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In the beginning there was an altimeter - Meggitt PLC

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Stop a $70 million<br />

aircraft for a $10,000<br />

fuel t<strong>an</strong>k that leaks.<br />

That is a good way to<br />

lose a customer<br />

When Skubina first joined Rockmart,<br />

<strong>the</strong> comp<strong>an</strong>y had to scale down<br />

before it scaled up but he <strong>was</strong><br />

quick to retain <strong>the</strong> “star quality” in his<br />

m<strong>an</strong>agement teams. Those stars are with<br />

him today. “You learn a lot about how to be<br />

a good m<strong>an</strong>ager by surviving a down-cycle,<br />

learning how to identify key people you<br />

absolutely have to h<strong>an</strong>g on to for <strong>the</strong> future,<br />

<strong>the</strong> ones that will be <strong>the</strong>re for you, five, ten<br />

years down <strong>the</strong> line to help bring products<br />

to fruition.” Sometimes it <strong>was</strong>n’t about<br />

choosing individuals but retaining <strong>the</strong><br />

only representative of a key discipline.<br />

“I remember having to fight to retain<br />

<strong>the</strong> only engineer we had on <strong>the</strong> V-22<br />

programme. Today that programme is<br />

worth tens of millions of dollars a year <strong>an</strong>d<br />

now we have subst<strong>an</strong>tial engineering team<br />

working on it.”<br />

Over <strong>the</strong> last ten years, Skubina<br />

says that he <strong>an</strong>d team have worn<br />

m<strong>an</strong>y different hats, every member<br />

exceeding <strong>the</strong>ir job descriptions <strong>an</strong>d<br />

enjoying <strong>the</strong> fruits of <strong>the</strong>ir labours. <strong>In</strong> <strong>the</strong><br />

last four years alone, sales have doubled<br />

<strong>an</strong>d, despite <strong>the</strong> downturn, Rockmart is on<br />

track for fur<strong>the</strong>r exp<strong>an</strong>sion this year. The<br />

sense of possibility born of huge confidence<br />

in <strong>the</strong> future of <strong>the</strong> business is palpable.<br />

While Skubina sc<strong>an</strong>s his hawk-eye<br />

over <strong>the</strong> defence horizon, looking to<br />

provide <strong>the</strong> next decade’s security for<br />

Rockmart’s employees <strong>an</strong>d healthy returns<br />

for shareholders, he knows that he is as<br />

good as <strong>the</strong> pl<strong>an</strong>t’s ability to deliver on <strong>the</strong><br />

promises he makes to customers. He c<strong>an</strong>’t<br />

emphasise enough what quality <strong>an</strong>d on ontime<br />

delivery me<strong>an</strong>s to <strong>the</strong> success of <strong>the</strong><br />

MPC Rockmart business model. “We are a<br />

very labour-intensive shop here, probably<br />

<strong>the</strong> most of all <strong>Meggitt</strong> businesses, so<br />

making things intelligently, using all<br />

<strong>the</strong> Le<strong>an</strong> m<strong>an</strong>ufacturing tools we c<strong>an</strong> is<br />

critical. The future of MPC Rockmart is<br />

quite literally in <strong>the</strong> h<strong>an</strong>ds of everyone who<br />

works here. We c<strong>an</strong> comm<strong>an</strong>d a premium<br />

00 48<br />

REVIEW | WINTER 2010<br />

<strong>an</strong>d our customers will pay it if <strong>the</strong>y know<br />

that every time <strong>the</strong>y order a part from us,<br />

it is delivered on time <strong>an</strong>d fits <strong>the</strong> aircraft<br />

perfectly <strong>an</strong>d works <strong>the</strong> way it is supposed<br />

to. The last thing <strong>the</strong>y w<strong>an</strong>t to do is stop a<br />

$70 million aircraft for a $10,000 fuel t<strong>an</strong>k<br />

that leaks. That is a good way to lose a<br />

customer.”<br />

<strong>Meggitt</strong> has been good for Rockmart,<br />

Skubina affirms. Setting aside subst<strong>an</strong>tial<br />

fin<strong>an</strong>cial investment to complete <strong>the</strong><br />

composites facility <strong>an</strong>d <strong>the</strong> services of<br />

<strong>Meggitt</strong>’s in-house Le<strong>an</strong> <strong>an</strong>d continuous<br />

improvement teams, <strong>the</strong>re have been<br />

signific<strong>an</strong>t introductions to new customers<br />

<strong>an</strong>d aircraft programmes. Fur<strong>the</strong>r, as<br />

<strong>the</strong> new <strong>Meggitt</strong> Polymers & Composites<br />

division beds in with common processes,<br />

common information systems <strong>an</strong>d<br />

shared services, Skubina believes <strong>the</strong>re<br />

will be more opportunities to reap <strong>the</strong><br />

benefits of <strong>the</strong> division’s critical mass.<br />

“We are creating a powerful design <strong>an</strong>d<br />

m<strong>an</strong>ufacturing capability from conventional<br />

to cutting edge, from component to system,<br />

from regional to international—crossing<br />

three continents if you count <strong>Meggitt</strong>’s<br />

strategic m<strong>an</strong>ufacturing base in Xiamen,<br />

China—with multiple currency options.”<br />

While Skubina has acceded to a<br />

division-wide role from his former focus<br />

on Rockmart as its president, he intends<br />

to represent Rockmart’s interests as<br />

vigorously as ever. “The only difference<br />

now is that I’m walking in to see customers<br />

We are a very labourintensive<br />

shop here,<br />

probably <strong>the</strong> most of all<br />

<strong>Meggitt</strong> businesses, so<br />

making things intelligently,<br />

using all <strong>the</strong> Le<strong>an</strong><br />

m<strong>an</strong>ufacturing tools we c<strong>an</strong><br />

is critical. The future of MPC<br />

Rockmart is quite literally in<br />

<strong>the</strong> h<strong>an</strong>ds of everyone who<br />

works here<br />

representing a signific<strong>an</strong>tly enh<strong>an</strong>ced<br />

polymers <strong>an</strong>d composites capability—right<br />

in line with our one-stop shopping model<br />

vision. That’s one big business created from<br />

four small independently operating entities,<br />

with <strong>the</strong> collective talent of all of <strong>the</strong>m at<br />

<strong>the</strong> customers’ disposal. There’s a $600<br />

million market for us out <strong>the</strong>re in aircraft<br />

interiors <strong>an</strong>d composite structures, fuel<br />

cells <strong>an</strong>d ice protection <strong>an</strong>d while <strong>Meggitt</strong><br />

has healthy proportion of it, we c<strong>an</strong> do so<br />

much more in <strong>the</strong> new org<strong>an</strong>isation.”<br />

Growing <strong>the</strong> composites side of <strong>the</strong><br />

business, targeting components <strong>an</strong>d<br />

secondary structures in particular is<br />

<strong>an</strong> area Skubina finds extremely exciting.<br />

“The composite structures market is<br />

growing at <strong>an</strong> incredible rate—it is worth<br />

about $24 billion dollars <strong>an</strong>d it is growing<br />

as more <strong>an</strong>d more metal is being converted<br />

into lightweight composite alternatives.<br />

We are used to creating incredibly complex<br />

extreme environment composites for our<br />

electro-<strong>the</strong>rmal ice guards here <strong>an</strong>d in our<br />

UK facility <strong>an</strong>d <strong>the</strong>re is real dem<strong>an</strong>d out<br />

<strong>the</strong>re for quality products that only <strong>Meggitt</strong><br />

Polymers & Composites craftsmen <strong>an</strong>d<br />

women c<strong>an</strong> deliver.”<br />

he expresses his business aims with simplicity.<br />

The former EFC, <strong>Meggitt</strong> Polymer Solutions<br />

<strong>an</strong>d Dunlop Ice Protection & Composites<br />

businesses will operate using <strong>the</strong> power of<br />

<strong>the</strong> <strong>Meggitt</strong> br<strong>an</strong>d within <strong>the</strong> new polymers<br />

<strong>an</strong>d composites division, delivering more<br />

capability, more innovation <strong>an</strong>d more<br />

initiatives to deliver excellent <strong>an</strong>d costeffective<br />

operations. “Now <strong>Meggitt</strong> has<br />

bought Rockmart, it is no longer part of a<br />

holding comp<strong>an</strong>y that looks at our fin<strong>an</strong>cials<br />

alone. It c<strong>an</strong> be proud to be part of a big<br />

business that thoroughly underst<strong>an</strong>ds<br />

our markets <strong>an</strong>d gives us resources to<br />

make us more competitive we simply<br />

could not afford to develop on our own,” he<br />

says. He talks about greater security <strong>an</strong>d<br />

career opportunity for employees, access<br />

to investment in <strong>the</strong> fabric of factories<br />

<strong>an</strong>d <strong>the</strong> investment needed to win <strong>an</strong>d<br />

sustain big m<strong>an</strong>ufacturing programmes.<br />

Regulatory support in <strong>an</strong>y defence business<br />

is critical <strong>an</strong>d <strong>Meggitt</strong>’s programme<br />

is highly regarded internationally. The<br />

group’s procurement function is improving<br />

buying power for common products <strong>an</strong>d<br />

services. There is access to cost-effective<br />

IT <strong>an</strong>d HR services <strong>an</strong>d a group-wide<br />

engineering system to tap into, never mind<br />

<strong>the</strong> combined resources of <strong>the</strong> new division.<br />

He is also keen to benefit from shared best<br />

practice. “We’ll share what’s good about<br />

<strong>the</strong> way we do things here with our sister<br />

facilities <strong>an</strong>d vice versa.”<br />

The philosophy of <strong>the</strong> new <strong>Meggitt</strong><br />

org<strong>an</strong>isation is meat <strong>an</strong>d drink to Skubina.<br />

“If you c<strong>an</strong> run similar businesses<br />

toge<strong>the</strong>r, <strong>the</strong>y cost less to run <strong>an</strong>d deliver a<br />

streamlined m<strong>an</strong>agement structure that is<br />

easier for customers to do business with.”<br />

He concludes: “Operationally, marketingwise,<br />

we will be so much stronger th<strong>an</strong> we<br />

could have envisaged pre-<strong>Meggitt</strong>.” ●

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