The Bribary Scandal at Siemens Ag

For example, I am quite familiar with the ways business is done is Russia and I can assure you that bribing cases are very common there, with number of them being literally unavoidable. As for the case with bribing Wilhelm Seychelles, the chairman of the AUP labor union, I think it was completely unnecessary for such a big and respected company like Siemens to do that. Such bribing is certainly avoidable and It Is not worth for the company to risk It's reputation.

In my opinion, It should be a concern of governments to prevent such actions and create mechanisms hat make any types of bribing activities Impossible, especially In companies In which the state owns a controlling stake. 2. I think if a company has a respected name in the field, offers competitive prices and meets all qualifications to win a contract, then it has couple of options to do so without bribing: a. Status off well-known and respected company gives it an ability to contact the government officials and local analogue of U. S.

Securities and Exchange Commission beforehand and ask to monitor the process of tendering. B. If the contract is for a large amount of money and, maybe, socially important, it might e a good Idea to attract the media to the deal. I believe these two options would scare away any company managers who are Intended to benefit from bribing. However, If the company Is In the situation when somebody demands money in return for a contract, it should immediately notify an appropriate agency and provide sufficient evidence in order for the officials to impose punitive sanctions against a breaking company. . In my opinion, the board made a right decision in not extending Killdeer's term. Even though Killed was not implicated in the scandal directly, l, honestly, hardly live that he, as the CEO of Siemens GAG, was unaware of the unlawful actions that had taken place within the company, since the amounts spent on the 'consulting services' (в?420 million) seem to be too large not to notice them, or at least questionable.

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The practice of bribing for contracts might have been common at Siemens before and was Inherited by Killed from former CEO, Heimlich von Peeler. This practice doubled with Killdeer's aggressive, American style of management could have been reasons why Siemens GAG performed so well in the last few years roll to ten scandal. I also Delve Tanat whenever Clientele 010, It was Tort ten Detente of the company.

After Killdeer's departure, considering how successfully he managed the company, it is most likely that Siemens' rate of growth and value of its shares will drop. If it wasn't for the bribery scandals, Killed could have much more work done for the company benefit over the following years. 4. As I could tell from the case and from my own experience, there are many companies that give money or gifts in exchange for contracts or some sort of favors. Siemens is not the only company accused of bribery.

The enormous amounts Siemens spent on bribing government officials and companies' managers probably led the investigations to begin. There are number of Siemens' competitors who were not as wealthy, and, as a consequence, couldn't get the same contracts, even though they might have been more qualified. My assumption is that the Siemens' competitors, angry about such injustice, could have been initiators of the investigations, which revealed the cases of bribing. Generally, I think Siemens was just unfortunate to get caught.

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