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July 26, 1990

STRUCTURE OF SIEMENS-NIXDORF BEGINS TO TAKE SHAPE BUT WHICH LINES WILL GET THE CHOP?

By CBR Staff Writer

Siemens-Nixdorf Informationsysteme AG is beginning to take shape already: the new company, conceived out of the acquisition by Siemens AG of Nixdorf Computer AG and set to come into the world this October, will operate through 10 main divisions supported in different markets by 20 regional operations. Computerwoche reports that Workgroup 2 – one of seven groups set up by Siemens and Nixdorf to bring the new organisation to life – has been working for several months on a structure designed to co-ordinate the varied activities of the two German companies, and has now published its recommendations in the Nixdorf in-house newsletter Inline aktuell. The report calls for a structure largely designed to focus different divisions on specific customer groups: accordingly each of the 10 divisions will separately target accounts in industry and the service sector; business and commercial systems; the retail sector; finance and insurance; major accounts in the public sector including transport, defence and NATO; smaller public sector accounts; resellers; special products and Nixdorf telecommunications systems; consultancy and training; support and service. These 10 divisions will be supported by 20 national or regional operations, of which six will cover Germany. Each operation will be accountable to the 10 divisions in terms of a business strategy and performance to be agreed according to region. National markets to which a regional operation has not been ascribed will be handled centrally through an export department. The aim of the new structure, according to Workgroup 1, is to spread out the strengths of the existing operations: the strong market-orientation and quick realisation of ideas at Nixdorf, and Siemens’ sound experience of large project management – however, the report fell short of naming which specific Nixdorf activities had a part to play in the new organisation. In the meantime, the other six workgroups are preparing their reports. Tension is now mounting in anticipation of the findings of Workgroup 1, which is charged with deciding exactly what products will survive at Siemens-Nixdorf Informationssysteme: its report is expected any day.

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