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Caterpillar vs siemen AG

Caterpillar Inc.

History

Caterpillar Inc. also known as "CAT", designs, manufactures, markets and sells
machinery and engines and sells financial products and insurance to customers via a
worldwide dealer network. Caterpillar is the world's largest manufacturer of construction
and mining equipment, diesel and natural gas engines and industrial gas turbines.[2] With
more than US$7 billion in assets, Caterpillar was ranked number one in its industry and
number 44 overall in the 2009 Fortune 500. Caterpillar stock is a component of the Dow
Jones Industrial Average.

Caterpillar Inc. traces its origins to the 1925 merger of the Holt Manufacturing Company,
the inventor of the crawler tractor, and the C. L. Best Tractor Company, creating a new
entity, the California based Caterpillar Tractor Company In 1986, the company re-
organized itself as a Delaware corporation under the current name, Caterpillar
Inc.Caterpillar's headquarters are located in Peoria, Illinois, United States.

Caterpillar values and worldwide code of conduct:

Integrity

The Power of Honesty

Integrity is the foundation of what we do. it is constant. Those with whom we work, live
and serve can rely on us. We align our actions with our words and deliver what we
promise. We build and strengthen our reputation through trust. We do not improperly
influence others or let them improperly influence us. We are respectful and behave in an
open and honest manner. In short, the reputation of the enterprise reflects the ethical
performance of the people who work here.

Excellence:

The power of quality

We set and achieve ambitious goals. The quality of our products and services refl
ects the power and heritage of Caterpillar — the pride we take in what we
do and what we make possible. We are passionate about people, process,
product, and service excellence. We are determined to serve our
customers through innovation, continuous improvement, an intense focus
on customer needs, and a dedication to meet those needs with a sense of
urgency. For us, Excellence is not only a value; it is a discipline and a
means for making the world a better place.
Teamwork EAMWORK
The Power of Working Together
page_17

WE HELP EACH OTHER SUCCEED. We are a team, sharing our unique talents to help those
with whom we work, live and serve. The diverse thinking and decision making of our people
strengthens our team. We respect and value people with different opinions, experiences and
backgrounds. We strive to understand the big picture, then do our part. We know that by
working together, we can produce better results than any of us can achieve alone.

Commitment

The power of responsibility

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WE EMBRACE OUR RESPONSIBILITIES.
Individually and collectively we make meaningful commitments — first to
each other, and then to those with whom we work, live and serve. We
understand and focus on the needs of our customers. We are global
citizens and responsible members of our communities who are dedicated
to safety, care for our environment, and manage our business ethically.
We know it is both our duty and our honor to carry the Caterpillar heritage
forward.

Living by code LIVING BY

THE
INTEGRITY, EXCELLENCE, TEAMWORK, COMMITMENT.

The words in this Code of Conduct define us. Despite our differences — in
geography, culture, language, and business — we are one Caterpillar, one
company united by these common principles and a shared commitment to
the highest standards of conduct. While we conduct our business within the
framework of applicable laws and regulations, for us, mere compliance with
the law is not enough. We strive for more than that. Through our Code of
Conduct, we envision a work environment all can take pride in, a company
others respect and admire, and a world made better by our actions. Together,
we are laying the foundation for the values-based culture that will carry us
forward to even higher levels of success. Together, we are upholding the
reputation of one of the world’s great companies — and strengthening it for
tomorrow. This Code of Conduct applies to the daily activities of employees of
Caterpillar Inc. and its subsidiaries and affiliates worldwide and members of
the Board of Directors of Caterpillar Inc. Each of us is personally responsible
to read the Code of Conduct, understand what it means, and apply it
consistently. Those in our company who lead others hold a special position as
advisors on how we conduct ourselves as representatives of Caterpillar.

COMMITM
Siemens AG

Siemens AG is a German engineering conglomerate that is the largest in Europe.

Siemens' international headquarters are located in Berlin, Munich and Erlangen,
Germany. The company has three main business sectors: Industry, Energy, and
Healthcare; with a total of 15 divisions.

Worldwide Siemens and its subsidiaries employ approximately 420,800 people in

nearly 190 countries and reported global revenue of 76.651 billion euros for the
year of 2009. Siemens AG is listed on the Frankfurt Stock Exchange, and has
been listed on the New York Stock Exchange since March 12, 2001.

Our values and worldwide code of conduct

• Responsible: Committed to ethical and responsible actions

• At Siemens, we are determined to meet – and wherever possible, exceed – all

legal and ethical requirements. Our responsibility is to conduct all business
according to the highest professional and ethical standards and practices: there
must be no tolerance for non-compliant behavior.
The principles related to ‘Responsible’ serve as the compass by which we
navigate our way through our business decisions. We must also encourage
business partners, suppliers and other stakeholders to adopt a similar standard of
ethical behavior.

• Excellent: Achieving high performance and excellent results

• We at Siemens set ourselves ambitious targets – derived from our vision and
verified by benchmarks – and give our all to achieve them. We stand beside our
customers in the search for perfect quality, coming up with solutions that exceed
expectations.
Excellence demands we define a path of continuous improvement, constantly
challenging existing processes. It also requires us to embrace change so we are in
the right place when new opportunities open up. Excellence also means attracting
the best talent in the marketplace and giving them the skills and opportunities they
 need to become high-achievers. We are committed to living a high-performance
culture.

• Innovative: Being innovative to create sustainable value

• Innovation is a cornerstone of Siemens’ success. We closely align R&D activities

with business strategy, hold key patents and have a strong position in both
established and emerging technologies. Our goal is to be a trendsetter in all of our
businesses.
We unlock the energy and creativity of our employees, embracing the new and
different. We are also ingenious and we embrace this quality in all its varied
meanings – original, inventive and resourceful.
We are entrepreneurs whose innovations are successful on a global scale. We
measure the success of our innovations by our customer’s success. We constantly
renew our portfolio to provide answers to societies’ most vital challenges,
enabling us to create sustainable value.

Culture (worldwide)

Introduction
The culture of an organisation is the typical way of doing things in the organisation. It
particularly relates to behaviour patterns and relationships. The culture of an organisation
develops over time. It is created by the people that work for the organisation – its managers
and workforce. What the organisation stands for (its values) and the dreams that it seeks to
turn into reality (its vision) are fundamental in creating a dynamic culture. A ‘high
performance culture’ exists when everyone in the organisation shares the same vision and
where they trust and value each other’s contribution.
This case study looks at how the Siemens organisation is built on a high performance
culture. This is shared by everyone from the most senior executive to the newest trainee.
Siemens AG is a global electrical and electronics business with a turnover of nearly
£60 billion. The company employs just under half a million people around the world. It is
based in Munich, Germany. In the UK, Siemens has its headquarters in Bracknell, Berkshire
and has around 100 sites across the UK employing 20,000 people. Siemens’ products affect
our lives in many ways. We can toast bread in a Siemens toaster powered by electricity
generated and distributed by Siemens. Traffic lights are made by Siemens and people in

hospitals have life-saving MRI scans using Siemens advanced medical imaging technology.

Delivering the human resource development strategy

Human resource development is all about helping people to fulfil themselves at work.
Development is concerned with encouraging employees to identify ways in which they want to
improve their careers and other aspects of their working lives. For example, they may want to
attend training courses, they may want to do more interesting work, or they may simply want
to have a better work/life balance.
An organisation is nothing without its people. As an employer of one of the world’s most
efficient and motivated workforces, Siemens is committed to its employees. Its half a million
employees work in a broad range of roles. These include:
• information technology specialists
• mechanical and electrical engineers
• researchers
• new product developers
• managers and business executives
• administrators
• security guards and health and safety experts

Excellent people need to be managed in an excellent way. If people are properly managed,
they will motivate themselves to do a good job. Siemens believes in the full engagement of
people in the workplace. It believes that engagement combines commitment and
organisational citizenship. Engagement is another way of saying actively involved.
All organisations need to have a sense of direction which is put into action through a plan.
This plan is referred to as a business strategy. A key pillar of the Siemens’ strategy,
alongside performance and portfolio, operational excellence and corporate responsibility, is
the way it manages, develops and motivates its employees.
The importance of people in the organisation
The part of the Siemens’ business strategy that relates to people management is referred to as
People Excellence.
At the heart of People Excellence is the building of a high performance culture. Nothing helps
an individual more than to be given responsibility and to know they are trusted.

Almost without exception, people management theorists have shown that real motivation
comes from within an individual. Individuals develop such motivation when they feel that their
efforts are valued and that they are doing something worthwhile. This is why People
Excellence at Siemens is so important.
For Siemens, people, like its technology and innovation, are a source of competitive
advantage. To make the most of this advantage, Siemens makes sure that its employees
work on developing the company’s heritage of innovation. Siemens believes that there are
many ways to make people feel valued and engaged. These range from a pat on the back,
a personal letter or a special mention in a meeting, to a promotion or a higher salary.
Feeling part of a successful team is part of the engagement process. Individuals who feel
valued want to contribute to the success of the organisation.
Creating a high performance culture
Siemens’ operations are based on a teamwork culture. This emphasis on the team is set out
clearly in a quote from the global Chief Executive Officer of Siemens, Klaus Kleinfeld:
‘Many times in my life I have seen how one individual can make a big difference, particularly
when working in a great team. The quality of our people and of our teams is our most
valuable resource, particularly in today’s changing world where knowledge flows round the
globe with lightning speed and is easily available.’
Siemens wants all of its employees to be truly involved in the business and to feel part of its
success. Employees therefore need to know how they fit into the business. With this in mind
Siemens establishes clear expectations. Targets for individuals are related to targets for the
whole business. Everyone plays their part in achieving great results.
Siemens states that ‘our business success depends on the performance of each individual, our
teams and the total organisation’.

A high performance team is one in which all members of the team work towards shared
targets and have a sense of shared responsibility for the results the team achieves.
As the team performance improves over time, the better the results.

People Excellence is the part of Siemens’ global action plan concerned with human resource
development. It consists of four main elements:
1. achieving a high performance culture
2. increasing the global talent pool
3. strengthening expert careers
4. Siemens’ Leadership Excellence Programme (SLE).
The high performance culture is the way of working at Siemens and it involves everyone. The
global talent pool is made up of all Siemens’ employees. Within Siemens everyone has the
opportunity to develop their own specialisms and to acquire further expertise. The SLE
provides the highest calibre leadership and management training.
Talent management – managing people
People Excellence involves developing everybody that works for your organisation – not just
the high-fliers. Siemens’ talent management philosophy involves making sure that every
employee is provided with the guidance and support to achieve their full potential. This aids
them to do their best, every day. Everyone works together to achieve the organisation’s
objectives as well as meeting their own personal goals. Everyone shares the same vision and
dreams. Within this culture they are able to progress and take on greater responsibility within
the company.
Everyone has talent. For Siemens, matching talent with tasks produces competitive advantage.
Each individual at Siemens can make best use of their talents, whatever they may be. Talent
Management enables both:
• job enrichment, where individuals are encouraged to take on extra tasks and
responsibilities within an existing job role to make work more rewarding, and
• job enlargement, where the scope of the existing job is extended to give a broader range of
responsibility, plus extra knowledge and skills development.
Talent management is a global philosophy that is a key part of supporting each of the
elements of the Siemens’ business strategy. Talent Management enables Siemens’ managers
to engage and motivate employees throughout the organisation.

By applying talent management to all staff:

• all customer-facing staff are engaged, so all customers benefit
• everyone has the opportunity and choices to achieve their full potential
• the pipeline of highfliers is sustained.
Siemens has created a standard process for managing the performance and development of
all employees. This is referred to as the Performance Management Process.
The process creates a direct link between the strategy of the whole organisation and plans for
each individual. Every individual is given targets based on their role and responsibility within
the organisation. It is through meeting personal targets that the individual is best able to help
the organisation to achieve its targets

Performance management is a systematic process that creates trust and open communication
by:
• setting objectives
• monitoring progress made
• creating an ongoing dialogue between each team member and his/her manager
• enabling forthright discussion.
Performance management in Siemens is the engine that drives Talent Management. It is the
cornerstone of its high performance culture. When carried out in a consistent way, this system
makes sure that everyone is told honestly about their performance. Employees are clear about
the impact of their performance and what the consequences are for their development.
Everyone within the organisation is pulling together to achieve the business strategy.
Conclusion
People really matter. Organisational results stem from high performance. People only perform
well when they operate in a culture which nurtures and supports them and helps them to work
towards the achievement of their ambitions.
Siemens’ high performance culture provides the framework and support in which high
performance people can show their commitment to a high performance organisation.