Wärtsilä to Split Up Marine Business
Finnish technology group Wärtsilä will reorganize its marine business into three independent businesses.
The new businesses will consist of Marine Power, Marine Systems and Marine Voyage, and will be operational as of 1 July 2020.
The group said the objective of the reorganization is to accelerate strategy execution, simplify the business structure, and strengthen business presence in the Board of Management.
The company has also made new appointments to the Board, which are detailed below.
“The evolution of Wärtsilä’s organisational structure is a continuation to the changes made in 2019, whereby the equipment and service businesses were integrated to strengthen the focus on complete lifecycle solutions,” the company said in a press release.
“In the new operational model, Marine Power will focus on Wärtsilä engine and propulsion solutions. Marine Systems’ offering will consist of gas solutions, exhaust treatment, marine electrical systems, as well as seals and bearings. Marine Voyage will provide navigation solutions, simulation and training solutions, fleet operation solutions, and ship traffic control solutions. Each business will have lifecycle responsibility for its offerings. Wärtsilä’s Energy Business will continue in its current form,” the press release added.
Wärtsilä offers smart technologies and complete lifecycle solutions to the marine and energy markets, including vessels and power plants. In 2019, the group’s net sales totaled EUR 5.2 billion with approximately 19,000 employees.
“Wärtsilä is committed to leading the way towards a more sustainable maritime future. We have today the broadest offering for the marine markets, and I am confident that establishing three independent marine entities, with a stronger focus on the specific needs of their respective markets, will accelerate the execution of our Smart Marine strategy. Our customers will benefit from increased agility and speed in decision-making, as well as an even more empowered and effective frontline,” comments Jaakko Eskola, President & CEO of Wärtsilä Corporation.
New Board of Management
Roger Holm will assume the role of President of Marine Power & Executive Vice President of with immediate effect. Holm’s was previously President of Wärtsilä Marine Business & Executive Vice President.
Tamara de Gruyter has been appointed President of Marine Systems & Executive Vice President with immediate effect.
Sean Fernback has been appointed President of Marine Voyage & Executive Vice President as of 4 May 2020. He joins Wärtsilä from Navico where he most recently held the position of Chief Technology Officer.
“The marine markets are evolving at a rapid pace, driven by technology development and the regulatory framework,” said Eskola. “With this change, we provide our businesses more autonomy to drive their operations. By speeding up decision-making and simplifying the organisation, we will accelerate the execution of our Smart Marine strategy and increase the value we create for our customers. I believe that we will greatly benefit from strengthening business presence within the Board of Management, and I am pleased to welcome two new members to our leadership team.”
Wärtsilä’s financial reporting will be adjusted to reflect the new structure as of the second quarter of 2020.
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