The success of the renowned company United Technologies Corporation (UTC ) can be attributed to the great leadership of Louis Chenevert. UTC is involved in the assembling of some of the world’s most technologically-advanced jet engines, which are designed to serve both the military and commercial necessities.
What exceptional businessmen like him seek to do is to be at the top of their game, which means always trying to improve. In doing so, they have uncovered a secret that some others fail to acknowledge, the need to master the art of investment and the dynamics of business. This said, investment should be in the highest grade of innovation, after all, the future, as we all know, will be entirely controlled by advanced technology. An astute leader, a businessman, and the head of a top conglomerate are just some of the words that people have used to describe Louis Chenevert.
Investment in Innovative Projects
Business has always been about making your money work for you, and this fact has been acknowledged by Louis Chenevert. He understands what the market demands, and in his bid to satisfy that, he has hugely invested in his company. Some of his ventures include:
- The development of the GTF engine with Pratt & Whitney. The project spanned 20 years and $10 billion, and was a bit of a risk. However, it was a risk that paid off. The GTF engine was, following its completion, chosen as an option for the Airbus. His design was unique in that it was 16% more efficient than all the other engines that were present. Moreover, it has fewer emissions by a margin of 50% and has reduced noise pollution by 75%, something which no other engine had achieved at that time.
- The company’s branch in Connecticut focuses on Climate, Controls, and Security trade. There, they have been able to provide top notch innovative technology ranging from air conditioning, fire detection technologies, heating devices, and refrigeration.
- An investment of over $1 billion was geared towards facilitating learning programs for their employees in the USA alone, promoting education, innovation, and a supportive work environment.
- The UTC Sikorsky unit has been able to expand in their innovative undertakings by manufacturing helicopters more than any other plant in the United States due in large part to the development of the GTF engine.
- The company has been able to establish a number of plants that are being operated by the Aerospace Systems Unit of UTC. This measure has seen it produce integral machine parts such as brakes, sensors, and aerostructures.
Key Accomplishments During His Career
Louis Chenevert changed the rules of the game in the market for other key players to subscribe to. His six-year reign at UTC saw the company gain substantial footing in its industry. He did in his career what most executives are not to in their entire career. He did substantial work to bolster UTC and experienced several successes, among them:
- He upholds corporate social responsibility through a program called Employee Scholar Program that seeks to help the company employees by paying their bills so that they can earn degrees in the fields they want to major in. Since 1996, the company has overseen the granting of 39,000 degrees, which is a noticeable achievement.
- The acquisition of Goodrich has got to be Chenevert’s greatest achievement to date. His focus saw him work on this deal for more than an entire year, and in the end, the deal was struck at a cost of $18.4 Billion.
- Chenevert was appointed as the CEO of uTC at a time when America was going through the great recession, yet he managed to increase the share price of the firm to $117 from the initial $ 37. This was a 200% appreciation even if you did not include the payout dividends.
- The influence that the GTF engine as in the market cannot be undermined. Its display at Capitol Hill earned it a great publicity that saw 14 of its exhibitions/inventions being employed in 72 aircraft.
- Since his retirement, Chenevert is remembered by his employees by this selfless act: when other companies were laying off their employees so as to stay afloat during hard financial times, his company was able to do the unimaginable act of not laying even a single of its engineers, thus securing their jobs for them. An act which one cannot afford to ignore.
- Chenevert was able to maintain the stability of the company by not choosing to outsource production but instead, move a group of aeronautical engineers to the company base in Connecticut in order for them to flex their skills where they were most required, in military and commercial markets.
Over time, Chenevert has climbed up the ladder in the industry. A number of his other achievements regarding the dockets that he has held, and still holds, include being inducted into the Fellow of the American Institute of Aeronautics and Astronautics.
All that Louis Chenevert has done would not have seen the light of day were it not for the capable team he was working with in expanding the UTC company. Men like him are proof that being a businessman does not include barking orders and terrorizing employees but working together as a unit to meet the overall company goals. His brilliance when it comes to making good financial decisions about the investments he involves himself into and making UTC experience a tremendous financial performance are beyond doubt that this man indeed has a Midas touch to everything he sets his mind to. With him, UTC has been able to merge two factors that are; providing a better solution for infrastructural and commercial concepts so that it can offer quality products to the broad market that is obviously expected to grow. Since leaving UTC, Chenevert joined Goldman Sachs as an exclusive advisor, where he was able to be part of a group that targeted innovations in the aerospace sectors and assist in building other related business ventures.