Graco Inc. Announces New Organizational Structure To Drive Global Growth
Graco Inc. (NYSE:GGG), a leader in fluid and powder handling systems, has announced a new organizational structure effective January 1, 2025. The company will transition to a global, customer-centric operating structure with four business divisions: Industrial, Expansion Markets, Contractor, and Powder. This restructuring aims to unlock global growth opportunities and drive sustainable profitability and operational efficiency.
Key changes include:
- Integration of South and Central America, Europe, Middle East and Africa, and Asia Pacific regions into the business divisions
- Formation of a new global Industrial Division
- Creation of an Expansion Markets Division focused on inorganic growth
- Restructuring of the Contractor Division to serve global customers
Graco will report financial results under three segments: Contractor, Industrial, and Expansion Markets, starting Q1 2025.
Graco Inc. (NYSE:GGG), leader nei sistemi di gestione di fluidi e polveri, ha annunciato una nuova struttura organizzativa che entrerà in vigore il 1° gennaio 2025. L'azienda passerà a una struttura operativa globale e incentrata sul cliente con quattro divisioni commerciali: Industriale, Mercati in espansione, Appaltatore e Polvere. Questo riassetto mira a sbloccare opportunità di crescita globale e a promuovere la redditività sostenibile e l'efficienza operativa.
Le principali modifiche includono:
- Integrazione delle regioni del Sud e Centro America, Europa, Medio Oriente e Africa, e Asia Pacifico all'interno delle divisioni commerciali
- Formazione di una nuova Divisione Industriale globale
- Creazione di una Divisione Mercati in Espansione focalizzata sulla crescita inorganica
- Ristrutturazione della Divisione Appaltatore per servire i clienti globali
Graco riporterà i risultati finanziari suddivisi in tre segmenti: Appaltatore, Industriale e Mercati in Espansione, a partire dal primo trimestre del 2025.
Graco Inc. (NYSE:GGG), líder en sistemas de manejo de fluidos y polvos, ha anunciado una nueva estructura organizativa que entrará en vigor el 1 de enero de 2025. La empresa pasará a una estructura operativa global centrada en el cliente con cuatro divisiones comerciales: Industrial, Mercados en Expansión, Contratista y Polvo. Esta restructuración tiene como objetivo desbloquear oportunidades de crecimiento global y promover la rentabilidad sostenible y la eficiencia operativa.
Los cambios clave incluyen:
- Integración de las regiones de América del Sur y Central, Europa, Medio Oriente y África, y Asia Pacífico en las divisiones comerciales
- Formación de una nueva División Industrial global
- Creación de una División de Mercados en Expansión enfocada en el crecimiento inorgánico
- Reestructuración de la División de Contratistas para atender a los clientes globales
Graco informará los resultados financieros en tres segmentos: Contratista, Industrial y Mercados en Expansión, a partir del primer trimestre de 2025.
그라코 주식회사 (NYSE:GGG)는 유체 및 분말 처리 시스템의 선두주자로서 2025년 1월 1일부터 효력이 발생하는 새로운 조직 구조를 발표했습니다. 이 회사는 네 개의 사업 부문인 산업, 확장 시장, 계약자, 분말로 구성된 고객 중심의 글로벌 운영 구조로 전환합니다. 이 구조 조정의 목표는 글로벌 성장 기회를 창출하고 지속 가능한 수익성과 운영 효율성을 높이는 것입니다.
주요 변경 사항은 다음과 같습니다:
- 남미와 중미, 유럽, 중동 및 아프리카, 아시아 태평양 지역을 사업 부문에 통합
- 새로운 글로벌 산업 부문의 구성
- 비유기적 성장을 중심으로 하는 확장 시장 부문의 창립
- 글로벌 고객을 서비스하기 위한 계약자 부문의 재구성
그라코는 2025년 1분기부터 계약자, 산업, 확장 시장의 세 가지 세그먼트로 재무 결과를 보고할 예정입니다.
Graco Inc. (NYSE:GGG), un leader dans les systèmes de manipulation des fluides et des poudres, a annoncé une nouvelle structure organisationnelle qui entrera en vigueur le 1er janvier 2025. L'entreprise passera à une structure opérationnelle mondiale axée sur le client avec quatre divisions commerciales : Industrie, Marchés en expansion, Entrepreneurs et Poudre. Cette réorganisation vise à débloquer des opportunités de croissance mondiale et à favoriser la rentabilité durable ainsi que l'efficacité opérationnelle.
Les changements clés comprennent :
- Intégration des régions d'Amérique du Sud et Centrale, d'Europe, du Moyen-Orient et d'Afrique, et d'Asie-Pacifique dans les divisions commerciales
- Création d'une nouvelle Division Industrielle mondiale
- Création d'une Division des Marchés en Expansion axée sur la croissance inorganique
- Restructuration de la Division Entrepreneurs pour servir les clients mondiaux
Graco rapportera les résultats financiers sous trois segments : Entrepreneurs, Industrie et Marchés en Expansion, à partir du premier trimestre 2025.
Graco Inc. (NYSE:GGG), ein führendes Unternehmen im Bereich Flüssigkeits- und Pulverhandling-Systeme, hat eine neue Organisationsstruktur angekündigt, die am 1. Januar 2025 in Kraft tritt. Das Unternehmen wird zu einer globalen, kundenorientierten Betriebsstruktur mit vier Geschäftsbereichen übergehen: Industrie, Expansionsmärkte, Auftragnehmer und Pulver. Diese Umstrukturierung zielt darauf ab, globale Wachstumschancen zu nutzen und nachhaltige Rentabilität sowie operative Effizienz voranzutreiben.
Wesentliche Änderungen umfassen:
- Integration der Regionen Süd- und Mittelamerika, Europa, Naher Osten und Afrika sowie Asien-Pazifik in die Geschäftsbereiche
- Gründung einer neuen globalen Industriesparte
- Erstellung einer Abteilung für Expansionsmärkte mit Fokus auf anorganisches Wachstum
- Umstrukturierung der Auftragnehmerabteilung zur Bedienung globaler Kunden
Graco wird die finanziellen Ergebnisse ab dem 1. Quartal 2025 in drei Segmenten berichten: Auftragnehmer, Industrie und Expansionsmärkte.
- New organizational structure aimed at unlocking global growth opportunities
- Creation of Expansion Markets Division to focus on inorganic growth in adjacent markets
- Simplification of operations and increased speed to market
- Better alignment of investments with top growth opportunities
- Potential short-term disruption due to organizational changes
- Departure of Caroline Chambers, President, EMEA, on December 31, 2024
Graco's organizational restructuring signals a strategic shift towards global market expansion and operational efficiency. This move could potentially enhance the company's competitive position and drive long-term growth. The consolidation into four business divisions - Industrial, Expansion Markets, Contractor and Powder - streamlines operations and may lead to cost synergies. The creation of an Expansion Markets division specifically focused on inorganic growth in adjacent markets is particularly noteworthy, as it could diversify revenue streams and reduce market-specific risks. However, such large-scale reorganizations often come with short-term implementation costs and potential disruptions. Investors should monitor the transition closely, especially the impact on
Graco's restructuring aligns with global market trends towards customer-centric business models and expansion into emerging markets. The integration of regional operations (SCA, EMEA, AP) into global divisions could improve market responsiveness and facilitate more efficient resource allocation. The focus on expansion markets, including environmental and semiconductor sectors, positions Graco to capitalize on high-growth industries. This move could potentially increase Graco's market share in these sectors. The simplified reporting structure (Contractor, Industrial, Expansion Markets) should provide investors with clearer insights into segment performance. However, the success of this restructuring will largely depend on execution and the company's ability to maintain strong customer relationships during the transition. Investors should watch for any changes in customer retention rates and new market penetration metrics following the reorganization.
“Establishing a market-oriented global structure will ensure that we are well positioned long term to enter new markets, capitalize on our most significant opportunities and accelerate our growth,” said Mark Sheahan, President and Chief Executive Officer of Graco.
Effective January 1, 2025, the company will move to a global, customer-centric operating structure with four business divisions: Industrial, Expansion Markets, Contractor and Powder. At that time, the South and
Industrial Division:
The company’s current Industrial and Lubrication Equipment Divisions, along with the Process Transfer Equipment business that is part of the company’s Process Division, will be combined to form the new global Industrial Division. Peter J. O’Shea, current President, Worldwide Lubrication Equipment Division, and President, South and
Expansion Markets:
The new Expansion Markets Division will focus on driving Graco’s inorganic growth in adjacent markets. The company’s existing environmental, semiconductor, high-pressure valves and electric motors businesses, together with select future ventures and acquisitions in new or adjacent markets, will reside within this newly-formed division. Timothy R. White, current President, Worldwide Process Division, will assume the role of President, Expansion Markets Division.
Contractor and Powder Divisions:
The company's Contractor Equipment Division, renamed the Contractor Division, will be restructured to serve the needs of our global customers. The Powder Division is currently structured as a global business and will continue to operate as it does today. Both divisions will retain their current executive leadership.
“The redesigned organization will simplify our operations, increase speed to market, drive efficiency and create alignment across the enterprise,” said Sheahan. “These strategic changes will better position Graco to put our customers first, innovate, and align our investments with our top growth opportunities.”
Starting January 1, 2025, Graco will classify its business into three reportable segments: Contractor, Industrial and Expansion Markets.
- The Industrial segment, consisting of the newly formed Industrial Division and the Powder Division.
- The Expansion Markets segment consisting of the Expansion Markets Division.
- The Contractor segment, consisting of the Contractor Division, will remain unchanged as a reporting segment relative to prior periods.
The company will report financial results under these reporting segments beginning with the first quarter of 2025. It expects to provide recast segment financial information in connection with its earnings release for the fourth quarter of 2024 as supplemental information on the company’s website at www.graco.com.
Caroline Chambers, President, EMEA, will depart Graco on December 31, 2024 after assisting with the transition.
“Caroline has significantly contributed to Graco’s success over the course of her career, most recently as the leader of our EMEA regional team,” said Sheahan. “She has been unwavering in her dedication to serving the best interests of the company and its customers. I extend my sincerest appreciation for her many years of service and leadership, and wish her the best of success in her future endeavors.”
ABOUT GRACO
Graco Inc. supplies technology and expertise for the management of fluids and coatings in both industrial and commercial applications. It designs, manufactures and markets systems and equipment to move, measure, control, dispense and spray fluid and powder materials. A recognized leader in its specialties,
View source version on businesswire.com: https://www.businesswire.com/news/home/20240918811703/en/
Investors: David M. Lowe, 612-623-6456
Media: Laura Evanson, 612-656-7435
Laura_L_Evanson@graco.com
Source: Graco Inc.
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