Siemens company has various fields such as industry
automation,it softwares,energy, transport , medical solutions etc.in this case study we will be dealing with the problems what siemens communication is facing. Siemens commn produces epabx systems called hipath.these systems makes the communication level easy.these systems are used by the small mediums or corporates basically depending on their requirements of inputs of trunk lines and output extensions.these hipath systems have different models depending upon on the requirements of extensions.eg hipath 1100 for 100 extensions, hipath 3000 for 400 extensoins and hipath 4000 for 1200 extensions which is basically used for call centers. For the sales of this systems,marketing manager has various groups under his level.these groups have respective group leaders.few of these groups deal directly with the customers n the others in d group are channel partners.there is about 25 channel partners in Mumbai.so all these groups do the sales of these epabx systems.but now whtats happening is that wherever a customer is having a requirement , many of these channel partner groups n also the direct sales persons of siemens visit the same customer with different prices of the system. Here what marketing head has noticed that conflict arises between the direct sales person and also the channel partners in closing the deal for the system.so the price of the system drastically comes down by the negotiations created by them.and the margin of profit also becomes less.so here man power is also getting wasted due to various groups targeting the same customer.costly resource is also getting wasted as these sales persons will be paid a fixed level of salary.overall time of the siemens company will be wasted.duplication of efforts is happening. Now , second problem what siemens have seen in the field of services that is AMC’s.basically the dealer who has sold the system to a customer looks after the AMC of that product for a year free of cost.after that every year, AMC will be charged.so here again the problem erupts.various channel partners start bouncing for the AMC contract of the same customer.here again negotiation of price takes place.in which in general siemens as a company is losing its good name in the market.hence clients look out for the change of product.hence this problem is again badly effecting the company.