Siemens Business Case: Joint Venture

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Siemens Business Case: Joint Venture
Introduction
Siemens is a global corporation who specializes in electronics and electronic engineering throughout the energy, healthcare, and infrastructure and city sector industries (Zhao, 2004). This corporation focuses on energy efficiency and healthcare innovation. They invest over $6 billion a year for research and development (Siemens, 2014). Because of the large amount of money spent on research and development Siemens has a technology-driven innovation strategy. With years of experience with technology innovation Siemens must continually evaluate the market to know what projects need to be researched and funded. This can be done with a business case model. In the case of Siemens their concentration is on both healthcare and energy markets, for the purpose of this paper, the healthcare marketplace will be the concentration of this business model.
Siemens Overview and Business Case
A business case model is used to understand the potential for new products and services for an organization (Colorado State University-Global Campus, 2014). For Siemens, they need to ensure that the products they are developing will have value to the consumer. If there is no value to the consumer they will continue to use the same equipment, or find other value-oriented options.
Siemens has a large research and development department to help ensure new technologies are continually being assessed and incorporated into new and existing products. Their business case needs to ensure four questions are answered, what are the needs of the market, what is the consumer’s need, what is driving that need, and finally is the problem difficult enough to deserve searching for the solution that a consumer will pay for (Co...

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...org/body.cfm?id=307
Colorado State University-Global Campus. (2010). Module 3 – The building of a business case
[Blackboard ecourse]. In MGT 572 - Decision Theory within the Global Market (p. 2). Greenwood Village, CO: Author.
Harrington, S. (2010). U.S. health-care reform: The Patient Protection and Affordable Care Act.
Journal of Risk and Insurance (77)3, 703-708.
Product Innovation Educators. (2012). The innovation workbook. Retrieved from http://www.productinnovationeducators.com/workbook Siemens. (2014). Our innovation. Retrieved from http://www.usa.siemens.com/en/about_us/innovation.htm Swayne, L.E., Duncan W.J., & Ginter, P.M., (2009). Strategic management of health care organizations (6th ed. ). San Francisco, CA: Jossey-Bass.
Zhao, F. (2004). Siemens’ business excellence model and sustainable development. Measuring Business Excellence, 8(2), 55-64.

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