Summary
Caterpillar Inc. (CAT) announced the formation of a new Production Systems Division on October 14, 2005. This strategic move aims to drive a comprehensive transformation of the company's manufacturing processes, with the goal of establishing a "gold standard" for quality, safety, and speed across the industry. This initiative is intended to enhance Caterpillar's position as a pre-eminent global manufacturer, focusing on producing top-quality products at the lowest possible cost while concurrently increasing operational speed and safety performance. The new division will be led by James D. Waters, Jr., who was appointed a vice president effective December 1, 2005. Waters brings extensive experience in manufacturing, systems engineering, and international operations, including significant roles in Japan and the UK, which the company believes will be crucial for the success of this enterprise-wide transformation effort. This organizational change underscores Caterpillar's commitment to continuous improvement and operational excellence.
Key Highlights
- 1Caterpillar established a new Production Systems Division to transform manufacturing operations.
- 2The division's objective is to achieve industry-leading quality, safety, and speed.
- 3James D. Waters, Jr. appointed Vice President and head of the new division, effective December 1, 2005.
- 4Waters possesses extensive international experience in manufacturing and systems engineering.
- 5The initiative aims to lower costs while increasing production speed and safety.
- 6This organizational change reflects Caterpillar's focus on operational excellence and continuous improvement.