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Honey Well Aerospace
Honey Well Aerospace
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SUBMITTED BY:
FM-1912
MBA 18 BATCH B
INTRODUCTION
Honeywell is a Fortune 500 company and was ranked 92nd in 2019. The company
has a global workforce of approximately 110,000 workers, with approximately
44,000 employed in the United States. The current chairman and chief executive
officer (CEO) is Darius Adamczyk.
In 2020, Honeywell rejoined the Dow Jones Industrial Average index, and the
following year moved its stock from the New York Stock Exchange to the Nasdaq.
Mission Statement
At Honeywell, we are blending physical products with software solutions to link
people and businesses to the information they need to be more efficient, more
productive, and more connected. Honeywell (www.honeywell.com) is a Fortune
100 software-industrial company that delivers industry specific solutions that
include aerospace and automotive products and services; control technologies for
buildings, homes, and industry; and performance materials globally. Our
technologies help everything from aircraft, cars, homes and buildings,
manufacturing plants, supply chains, and workers become more connected to
make our world smarter, safer, and more sustainable. The website of the
company is https://aerospace.honeywell.com/en
Vision Statement
To continuously improve the way, we do things so that we can capture greater
value not just for us, but also for our customers.
Values
Honeywell supplies aircraft engines, avionics and related products and services to
original equipment manufacturers (OEM) in the air transport, regional, business,
and general aviation aircraft segments. It also provides spare parts and repair and
maintenance services for the aftermarket (principally to aircraft operators). Some
of Honeywell’s customers are NASA, FAA, USAF, the U.S. Air Force, Department of
Defense and Department of Energy, Boeing, and Lockheed Martin. Honeywell’s
Process Solutions & Performance Materials products are used in the refining,
petrochemical, automotive, healthcare, agricultural, packaging, refrigeration,
appliance, housing, semiconductor, wax, and adhesives end-markets. HVAC,
safety & security products are used by governments, retail consumers and
companies operating in transportation and logistics, manufacturing, healthcare,
warehousing, and security sectors. People dealing with facilities and building
management also purchase the segment’s products.
Since 2010, the facilities have implemented more than 5,700 efficiency projects
including building automation and controls, lighting, and mechanical upgrades,
saving more than $100M (annualized). They have increased the energy efficiency
by about 70 percent (2004-2020). Honeywell Aerospace has played in shrinking
the industry’s environmental footprint. Honeywell technology helps aircraft
operators become more efficient, reduce fuel consumption and costs, and
minimize CO2 emissions. Honeywell’s unique expertise in connected aircraft
technologies is letting them take fuel efficiency and environmental performance
to a whole new level. The Go Direct suite of flight services and applications gives
aircraft operators the tools they need to improve the efficiency of their
operations. Several of these services and applications are directly related to fuel
economy and emissions management. Honeywell customers saved more than 440
million pounds of fuel with Go Direct Fuel Efficiency. That translates to carbon
emission reductions of 1.4 billion pounds – the equivalent of planting 300 million
trees.
• Conserving Water
• Reducing Waste
Each of the strategic business units is required to establish annual targets for
reducing hazardous waste and diverting waste from landfills. These targets must
be approved by the CEO.
They maintain their company-wide global Total Case Incident Rate or TCIR (the
number of occupational injuries and illnesses per 100 employees) at less than half
of the combined U.S. averages of the businesses in which we operate. At the end
of 2020, the global TCIR was 0.29.
• Responsible Care
The priority on health, safety and environmental protection, both in how they do
their work and in their results. As they invent new tools and solutions, they take
deliberate, strategic steps to improve each innovation’s eco-efficiency. They
evaluate new products according to their ability to:
The 2020 annual edition of the strategy dossier report analyses the overall
Strategy Focus and provides key insights into the Strategies & Plans being
conceptualized & pursued by Honeywell Aerospace for the near to medium term
horizon. Global Defense Spending has been on a steady upswing since the past
couple of years with the same reaching the highest levels, since the post-cold war
low of 1998, driven by the radical transformation of geopolitical dynamics and
equations with the dismantling of traditional rule-based world order and the
transition away from the typical unipolar world, which had prevailed since the
end of Cold war.
The same has been further exacerbated by the Trump led U.S. administration’s
squandering of the traditional global leadership role which has led to realignment
of relationships with the traditional NATO & other key allies with the mandate to
increase defense spending to 2% of the GDP level. The continued development of
military capabilities by China & the resurgence of Russia as a key regional power
over the years have already induced a shift in the overall U.S. strategy towards
competition with near peer adversaries. This shift in strategic focus entails fast
tracked procurement of systems & hardware to maintain numerical superiority,
rapid development & deployment of next generation capabilities to plug existing
& potential capabilities gaps and to retain the traditional, long standing strategic
capabilities overmatch against adversaries along with continued R&D pursuits to
maintain technological edge.
The defense industrial base across the U.S., Europe & most parts of the world has
been on a renaissance of sorts over the recent years given the rapid
transformation & evolution of geo-political dynamics, ongoing conflicts across
some parts of the world & growing security threats. The modernization & upgrade
of existing systems & hardware and their replacement with proven technologies
and current, off the shelf solutions is providing significant growth opportunities to
the U.S. defense industrial base.
Thus, with acknowledgement of strong external threat perceptions, there is
political consensus on fast tracked modernization, upgrade & replacements,
which have been further corroborated by technological developments by the
industry which are promising next generation capabilities at a workable &
optimized TCO proposition. The global defense industrial base, thus, is looking
forward to a long & much anticipated activity boom with most OEMs
reinvigorating their industrial bases, in line with the age of disruptive
technologies, led by digitalization, additive manufacturing, unmanned &
optionally manned operating capabilities & artificial intelligence, for making the
most of this current phase of demand upswing.
Against this rapidly evolving industry and market backdrop, the report provides a
comprehensive analysis on the company starting with a detailed business and
financial snapshot, incorporating charts, tables and analysis based on latest
financial statements. An insightful & comprehensive SWOT framework analysis is
also provided, which is used extensively for scanning, assessment & analysis of
the internal as well as external business environment of an organization as part of
strategic planning process. The framework generates a snapshot of the company’s
inherent strengths & weaknesses as part of the internal environment assessment
and outlines potential growth opportunities as well as threats as part of the
external environment assessment.
STRATEGIC INFORMATION SYSTEM FOR HONEYWELL AEROSPACE
Base on the company’s portfolio the means and measure to have competitive
advantage in the market would be to:
Creating Hurdles for the Entry of a Competitor: In this, a firm uses information
systems to supply products and services that are hard to duplicate or that are
used primarily to aid highly specialized networks of business. This strategy stops
the entry of competitors in the market as they find the cost of giving such services
at a very high price.