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Siemens Enterprise Communications GmbH & Co KG(SEN),a wholly owned Subsidiary of Siemens AG,plans for Organizational reorientation to meet the change in market and the Customer needs.This Move is to Change the Company’s Transformation from a hardware supplier to a software and Solution provider.This a Much needed move in this ever Changing telecommunication market for enterprise solution.“We will begin accelerating the reorientation of SEN and the related restructuring activities under the control of Siemens to ensure that personnel measures associated with these changes will be as socially compatible as possible.”, Siemens CFO Joe Kaeser said.

This Move would affect roughly 3000 employees worldwide,of whom about 1,200 are in Germany.In addition Siemens Plans to cut 3,800 jobs Worldwide,including upto 2,000 in Germany.This Move will affect especially Germany’s Administrative and SENs Headquarters
“We want to immediately begin negotiations with the employee side in Germany about settling interests, and hope to conclude these talks as quickly as possible to give employees the greatest possible certainty about what awaits them in the future,“ said Siegfried Russwurm, head of Corporate Human Resources and Labor Director at Siemens.
These Moves are in the Motive to accelerate SEN’s transformation into a software and Solution Provider.Investments are also be inMarket Extensions in Country’s like China and Russia.As Thomas Zimmermann, COO of the Siemens subsidiary, points out, “We’re reaping the first successes of our reorientation as a software provider and the measures initiated in the past – but the restructuring must be rigorously pursued. SEN will remain a reliable partner for its customers, whom we will continue to serve in the future with our highly innovative products and professional services.”
As it changes to a software provider, SEN will give up its own manufacturing operations. In Germany, plans call for the SEN plant in Leipzig, which currently has about 530 employees, and the telecommunications cable business, with some 60 employees, to be sold or funneled into solutions involving a third party. In addition, SEN is seeking a partnership with an IT provider for around 570 employees involved in direct sales to customers for small and mid-sized systems. This move would enable this sales channel to offer an expended product portfolio in the future so that customers get all solutions from a single source and enjoy greater benefits. Reinhard Benditte, head of business administration at SEN, noted: “All of SEN’s competitors rely almost exclusively on indirect sales models, which gives them far greater flexibility and a substantially more favorable cost position.”
For its international operations, SEN intends to sell or find partners for its facilities in Thessaloniki (Greece) and Curitiba (Brazil), which have 270 and 470 employees, respectively. The possibility of a facility being closed down cannot be ruled out. Order call centers in Argentina, Chile, Colombia, Ecuador and Peru, which employ a total of about 1,100 people, are not part of SEN’S core portfolio and are slated to be sold