SUMMER TRAINING REPORT SUBMITTED TOWARDS THE PARTIAL FULFILLMENT OF POST GRADUATE DEGREE IN INTERNATIONAL BUSINESS

An overview of the recruitment process at Siemens Ltd.

SUBMITTED BY:Name: MITALI VARSHNEYMBA-IB (2007-2009) Roll No. : A1802007E82

INDUSTRY GUIDE FACULTY GUIDEMR. M.B. BHOSALE MR. ARUN SACHARCHIEF MANAGER (PERSONNEL) SIEMENS LTD.

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AMITY INTERNATIONAL BUSINESS SCHOOL, NOIDAAMITY UNIVERSITY – UTTAR PRADESH

Company Certificate

(LETTER HEAD of the Company )

TO WHOM IT MAY CONCERN

This is to certify that MITALI VARSHNEY, a student of Amity International Business School, Noida, undertook a project on “An overview of the recruitment process” at SIEMENS LTD.From 1ST MAY to 30TH JUNE.

Ms. MITALI VARSHNEY has successfully completed the project under the guidance of MR. M.B. BHOSALE. She is a sincere and hard-working student with pleasant manners.

We wish all success in her/him future endeavors.

Signature with date(Name)(Designation)(Company Name)

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CERTIFICATE OF ORIGIN

This is to certify that Ms.MITALI VARSHNEY, a student of Post Graduate Degree in MBA (IB), Amity International Business School, Noida has worked in the SIEMENS LTD. under the able guidance and supervision of Mr. M.B. BHOSALE, CHIEF MANAGER (PERSONNEL), SIEMENS LTD. The period for which he/ she were on training was for 8 weeks, starting from 1STMAY to 30TH JUNE. This Summer Internship report has the requisite standard for the partial fulfillment the Post Graduate Degree in International Business. To the best of our knowledge no part of this report has been reproduced from any other report and the contents are based on original research.

Signature Signature(Faculty Guide) (Student)

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ACKNOWLEDGEMENT

I express my sincere gratitude to my industry guide Mr. M.B. BHOSALE, CHIEF MANAGER (PERSONNEL), (Company) SIEMENS LTD., for his/her able guidance, continuous support and cooperation throughout my project, without which the present work would not have been possible.

I would also like to thank the entire team of SIEMENS LTD. (Personnel Department), for the constant support and help in the successful completion of my project.

Also, I am thankful to my faculty guide Prof. /Mr. Arun Sachar of my institute, for his continued guidance and invaluable encouragement.

Signature(Student)

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TABLE OF CONTENTS

SERIAL NO.

SUBJECT PAGE NO.

1. Executive Summary 62. Introduction 7-143. Industrial Profile 15-224. Company Profile 23-28

5. Historical Analysis 29-306. Reflections on what has been learned during the

placement experience31

7. Recruitment Framework 32-528. Conclusions 539. Bibliography 54

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EXECUTIVE SUMMARY

The HR structure at Siemens is a unique one. The planning that goes behind the entire recruitment process is extremely tactful and meticulous. Since this conglomerate is extremely big and has very diversified and expansive businesses, there is a need to assign people to every business to carry out the recruitment effectively. Thus the HR structure comprises the Business Partners who are assigned for every business i.e. Industry, Healthcare and Transport. The Business Partners are responsible for finding the ‘right’ people for the requisite jobTo attract and hire right talent based on competencies through an objective selection process, ensuring right person for the right job, necessary to accomplish organizational goals. Recruitment and selection decisions are based on merit, and no discrimination will be made on the grounds of gender, race, caring responsibilities, marital status, sexuality, disability, religion or age. All processes will be conducted so as to guard the confidentiality of applicants and preserve the integrity of the process.Recruitment measures will be monitored and reviewed periodically for their effectiveness in terms of cost, quality and timelines and coverage through a variety of techniques. They could also lend themselves to benchmarking with the ‘Best Practices’ in the industry. The starting point of recruitments would be the ‘Manpower Requisition’, which is a formal request for manpower. A detailed manpower requisition is the basis for sound personnel decisions.

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INTRODUCTION

SIEMENS IN INDIASiemens was established in India in 1922. However, the story of Siemens’ associated with India began in 1867 when Werner Von Siemens personally supervised the laying of the first telegraph line between Calcutta and London. Making the country’s priority its own, Siemens has put its experience in the major core sectors namely, Power, Industry, Telecommunications, Transportation and Healthcare. In the last three decades, Siemens has played an active role in India’s technological progress and has 12 0ffices and 5 manufacturing units in the country. It also has nearly 600 channels partners for its various products and services.The Siemens group is a unique player in the field of electrical and electronics, engineering, operating in the segments of energy, Industry, Communication, Information Technology, Transportation , Healthcare, and Lighting. The group has the competence and capability to integrate all products, systems, solutions and services. It caters to industry needs across market segments by undertaking complete projects such as hospitals, airports and industrial units. The Siemens group in India comprises 15 companies, 17 manufacturing plants, a wide network of sales and service offices across the country as well as over 500 channel partners. Siemens, with its world class solutions plays a key role in India’s quest for developing a modern infrastructure.

EnergySince 1954, Siemens has formed the bulwark of the nation’s power needs. It has supplied know-how, technology, equipment and expertise to the power industry, both in the private and the public sector. Siemens’ experience and expertise extends practically too all the areas of power generation, highly efficient combined cycle plants, co-generation, captive power plants to renewable energy sources, Siemens continues to play a key role to meet the growing demands for electricity, reliably and cost-effectively while protecting the environment. Recently, Siemens bagged India’s largest power transmission and distribution order using the High Voltage Direct Current Technology, over a distance of over 1400 kilometers from the state of Orissa on the East Coast of the state of Karnataka in South India.

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IndustryThe industry group of Siemens has long played a vital role in innovating products in the areas of Automation, Drives, and Switchgear etc. Siemens additionally offers communication capable switchgear and has pioneered extension of plant automation right down to the actuator and sensor levels. In the field of Motors and Drives, Siemens has a tradition of tailor-made equipment and solutions. The drives from Siemens’ product palette guarantee stable operations in the manufacturing process. They also ensure optimum product quality and maximum production. The engineering and field services group of Siemens lays emphasis on providing total service to customer from installation to commissioning and maintenance to training. Siemens’ project engineering expertise has been called into play in several hundred crore projects in India and abroad. As recognition of our expertise, Siemens AG has accorded Siemens in India, the status of regional Head Quarter for Mining and material handling. The Industrial projects Division secured a prestigious order from Bombay Hospital which included engineering supply, installation and commissioning as well as civil works for the electrical.

CommunicationsBeing a core area, communications is a vital lifeline for the growth of the nation. Siemens provide a wide array of products and systems for small, medium and large systems and network systems. This is dully backed by reliable installation, commissioning and maintenance service. Siemens was the first to introduce digital key telephone system technology in India. They also offer application specific solution for various customer need viz. video conferencing, trading boards, call centers, voice guidance etc. The private communications division along with the projects division was instrumental in introducing innovative solutions for the Hotel industry. The offering included Networking, Cabling, Hotel Application Server, Building Automation Systems, Electric Power and Control Systems.

TransportationIn a vast country like our, demand on transportation in general and rail transportation in particular have seen a quantum jump. Siemens have been a pioneer in the introduction and installation of railway signaling systems. Today, Siemens is the largest supplier of auxiliary inverters for air-

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conditioned passenger coaches. Siemens is also called the largest supplier of light rail vehicle in the world. With access to latest developments world wide, in proven rail technology, Siemens is geared to undertake turnkey projects for urban transportation, mass rapid transport projects, traction substations and long distance transmission lines as well as power supply.

Health CareSiemens’ association with the medical industry can be tracked back to almost a 100 years when Roentgen discovered the X-Ray. The spectrum of diagnostic imaging modalities has expanded manifold from the first CT in 1974 to the largest portable ultrasounds. In the diagnostics field Siemens offers equipment for MRI, Computer Tomography, Nuclear Medicine, Ultrasonography, Digital Angiography and Diagnostic Radiology. The Siemens range of X-Ray units have been indigenously developed and manufactured to meet the specific applications in close co-ordination with actual users. Siemens has supplied and installed a wide range of equipment in leading hospitals and medical centers. Other installations in the intensive care units include Patients Monitoring Systems, Servo-ventilators and Defibrillators. The Med division of Siemens was instrumental in developing and executing the first ever mobile hospital. The Hospital is well equipped to detect various ailments through X-Rays, blood and pathological tests, eye and ear test, ECG for the heart as well as gynecological tests.

Manufacturing Manufacturing has always been a core area for Siemens. Modern factories, a skilled work force, modern production facilities and quality procedures provide a capability for manufacturing a wide range of products catering to core industrial sectors and priority areas. Quality is a tradition with Siemens, irrespective of whether it’s a product or service. The Siemens Total Quality Management System focuses on satisfying needs and expectations of the customers through active participation of all employees in optimizing processes and resources. A formal ISO 9001 certification to most of the business division has reaffirmed Siemens’ commitment to provide value to the customers by way of functionality, reliability and safety of products and services.

Information TechnologySiemens also provides its fair share of contribution to software development, consultancy and IT projects/services.

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Real EstateSiemens is also into real estate (Siemens Real Estate- SRE).

Subsidiary Companies Siemens Information Systems Ltd. (SISL).

Group Companies Osram India Pvt. Ltd. Power plant performance improvement Ltd. Siemens Hearing Instruments Pvt. Ltd. Siemens power engineering Pvt. Ltd. Siemens public communication Networks (Pvt.) Ltd. Siemens Shared Services Pvt. Ltd. (SSLI). Siemens VDO Automotive Ltd.

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Diversity

The value of diversityEmployee diversity is a valuable source of creativity and experience that increases the company’s competitiveness. Siemens does its utmost to advance it in as many of there locations and Regional Companies as possible.

Guidelines for diversityEmployed at Siemens are men and women from different nations, of various ages and races, with different cultures and religions, ethnic and social backgrounds. Working together in teams, with their individual ways of approaching any given project, they make the company even more innovative. The "Guiding Principles for Promoting and Managing Diversity" were introduced at Siemens in 2001 and are valid globally.

Promoting diversityIn countries and regions with an ethnically heterogeneous population – the U.S., Brazil, Hong Kong, and Britain, for instance – Siemens has long since had equal opportunities policies in place.

Integrating people with disabilitiesThe difficulties that people with handicaps face have been a focal issue for Siemens for many years. The company actively supports the interests of the disabled – as an employer and educator, as a creator and supplier of innovative products, and as a partner of organizations dedicated to integrating people with handicaps.

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Prospects

Leader PhilosophyDialogue and Commitment- This is the principle applied to management of people Worldwide. In the annual Staff Dialogue with their manager, employees commit to Individual targets that are binding and against which their performance is measured. This Achieves convergence of the interests of both parties and motivates there employees to Achieve world-class performance. This is the basis of the Siemens corporate culture, which is Defined by diversity, by open dialogue and mutual respect, and by clear goals and decisive Leadership.

The Leadership FrameworkIn the Siemens Leadership Framework they specify how they measure the performance of there managers and which personal capabilities managers at Siemens should possess. These criteria play a key role in the Staff Dialogue, particularly for our managers.

Leadership resultsExcellent leadership can mean different things in different cultures. The results achieved, however, are universal – outstanding financial results, satisfied customers, motivated employees and superior processes. For this reason, they measure leadership performance in these four categories: financials, customers, employees and processes. Another key indicator of leadership excellence is employee motivation. This is why, once a year, all Siemens managers worldwide receive feedback from their employees based on 10 specific aspects. The results of the employee feedback help individual managers to improve their leadership Capabilities in the areas identified and also have an impact on their performance appraisal.

Leadership capabilitiesThey are convinced that there are four capabilities which there managers must demonstrate to a marked degree if they are to achieve outstanding success. Siemens call these capabilities drive, focus, impact and guide. Evaluation of our managers is a key factor in determining their opportunities for advancement.

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Selective recruitment to key functionsDuring the annual Siemens Management Review, all position holders and potential successors for key functions in the company are discussed. This review is based on the evaluation of potential generated in the Staff Dialogue. Participants include the Executive Managing Board and the heads of the corporate groups/regions, in order to ensure careful selection and development of there top management.

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HR FUNCTIONS

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Statutory Complian

ce

Separation

Employee Engag.

Talent Mgt.

PMS

Comp.& Benef

its

Training

Induction

Recruitment

Manpower

Planning

HR

INDUSTRY PRORILE

Siemens is a leading international conglomerate, established in more than 190 countries, employing close to 440,000 people worldwide who are committed towards constantly developing and manufacturing products, designing and installing complex systems and projects, and tailoring a wide range of solutions for individual requirements. Siemens is a global powerhouse in electronics and electrical engineering, operating in the, industry, energy and healthcare sectors. For over 160 years, Siemens has stood for technical achievements, innovation, quality, reliability and internationality.However the Siemens that we know today had a very humble inception in a small workshop in Berlin, Germany. Founded by Werner Von Siemens, in 1847, the first success story of this great enterprise was perhaps the invention of the world's first pointer telegraph and electric dynamo, inventions that helped put the spin in the industrial revolution.As Werner had envisioned, the company he started grew from strength to strength in every field of electrical engineering. From constructing the world's first electric railway to laying the first telegraph line linking Britain and India, Siemens was responsible for building much of the modern world's infrastructure. While Werner was a tireless inventor during his days, Siemens today remains a relentless innovator. With innovations averaging 18 a day, it seems like the revolution Werner started is still going strong.

REVIEW OF LITERATURE ON THE INDUSTRY

Siemens Metals to manufacture truck components in NashikIshita Ayan Dutt / Krakow June 12, 2008, 5:24 IST

Mining Technologies, a business unit of Siemens VAI Metals Technologies, has decided to manufacture its inverter/control components for shovels and trucks at its Nashik factory to meet demand for mining equipment in India.

For Siemens, the decision to produce inverter and controller components in India is the next step in its strategy for manufacturing mining products. Wieland Simon, head (media relations), said capacity for 20 units has been planned for now. The projects cater not only to the domestic market but also the export market. The first two units have been exported to Brazil's steel and mining major, Vale. "We selected the Nashik factory for the inverter/control manufacturing because of its long history of producing traction inverters for Indian Railways, which use similar equipment and

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technology as the shovel drive system," said Walter Koellner, director, marketing and development for mining, Siemens Energy & Automation. "By manufacturing in India, we will cut back on time and help us better serve India's demand for mining equipment," he said. Siemens VAI has identified India as one of its focus countries for the mining technologies business. Although Siemens has been supplying electrical drive systems and automation equipment for bucket wheel excavators and conveyors for more than two decades in India, the production of shovel and truck electrics for the world's third largest producer of coal, marks a significant step for Siemens' strategy in mining technologies. The idea is to tap the explosion in demand for raw materials in India. Siemens recently developed a new generation of smaller AC drive systems for mining shovels, which provide improved productivity with lower maintenance costs. In addition to the shovel drive system, Siemens' offices in Mumbai will procure transformers, medium and low-voltage switchgear, cable and installation materials. Siemens will also provide project management, software and hardware engineering and commissioning services for equipment used by India's largest coal producers. The first three machines are slated to be delivered in the first quarter of 2009.

(The reporter made the trip to Krakow at the invitation of Siemens VAI)

Siemens bribery trial to openRichard Milne / London May 27, 2008, 0:23 ISTThe list of charges alleges bribery around the world amounting to ¤53.3 million. The first criminal trial following the ¤1.3 billion ($2 billion) bribery scandal at Siemens is due to begin on Monday in a case that is likely to weigh claims that there was a system of bribery at the German industrial conglomerate against former management's insistence that it was the work of a rogue band of employees. Reinhard Siekaczek, a former middle-ranking executive who worked at Siemens for 38 years, faces 58 charges of embezzlement and breach of duty in a case before Munich judges about alleged bribery in the company's telecoms unit. Several current and former management board members are called as witnesses, including Heinrich von Pierer, the ex-chairman and chief executive, and Joe Kaeser, the finance director since 2006. It is the first trial after 18 months of investigation by prosecutors in Munich but far more are likely as there are currently 270 suspects. Siemens settled some of the allegations with Munich prosecutors last year for ¤201 million but still faces several probes in Germany, as well as a

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potentially far more serious and costly investigation by the US Securities and Exchange Commission. Siekaczek, whose lawyers declined to comment on Friday, has co-operated fully with prosecutors. Previously, his lawyer has said that he would not contest the facts underlying the embezzlement charges but would argue that there was a system of bribery at Siemens and that Siekaczek received orders from managers above him. The list of charges alleges bribery around the world amounting to ¤53.3 million, with payments from slush funds taking place in Libya, Morocco, Ukraine, China, Egypt, Kuwait, Indonesia, Vietnam, Saudi Arabia and the Olympics in Greece. The current management of Siemens believes that the trial of Siekaczek is, in the words of Peter Löscher, the chief executive who came to power because of the scandal, "little more than a sideshow" compared with establishing the responsibility of former managers. Löscher said: "How could ¤1.3 billion in suspicious payments be made outside the books without anybody in the former management board noticing anything?" Siemens is considering launching damages claims against several of its former senior executives. Several ex-managers have insisted that any bribery was only the result of a rogue band of employees and was not company policy.

Siemens Q2 net nosedives on provisioningBS Reporter / Mumbai April 26, 2008

Siemens, the flagship company of the Siemens Group in India, has posted a net profit of Rs 1.6 crore for the second quarter ended March 31, 2008, down 98.5 per cent, compared with the Rs 108 crore in the corresponding previous quarter, mainly due to provisioning of Rs 109.8 crore for estimated losses on certain large projects and discontinued operations of three businesses. Total income for the quarter was flat (up 0.71 per cent) at Rs 2,156 crore compared with the Rs 2,140.8 crore posted in the corresponding previous quarter, as per the unaudited results. Siemens officials said the results were not comparable with the previous year due to transfer of enterprise communication and building technologies business into separate entities, as well as automotive business which was sold under a global arrangement. Additionally, in the current quarter, the company has made a reversal in turnover as a consequence of a revised cost estimate as per the percentage of completion (POC) accounting. "This quarter, our profitability has taken a one-time hit mainly due to a provision that we have made for anticipated losses on certain projects. However, we have already charted out corrective measures for better risk management in future," said Armin Bruck,

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managing director, Siemens. The company’s unexecuted order book position as of March 31, 2008, stood at Rs 9,568.3 crores compared with Rs 10,883.9 crores in the last financial year.

Siemens board suffers new scandal blowRichard Milne / Frankfurt April 25, 2008

Siemens on Wednesday lost another member of its management board to the bribery scandal that has decimated the ranks of senior executives at Europe’s largest engineering group and cost it more than a billion euros. Erich Reinhardt, head of the company’s healthcare sector since 1994 and a management board member for seven years, will resign at the end of the month after further slush funds were found in the German conglomerate’s medical technology businesses. Siemens underlined that Reinhardt was not personally involved on current information, but had decided to take responsibility for the matter. Only one member remains of the 11-strong management board that existed when the scandal broke 18 months ago. The move represents a further escalation of the scandal — the largest in German history — that has already caused a change in chief executive and chairman at Siemens after ¤1.3 billion ($2.1 billion) in suspicious payments were identified at the group. Prosecutors in Munich are looking at 270 suspects and several divisions at the conglomerate. Reinhardt said the “compliance violations” that Siemens’ law firm brought to his attention “distress me and ... deeply condemn and regret” them. Peter Löscher, Siemens’ chief executive, said of his colleague’s departure: “Once again, Reinhardt is showing his exemplary sense of responsibility and leadership.” The resignation of one of the executives meant to embody the “new start” at Siemens raises questions about whether Loscher’s attempt to reform the company could fail. Gerhard Cromme, Siemens’ chairman, added that there was no doubt “about the personal integrity” of Reinhardt but that there had been “unacceptable behavior” in his division. Reinhardt will stay a consultant to the German group and will be replaced as head of the healthcare sector by Jim Reid-Anderson, the head of Dade- Behring; the US Company Siemens took over last year.

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Siemens reviews big projects for risksNewswire18 / Mumbai March 20, 2008

Siemens is reviewing its large projects for potential business risks, the company said in an email response to NewsWire18’s query on the impact of its parent company slashing its earnings forecast for 2008.  Shares of Siemens today traded between lows of Rs 644 and highs of Rs 685 on the National Stock Exchange. Siemens shares provisionally closed at Rs 652 today, down 0.4 per cent, having shed some of its earlier gains on this news. On Monday, Siemens AG made an “ad-hoc announcement” warning investors it had cut its earnings forecast for 2008 after the company reviewed its orders. Siemens AG January-March earnings would be hit by ¤900 million (Rs 5,800 crore), which will be “the largest piece of any additional financial burdens for 2008,” it said.  The Munich-based engineering major said a review of its projects in fossil power generation division in the energy sector, mobility division in the industry sector, and information technology solutions and services had indicated an “adverse effect” to earnings.

Siemens slashes profit forecastRichard Milne / Munich March 18, 2008

Siemens, Europe's largest engineering group, dramatically issued a profit warning on Monday, saying a variety of issues including a large contract cancellation would cause earnings to be ¤900 million lower than forecast. The moves will all but wipe out net income in the current quarter, according to analysts surveyed by Bloomberg, and will add to jitters in world markets. Investors in industrial companies are not so much worried about weakness in order books but more about the potential for cancellations or delays.  Shares in the German group tumbled 10 per cent at the open in Frankfurt to ¤71.88 as stocks across Europe were hit by uncertainty surrounding the international financial system.  Siemens said there were problems of delays or cancellations in three areas after the start of a review of large projects at the German company. None of them was related to the subprime crisis that is roiling the financial markets but has had little impact, up till now, on European industrials. The group did not rule out further earnings problems this year from the review but said this quarter would see the largest part and

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it confirmed its mid-term profitability targets for 2010. It refused to confirm or deny its targets for this year of revenue growth of double world GDP and a profit increase of double that level. But Siemens executives tried to convince markets that the problems were old ones in only a small number of businesses and that the company as a whole was still growing strongly.  Peter Löscher, Siemens’ chief executive since July, said the review was a confirmation of the radical reform he has pushed through at the company to increase transparency and responsibility. ”This is about working through the past. Those who are now responsible weren’t then,” he told a conference call. He added:”Our businesses are still growing strongly.” Investors said Mr Löscher’s credibility was hanging by a thread. ”The market will see this clear-up by Löscher but it is probably the last thing he can get away with,” said one leading investor. He added that the problems were more relevant to the company than the capital goods industry as a whole:” This is very Siemens-specific. A day of reckoning was always likely.” The first problem, which will lead to write downs of about €600m, is in the power generation unit, where the number of so-called turnkey projects – to build entire power stations – has led to a shortage of trained engineers and blockages at suppliers. Mr Löscher is keen to end Siemens’ involvement in new turnkey projects, which were largely initiated by his predecessor, Heinrich von Pierer, but he admitted it would take time. Investors are also worried about a nuclear power contract together with France’s Areva in Finland, where some believe losses of billions of dollars are possible. The second problem came in the mobility unit, where delays in awarding big projects such as the Transrapid train and restructuring in one of its businesses led to about €200m in write downs. The final issue was in its IT division, where one of its large contracts with the UK Department for Work and Pensions was cancelled and other UK projects had smaller risks, leading to a write down of more than €100m. More problems could come as the energy division has examined only two-thirds of large projects and the mobility division has gone through its 20 biggest contracts. But Joe Kaeser, Siemens’ chief financial officer, said he saw no reason for delays in any other business and no real impact from the subprime crisis. ”The order book is robust. We believe our book-to-bill ratio will remain over 1. We do not share investors’ worries [of the financial crisis moving to the industrial sector],” Mr. Kaeser said. An average of analysts by Bloomberg before the announcement thought Siemens’ net income for the second quarter to the end of March would be €1.15bn. Siemens said it would give its full-year target at its second-quarter results at the end of April and its 2009 targets three months later.

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MAJOR COMPANIESThe company is a conglomerate of six major business divisions: Automation & Control, Power, Transportation, Medical, Information &Communication, and Lightning. On November 28, 2007, Siemens reorganized its operations into three Sectors: Industry, Energy and Healthcare with a total of 15 Divisions. Worldwide, Siemens and its subsidiaries employ approximately 400,000 people in nearly 190 countries and reported global revenue of €72,448 million in fiscal year 2007. Siemens AG is listed on the Frankfurt Stock Exchange, and has been listed on the New York Stock Exchange since March 12, 2001.

GROWTH CHART

Market Capitalization in last 6 months (Rs. crores) Month High Low AverageJuly 2007 24916.98 21238.56 23139.19August 2007 21602.70 19002.35 20619.30September 2007 23371.10 21002.55 22004.97October 2007 33433.65 22707.74 26872.32November 2007 34975.31 29203.97 31644.75December 2007 33066.14 31044.87 32090.73  Daily Volume in last 6 months (no. of shares) Month High Low AverageJuly 2007 976304 112315 351790August 2007 602084 58185 232320September 2007 421173 31726 161994October 2007 741844 134204 357037November 2007 1104123 16102 293067December 2007 667976 119756 280881 Shareholding Pattern Dividend track record in last 3 years Year Rate of Dividend01-Oct-2004 to 30-Sep-2005 145%

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01-Oct-2005 to 30-Sep-2006 190%01-Oct-2006 to 30-Sep-2007 240% 

Details of corporate actions in last 3 years Book Closure Start Date

Book Closure End Date

Record Date Purpose

1-Jan-04 21-Jan-04 - AGM/DIVIDEND-40%

- - 10-May-04INTERIM DIVIDEND-40%

11-Jan-05 27-Jan-05 -AGM/DIV-FIN-30% + SPL-20%

- - 10-May-05INTERIM DIVIDEND-45%

10-Jan-06 27-Jan-06 -AGM/DIV-FIN-45% + SPL-55%

- - 20-Jun-06FV SPLIT RS.10/- TO RS.2/

4-Jan-07 18-Jan-07 - AGM/DIVIDEND - 190%

16-Jan-08 31-Jan-08 -DIVIDEND - RS.4.80 PER SH

- - 3-Mar-08 BONUS 1:1

Impact cost for Jul 15, 2007 to Dec 15, 2007: 0.17   Details of volatility of underlying security in last 6 months Maximum volatility:  4.70 Minimum volatility: 1.39 Average volatility: 2.93  

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COMPANY PROFILE

Siemens Ltd is the flagship listed company in India. Siemens in India, which comprises of 19 legal entities, is a leading provider of industry and infrastructure solutions with a business volume aggregating about Rs. 11,000 crores. It operates in the core business segments of Energy, Industry, Transportation, Healthcare, Information Technology, Communication and Lighting. It has nation-wide Sales and Service network, 18 manufacturing plants, some 500 strong networks of channel partners and employs over 18,000 people.

Siemens Ltd.

Transportation Systems Division

The Transportation Systems (TS) Division continues to maintain its leading position in safety systems for the Indian Railways (IR). The Division's portfolio includes solutions for rail automation, railway electrification, light and heavy rail, locomotives, trains, turnkey projects and integrated services.

 In the face of a severe resource crunch over last few years, the Indian Railways is very selective in their investment of procuring of rolling stock items such as EMUs, Wagons, Metro Coaches, and Diesel & Electric Locomotives. However, investments in the area of safety systems have taken off.

Despite this tough environment, the Transportation Systems (TS) Division registered an remarkable growth order value and Turnover. The Division's focus on productivity improvement and effective asset management is resulting into profitable growth over last few years

Continuous technology up gradation and emphasis on quality has helped the Division compete in international markets, giving it added volumes. This has been a key factor in improving the Division's performance. Service was another thrust area for the Division, which helped it improve customer

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satisfaction and gain loyalty. Last year, TS extended its service network to five more locations, in addition to the existing facilities.

ENERGY

Power Generation

We build power plants and power generating components involved in all areas of power generation like coal and gas-based power plants, highly efficient combined cycle plants, co-generation, captive power plants and power plants based on renewable energy sources.  In addition, our turbines, high-end solutions for control and automation of all types of power plants, we also service and retrofit gas/ steam turbines. We also renovate, modernize and upgrade fossil fuel powered plants.

Fossil Power Generation Instrumentation and Control Power Plants Products and Systems Services Solar Power Generation Standby Plants/Alternative Energy

Power Transmission & Distribution SystemsTrillions of kilowatts of electricity transmitted and distributed to end-users using Siemens’ innovative technologies. We provide products and solutions to operate the power grid reliably and securely while increasing reliability, stability, flexibility and capacity of power delivery systems. We are active in the areas of:High Voltage Products and Systems including High Voltage substations, High Voltage Direct Current ( HVDC ) systems, Flexible Alternating Current Transmission Systems (FACTS) Medium Voltage Products and Systems including distribution networks and systemsTransformers Energy Automation including protective relays, substation control systems and power system control

Industrial Solutions & Services

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We offer end-to-end solutions covering the life-cycle of a plant in the areas of manufacturing, processing and infrastructure industries. Our techno-economic solutions encompass project management, engineering & software, installation, commissioning, after-sales-services, and training, tailored to meet customer requirements. We also offer business-based maintenance ensuring reliability, performance and efficiency of a plant. Our areas of expertise cover:

Metal Technologies (MT) ·   Iron & Steel making·   Rolling mills·   Processing lines

Water Technologies (WT)·     Disinfection·     Water & Waste Water treatment·     High purity water systems.

Airport Logistics·   Baggage Handling·   Cargo Handling

Postal Automation (PA) Our sector specific integrated solutions include electrical, drives, automation and IT solutions for:

Industrial Services (IS)·   Cement·   Paper & Pulp·   Airports·   Cross Industries·   Non Ferrous Metals·   On Call Logistics and Maintenance

Intelligent Traffic System·     Urban and Interurban Traffic Control

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·     Highway Traffic Management·     Airfield Lighting

Oil, Gas & Marine (OGM)·   Onshore and Offshore·   Refineries·   Merchant Shipbuilding·   Warships, submarines

Mining & Material Handling·   Continuous and Discontinuous Mining·   Mineral Beneficiation·   Raw Material /Coal Handling Plants

Medical SolutionsSiemens Medical Solutions offers comprehensive solutions for health care, including diagnostic equipment, therapeutic modalities and host of life support systems. Our solutions range from workflow optimization to data management solutions for hospital.

Angiographic X-Ray Systems Computed Tomography Magnetic Resonance Critical / Intensive care systems Clinical Networking Mammography Nuclear Medicines / PET Oncology Radiography General Radiographic X-Ray systems Fluoroscopic X-Ray Systems Mobile X-Ray Systems Surgery Ultrasound Urology / ESWL Uptime Services IT Solutions & Consulting Turnkey solutions and Hospital Consultancy services Hospital Information System

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Automation & DrivesOur range of innovative products, systems and solutions for your distinctive requirements is as varied and diverse as industry and trade itself. We offer products and solutions ranging from standard products to tailor-made equipment and systems, for the manufacturing and processing industries, electrical installation technology, and system and sector-specific automation solutions.

Drives Technology Factory & Process Automation Low Voltage Switchgear & Motor Manufacturing Execution Systems Products & Systems for Industry Products for Building & Infrastructure Windmill Generators Services, Maintenance & Support Training

Siemens Building TechnologiesSiemens Building Technologies (SBT) designs, develops & manufactures intelligent facility systems for comfort, safety & security of occupants of a building. Its products and systems help optimize the management of the technical infrastructure in commercial and industrial buildings.

Integrated Building Mgmt SystemsSiemens Building Technologies is the world leader in Integrated Building Management Systems (IBMS) segment. These solutions are offered as a single-window solution to its customers. IBMS integrates building automation systems.

Building AutomationSiemens Building Technologies supports the building automation & control requirements for a wide range of sectors from IT, Call Centers, Pharmaceuticals, Hotels and Hospitals to Multiplexes & offices.

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Fire Detection & Protection SystemsSiemens Building Technologies offers Fire safety solutions to protect life and property. Its solutions include design; supply, installation & commissioning of include design, supply, installation & commissioning of sophisticated fire detection

Security SystemsSiemens Building Technologies supports the building automation & control requirements for a wide range of sectors from IT, Call Centers, Pharmaceuticals, Hotels and Hospitals to Multiplexes & offices

HVACHeating, Ventilation and Air Conditioning (HVAC) products include variable speed drives, valves & valve actuators, damper actuators, sensors & transmitters and stand-alone controllers for rooms and plants.

Siemens Real EstateSRE is the real estate manager of Siemens worldwide. Our services cover best-in-class space supply and real estate asset management.

Property ManagementSpecialists closely track the developments in real estate markets and constantly analyze the latest trends. They also understand your unique business requirements. 

Project ManagementSRE support customers in overcoming the complex challenges associated with property development by offering tailor-made and innovative building infrastructure solutions.

Location ManagementThere portfolio of services certainly doesn’t end with the choice of location of office or commercial real estate. In addition to space, SRE also provides an entire gamut of allied offerings.

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HISTORICAL ANALYSIS

Siemens was founded by Werner von Siemens on 1 October 1847. Based on the telegraph, his invention used a needle to point to the sequence of letters, instead of using Morse code. The company – then called Telegraphen-Bauanstalt von Siemens & Halske – opened its first workshop on October 12.In 1848, the company built the first long-distance telegraph line in Europe; 500 km from Berlin to Frankfurt am Main. In 1850 the founder's younger brother, Sir William Siemens (born Carl Wilhelm Siemens), started to represent the company in London. In the 1850s, the company was involved in building long distance telegraph networks in Russia. In 1855, a company branch headed by another brother, Carl von Siemens, opened in St Petersburg, Russia. In 1867, Siemens completed the monumental Indo-European (Calcutta to London) telegraph line. In 1881, a Siemens AC Alternator driven by a watermill was used to power the world's first electric street lighting in the town of Godalming, United Kingdom. The company continued to grow and diversified into electric trains and light bulbs. In 1890, the founder retired and left the company to his brother Carl and sons Arnold and Wilhelm. Siemens & Halske (S&H) was incorporated in 1897. In 1919, S&H and two other companies jointly formed the Osram light bulb company. A Japanese subsidiary was established in 1923.During the 1920s and 1930s, S&H started to manufacture radios, television sets, and electron microscopes.In the 1930s Siemens constructed the Ardnacrusha Hydro Power station on the River Shannon in the then Irish Free State, and it was a world first for its design. The company is remembered for its desire to raise the wages of its under-paid workers only to be overruled by the Cumann nanGaedhau government.Preceding World War II Siemens was involved in the secret rearmament of Germany. During the Second World War, Siemens supported the Hitler regime, contributed to the war effort and participated in the "Notification" of the economy. Siemens had many factories in and around notorious extermination camps such as Auschwitz and used slave labor from concentration camps to build electric switches for military uses. In one example, almost 100,000 men and women from Auschwitz worked in a Siemens factory inside the camp, supplying the electricity to the camp. The crematorium ovens at Buchenwald bear the Siemens label.

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In the 1950s and from their new base in Bavaria, S&H started to manufacture computers, semiconductor devices, washing machines, and pacemakers. Siemens AG was incorporated in 1966. The company's first digital telephone exchange was produced in 1980. In 1988 Siemens and GEC acquired the UK defense and technology company Plessey. Plessey's holdings were split, and Siemens took over the avionics, radar and traffic control businesses — as Siemens Plessey.

In 1991, Siemens acquired Nixdorf Computer AG and renamed it Siemens Nixdorf information system AG. In 1997 Siemens introduced the first GSM cellular phone with colour display. Also in 1997 Siemens agreed to sell the defence arm of Siemens Plessey to British Aerospace (BAE) and a UK government agency, the Defence Analytical Services Agency (DASA). BAe and DASA acquired the British and German divisions of the operation respectively. In 1999, Siemens' semiconductor operations were spun off into a new company known as Infineon Technologies. Also, Siemens Nixdorf Information’s system AG formed part of Fujitsu Siemens Computers AG in that year. The retail banking technology group became Wincor Nixdorf. In February 2003, Siemens reopened its office in Kabul. In 2004, Siemens took over the mantle of official Formula One timekeeper, replacing TAG Heuer. In November, 2005, Siemens signed a 12 year agreement with the Walt Disney Company to sponsor attractions in its Florida and California parks. In 2006, Siemens announced the purchase of Bayer Diagnostics, which was incorporated into the Medical Solutions Diagnostics division officially on 1 January 2007. In March 2007 a Siemens board member was temporarily arrested and accused of illegally financing a business-friendly labour association which competes against the union IG Metall. He has been released on bail. Offices of the labour union and of Siemens have been searched. Siemens denies any wrongdoing. In April 2007, the Fixed Networks, Mobile Networks and Carrier Services divisions of Siemens merged with Nokia’s Network Business Group in a 50/50 joint venture, creating a fixed and mobile network company called Nokia Siemens Networks. Nokia delayed the merger due to bribery investigations against Siemens. In October 2007, a court in Munich found that the company had bribed public officials in Libya, Russia, and Nigeria in return for the awarding of contracts; four former Nigerian Ministers of Communications were among those named as recipients of the payments. The company admitted to having paid the bribes and agreed to pay a fine of 201 million euros. In December 2007, the Nigerian government canceled a contract with Siemens due to the bribery findings.

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REFLECTIONS ON WHAT HAS BEEN LEARNT DURING THE PLACEMENT EXPERIENCE

The maximum exposure which I get in this 2 months training in Siemens Ltd. is very much knowledgeable to me. Here I got to know how the corporate world works and understood most of the process in HR department. I tried to absorb maximum knowledge in my learning process.Mainly I deal with two projects…

1) I did analysis of exit interview, which is my main project.2) Overview of recruitment process in Worli.

The other works which I did in siemens:1) Worked on local persons report to government of Maharastra.2) Worked on Employee Satisfaction Survey project in Worli.3) Involved in Mass Recruitment drive for Kalwa.4) Auditing of compliance guidelines.

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Recruitment

Advancing students, recruiting qualified employeesAchieving excellence in business would be impossible without a well-trained workforce, so Siemens engage in constant efforts to win highly qualified and talented people to work and to offer them first-rate development opportunities.

Introducing young people to SiemensA qualified workforce is a crucial success factor for company – and the bar is being raised constantly on the training and education standards they are expected to meet. In 2006, 36 percent of all new Siemens hires were university trained. Siemens have a sizeable need for university graduates – reason enough to foster contact with, and support, students, particularly those studying for degrees in engineering, the natural sciences, or economic science. They seek to offer them opportunities to broaden their horizons and acquire academic and practical experience in a multinational environment through a number of worldwide programs and partnerships.One excellent way to get to know Siemens better is through our industrial placement and internship opportunities – popular with thousands of young people each year. Students who show exceptional promise and receive the requisite recommendation from supervisors are awarded a place in TOPAZ advancement program. Students can also obtain an academic qualification in other programs that include a semester spent in a foreign country, an international internship, business project work, and management training courses.

Focus: Higher educationGiven the impact that government education policymaking can have on company, they engage actively in the education debate to share what have learned from experience and offer ideas and suggestions regarding the development of training and education programs. There activities in this area center primarily on Europe. However, they do engage in similar initiatives in China and the U.S. Harmonizing education systems in this way encourages cross-border mobility among students and helps them to prepare for globalization’s challenges and opportunities. Siemens seeks to do the same by operating

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advancement programs that enable students to spend time in foreign countries.

Recruitment Framework

OBJECTIVETo attract and hire right talent based on competencies through an objective selection process, ensuring right person for the right job, necessary to accomplish organizational goals.

RECRUITMENT PHILOSOPHY 1) This framework will provide the basis for a common recruitment

experience of the ‘Siemens’ way while providing sufficient flexibility to meet individual business needs.

2) HR India Recruitment Organization will "create sustained attractiveness for suitable candidates using a mix of communication measures" which will foster a strong ‘Siemens’ brand.

3) Provide a scientific process across Siemens companies for selection of qualified and suitable applicants.

4) Recruitment and selection decisions are based on merit, and no discrimination will be made on the grounds of gender, race, caring responsibilities, marital status, sexuality, disability, religion or age. All processes will be conducted so as to guard the confidentiality of applicants and preserve the integrity of the process.

5) New hires would be effectively inducted and integrated in the organization to ensure rapid contribution to the business and a high retention rate.

6) Recruitment measures will be supported by appropriate IT tools / platforms and documentation. This would ensure overall efficiency, speed and transparency.

7) Recruitment measures will be monitored and reviewed periodically for their effectiveness in terms of cost, quality and timelines and coverage through a variety of techniques. They could also lend themselves to benchmarking with the ‘Best Practices’ in the industry.

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8) Recruitments will ensure compliance with all statutory rules and regulations.

9) The starting point of recruitments would be the ‘Manpower Requisition’, which is a formal request for manpower. A detailed manpower requisition is the basis for sound personnel decisions. To facilitate subsequent steps in the recruitment cycle the requisition should cover the following: Number of job openings. Skills / competencies required for the job from present as well as

future perspective. Type of employment i.e. full time / part time / tenure based. Location of employment. Agreement on the time lines for the recruitment

Any additional information, which will facilitate the search for the right candidate, could be added. This when duly authorized by competent authority translates into a ‘Manpower Requisition’.

PROCESS OVERVIEW

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I. ATTRACTThe objective of this step is to create a sustained ‘pull’ of the Siemens brand amongst prospective job candidates. This is achieved through innovative and effective use of all communication channels. The company would follow a variety of modes to offer recruitment solutions depending upon business needs. For this purpose the various sources of hiring can be broadly categorized as: Internal and External

INTERNALThis will comprise of prospective job candidates who are already a part of the Siemens family, and references from Siemens employees. These are the preferred source of filling up an open position. ‘External’ sources should be resorted only after due diligence has been done on ‘Internal’ sources.Internal channels through which job candidates can source are: Employee Referrals Internal Job Postings

(A) EMPLOYEE REFERRAL SCHEME (ERS)Employees recruit new employees!Under this, an existing employee of Siemens refers a known candidate for a particular position. This process fosters a win-win situation for all involved stakeholders i.e. referrer, Siemens and the referred candidate.

Purpose a) To encourage employees to source talent and reward them for the same. b) To reduce recruitment costs substantially.c) To promote a positive attitude towards the company with our own

employees. d) To reach a pool of candidates who are not actively looking out for a job,

and who are thus not attainable through other sources.

e) To foster retention of workforce by fostering pride and better bonding amongst employees.

f) To reduce applicant sourcing time. g) To have uniformity across Siemens companies in India.

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Features a) Employees are informed about open positions through communication

channels like e-mails, notice boards, flyers etc.

b) Employees are encouraged to refer for all open positions.

c) Depending on business needs, an ‘employee referral bonus’ may be paid to the referrer in case deemed necessary. The same is advertised in the communication and is used as an attractive motivational tool to generate more referrals. The ‘employee referral bonus’ is normally paid once the referred candidate has been selected and joins Siemens.

d) Employees can refer any candidate matching the profile, other than people employed by any of the Siemens group companies. An ex-employee could be referred however in such a case ’referral bonus’ is not paid.

e) In the event of two or more employees referring the same candidate, the bonus will be paid to the one who has referred the CV to HR first.

(B) INTERNAL JOB POSTINGThis provides opportunities to existing Siemens employees to move into different roles within and across business units / decisions aligned to their career aspirations thereby enhancing employee’s skill, knowledge, development and career growth.Internal job postings could be another channel through which existing Siemens employees can be targeted for openings in the organization. Though this channel could provide qualified and proven candidates for job openings, it has interred department / organizational ramifications. Due diligence should be exercised before hosting ‘Internal Job Postings’.

Purpose 1. To fill up open positions by cross placing (transferring) suitable

existing Siemens employees, thus reducing costs and time to fill up vacancies

2. Motivate employees, improve retention and productivity by helping in matching organizational needs with career aspirations of individuals

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Featuresa) Internal job postings are communicated to the relevant employee group

through appropriate channel such as hosting on the Intranet, emails, notices etc.

b) Due to dependencies, proper process should be put in place to handle such application and mitigate risks at both the receiving and provisioning end.

c) Even for ‘internal’ candidates it is imperative that there is a proper selection process, and candidates are evaluated on the required competencies.d) There should also be in place guidelines and mechanism to facilitate the

transition of the selected internal candidate, once the same has been principally agreed to.

EXTERNALa) E-recruitment – Job portals & Company Web Siteb) Press Advertisement - Print Mediac) Placement Agents / Executive Search Agenciesd) Job Fairse) Networking / Headhunting f) Campus Recruitment

(a) E-RECRUITMENTE-Recruiting supports the entire gamut of the recruiting process by means of the electronic medium. This is based on web tools bringing candidates and Siemens in an active and continuous relationship. Its 24hrs*7days a week recruiting business environment is beneficial to both the candidates and recruiters.

Purposea) To reach out to a large number of prospective job candidates b) To recruit better people, faster and at lower cost.

c) Creating better brand recall and reaching out to a large target audience. d) Lends itself to better data mining and analysis with the ability to sort data faster than other sources of recruitment. It is supported by technology in terms of database, resume bank, resume sharing and handling facilities etc

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E-RECRUITMENT CHANNELS

(i) JOB PORTALSJob Portals are specialized job sites, which cater to almost all categories of jobs and candidates. Examples of job sites are ‘Monster’, ‘Naukri’, ‘Times Job’, ‘Jobs Ahead’ ‘Dice’ etc. They are widely used and the company could subscribe to the relevant ones. Other than the standard features offered by ‘E-Recruitment’, job portals offer some distinct advantages:

a) Ability to mine the large existing database of the ‘Job Portals’b) Most of the ‘Job Portals’ have some sort of resume management tool,

which allow users to manage their searches. c) It is an effective instrument to build and foster a strong global

employer brand.Features

a) Any hosting of job openings in a job portal should be in accordance with the corporate communication guidelines and should address the following:

i. Brief write-up on the company.ii. Specifications of the job in terms of responsibilities,

competencies (in accordance to the Siemens competency framework), profile of desirable candidates.

iii. Address (e mail ID) to which applications need to be sent.iv. In view of the large number of applications received for such

hosting it is imperative that a mechanism is set up to process the same.

(ii) COMPANY WEB PAGEThe Web Page is a strategic recruitment medium of the company, giving it a world wide presence. It provides online access to actual job opportunities. The essential features for hosting job openings in the Company’s Web Page are the same as that for job portals except that they appear on the company dedicated job and career page.

(iii) PRESS ADVERTISEMENT – PRINT MEDIAPress advertisement is a tool through which the company’s pitch can be made to a large audience. It has the potential to build the company’s brand not only amongst job seekers but also amongst prospective candidates and general public. Therefore other than impacting immediate recruitments, it

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has a sustained impact on brand amongst public at large including potential partners, vendors, educational and professional institutes etc.

Featuresa) Selection of the medium (regional / national, circulation, readership

profile, target audience, relevant supplement) and placement and size of the advertisement should be evaluated carefully to ensure ‘value for money’.

b) The content of an advertisement should include the following:i. A brief description of the nature of business of the company.

ii. Job title and summary of the position iii. Technical and behavioral competencies (this will flow from job

descriptions)iv. Relevant experiencev. Details on how, where and timeframe of response

c) Overall content and messaging to conform to ‘Corporate Communication’ guidelines.d) Press advertisements typically attract huge number of applications. Therefore adequate mechanism to process these applications should be set up before placing the advertisement.

(iv) PLACEMENT AGENCIESPlacement agencies / consultants specialize in sourcing and placing candidates in organizations. They normally have a databank of candidates which the company can use. Sometimes these agencies are also commissioned to head-hunt a specific candidate. These agencies by virtue of their interaction with prospective candidates, who approach them for placements, also have an impact on the reputation of the company in the market. Though recruitments through placement agencies do have a cost implication for the company, their advantages are:

Quick and managed response in providing suitable resumes. Ability to close openings requiring rare skills in a short span of time. Time and cost savings in aligning short listed candidates.

Placement agencies can be categorized into two broad categories:

Executive Search Firms: Services of these firms are generally used for senior management positions or head hunting specific profiles / rare skills.

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Generic Placement Agencies: These firms are used for fulfillment of bulk and generic positions.

Featuresa) It is essential that before the company commissions an agency for a

particular search, there is a written agreement with the agency safeguarding the company’s interest.

b) The legally tenable agreement, which should be vetted by the legal department, should cover aspects like validity period, quality and quantity of resumes to be given for a particular position, replacement of a placed candidate within a specific period, non poaching, confidentiality, non disclosure agreement. Commercial aspects would include, fees payable, standard credit period, billing process, payout schedules, payment terms and SLA’s.

c) Placement agencies should be periodically evaluated as per vendor evaluation guidelines. Placement agencies could be evaluated on their response time, quality of resumes sent, time for closure, offer to joining ratio and so on.

(v) JOB FAIRSJob Fairs and Events are normally sponsored by Job portals or Newspapers where companies are invited to participate for talent scouting. They are an excellent platform for employer branding and Recruiting. Other than the visibility they provide to the company, they offer candidates a live feel of the company in case they are held in the office premises. The face-to-face interaction with the company personnel has a positive impact on candidates. Features

a) To attract a large number of candidates for bulk recruitments, which needs to be filled up within a short span of time

b) Adequate publicity of the job fair by means of email, pint media, and internet groups, radio & TV and other channels is essential to make them a success.

(vi) CAMPUS RECRUITMENT Campus recruitment involves hiring high quality entry level Engineers and Management Trainees from select engineering colleges and management institutes. This source provides a large number of candidates. Given the reach and quality of interactions these campuses have with stakeholders and

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with the society at large, this channel has a huge impact on the outlook people have about the organization.Traditionally it has been seen that campus recruitment provides the best ROI. Campus hires perform better and have a higher retention rate.This, therefore, is strategically an extremely potent source which needs to be developed, nurtured and managed in the best possible manner.

Purposea) To create a strong brand image on campuses as ‘Siemens One’, which

offer a wide choice of careers in diverse business areas.b) To create strong awareness of the ‘Siemens’ values on the campuses.c) It gives an opportunity for the company to share its dreams and

aspirations – making Siemens the preferred employer.d) To liaison and facilitate ‘Institute-Interaction’ which goes a long way

in fulfilling expectations of all stakeholders i.e. Students, the organization and the academic institution

e) To leverage a pool where good talent is available in large numbers

Featuresa) Due to its strategic importance this channel warrants special focus,

and in case requires dedicated resourcesb) Campus liaison is essential to create a strong brand and get a

competitive slot in the recruitment schedule of the campus, which is vital in hiring the best talent.

II. SELECTThe objective of this step is to select the ‘best fit’ candidates through a systematic & structured process. A robust selection process is vital for the long term success of the company. Besides having a direct and immediate impact on recruitments this step also impacts the overall company culture, climate and its performance.

Purposea) To recruit the right type of people for the job, and ensure a high

performance culture.b) Promote employee retention and motivation by recruiting people who

‘fit’ the organization.

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c) By making the right decisions initially, rework is avoided and management time can be spent on developmental activities rather than putting out fires.

d) Have a motivated and competent team that enhances the overall performance of the company.

Principles of the Selection Process1) Selection to be done based on a specific job profile which

incorporates both, competencies and Siemens Leadership Framework capabilities.

2) Realization of the “more - eyes” principle, i.e. hiring decisions is made by at least two interviewers one of whom represents the HR organization.

3) The final decision rests with line management after consultation with the HR organization.

(a) SELECTION PROCESSA detailed job description forms the basis for a sound selection decision. It describes the goals of the function with corresponding responsibilities and competencies needed to fulfill these. The Siemens Competency Framework distinguishes the necessary knowledge, experience and capabilities, as required from a present as well as future perspective. The complete ‘selection’ cycle would comprise of the following:

Pre-selection Evaluation through interviews and / or tests Hiring decision Export control - DAMEX check and/or Reference checks of the

selected candidate Medical Test

(i) PRE-SELECTIONIt is the process of sifting through applications received in a systematic and scientific manner so as to arrive at a shortlist of possible applicants who comply with the requirements and competencies of the job profile. Prescreening may also involve interaction with the candidate.

The evaluation parameters for short listing candidates at this stage could be:a) Prima facie fitment for the job b) Communication skills

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c) Compensation expectationd) Period of joininge) Candidates interest in the positionf) First impressions about the candidate

A time and cost effective pre-selection process will improve the quality of applicants as well as the hit rate of candidates. The key to successful pre-selection is a good ‘Job Requisition’ describing the required competencies for the position. This short listing is generally done by the HR team in conjunction with line personnel. The short listed candidates are then taken through the further steps of the selection process.

(ii) INTERVIEW / TESTThe objective of this step is to select the ‘right’ candidate for the job. Short listed candidates from the ‘Pre-Selection’ stage are evaluated to assess their competencies, skill and fitment for the job.

It is essential that a candidate is evaluated on both i.e. technical competencies which pertain to his / her role, as well as behavioral competencies.

The ‘Job Description’ forms the basis of benchmarking the candidate against the position and arriving at a hiring decision. Application of the ‘more eyes’ principal, where-in more than one person interviews the candidate, is strongly advised.

To assess a candidate against the defined competencies the following techniques could be used:

i. Aptitude / Psychometric Test ii. Technical Test

iii. Group Discussionsiv. Case studiesv. Structured interview – Technical & HR

vi. Combination of these

All recruiters and managers involved in the recruiting process should have to the necessary knowledge, capabilities and should be trained accordingly.

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Applicability of Tests / Exercise1) Aptitude Tests are administered to check quantitative ability, verbal

ability, logical reasoning and domain knowledge2) Psychometric Tests are administered to assess personality and

behavioral pattern. 3) Group discussions are held to assess communication skills, clarity of

thought, team skill, listening skills, confidence4) Case studies are generally administered to assess aspects like

‘situational response’, dealing with complex and incomplete information, ‘decision making’. These are generally ‘management exercises’

5) Technical tests are held to assess the proficiency of the candidate in the relevant technology

Selection of Engineering Graduates, commercial trainees and management graduates (Campus recruitment) is done through technical tests, aptitude tests / psychometric tests, case studies, group discussions and personal interviews

Selection of Lateral Hires is done through technical / aptitude / psychometric tests / case studies if necessary and / or personal interviews. Once a candidate has been assessed it is essential that all the assessors independently capture their assessment in the ‘Interview Assessment’ form. This would help in analyzing and taking corrective action related to the selection process, and also recorded for future reference.This stage plays an important role in the opinion formed by the candidate about the company. It is therefore essential that interviewers are aware of the same and use this opportunity to ‘sell’ the company and the job to the candidate.

(iii) HIRING DECISIONBased on the interactions and evaluation of the candidate by various involved people, a decision is arrived at as to whether to hire the candidate or not. This is where ‘more eyes’ principle has an impact. Effort should be to arrive at a consensus. In case there is a conflict, the hiring manager responsible, has the final decision on the selection of a candidate after consulting the HR organization.

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(iv) EXPORT CONTROL - DAMEX CHECK and/or REFERENCE CHECKIt is mandatory that export control – DAMEX check is carried out before an offer is finally extended to a candidate. As a security measure the candidate’s name is checked against a list of undesirable elements. This tool is available in the intranet. Reference checks can also be used to verify a candidate’s credentials. Due to the sensitive nature of the subject reference checks ideally should be done with prior permission from the candidate. Only after a selected candidate is cleared by the DAMEX check, and in case required reference check, should an offer be extended to him / her.

INDUCTION & INTEGRATION PROCESSAfter ‘selection’, and an offer being made, the next step is to ensure that the candidate joins and settles down in the organization. This is of vital importance as it impacts the productivity, longevity and retention of the candidate in the organization. The steps primarily include Induction and Integration, which is enumerated below.

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III. INDUCTThe objective of the ‘Induction’ is to ensure that the new joinee is set for a ‘flying start’ in the organization. It introduces the person to the organization and sets the tone of the relationship between employee and employer. The ‘Induction’ process kicks off much before the new joinee physically joins the company, in the form of ‘keep warm’ plan for the person and preparations for his/her impending joining by the organization. With forethought and a small amount of prior organizing, the company can get the relationship off to a flying start leading to a more settled and motivated employee, who responds to work, training, relationships in a more effective manner, thereby having a positive effect on productivity and employee turnover.

Purpose1) To set to rest the anxiety of the new joinee right from day one in terms

of company environment, infrastructure provided and facilitate settling down in the organization.

2) Cement the employee and employer relationship in the right sprit by giving the employee a ‘good start’ in the organization.

3) Develop a positive attitude in the employee right from day one though proper planning and execution of his/her induction

4) Good induction leads to a more settled employee, more effective response to training, good work place relationships, lower employee turnover and better productivity.

Create an ‘Unforgettable Day’ first day for the candidate

FeaturesPreparations involve the following steps before an employee joins:

1) Implement ‘keep warm’ steps to keep a channel of communication open with the candidate from the time a offer is made till such time he/she actually joins the company. This is to ensure that the candidate can be kept motivated to join the organization and there are no last minute surprises. It will also help in resolving queries of the candidate regarding his/her preparations to join.

2) Informing the concerned departmental manager, of the expected date of joining of the new person. This will enable the manager to make arrangements to welcome the new joinee

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3) Administration for organizing work place, seating arrangements and equipment like PC/laptop, ID card, gate pass etc

4) Organizing for the documentation and joining formalities to be completed on ‘Day One’.

5) The ‘Induction Process’ for lateral hires would comprise of an induction program (1 to 2 days) followed by documentation related to ID card, Transport, Bank A/C etc.

6) The induction process in case of campus hires would comprise of an induction program (1 to 2 days) followed by technical and behavioral training inputs.

(a) Day one Day one comprises of the following schedule i) Welcome the new joinee to the organization by HR department.ii) Brief orientation of the company.iii) Documentation and joining formalities.iv) Tour of the office and other facilities.v) Introduction to Departmental Manager.vi) Allotment of seating area and provision of all equipment, ID gate pass, Email access vi) Provide him a starter kit comprising of welcome letter company brochure, employee manual, organization chart, names of people and departments, important telephone numbers, intercom list etc.

HR Orientation on the following 1) Company history, culture, mission, values, Organisation structure2) Hours of work3) Location of utilities4) Holidays / leave5) Probationary period procedure6) Discipline and grievance procedure7) Internet and e-mail policy8) Personal presentation9) Code of conduct

10) Salary – payment date and method 11) Bank account 12) Health & safety 13) First aid facilities

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Initial part of the first day is spent in orientation, completion of the joining formalities and documentation. This is followed by a tour of the office and other facilities. Generally post lunch the employee spends time with his / her manager. The subsequent days of the ‘Induction’ is spent in initiating and closing formalities like:

a) Issue of ID cardb) Set up of email accountc) Transport arrangementsd) Opening of Bank accounte) Visiting card request (if any)f) Cafeteria couponsg) Last but not the least introduction to the team

IV. INTEGRATEThe objective of this process is to “effectively integrate new hires to ensure a fast contribution to the business and a high retention rate” This will make sure that a new hire is brought up to speed and starts functioning at the desired level of efficiency.The importance of a good and effective induction/integration can be gauged from the fact that the cost of premature employee turnover could be between 150-200% of the annual income (replacement costs, lost revenue, induction costs extra workload for existing employees, and other opportunity costs).Purpose

a) Ensuring bonding with the teamb) Ensuring familiarity with all related policies with required level of

detailc) Background verificationd) Discuss on role, responsibilities and competenciese) Goal / KRA setting with respective managerf) Discuss on development plang) Assessment, feedback and confirmation of employee

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The Integration concept – Step by step approach:   (i) Bonding with team membersThis step ensures bonding with immediate team members and introduction with other related members of the organization. This is done through ‘on the job’ interactions. The immediate manager of the new joinee is responsible for the same along with the new joinee. The success of this rests largely on the manager in terms of ensuring and priming this existing team and the new joinee that they receive each other positively and create an atmosphere of trust and co-operation.

(ii) Familiarity with relevant / affected policiesAlthough new joinees are generally in possession of excellent professional skills, they lack company specific knowledge and information. The aim of this step is to ensure that the employee has access to all the information on the organization, processes and policies which directly affect him/her. The new joinee goes through the policies, life cycle tools like ‘Leave management system’, ‘Attendance record management system’, ‘SCD’ etc. in the intranet, and also explores the various other sections of the intranet. Once the new joinee has done so it is followed by a clarification and validating exercise wherein the new joinees doubts/clarifications if any are addressed to the concerned manager/HR. This is to ensure a fair degree of understanding of policies and foster a ‘self service’ concept through the intranet. This meeting with HR takes place around a month after the employee joins and completion is expected within 45 days of his joining.

(iii) Background VerificationBackground verification of new employees is a good practice to follow. This involves verification of the antecedents of the new employee, and generally consists of validating his/her employment history, qualifications and checking for any incriminating records if any. Services of a third part vendor who specializes in this could be used if required. Ideally this is to be done after obtaining permission from the candidate to do so.

(iv)Discussion on the role, responsibilities and competenciesThis discussion sets expectations of the current role in terms of the tasks, responsibilities, competencies and capabilities expected from the role of the new joinee. It also provides a platform to discuss the aspirations of the new joinee and give a preview of opportunities in the area of work. A macro and

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a micro picture is provided so that the new joinee can visualize his/her growth in the organization.

(v) Goal / KRA SettingThis, which is logical follow up of the discussion on the role, responsibility and competencies, is aimed at formalizing the goals/KRAs of the new joinee mutually with his/her manager. Objectives for the future period are set, on which the new joinee will be subsequently assessed.

(vi) Development plan discussionOnce discussion on role, responsibility, and competencies and goal setting are done, next step is to chalk out a plan for execution of the same. There would / might be inputs (training/exposure) which the new joinee would require to equip him/her adequately to achieve his/her goals/KRAs. This identification of the inputs would distill into the development plan for the individual, which then needs to be executed. This typically is done within 3 months after the person joins. (vii) Confirmation / final validation of a new joineeThe induction and the earlier steps of the integration processes, provides a solid plank for a new joinee to orient himself/herself with the company and prime oneself to start working at optimum efficiency. The confirmation process provides a formal platform to assess a new joinee and provide him/her with valid feedback and cement it in a climate of trust. The performance and the development of the individual is reviewed and in case required suitable steps are taken to modify it. The completion of assessment and feedback and communicating the same to the candidate would lead to the completion of the confirmation process.

(viii) Monitoring the induction / integration process Monitoring the effectiveness of the induction/integration process is important as information gleaned could be used as a guide for organizational change, and for improvement. This could be done through a questionnaire or a facilitated feedback session.

V. MANAGE THE RECRUITMENT PROCESSIt is essential that the recruitment process is managed carefully and calibrated well. ‘Management’ would include all aspects needed to ensure

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the quality and efficiency of the process and would include processes, tools/platforms and ‘metrics’ needed to deliver world class recruitments.

Excellence in Recruiting – is all about Speed, Transparency and Completeness.

PURPOSE Ensure continuous alignment between the recruiting strategy and the resource plan.Speedy access / distribution if incoming resumes through structured resume sharing process.Have an efficient IT recruitment platform. Ensure that the entire recruitment process is managed and improved continuously using appropriate measurements.

‘Measurement is the Key to Management’

FEATURESa) A recruitment platform like Mr. Ted Talent link, People click, Recruit

ax goes a long way in increasing the efficiency of the recruitment process. Depending on the scale of operations it is important that an appropriate recruitment platform is used.

b) ‘What cannot be measured cannot be managed’! It is therefore essential to measure the efficiency of the process. Some ‘METRICS’ which help in managing the process better are:i. Time to fill – Recruitment cycle time

ii. Hiring costs – Cost per hireiii. Recruitment channel effectivenessiv. New hire turnover

c) Of vital importance in this is Data collection and integrity. Necessary solutions should be put in place to ensure this. Recruiting platforms are of immense help in this as they normally have good data handling and analysis capability.

d) Appropriate frequency of measure should be chosen for the review of the ‘metrics’ on a periodic basis. The principle for the period of review should be “more often than seldom”.

Recruitment metrics should also be periodically ‘Benchmarked’ with the industry data to ensure market competitiveness.

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DIVISION-WISE RECRUITMENT IN SIEMENS LTD.FROM 1 ST OCT. 2007 TO 31 ST MAY.2008 A&D= 17CRP= 17F&A= 9MED= 16PER= 2PTD= 17SRE= 9TS= 1

GRADE-WISE RECRUITMENT

CONT. =10EG= 41GTE= 9MG1= 15MG2= 3MG3 = 4MG4= 3MT= 4

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Conclusion

Recruitment is an ongoing and continuous process. It is selecting the right person, at the right place, at the right time for the right position! Capabilities and competencies are essential part which makes recruitment process more fruitful. It also facilitates interaction with more and more people so that the right person can be selected. In Siemens, the recruitment process is very much defined and also to a great extent refined. There are strict rules and regulations which need to be followed such as Damex checks, compliance guidelines to be followed, etc. Thus, recruitment is taken very seriously at Siemens and the rules are followed stringently.

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BIBLIOGRAPHY

Policy Manual Intranet www.siemens.com http://intranet.siemens.co.in http://www.siemens.com/intranet http://hrindia.siemens.co.in/en/HRHome.asex

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