1. 12.00.012.08.9 7.18 9.20 8.60 6.40 6.20 6.40 6.80 6.20 5.00 Page 1 20-Sep-15 Copyright © Infineon Technologies 2006. All rights reserved. Siliconindia Leadership Summit 2007 Albert Stritter Vice President & Managing Director Infineon Technologies India

2. 12.00.012.08.9 7.18 9.20 8.60 6.40 6.20 6.40 6.80 6.20 5.00 Page 2 20-Sep-15 Copyright © Infineon Technologies 2006. All rights reserved. The definition Management Managers create order out of complexity; they keep the trains running on schedule Leadership Leaders deal with ambiguity, change, and opportunity; they push the train tracks where they’ve never gone before Source : Manager’s toolkit; Harvard Business Essentials “ On every hand today the cry is for more and better leaders” Ordway Tead; The art of leadership; 1935

3. 12.00.012.08.9 7.18 9.20 8.60 6.40 6.20 6.40 6.80 6.20 5.00 Page 3 20-Sep-15 Copyright © Infineon Technologies 2006. All rights reserved. Leadership…… …..as the starting point of strategy Even the best strategy can fail if the corporation doesn’t have the group of leaders with the right capabilities at the right levels of the organization Leadership is more than just good management at the top It is building an engine to develop the right quantity of leaders with the right mix of capabilities at the right time to match opportunities A company must hire and develop potential leaders long time ahead of market need and then help build the internal networks necessary for long-term success

4. 12.00.012.08.9 7.18 9.20 8.60 6.40 6.20 6.40 6.80 6.20 5.00 Page 4 20-Sep-15 Copyright © Infineon Technologies 2006. All rights reserved. Key Questions Who has the skills to drive individual initiatives Can these people be released from their regular jobs How will they be replaced What risks are we prepared to take to stretch people and give them a chance Above all, will those chosen to take on leadership roles be up to the challenge

5. 12.00.012.08.9 7.18 9.20 8.60 6.40 6.20 6.40 6.80 6.20 5.00 Page 5 20-Sep-15 Copyright © Infineon Technologies 2006. All rights reserved. The risks Leadership development Only a few are born leader; fortunately leadership can be developed, but needs talent Leaders can be found in the market, but they are expensive and perhaps do not suit the particular situation External vs. Internal Company culture Network Processes Cost Talent management Process established and followed by Senior Management Convinced Middle Management Business strategy Return of Investment Right time at the right place Attrition

6. 12.00.012.08.9 7.18 9.20 8.60 6.40 5.00 6.40 6.80 6.20 A key objective of top management is to drive Talent development OBSTACLES PREVENTING TALENT MANAGEMENT PROGRAMS FROM DELIVERING VALUE Source: McKinsey Quarterly, 2006 no. 2 based on 50 interviews with CEOs, Business Unit Leaders and HR professionals conducted at 29 multinational companies in a range of industries, geographic regions covering Africa, Asia, Europe and North America Senior Managers don’t spend enough high-quality time on Talent Management Line Managers are not sufficiently committed to people development Organization is “siloed”, and does not encourage collaboration, resource sharing Line managers are not willing to differentiate their people as top, average, low Senior Leaders do not align talent management with business strategy Line managers to not address chronic underperformance effectively Succession planning not rigorous enough to match right people w/ right roles CEO and/or Senior Management don’t align on most important roles, talents 38 39 45 47 50 51 52 54

7. 12.00.012.08.9 7.18 9.20 8.60 6.40 5.00 6.40 6.80 6.20 IFX employees Employees Focus of TM Talents Executives Scholarships, Apprenticeship, Internships, University Collaborations Focus of the Talent Management initiative is on talents below the Executive level Emerging leaders Veterans Outsiders familiar with the organization Direct reports Retired officers Top three level of management Rising stars Emerging managers New hires

8. 12.00.012.08.9 7.18 9.20 8.60 6.40 5.00 6.40 6.80 6.20 Conclusion No business without strategy No strategy without leadership No leadership without talents No talents without proper management Risk has to be taken (and as usually minimized….)

9. 12.00.012.08.9 7.18 9.20 8.60 6.40 6.20 6.40 6.80 6.20 5.00 Page 9 20-Sep-15 Copyright © Infineon Technologies 2006. All rights reserved. At the end…..