March 30 (Reuters) - Siemens is set to dissolve its digital industries and smart infrastructure segments in an upcoming reorganisation, a person familiar with the matter told Reuters on Monday. The
Siemens Announces Major Reorganisation for Digital and Infrastructure Divisions
Overview of Siemens' Strategic Reorganisation
Background and Motivation
March 30 (Reuters) - Siemens is set to dissolve its digital industries and smart infrastructure segments in an upcoming reorganisation, a person familiar with the matter told Reuters on Monday.
The reorganisation seeks to break down "silo structures" in a move aligned with CEO Roland Busch's "One Tech Company" strategy, which aims to combine the likes of infrastructure and transportation with software and AI.
Current Structure of Siemens Divisions
Digital Industries
Digital industries currently focuses primarily on factory automation, motion control and process automation, while smart infrastructure's key business areas include building technology and energy management.
Smart Infrastructure
The two divisions would be split into six or seven smaller units in total, with a reorganisation of the executive board to follow, the source said. Each unit would report directly to the board.
Implementation and Next Steps
Uncertainties and Approval Process
How exactly this would look is still unclear, and the plan needs to be discussed by the supervisory board and employee representatives, likely in May.
Previous plans to merge the digital industries and smart infrastructure divisions have thereby been put on hold again, the source added.
Impact on Other Divisions
Mobility Division
The German engineering group's mobility division, which focuses on rail technology, is meanwhile expected to remain unaffected by the restructuring.
Media Coverage and Official Response
German newspaper Handelsblatt first reported on the plans.
Siemens declined to comment.
(Reporting by Alexander Huebner, writing by Marleen Kaesebier, editing by Sabine Wollrab and Miranda Murray)
