are using their recent acquisitions Moore and/or Orsi for an assault on the DCS market." My recent writings stimulated this from Jerry Van Ee, [jvanee@ppco.com] in Canada: