Honeywell Aerospace is to restructure, as the US manufacturer’s new president and chief executive Rob Gillette moves to simplify the organisation that resulted from the 1999 merger of AlliedSignal and Honeywell. The company says the number of job cuts will not be known until the streamlining is completed at the end of the year.
Beginning on 5 July, the aerospace business will be restructured into three “customer-facing” segments: air transport and regional, business and general aviation, and defence and space. “[Customers] want us to be more simple to work with,” says Gillette.
Currently Honeywell is organised by products, such as avionics, engines and systems. Engineering and operations will each become combined functions.
Headquartered in Phoenix, and with sales last year of $9.75 billion out of Honeywell’s total revenues of $25.6 billion, the aerospace business has been restructured several times since Allied merged with Signal in 1985 and then the combined company merged with Honeywell in 1999.
A merger with General Electric was blocked by the European Union in 2001, while recent rumours of a takeover bid by United Technologies have been dismissed by both companies.
Source: Flight International
