Siemens Continues to Succeed with target Idea Management
Siemens AG is a leading international technology company comprising nine divisions and a separate healthcare business.
The Siemens divisions Digital Factory and Process Industries and Drives focus their business on customers in the manufacturing and process industries.
The Digital Factory (DF
) division offers a comprehensive portfolio of seamlessly integrated hardware, software, and technology-based services for discrete industries (such as automotive or aviation) in Germany and across the globe, helping them increase flexibility and efficiency in their manufacturing processes and bring new products to market faster.
The Process Industries and Drives (PD)
division is a dependable partner for continuous improvement of the availability, security, and efficiency of products, processes, and plants in the process industry (such as in the chemical or pharmaceutical branch). The division helps businesses increase measurable productivity and bring products to market faster. Innovative, integrated technologies addressing the entire product lifecycle provides customers with a significant competitive edge.
Importance of Idea Management, Roles, and Process Flow
Idea Management at Siemens AG is known by its program name 3i (which stands for ideas_impulses_initiatives). The 3i program is a valuable contributor to the corporate thinking of Siemens employees and provides the necessary framework. The role of idea management is to support the management to achieve its business goals and a value proposition to increase the value of the company overall.
The 3i program comprises the following roles: submitter, manager, decision maker, 3i trainer or 3i team, reviewer, 3i committee, 3i advisor/consultant, and 3i business manager.
The objectives of the 3i program is a fast, non-bureaucratic, and self-managed improvement process, which is based on a decision-making principle. A decision contains a statement for realization, an estimation of use, as well as a valuation proposal. Premium awards are given to ideas realized that are, or at least in part, in addition to the paid tasks of the submitter or the group. The 3i program bases its premium calculations on use. Improvements in the immediate work environment are also welcome and managers can reward them directly. The company agreement for the 3i program sets the conditions to determine, for example, whether award amounts can be modified to meet local regulations.
Key Figures in Idea Management
The economic significance of the 3i program is obvious in the key figures. Siemens AG in Germany, with approximately 115,000 employees, realizes around 95,000 ideas annually. With their approximately 30,000 employees in 15 locations, the DF and PD divisions using target software process 67% of realized ideas at Siemens AG.
Requirements for Idea Management Software
From the enormous volume of data (currently 1.3 million ideas in the online database) in the DF and PD divisions, it is clear that a seamless software process is critical. Not only was a functionally sophisticated software required to support the basic processes and all the steps involved, but also a software that can be relied on for its stability and performance. Particularly in light of the large volume of data and the great degree of use, it was essential for users to embrace a software that could scale to the requirements and response times. The average response times for all roles is less than one second per transaction.
Thanks to the direct connection to the SAP system through target software, the HR system can handle organizational and personnel changes quickly. target software is uniquely embedded in the SAP software as an add-on and therefore does not require an interface; it works directly with SAP data without any unnecessary interfaces or data redundancy.
Over the years, target software has been proven to manage all the necessary tasks for idea management.
Early Adopter of target Idea Management
As early as fiscal year 2002/2003, the Siemens Automation and Drives (A&D) division was using role-based target Idea Management software over the intranet at all of its German locations. At the time, Intranet Transaction Server (ITS) technology from SAP was used to connect SAP R/3 systems to corporate intranets. Through this implementation, 13 installations of the legacy system were replaced by one SAP system installation. The target Idea Management solution was continuously enhanced, for example, by a connection of the SAP Business Warehouse application to calculate and representation of key figures.
Current Use of target Idea Management and Valuation
Siemens divisions DF and PD have been using a completely redesigned version of target Idea Management since fiscal year 2014/15. The new system offers users an attractive and user-friendly interface for entering information as well as the ability to follow a 3i idea through all of the roles involved in the 3i process. The new version is based on the SAP technology Web Dynpro for ABAP (WD4A). Users have been positively pleased with the new system, particularly with way the information is displayed and the clear and intuitive navigation through the entry screens. Users can see their open tasks on the initial screen and can jump directly to idea processing to complete the task with just one click.
It is reassuring to know that we have reliable software for idea management that meets our requirements.”
Quote Jörg Kopf, 3i Business Manager for DF and PD Divisions, Siemens AG