Louis Chenevert is the businessman to every other business person wants to become. He is successful. He is wise. He is sought after by the best paying corporations. And everywhere he goes, he can produce profit margins that before were unheard of.
Louis Chenevert greatness can be seen during his time as this chief executive officer of United Technologies Corporation. He took on his role in 2006 and within a short eight-year span would increase the company’s value from only $15 billion to over $68 billion. He was able to do this for several reasons.
He did this first of all by stabilizing his company. In the early-2000’s the aerospace technology industry was being ransacked by a chaotic market. He knew that if United Technologies Corporation was to turn a profit, he would need to offset its deficit with other profit margins. Read more on affiliatedork.com.
His first step was to acquire extra military contracts from the company he previously worked for, Pratt and Whitney. This move would give them a stable income because once the government signed a contract, the government was not allowed to change the number of their order. This led to United Technologies Corporation to being the largest provider of military helicopters for both the Canadian and United States of American government.
The second step was to reach out to other related but different sectors within the industry. He decided that he should begin producing jet engines, space sensors, aerospace systems, and flight controls. He was able to sell these new technologies to NASA, as well as the Russian and Chinese governments. Visit utc.com to know more about Louis Chenevert.
His third step was to continue reaching out to related but different sectors and move into the refrigeration and AC industry. In order to accomplish this move, he acquired the company Otis for a reasonable sum of $500 million.
Lastly, he was able to acquire a company that truly revolutionized the way United Technologies Corporation did business. He was able to purchase the company Goodrich for $16.3 billion. This decision alone allowed for the stock to increase 200% for the starting point of $37 and end at $117.