As part of the Company’s prior strategy to strengthen its capabilities and competitiveness as an industry-best, pure-play government services provider Engility Holdings, Inc. announced a strategic realignment of its organizational structure and a streamlining of its operations. Engility is a global provider of technical and professional services for the U.S. government.
From January 1, 2013, Engility will conduct business through a centralized operating group with four business units. Support functions will create a highly efficient and responsive corporate-level infrastructure thanks to a consolidation of current business units.
The Company realignment gives more customer focus with business units concentrating on opportunities in the training and mission support services, technology services, engineering and program support services, and international development services markets.
Shared service centers will support operations to deliver Engility’s customers the best possible support wherever and whenever needed around the world. The Company plans to align its external and internal financial reporting within the new unified structure on January 1, 2013.
President of Engility’s Professional Support Services division, John Heller, will lead operations for the Company under the new organizational structure. John Craddock, President of Engility’s Mission Support Services division, is in charge of the new strategic relations function for the Company to strengthen high level relationships with customers and other key government stakeholders. Heller and Craddock’s divisions will be eliminated with the realignment.
“This strategic realignment marks a significant milestone in the development of a new Engility,” said Tony Smeraglinolo, President and CEO of Engility. “By fundamentally organizing our business differently and streamlining our operations, we are creating a new business that is more agile, customer-focused and disruptively competitive. Consistent with the strategy that we articulated when we established Engility as an independent company, our new organizational structure will position the Company to succeed in an evolving market for government services by focusing our abilities to pursue new opportunities to capture market share and execute programs for our customers in the most cost-effective manner. This realignment is a strategic step aimed at preparing Engility for our next phase of growth.”
Engility will offer a voluntary employment separation program to management and administrative-support employees and it anticipates additional reductions to have an industry-leading cost structure. The Company anticipates such completion by the end of the year and will total less than four percent of the Company’s total workforce.
“These reductions are restricted to a limited number of our employees and are focused on areas of functional redundancy identified during the strategic planning process that culminated in this realignment,” Smeraglinolo added. “There will be no impact on our more than 7,000 employees working side-by-side with customer counterparts in the field or our day-to-day operations. We will maintain our focus on providing industry-best service with integrity, efficiency, and a continued dedication to the success of our customers’ missions.”
“All of our employees have made significant contributions to the 40-year legacy of success that serves as Engility’s foundation and I thank them for their invaluable contributions as we continue to build on that success.”