Siemens Has Been Named Overall Winner of the Manufacturing Excellence Award


The Berlin Meßgerätewerk sets new standards for highly efficient production processes

The Berlin Meßgerätewerk, Germany, where Siemens Energy produces digital protection equipment for power supply networks, has been named the overall winner of this year's Manufacturing Excellence Award ("MX Award"), presented for plants with best-practice manufacturing solutions. The award is supported by the logistics department of the Berlin Technical University (TU), the production systems chair of RWTH Aachen University, and partners in the business community. As this year's overall winner across all categories, Siemens set new standards for highly efficient production processes.

"Most of all, the credit for winning the MX Award goes to our dedicated employees, our innovative products, and the Siemens Production System, a production concept devoted to the guiding principle of 'avoiding waste' that enables practically just-in-time production to suit the needs of our customers. We have set new standards in that respect and are delighted that our efforts have been recognized through this acclaimed award," said Wolfgang Will, head of the Siemens Meßgerätewerk in Berlin.

The Siemens Meßgerätewerk, which belongs to the Power Distribution Division of the Siemens Energy Sector, scored high marks in customer orientation and in product development, with an emphasis on smart grids. The plant also received top scores for the Siemens concept of modularization, for its concurrent development and production processes, and for start-up management. High grades were also awarded for the use of the Siemens Production System to optimize manufacturing processes, the reorganization of the component and instrument production line in just nine months, and the design of efficient workstations.

The Siemens Production System also resulted in optical changes in instrumentation production. For example, the former batch production system was converted to a one-piece flow system with
the help of production cells designed on a product-specific basis. Applying low-cost engineering principles, workers built the production cells themselves, using new materials. All necessary assembly and testing steps were synchronized and adjusted to suit the needs of customers. These changes enabled the plant to reduce its production space by about 30 percent and the manufacturing throughput time by more than 75 percent.

The jury also gave high marks to the system of introducing team leaders in the area of shop floor management. Impartial experts chose production employees to be team leaders - a method of selection that had never before been practiced at this level of the organization. These employees then participated in 17 training modules to prepare them for their new tasks.

The overall winner of the MX Award is the contestant that receives top ratings in all categories. The evaluation process is divided into two phases. First, professors and business partners conduct a preliminary selection and selected candidates then undergo a business review. In the next phase, the MX Award jury selects the overall winner as well as the winners in each of the categories of customer orientation, product innovation and process innovation, information technology, and best small or medium enterprise. Imported from Britain in 2006, the MX Award contest has been held six times in Germany to date. The Siemens Meßgerätewerk was already among the winners in 2007, in the category of customer orientation.

Siemens develops and manufactures Siprotec protection equipment in its Berlin Meßgerätewerk, in which production has been ongoing for more than 100 years. This equipment is used to coordinate, monitor, and protect all power system components used to transmit and distribute electric power. In the event of a fault, the protection equipment shuts off grid sections or components in a safe, reliable, and selective manner. With more than one million Siprotec protection devices in use, Siemens is the unchallenged world market leader.

The Siemens Energy Sector is the world's leading supplier of a complete spectrum of products, services, and solutions for the generation, transmission and distribution of power and for the extraction, conversion and transport of oil and gas. In fiscal 2010 (ended September 30), the Energy Sector had revenues of approximately EUR25.5 billion and received new orders totaling more than EUR30.1 billion and posted a profit of more than EUR3.6 billion. On September 30, 2010, the Energy Sector had a work force of more than 88,000. Further information is available at: http://www.siemens.com/energy.

Siemens AG

Corporate Communications and Government Affairs

Wittelsbacherplatz 2, 80333 Munich

Germany

Media Relations: Dietrich Biester

Telephone: +49 9131 18-4974

E-mail: dietrich.biester@siemens.com

Siemens AG

Energy Sector - Power Distribution Division

Freyeslebenstr. 1,

91058 Erlangen, Germany

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