GKN Aerospace has announced that it will have a worldwide reorganisation to create a simpler, more competitive, and customer-focussed business.
The recent acquisitions has led the business to grow rapidly and that increase the scale from £600m turnover in 2006 to more than £3.5bn at the end of 2018. GKN Aerospace will fully integrate as one business in its new structure, with customer-facing teams and a single, connected network of global sites, all supported by shared services. This new structure will be helpful in serving the customers better, improving operational performance, collaborating internally and maximising its potential for future growth.
Hans Büthker, Chief Executive Officer at GKN Aerospace, said: “We are creating a single, fully integrated business aligned to our customer’s needs, which will ensure we are better positioned within the competitive global aerospace market.
Our rapid growth has brought us world-leading technology, an outstanding global footprint from which to support our customers, a balanced portfolio of work across all major aircraft platforms, and great people. It has also made us relatively complex. By taking the next step and fully integrating, we can begin to realise our full potential.”
By next two years, the company will be coming up with the reorganisation process and is expected to reduce down 1000 roles. The aim is to manage as much of this reduction as possible through natural means, such as the usual turnover of people, vacancy management and redeployment of employees.
Mr Büthker continued: “This is a fundamental transformation of the business and it is the right move for the long-term as we move into a more coherent business structure. The reduction in roles is difficult for all involved and we will work closely with Works Councils and social partners in all our key regions over the coming months to minimise the impact wherever possible, and ensure the process is managed in the most appropriate way.”
As per the strategies made by the company, the intention is to integrate via single global operating model in Quarter 1 Last year, for which consultation has begun with key stakeholders on the details of the proposals.
“Looking ahead, when this restructure is complete, we will be simpler, stronger and more successful,” said Mr. Büthker. “We will be better able to standardise our processes and internal systems, and therefore drive up operations performance. We will be able to collaborate and share best practice more effectively across our network of sites. We will be able to offer our full range of technology to customers via clear customer-facing teams. In all, we will be more efficient and better positioned for future growth.”
Source: GKN Aerospace