Download - Siemens Pakistan

52 Directors’ Report
3i Program
Siemens Idea Management Program called 3i which is an acronym for Ideas, Impulses and Initiatives has
been revamped. The principles of the Idea management are based on the fast and un-bureaucratic
manner in which employees through all hierarchy levels are called to act on their own initiatives and
develop and implement suggestions for improvement within the company. Suggestions relating to
improving profitability and growth, innovation and new markets, process optimization, cost reduction,
quality improvement, environmental protection in and occupational, health and safety are of particular
importance. Employees discuss such ideas with their managers and show them their economic benefits.
The managers scrutinize them and all workable ideas are implemented. The managers are also
empowered to assess and give monetary reward for these ideas up to a predefined limit while
encouraging and supporting employees for promoting initiative work.
Business risks and challenges
Major changes have occurred in the political landscape of the country over the past years resulting in a
deteriorating law and order situation that now threatens business activities. Adding to this is the adverse
impact of global economic crisis, sky rocketing inflation and devaluation of local currency all of which
are contributing to increase in cost of doing business. Also compounding the impediments to growth is
the energy crisis in the country. The decision of the Central Bank not to provide cover on foreign
currency imports is also a threat and may impact our import bill significantly.
All these challenges require joint efforts by the government and private sector. On our part the strategy
will be to continue strengthening our local presence and expertise within the country thereby reducing
our dependence on outside sources with the aim to eventually become self reliant and thus better
equipped to deal with these challenges.