The shift to a product-led culture wasn't a formal launch. The CEO began by stating "we are product-led" aspirationally, then relentlessly reinforced this message in every meeting and report. This constant repetition, backed by operational changes, gradually and organically transformed the company's identity and behavior.

The CEO of Siemens advocates for decisions to be made at the lowest possible level. However, he stresses this empowerment is a two-way street that must operate within clear strategic boundaries and come with direct accountability for the outcomes, preventing chaos.

To drive transformation in a large organization, leaders must create a cultural movement rather than issuing top-down mandates. This involves creating a bold vision, empowering a community of 'changemakers,' and developing 'artifacts of change' like awards and new metrics to reinforce behaviors.

Siemens navigates its immense scale through a three-dimensional matrix of businesses, regions, and industry verticals. Critically, the primary axis of power and P&L responsibility lies with the global business units, not geography, though this model adapts for certain divisions.

Recognizing that employees in less glamorous but profitable divisions (like mechanical switches) can feel ignored, Siemens' CEO actively works to validate their contribution. He connects their work directly to customer value and the company's financial health, ensuring they don't feel lost in the AI hype.

Contrary to the popular bottoms-up startup ethos, a top-down approach is crucial for speed in a large organization. It prevents fragmentation that arises from hundreds of teams pursuing separate initiatives, aligning everyone towards unified missions for faster, more coherent progress.

The most effective way to build strategic alignment is not top-down or bottom-up, but 'inside-out.' Engage middle managers (Directors, VPs) first, as they have crucial visibility into both executive strategy and the daily realities of their teams and customers, making them the strongest initial advocates for change.

While top-down support is necessary, the real engine of change is the middle management layer where strategy is executed. Empowering a handful of middle leaders to practice and model new behaviors creates a more organic and lasting cultural shift.

To break down rigid business units, Siemens' CEO is creating horizontal "fabrics" for data, technology, and sales. These thin but powerful layers act like a shared operating system to enforce standards and scale capabilities across the entire organization without a full functional re-org.