The aim of every Chief Executive Officer of a company is to leave a legacy in a company. Well, this is what Louis Chenevert accomplished in United Technologies Corporation (UTC). Gregory Hayes is the current CEO of the company, and he also believes that the CEO is the steward of a company. By this, he means that the CEO should not only focus on the present success of the company but the future of the firm. Whenever this discussion comes up, they remember Louis Chenevert.
Louis Chenevert led to the growth and development of the company. By the time he was leaving the company, it was termed as the most profitable company in the USA. Many factors led to the success of the company under his leadership. Here are some of the factors;
When Louis Chenevert was the CEO of UTC, he led the company to make many meaningful purchases. Among them is the Goodrich Company which cost the firm $16 billion. The process was long and tiresome, but after a lot of negotiations, he finally closed the deal. This purchase gave UTC a lot of leverage in the market.
Louis Chenevert also led UTC to buy the GTF engine from his former employee; Pratt & Whitney. It is worthwhile to note that before Louis joined UTC, he was working as the president of the Pratt & Whitney firm. He saw the future of the GTF engine and led UTC to buy it at $10 billion.
Although these acquisitions may have seemed very expensive at the time, they have been very great for the company in the long run.
Investing in Future Technology
Louis Chenevert believed in investing in future technology. He saw this as a way of securing the state from another financial crisis.
Louis did not only mean assets when he said investing in the future. He also meant the human resources as well. This is why he avoided the layoffs when other firms were busy conducting layoffs to save their businesses.
Louis believes that one is only as good as their team is. He advises other investors to invest in empowering their teams to make a difference.