Cummins Continues to ‘Right-Size’
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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowColumbus-based Cummins Inc. (NYSE: CMI) says reorganization plans announced Tuesday morning should not have an effect on its global work force, including nearly 10,000 Hoosier employees. In a quarterly earnings report, the engine manufacturer says it has consolidated its Power Generation and High Horsepower units to create the Power Systems Segment. Power Systems will be headquartered in Minnesota at the former Power Generation HQ.
The High Horsepower unit will maintain its large footprint in southern Indiana. The company has named Dave Crompton, former Engine Business president, head of the new Power Systems Segment. During a conference call with investors, Chief Executive Officer Tom Linebarger said High Horsepower volumes continue to be "extremely weak." He said the combination with Power Generation involves two businesses that are already "strongly interdependent." Linebarger says it will streamline processes to, among other results, accelerate innovation.
The company’s ongoing adjustments to global pressures include a re-alignment announced last year that involved the reduction of 2,000 jobs worldwide.
Director of External Communications Jon Mills says the company is continuing to make adjustments related to ever-changing global markets.
During a conference call with investors, Chief Executive Officer Tom Linebarger said volumes in the High Horsepower unit, which will maintain operations in southern Indiana, continue to be “extremely weak.”