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Reorg at UTC Fire & Security

Reorg at UTC Fire & Security UTC is the latest to announce organizational changes affecting its security group

HARTFORD, Conn.—UTC Fire & Security is no longer a standalone business at United Technologies Corp., the company announced yesterday.

Effective yesterday, UTC combined UTC Fire & Security and Carrier Corp. to form a new business called “UTC Climate, Controls and Security Systems.” The company also announced that Geraud Darnis was appointed president and CEO of the new business.

“We're consolidating Carrier and UTC Fire & Security into one integrated business that combines the strength of those great teams that those businesses have and the great people,” said John Moran, UTC spokesman. “Details of the new organization will be announced soon,” he added.

Asked if the company anticipated layoffs as a result of the consolidations, Moran said: “I can only reiterate that the details of the new organization will be announced soon. This does create a new strategic platform for growth that will better serve our customers, take advantage of product line synergies, resources and our global footprint.”

There's been no scarcity of reorganization announcements in the physical security industry of late. Last week, Tyco International announced plans to split into three independent, publicly-traded companies and that its commercial fire and security business would be merged with Tyco Security Products. Additionally, Siemens announced it's merging its fire and security business units.

It's a trend that make sense to industry watchers. “The integration across different platforms can improve efficiencies, the customer experience ... and deliver a bigger walletshare of the customer,” George DeMarco, security industry veteran and ESX chair, told Security Systems News.

UTC will continue to report financial and operational results separately until the end of 2011, the company said. UTC also announced organizational changed with aerospace business units. In the past couple of weeks, UTC was rumored to be interested in purchasing Tyco International, but last week it purchased Goodrich, an aerospace company.


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