Siemens IT Solutions and Services


Application Outsourcing
Andreas Degenhardt
Head of Global Application Management
February 2010




                                    Copyright © Siemens AG 2010. All rights reserved.
Agenda



Our Business


Go-to-Market


Delivery Model


Right Partner

                    Copyright © Siemens AG 2010. All rights reserved.
Page 2     Feb-10                         Siemens IT Solutions and Services
Siemens IT Solutions and Services –
a cross-sector business


                                                     Cross-sector
    Industry            Energy       Healthcare                                Business mandate
                                                     businesses

     Drive           Fossil Power                       Siemens
                                     Imaging & IT     IT Solutions              Delivery of IT services
  Technologies        Generation                      and Services              for external customers

    Industry          Renewable      Workflow &         Siemens                 Growth of business
                                                        Financial               together with the other
   Automation          Energy        Solutions          Services
                                                                                Siemens Divisions →
    Building                                                                    comprehensive
                       Oil & Gas     Diagnostics                                portfolio of IT solutions
  Technologies
                                                                                related to Siemens
                                                                                products
         Mobility   Energy Service
                                                                                Operation of Siemens’
                                                                                worldwide IT
     Lighting           Power
                                                                                infrastructure
    (OSRAM)          Transmission
                                                                                Software development
     Industry           Power
     Solutions        Distribution

                                                    Copyright © Siemens AG 2010. All rights reserved.
Page 3              Feb-10                                                Siemens IT Solutions and Services
Siemens IT Solutions and Services –
What makes us stand out



                                    Through the combination of:

         Industry DNA                         Practical                           Quality &
                                             Innovation                          Commitment

    Embedded in integrated             Strong engineering culture           Leading customer
    technology company                 Innovation with measurable           satisfaction
    Unrivalled knowledge               value                                Transformation of processes
    Understanding clients’             Reliability and security             and operations
    requirements                                                            Always staying engaged
                                                                            Delivering on promises




                             We are transforming IT into business value


                                                          Copyright © Siemens AG 2010. All rights reserved.
Page 4              Feb-10                                                      Siemens IT Solutions and Services
Agenda



Our Business


Go-to-Market


Delivery Model


Right Partner

                    Copyright © Siemens AG 2010. All rights reserved.
Page 5     Feb-10                         Siemens IT Solutions and Services
Our Application Outsourcing is an enabler of continual
performance improvement and profitable growth



                                                                       IT Investment

   Applications automate and enable customer
   organization’s core business processes.

   As a key part of the application lifecycle,
   Application Outsourcing is the effective
   operation, support, maintenance, change
   and enhancement of those applications.

   But customer need more than this; they need
   Application Management that realizes the
   benefits of their IT investment to make the
   business more efficient and more profitable.
                                                                    Benefits Realization



                                                 Copyright © Siemens AG 2010. All rights reserved.
Page 6          Feb-10                                                  Siemens IT Solutions and Services
Our Application Outsourcing service offerings
are tailored to customer application landscapes


                  … for Managed Application Portfolio
                  Custom software, line-of-business and enterprise applications
                A service provider with unique business know-how across multiple
                sectors and deep technology competence, unlocking value from
                heterogeneous application landscapes.

                  … for SAP® Software Solutions
                  BI, CRM, ERP, SCM and SRM solutions
                A leading and trusted provider of SAP services with a broad and
                demonstrable track record – supporting the largest user-base worldwide
                – and an acknowledged innovator of SAP solutions.

                  …for PLM Software Solutions
                  Siemens PLM solutions, SAP PLM solutions
                As part of the larger Siemens family, Siemens IT Solutions and Services
                can leverage substantial credibility in terms of its capability to support
                and maintain complex PLM software environments
                                              Copyright © Siemens AG 2010. All rights reserved.
Page 7       Feb-10                                                 Siemens IT Solutions and Services
Progressive Value Generation brings customer cost
benefit and business advantage in three dimensions


         Three dimensions of business value
                      Utilizing Siemens business domain
Empower
Competitiveness
                      expertise and innovation beyond the                    …drives business
                      IT domain to win market advantage                         advantage &
                                                                             stakeholder value.
                      Improving and transforming the
Evolve
Performance
                      business applications and services to
                      an optimized best-fit environment
                                                                           …lowers cost base &
                      Reducing the cost and increasing the                     increases
Drive
Efficiency
                      efficiency of the business applications                 performance.
                      and services for best-in-class delivery



     Progressive Value Generation realized through a transformational journey –
                  the Application Management Service Roadmap

                                                    Copyright © Siemens AG 2010. All rights reserved.
Page 8            Feb-10                                                  Siemens IT Solutions and Services
Application Management Service Roadmap:
                 the journey to Progressive Value Generation
                 Situation     Solution       Benefits
Business Value




                                                                                                        Future Modes
                                                                                                         of Operation

                                                                                Target
                                                                               Operating                                      Business
                                                                                Model                                      Transformation
                                                      Interim
                           Current                   Operating
                          Operating                    Model
                           Model                                                                    Service
                                                                                                Transformation


                                                                     Operational
                                                                   Transformation
                                      Engagement &
                                        Transition                                                                                 Transformation

                  Consulting     Transition        Service Management         Global Delivery        Application Roadmap        Enterprise Integration

                                                       Application                                      Consolidation &          Business Process
                                                                            Automation & Tools
                                                      Enhancement                                        Harmonization             Management
                                                     End of Lifecycle
                                                                           Service Improvement                   Business Domain Expertise
                                                      Management

                                                                                          Copyright © Siemens AG 2010. All rights reserved.
                 Page 9                   Feb-10                                                                       Siemens IT Solutions and Services
Application Management Service Roadmap
                        Example for cost efficiencies in core services
Cost / Business Value




                           Current Operating         Interim Operating      Target Operating       Future Modes
                                Model                      Model                 Model              of Operation



                                             Transition

                                                                    Operational
                                                                  Transformation



                                                                                                             Year-on-Year
                                                                                                              Efficiencies


                                  Baseline
                                   Cost


                                                                               Optimized
                                                                                 Cost


                                                                                                                          Transformation


                                                                                       Copyright © Siemens AG 2010. All rights reserved.
                        Page 10                 Feb-10                                                       Siemens IT Solutions and Services
Agenda



Our Business


Go-to-Market


Delivery Model


Right Partner

                    Copyright © Siemens AG 2010. All rights reserved.
Page 11    Feb-10                         Siemens IT Solutions and Services
Our balanced global delivery model combines
customer intimacy with global economies of scale


                     Global Production Centers (GPC)

                                          Wherever in the world it is beneficial…

                                            Our Global Production Centers focus
                                              on 24x7 technology excellence,
                                              operational efficiency as well as
                                               industrialized service delivery

                     Country Production Centers (CPC)

                                                Wherever your business is…

                                              Our global network of Customer
                                            Service Organizations builds strong
                                            customer relationships and focuses
                                           on driving improvement and innovation

                                        Copyright © Siemens AG 2010. All rights reserved.
Page 12     Feb-10                                            Siemens IT Solutions and Services
Agenda



Our Business


Go-to-Market


Delivery Model


Right Partner

                    Copyright © Siemens AG 2010. All rights reserved.
Page 13    Feb-10                         Siemens IT Solutions and Services
Why Siemens IT Solutions and Services is
the right partner for Application Outsourcing


                Trust, Innovation, Capability
  World-renowned technical and engineering excellence
  Top 10 IT outsourcer; Top 5 packaged enterprise application
  services company
  Support for over 500,000 application users at 600+ customers
  Access to Siemens’ global network for unmatched industry
  know-how and leading-edge technology innovation
  Alliances and partnerships with Microsoft, Oracle and SAP
  Global SAP-certified Application Management Services
  Provider and the first SAP-certified Customer Core Center of
  Expertise


                                            Copyright © Siemens AG 2010. All rights reserved.
Page 14         Feb-10                                            Siemens IT Solutions and Services
You want to know more? Just contact:



                     Andreas Degenhardt
                     Head of Global Application Management
                     Siemens AG
                     Siemens IT Solutions and Services

                     Otto-Hahn-Ring 6
                     81739 Munich
                     Germany

                     Phone: +49 (89) 636-46500
                     andreas.degenhardt@siemens.com
                     www.twitter.com/applicationmngt




                                        Copyright © Siemens AG 2010. All rights reserved.
Page 15     Feb-10                                            Siemens IT Solutions and Services

Application Outsourcing by Siemens

  • 1.
    Siemens IT Solutionsand Services Application Outsourcing Andreas Degenhardt Head of Global Application Management February 2010 Copyright © Siemens AG 2010. All rights reserved.
  • 2.
    Agenda Our Business Go-to-Market Delivery Model RightPartner Copyright © Siemens AG 2010. All rights reserved. Page 2 Feb-10 Siemens IT Solutions and Services
  • 3.
    Siemens IT Solutionsand Services – a cross-sector business Cross-sector Industry Energy Healthcare Business mandate businesses Drive Fossil Power Siemens Imaging & IT IT Solutions Delivery of IT services Technologies Generation and Services for external customers Industry Renewable Workflow & Siemens Growth of business Financial together with the other Automation Energy Solutions Services Siemens Divisions → Building comprehensive Oil & Gas Diagnostics portfolio of IT solutions Technologies related to Siemens products Mobility Energy Service Operation of Siemens’ worldwide IT Lighting Power infrastructure (OSRAM) Transmission Software development Industry Power Solutions Distribution Copyright © Siemens AG 2010. All rights reserved. Page 3 Feb-10 Siemens IT Solutions and Services
  • 4.
    Siemens IT Solutionsand Services – What makes us stand out Through the combination of: Industry DNA Practical Quality & Innovation Commitment Embedded in integrated Strong engineering culture Leading customer technology company Innovation with measurable satisfaction Unrivalled knowledge value Transformation of processes Understanding clients’ Reliability and security and operations requirements Always staying engaged Delivering on promises We are transforming IT into business value Copyright © Siemens AG 2010. All rights reserved. Page 4 Feb-10 Siemens IT Solutions and Services
  • 5.
    Agenda Our Business Go-to-Market Delivery Model RightPartner Copyright © Siemens AG 2010. All rights reserved. Page 5 Feb-10 Siemens IT Solutions and Services
  • 6.
    Our Application Outsourcingis an enabler of continual performance improvement and profitable growth IT Investment Applications automate and enable customer organization’s core business processes. As a key part of the application lifecycle, Application Outsourcing is the effective operation, support, maintenance, change and enhancement of those applications. But customer need more than this; they need Application Management that realizes the benefits of their IT investment to make the business more efficient and more profitable. Benefits Realization Copyright © Siemens AG 2010. All rights reserved. Page 6 Feb-10 Siemens IT Solutions and Services
  • 7.
    Our Application Outsourcingservice offerings are tailored to customer application landscapes … for Managed Application Portfolio Custom software, line-of-business and enterprise applications A service provider with unique business know-how across multiple sectors and deep technology competence, unlocking value from heterogeneous application landscapes. … for SAP® Software Solutions BI, CRM, ERP, SCM and SRM solutions A leading and trusted provider of SAP services with a broad and demonstrable track record – supporting the largest user-base worldwide – and an acknowledged innovator of SAP solutions. …for PLM Software Solutions Siemens PLM solutions, SAP PLM solutions As part of the larger Siemens family, Siemens IT Solutions and Services can leverage substantial credibility in terms of its capability to support and maintain complex PLM software environments Copyright © Siemens AG 2010. All rights reserved. Page 7 Feb-10 Siemens IT Solutions and Services
  • 8.
    Progressive Value Generationbrings customer cost benefit and business advantage in three dimensions Three dimensions of business value Utilizing Siemens business domain Empower Competitiveness expertise and innovation beyond the …drives business IT domain to win market advantage advantage & stakeholder value. Improving and transforming the Evolve Performance business applications and services to an optimized best-fit environment …lowers cost base & Reducing the cost and increasing the increases Drive Efficiency efficiency of the business applications performance. and services for best-in-class delivery Progressive Value Generation realized through a transformational journey – the Application Management Service Roadmap Copyright © Siemens AG 2010. All rights reserved. Page 8 Feb-10 Siemens IT Solutions and Services
  • 9.
    Application Management ServiceRoadmap: the journey to Progressive Value Generation Situation Solution Benefits Business Value Future Modes of Operation Target Operating Business Model Transformation Interim Current Operating Operating Model Model Service Transformation Operational Transformation Engagement & Transition Transformation Consulting Transition Service Management Global Delivery Application Roadmap Enterprise Integration Application Consolidation & Business Process Automation & Tools Enhancement Harmonization Management End of Lifecycle Service Improvement Business Domain Expertise Management Copyright © Siemens AG 2010. All rights reserved. Page 9 Feb-10 Siemens IT Solutions and Services
  • 10.
    Application Management ServiceRoadmap Example for cost efficiencies in core services Cost / Business Value Current Operating Interim Operating Target Operating Future Modes Model Model Model of Operation Transition Operational Transformation Year-on-Year Efficiencies Baseline Cost Optimized Cost Transformation Copyright © Siemens AG 2010. All rights reserved. Page 10 Feb-10 Siemens IT Solutions and Services
  • 11.
    Agenda Our Business Go-to-Market Delivery Model RightPartner Copyright © Siemens AG 2010. All rights reserved. Page 11 Feb-10 Siemens IT Solutions and Services
  • 12.
    Our balanced globaldelivery model combines customer intimacy with global economies of scale Global Production Centers (GPC) Wherever in the world it is beneficial… Our Global Production Centers focus on 24x7 technology excellence, operational efficiency as well as industrialized service delivery Country Production Centers (CPC) Wherever your business is… Our global network of Customer Service Organizations builds strong customer relationships and focuses on driving improvement and innovation Copyright © Siemens AG 2010. All rights reserved. Page 12 Feb-10 Siemens IT Solutions and Services
  • 13.
    Agenda Our Business Go-to-Market Delivery Model RightPartner Copyright © Siemens AG 2010. All rights reserved. Page 13 Feb-10 Siemens IT Solutions and Services
  • 14.
    Why Siemens ITSolutions and Services is the right partner for Application Outsourcing Trust, Innovation, Capability World-renowned technical and engineering excellence Top 10 IT outsourcer; Top 5 packaged enterprise application services company Support for over 500,000 application users at 600+ customers Access to Siemens’ global network for unmatched industry know-how and leading-edge technology innovation Alliances and partnerships with Microsoft, Oracle and SAP Global SAP-certified Application Management Services Provider and the first SAP-certified Customer Core Center of Expertise Copyright © Siemens AG 2010. All rights reserved. Page 14 Feb-10 Siemens IT Solutions and Services
  • 15.
    You want toknow more? Just contact: Andreas Degenhardt Head of Global Application Management Siemens AG Siemens IT Solutions and Services Otto-Hahn-Ring 6 81739 Munich Germany Phone: +49 (89) 636-46500 andreas.degenhardt@siemens.com www.twitter.com/applicationmngt Copyright © Siemens AG 2010. All rights reserved. Page 15 Feb-10 Siemens IT Solutions and Services