ADT 2004 Annual Report Download - page 41

SEGMENT REVIEW
39
Q: CAN YOU DESCRIBE THE BREADTH OF YOUR PORTFOLIO?
We make literally thousands of products, so the best
way to illustrate our breadth may be to talk about
our four business units and the markets we serve.
Flow Control is our biggest business unit; it helps
customers handle vast quantities of fluid including
water, oil, gas, chemicals, and pharmaceuticals. Our
Electrical & Metal Products unit is a leading provider
of steel and related products for the electrical distri-
bution and automotive industries. Fire & Building
Products is a leading supplier to the building and
construction industry. Finally, our Infrastructure
Services business is a global player in the designing,
financing, building, and operating of major projects
for the transportation, water/wastewater, facilities,
and environmental remediation industries.
Q: WHAT ARE YOUR SEGMENT’S GREATEST STRENGTHS?
We have three of the most important ingredients
necessary for success in business. First, we have out-
standing people who maintain strong customer
relationships, and have a deep knowledge of our prod-
ucts and markets. Second, each of our business units
is well positioned with brand, technology, and market
leadership in many of our product categories. Finally,
we deliver high-quality products and services—and
you can’t be a market leader without quality.
Another strength for us is the way our business
has embraced operational excellence—especially
Six Sigma. It has really taken hold in our plant loca-
tions and is already a part of the culture of our
business units. We saw good savings from operational
excellence programs in 2004, and we anticipate
doing even better in 2005. We expect to triple the
number of employees trained in Six Sigma, and we
will complete more than 300 projects. In 2005,
we will also accelerate the deployment of lean man-
ufacturing that began in 2004.
Q: TEPS OFFERS MANY “BEHIND THE SCENES” PRODUCTS AND
SERVICES. HOW ARE THEY VITAL TO TYCO CUSTOMERS?
It’s true that TEPS makes the kind of products most
people don’t notice, but that doesn’t make them any
less important. For instance, our valves and controls
help bring oil and natural gas up from thousands
of feet below the surface of the ocean. We then help
to safely transport and refine those key natural
resources so we can drive cars and heat our homes.
Our valves and pipes help to bring potable water to
hundreds of millions of people around the world—
and the nearly 400 water and wastewater treatment
plants we’ve designed or built serve another 40 mil-
lion people. Our sprinkler heads are the front line of
defense to protect people and property from fires.
Our people and technology remediate environmental
disasters, allowing for redevelopment of areas that
would otherwise be unusable. And our specialty
metal products are used in automobile collision pro-
tection systems to protect passengers from harm.
I think you get the picture here—TEPS provides vital
products and services that help to keep the world
productive, safe, clean, and healthy.
TYCO ENGINEERED PRODUCTS & SERVICES COMPRISES FOUR
GLOBAL BUSINESS UNITS: FLOW CONTROL, ELECTRICAL & METAL PRODUCTS,
INFRASTRUCTURE SERVICES, AND FIRE & BUILDING PRODUCTS. TYCO’S
NEWEST SEGMENT PRESIDENT, TOM LYNCH, TALKS ABOUT HOW TEPS
PERFORMED IN 2004 AND HIS TEAM’S FOCUS FOR 2005.
Q&A WITH:
THOMAS J. LYNCH
President
Tyco Engineered Products & Services
TYCO
ENGINEERED
PRODUCTS
& SERVICES