In 1923, Ufa was to make him chief of its entire production. His behind-the-scenes activities were to leave their imprint on the pre-Hitler screen. Pommer assigned Fritz Lang to direct CALIGARI, but in the middle of the preliminary discussions Lang was ordered to finish his serial THE SPIDERS; the distributors of this film urged its completion. Lang’s successor was Dr. Robert Wiene.
Since his father, a  once-famous Dresden actor, had become slightly insane towards the end of his life, Wiene was not entirely unprepared to tackle the case of Dr. Caligari. He suggested, in complete harmony with what Lang had planned, an essential change of the original story — a change against which the two authors violently protested. But no one heeded them.
The original story was an account of real horrors; Wiene’s version transforms that account into a chimera concocted and narrated by the mentally deranged Francis. To effect this transformation the body of the original story is put into a framing story which introduces Francis as a madman. The film CALIGARI opens with the first of the two episodes composing the frame. Francis is shown sitting on a bench in the park of the lunatic asylum, listening to the confused babble of a fellow sufferer. Moving slowly, like an apparition, a female inmate of the asylum passes by: it is Jane. Francis says to his companion : “What I have experienced with her is still stranger than what you have encountered. I will tell it to you.” Fade-out.
Then a view of Holstenwall fades in, and the original story unfolds, ending, as has been seen, with the identification of Caligari. After a new fade-out the second and final episode of the framing story begins. Francis, having finished the narration, follows his companion back to the asylum, where he mingles with a crowd of sad figures — among them Cesare, who absent-mindedly caresses a little flower. The director of the asylum, a mild and understanding-looking person, joins the crowd. Lost in the maze of his hallucinations, Francis takes the director for the nightmarish character he himself has created, and accuses this imaginary fiend of being a dangerous madman. He screams, he fights the attendants in a frenzy. The scene is switched over to a sickroom, with the director putting on horn-rimmed spectacles which immediately change his appearance: it seems to be Caligari who examines the exhausted Francis. After this he removes his spectacles and, all mildness, tells his assistants that Francis believes him to be Caligari. Now that he understands the case of his patient, the director concludes, he will be able to heal him.