Business

March 25, 2013

Raytheon consolidates businesses and announces key executive roles

Raytheon announced March 25 that it is consolidating its businesses to streamline operations, increase productivity and achieve stronger alignment with its customers’ priorities.

The Raytheon Company structure will consist of four businesses: Intelligence, Information and Services, resulting from the combination of the Intelligence and Information Systems and Raytheon Technical Services businesses; and the Integrated Defense Systems, Missile Systems, and Space and Airborne Systems businesses, each of which will be expanded by the realignment of the former Network Centric Systems business operations. This new structure will be effective April 1, 2013.

“Our new structure will help us enhance productivity, agility and affordability in a challenging defense and aerospace market environment,” said William H. Swanson, Raytheon’s Chairman and Chief Executive Officer. “We will remain focused on success for our global customers while returning value to our shareholders.”

Additionally, Raytheon’s board of drectors has elected Dr. Thomas A. Kennedy to the new position of executive vice president, chief operating officer. Kennedy previously served as vice president, Raytheon Company, and president of Integrated Defense Systems.

“As we continue to operate in an increasingly competitive budget environment, our ability to enhance our operations, expand our global reach, and coordinate our development opportunities is critical to our success,” said Swanson. “Tom’s outstanding leadership skills and his deep understanding of our technologies, customers and global markets make him well qualified to fill this new and important role.”

In his new role, Kennedy will lead the company’s consolidation efforts and will manage day-to-day operating activities, while contributing to the company’s long-range planning and customer engagement strategies. Reporting to Swanson, Kennedy will provide direct leadership to Raytheon’s business presidents as well as to the leaders of several of the company’s enterprise functions, including: Engineering, Technology and Mission Assurance; Contracts and Supply Chain; Business Development; and the Global Business Services group.

Raytheon’s businesses

In conjunction with the business consolidation, Swanson announced new roles for members of the Raytheon Leadership Team, including:

Daniel J. Crowley has been named president, Raytheon Integrated Defense Systems, succeeding Kennedy. Headquartered in Tewksbury, Mass., IDS will now include two new product lines: C4I Systems and Air Traffic Management. The expanded business had annual external sales1 of approximately $6 billion in 2012.

Lynn A. Dugle has been named president of the newly-formed Raytheon Intelligence, Information and Services business. John D. Harris II, formerly president of Raytheon Technical Services Company LLC, has been named vice president and general manager of the new business, reporting to Dugle. IIS combines the operations of the former Intelligence and Information Systems business, based in Garland, Texas, and RTSC, based in Dulles, Va. The combined business had annual external sales1 of approximately $5.5 billion in 2012.

Dr. Taylor W. Lawrence continues to lead Raytheon’s Missile Systems business based in Tucson, Ariz. The expanded business will now include Combat & Sensing Systems, along with Raytheon UK. The combined business had annual external sales1 of approximately $6.5 billion in 2012.

Richard R. Yuse continues to lead Raytheon’s Space and Airborne Systems (SAS) business based in El Segundo, Calif. The expanded business, with 2012 annual external sales1 of approximately $6 billion, will now include Integrated Communication Systems and Advanced Programs.

Financial impact

The consolidation is not expected to have any impact on the company’s 2013 financial guidance. The company anticipates a reduction in workforce of approximately 200 employees related to this effort and annualized cost savings of approximately $85 million. ¬†External sales exclude sales between segments, which were $2 billion in 2012 and are eliminated in the consolidated results.

 

 




All of this week's top headlines to your email every Friday.


 
 

 

Northrop Grumman supports U.S. Air Force Minuteman missile test launch

Northrop Grumman recently supported the successful flight testing of the U.S. Air Force’s Minuteman III intercontinental ballistic missile weapon system. The operational flight test was conducted as part of the Air Force Global Strike Command’s Force Development Evaluation Program. This program demonstrates and supports assessment of the accuracy, availability and reliability of the...
 
 
boeing-737

Boeing delivers first direct purchase 737-700 to Ruili Airlines

Boeing and Ruili Airlines Nov. 25 celebrated the arrival of the airline’s first direct purchase Next-Generation 737-700. Ruili is a newly established private airline based at Changshui International Airport in Kunming, th...
 
 
boeing-india

Boeing delivers sixth P-8I maritime patrol aircraft to India

Boeing delivered the sixth P-8I maritime patrol aircraft to India, on schedule, Nov. 24, arriving at Naval Air Station Rajali to join five others being used by the Indian Navy. The P-8I is part of a contract of eight awarded in...
 

 
boeing-SC-787

Boeing South Carolina begins final assembly of its first 787-9 Dreamliner

Boeing has started final assembly of the 787-9 Dreamliner at its South Carolina facility. The team began joining large fuselage sections of the newest 787 Nov. 22 on schedule, a proud milestone for the South Carolina team and a...
 
 
NG-people2

Northrop Grumman names communications directors for Unmanned Systems, Military Aircraft Systems

Faith Jennings Northrop Grumman has announced that industry veteran Faith Jennings, and retired Rear Adm. Vic Beck will lead Communications for its Aerospace Systems sector’s unmanned systems and military aircraft divisio...
 
 

Northrop Grumman, Air Force complete integrated baseline review

Northrop Grumman has successfully conducted the integrated baseline review of the production, deployment and initial sustainment phase for the Enhanced Polar System Control and Planning Segment. The U.S. Air Force’s EPS provides space-enabled, secure communications capabilities to polar users in support of national objectives. EPS CAPS receives telemetry and supplies configuration command...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>