09 January 2019
Westinghouse, which emerged from Chapter 11 bankruptcy protection last August, has announced initial organisational changes aimed at enhancing focus on its customer base and strengthening its global services and supply chain management capabilities.
Westinghouse's International Corporate Headquarters in Cranberry Township, Pennsylvania (Image: Westinghouse)
Among the changes announced are the creation of customer-focused business units serving the existing fleet of operating nuclear power plants with single points of accountability for both sales and delivery.
A new business unit will also be developed with accountability for key growth areas related to specific stages of the commercial nuclear plant lifecycle, including new plant delivery; plant demolition, decommissioning and remediation services; and government services. David Durham will be president of the newly-established Plant Solutions business unit.
In addition, Westinghouse will establish "an operations delivery support function to build Global Supply Chain into a best-in-class organisation that will support the business units through a robust procurement organisation". The company said this function will "also provide global engineering, manufacturing and other technical capabilities in order to ensure our customers receive the full breadth of Westinghouse's global products, innovations and technical capabilities."
Pavan Pattada has been appointed executive vice president of Global Operations Services, with scope including Global Supply Chain, Nuclear Fuel, Global Components Manufacturing, Global Instrumentation & Control and Global Engineering Services.
"This strengthened business unit model is a further evolution of Westinghouse's operating model," the company added. "Under this model, the chief operating officer role has been restructured as part of a broader reorganisation of the company". As a result, Chief Operating Officer Mark Marano has chosen to retire.
David Howell will be president of Americas Operating Plant Services with continued responsibilities for commercial execution, with the added responsibility of delivery. Bill Poirier will be president of Westinghouse's Europe, Middle East and Africa Operating Plant Services business on an interim basis while the company conducts an external search.
Westinghouse said it expects to implement all the changes by mid-2019.
"These organisational changes will strengthen Westinghouse's sales and delivery model by aligning accountability for product and service delivery with the regions and ensuring optimised global sourcing," Westinghouse said.
"Westinghouse has been on a journey to transform the way in which we deliver our products and services to our customers in the most effective manner that will build value for the business," said Westinghouse President and CEO José Emeterio Gutiérrez. "The changes will be a catalyst as we continue to focus on strengthening the company's core business and our global supply chain, and continuously work toward a standard of excellence in quality, safety, client service and innovation."
Westinghouse filed for Chapter 11 bankruptcy protection with US courts in March 2017 to enable it to undergo strategic restructuring. The filing affected only its US operations, which included projects to construct four AP1000 reactors at two sites, Vogtle in Georgia, and VC Summer in South Carolina.
Last January, it was announced that Brookfield Business Partners, together with institutional partners - collectively known as Brookfield - had agreed to acquire 100% of Westinghouse from Japan's Toshiba for about USD4.6 billion. Brookfield completed its purchase of Westinghouse on 1 August, marking Westinghouse's exit from Chapter 11 bankruptcy protection as a restructured company.