Siemens Is Reconfiguring Its Mechanical Drives Unit

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In an effort to enable the business to operate more efficiently and flexibly, Siemens is giving its mechanical drives (MD) unit a new setup. In the future, the unit will be managed as a separate company under the Siemens umbrella.

MD, which belongs to Siemens’ process industries and drives division, currently has around 6,000 employees worldwide. It supplies components for mechanical drives systems and serves industries including wind power, cement production, marine, and conveyor and crane technology.

According to Siemens, MD’s market, which is dominated by midsize companies, is currently characterized by weak growth, increasing competition from the Asian region and overcapacities with correspondingly high price pressure.


Siemens is also planning to invest in the business’ locations worldwide and product portfolio in order to ensure its continued growth.

“In the last two years, the business has considerably improved its competitiveness,” says Jürgen Brandes, CEO of Siemens’ process industries and drives division. “We’ve focused MD on its core business and, among other things, created a separate sales organization that has considerably improved customer proximity. Setting up a separate unit is the next step toward achieving long-term success.”

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