display

The Arnbruck volunteer fire brigade has not yet reported a new offer for a senior position, says Joe Kaeser.

But there are many other offers, even if not from his home community in the Bavarian Forest.

After all, the 63-year-old apparently has more time in the future.

This Wednesday is Kaeser's last day of work as CEO of one of the largest industrial groups in Germany.

His last big speech after 40 years at Siemens.

Instead of hearing how shareholders rate his life's work in the Munich Olympic Hall, Kaeser will only flicker virtually on screens because of the corona pandemic.

He probably missed the applause and, as required, the shareholders' questions had to be submitted in advance.

A rather sober farewell, which the company may brighten up with a surprise.

With Kaeser, a manager is leaving who, like no other, rebuilt the global Siemens corporation and, in doing so, mainly operated financial architecture.

He turned the technology conglomerate into three listed companies focused on their business areas: the core company Siemens AG with a focus on industrial digitization, transport, infrastructure and the medical technology group Siemens Healthineers and the energy group Siemens Energy.

Here you can listen to our WELT podcasts

We use the player from the provider Podigee for our WELT podcasts.

We need your consent so that you can see the podcast player and to interact with or display content from Podigee and other social networks.

Activate social networks

I consent to content from social networks being displayed to me.

This allows personal data to be transmitted to third party providers.

This may require the storage of cookies on your device.

More information can be found here.

display

"Everything on shares" is the daily stock market shot from the WELT business editorial team.

Every morning from 7 a.m. with the financial journalists Moritz Seyffarth and Holger Zschäpitz.

For stock market experts and beginners.

Subscribe to the podcast on Spotify, Apple Podcast, Amazon Music and Deezer.

Or directly via RSS feed.

Looking back, Kaeser talks about restructuring, future orientation, access to the capital markets and more freedom, not about breaking up.

For him it is also “not a conversion, but a further development”.

Instead of the earlier vision of a total group with 100 billion euros in sales, as under Kaeser's predecessor Peter Löscher, the core company shrank to a good 57 billion euros in the 2020 financial year due to the structural changes.

display

He leaves with “inner peace” and “a good feeling”, says Kaeser.

In his view, it is a well-ordered process how he is now handing over the post of chief to his successor Roland Busch.

In the past, there have always been doubts as to whether Kaeser, who has been referred to by critics as the “Emperor of Siemens”, can let go.

The bravest voice among German CEOs

Shortly before his departure, he used many interviews for the last time to take a position and issue warnings on socio-political issues in his chief role like a world explorer.

For example, from the danger of cross-border technology groups.

It should not be the case that "in ten years' time it could be more important who becomes Facebook boss than who becomes US president".

The state must intervene here and secure basic values.

In addition, Kaeser sees the threat of a division of society through new technologies and advocates a “modern social partnership”.

Kaeser is the bravest voice in the group of German CEOs who also interferes in political debates.

display

His successor, the physicist Busch, prefers to talk about how modern technology can help create a better world.

Customers can hear that it was high time that a technician and not a financial expert finally determined the Siemens course.

Busch has been in charge since the beginning of the new financial year on October 1, 2020.

He is “exactly the right person and my husband,” says Kaeser with a patronizing undertone.

He praises himself for being able to judge people well, having grown up in rather simple circumstances.

Kaeser was also lucky in his farewell year.

The spin-off of the energy activities in Siemens Energy worked just in time with huge value adjustments and job cuts, which no longer impacts the profitability of the parent company.

In addition, the financial markets survived the first corona shock in spring 2020. Siemens shares are now at record levels.

To the delight of the shareholders, because they received shares in the split-off Siemens Energy free of charge and whoever bought them also has shares in Siemens Healthineers in their depot.

Kaeser's formula of focused individual groups instead of the technology conglomerate worked from the perspective of the capital market.

From this point of view, Kaeser was the darling of the financial markets.

The outlook remains favorable.

Just for the Kaeser-Busch change, forecasts are being increased in some cases, as has just been the case with Siemens Healthineers in connection with special sales from the corona pandemic.

Kaeser's Twitter congratulations to CEO Bernd Montag followed promptly.

“Impressive performance, Bernd!

Congratulations to you and the Healthineers team!

With a market capitalization of more than 50 billion euros, @SiemensHealth is worth more than German power houses like BMW and BAYER, ”he wrote.

Better than the Dax, worse than the MSCI World

At Siemens Energy, the clean-up work for realignment is still ongoing.

The cut of 7,800 jobs worldwide has just been announced, 3,000 of them in Germany.

Terminations should be avoided as far as possible.

At least the forecast has not been cut.

display

Against this background, it is no wonder that finance professionals praise Kaeser's departure.

"The shareholders can be satisfied with the Kaeser era," says the investment company Union Investment.

Kaeser implemented "what the capital market expected of him".

Reference is made to a brilliant final spurt in the share price development.

During his tenure as CEO, he managed to clearly outperform the DAX (plus 62 percent) in terms of total return with 113 percent, but not the MSCI World Industrials of 119 percent, measured in euros.

The fund company DWS also gives praise.

"We would like to express our appreciation for his over forty years of career and achievements for the company and wish his successor every success."

But there are also thoughtful, critical voices.

The series of publications Managerismus carried out by the ex-Siemens manager and author Manfred Hoefle refers to the promise Kaeser made when he took office in August 2013, after which the company should calm down.

In fact, there have been constant reorganizations.

Billions were used for share buybacks and thus indirectly for price maintenance.

In addition, reference is made to the overpriced incorrect purchase of the US energy technology company Dresser-Rand.

Kaeser's actions were compliant with the capital market according to the formula “more transaction than innovation”.

Siemens could have launched an initiative for a European cloud solution, for example, is one charge.

Kaeser himself has indicated that there are new competitors for the Siemens core business with industrial digitization, a “potentially disruptive danger”, as he calls it.

US tech companies could also regard the factory of the future as their turf.

However, Siemens has the advantage of being able to link industrial software with data from the machine control system and thus a competitive advantage.

In any case, for the new Siemens boss Busch it is an enormous task to maintain Siemens' reputation as a high-tech company.

At the general meeting, one of the two associations of Siemens employee shareholders even proposed not to exonerate Kaeser at its last general meeting.

The company's innovative strength has been weakened, and investments in promising but initially less profitable developments have been delayed.

display

For Kaeser, his departure as Siemens CEO is not a complete retreat.

He's already caught the role of Chairman of the Board of Siemens Energy.

This position has to be formally confirmed on February 10th at a virtual general meeting.

A tightrope walk.

If he is no longer Siemens boss, he is to be regarded as "independent", it is officially said - although Siemens is still a major Energy shareholder, but no longer holds the majority.

He has a big goal for his future, says Kaeser.

"In the future I would like to work less instead of more, and more self-determined."