The company has done many very unique things throughout Mr. Chenevert’s tenure at United Technologies. By moving engineers to Connecticut from other lower-cost destinations, the company was able to focus on serving key defense markets. This was seen as being a very controversial move in the age of globalization.
One area which United Technologies excels in is in timing to the business cycle. They are also easily able to switch between manufacturing for defense and consumer products. During times of war, demand for defense jet engines increases while demand for civilian jet engines decreases. The switch between the two types of engines ensures that the company is able to be innovative and stay afloat. Boom and bust cycles occur, and this switch over represents United Technologies’ response to that cycle to prevent a major bust.
The company has also managed to give up some gains in the present for expected future gains. The goal is long-term gains in profit in supporting the products which they already make. The company continues to service their products, whether they are elevators or any other technologically-advanced product. This ensures a relatively stable income for the company, even as some aspects of their production might phase out over time.