General Dynamics [GD] Monday said it is creating the General Dynamics Mission Systems unit, effective in January 2015, by folding together two existing businesses.
The new unit will be formed by combining the Advanced Information Systems and C4 Systems business units, which are part of the Information Systems and Technology business group. Once the combination goes into effect, the Information Systems and Technology group will consist of the Mission Systems and Information Technology business units.
GD’s other business groups are Aerospace, Combat Systems, and Marine Systems.
David Heebner, executive vice president of the Information Systems and Technology group for General Dynamics, said, “This restructuring will make us more efficient, cost-effective and responsive to our customers. Combining these organizations will leverage their complementary capabilities and further enhance performance.”
Chris Marzilli, current president of General Dynamics C4 Systems, will lead the combined organization. The company’s headquarters will be in Fairfax, Va.
Tom Kirchmaier, the current president of Advanced Information Systems, is actively engaged with the integration effort and his next role will be announced by the end of this year, according to Lucy Ryan, a spokeswoman for GD.
General Dynamics does not anticipate any abnormal costs for the consolidation, and the company does not disclose financial data at the business unit level, Ryan told
Defense Daily.
“We do expect to achieve operational efficiencies, but again, that is not the driving reason for consolidation,” she said. “The primary reason is to leverage complementary portfolios and increase competitiveness.”
Jobs are expected to be “largely unaffected” by the consolidation, she said. “There will be some reductions based on redundancies, and these will be determined as part of the integration process, but job reductions is not the driving reason for the consolidation. Also, each of these organizations has taken actions in the past few years to right-size their business so the new company is starting off at a good place.”
General Dynamics Advanced Information Systems provides mission-related systems development, integration and operations support. The company employs approximately 5,700 people.
General Dynamics C4 Systems is a leading integrator of secure communications, information systems and technology. The company employs approximately 7,400 people.