Observed signs of doubt and prevarication in Vimal’s eyes while answering questions or listening other leader’s responses. Do you feel he is honest or hides well to get his golden parachute?
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@3e8 GE model will not apply here and assuming stock price will increase naturally will be a very naive statement. BA is still recovering from its loses from previous years and next year will be tougher. ESS wasted significant capital on bad deals that are not performing as expected and will suffer more as things will become more obvious. AT is not getting into new platforms therefore earlier NPI investments are not paying off. They will be more vulnerable after the split and will be sold piece by piece. IA left overs do not fit well together and will need a good merger desperately after dropping all its sandbags.
@ac it's all about shareholder return and VK will deliver higher growth as a result of these spinoffs. AERO's share price as a standalone business will reflect a higher growth profile as it won't be burdened by the degrowth at other parts of HON; ESS changes are about operational portfolio management. BA is growing and not an issue until the market turns. He is trimming deadweight at IA (PSS and Intelligrated) which is the right thing to do. These two businesses were flat to negative for 3 years. PPE did not fit the portfolio profile and is a commodity business, so selling it made sense. He's executing a well thought out plan. If any of us are caught in the middle with RIFs or layoffs, it's just part of the plan. Network, apply and interview.
@d9 DA in one of his last townhalls explicitly called out SPS for being in a crisis. A few months later the CEO and CCO were gone. VK does not convey confidence when he engages - and his job day in and out is to figure out how to drive inorganic growth. Daily responsibility for organic growth was with JW and now ES.
@2ms who from engineering recently?
@2fc a good number of engineering team members under Suresh and Kevin’s entire strategic partnership team are gone.
Remember veterans get promoted first.
Isn’t it typical for Honeywell promoting under-performers and sending some of the best talent out? It is called Reverse Talent Management GDM :)
@f0 Confirmed and Rocking mind-blowing! KD’s army of highly paid consultants who has been chasing absurd info from us all year around are staying with the company at the expense of portfolio management team who axed out last Friday. Contradicting to Vimal”s drum beating for portfolio management.
VK almost burried HBT before. Definitely ki-led whole US/EU R&D groups who had more than decade of experience and running projects.. and transferred rest to China to unexperienced freshly assembled team few years ago. Most ongoing design work and redesigns due to end of life components was ki-led in the process.
What you expect? He is not builder.
Confirmed it today, the RIF execution plan is approved and the employee communications will start next week.
@eb absolutely and he is replacing high paid executives with leaders who do not have much experience and reputation. Torsten to Scott, Lucian to Pete… Kevin and his army of consultants are next…
@d9 The reason DA left was this separation plan. VK consciously accepted and signed up for the execution. He assumed growth would bring profitability and did not pay attention to business processes and bottom line since he came on board that was his biggest mistake.
VK's issue is he went against the JAck Welch model and it hurt him. Must continue massive turnover and lose the higher paid FTE's. And YES, that does include veterans!
Although I may be unpopular in opinion, didn't VK inherit a dying company from his predecessor? He did his best to try and turn things around with many acquisitions. The inaction with the previous leadership especially during Covid-19 was bad. HCE was also a disaster that cost the company dearly.
In roughly a year he will be leading a company that is literally HALF of the size of what it was when he started. I don't think anyone will call that a successful set of results.
I truly believe he knew when he was offered the position that it was a front, he just had to be a face during the break up. He will be rewarded handsomely. People here flagged it before DA even sidestepped, perhaps people in the know.
Damn right! It is even evident in his voice and posture during external interviews with Cramer and CNBC