United Technologies Corporation is an aerospace manufacturer that has dominated both Canada and the United States of America for several decades now. They are the largest producer of military aircraft for both governments and their juggernaut business does not seem like it will die off anytime soon. However, it was not always like this.
The United Technologies Corporation has Louis Chenevert to thank for this good work.
He took a three-pronged approach to helping the United Technologies Corporation become widely successful. The first part of his strategy was to diversify the portfolio. When he took over as chief executive officer the great recession was destroying businesses everywhere. This included the aerospace manufacturing industry. There were few companies that could afford to purchase jet engines and flight sensors which was predominantly how United Technologies Corporation made its money. In order to continue competing, he decided to acquire companies such as Pratt & Whitney, Otis, and Goodrich. These acquisitions helped United Technologies Corporation branch out into military contracts, corporate infrastructures, and overseas trade.
The second part of his strategy was to decrease the needless spending in the company. He accomplished this by moving factory’s closer to one another. He found out through a survey that United Technologies Corporation was paying over $100 million a year transporting its own goods. By changing the way factories worked with one another, he was able to dwindle this cost.
Lastly, he was able to help United Technologies thrive by helping them prepare for environmental regulations. The United States Government and Canada were looking to pass stronger environmental laws to protect God’s nature. He knew that if United Technologies Corporation was to survive they would need to become more environmentally friendly. To do this, he led the way for United Technologies Corporation to decrease their water consumption and their carbon emissions.
He recently stepped down from United Technologies Corporation and now works as a consultant at Goldman Sachs in the executive banking division. We do not know what his compensation packages, but because of everything he brings to the table, we can assume it’s hefty.