Document 0JNqj5pNon7dJYBpkLLz599kd

on's nes* undtipleuny xvstrm ha> an rlectmnu control nutthde linked to a single tsvisted putt of w nw fin hnttont in photo}, which < onlmi numeono f(/0( ti<ut\ and replace.* die cnntherxonte spughent like cohte laced with individual wire* (right in photo l for cat h function. Robert C Net) makes headlamp adjusters at Eaton \ new plum m Bruns** u k. Olno The atljusien fawn the Itctitl lamp to the i elude untl permit \ ertn ul and/m hpii >''Uol od/ioimem J.ahni monuhu nor' .^> utilfi, <ii headlamp tul/totei * \uuttuit!\ hu teudooi MORE NEW PRODUCTS At Eaton, internal development is focused on two things: (I) more new products, (2) in less lime. The company has a carefully crafted strategy driving this vision. The long-term objective is 10 per cent sustainable eamings growth annually. As part of its strategic plan ning, Eaton prioritizes many opportunities for growth: new products, new technologies, new uses for old technology, and. to a thriving extent, the application of electronics to Eaton's traditional mechanical and electrical products. We are placing special emphasis on opportunities that will generate substantial sales and eamings within five years. We recognize that some of today's promising projects will fail; others, however, will generate growth far in excess of expectations. A team of carefully selected business and technical experts shepherds each project. These Simultaneous Product and Process Development (SPPD) teams often have 25 to 30 members. They include many disciplines: product design, engineering, manufactur ing. marketing and sales, as well as customer representatives with various areas of expertise. The teams address both product and process workflows, simplifying them to develop and introduce new products in less time. The SPPD team devotes its time exclusively to the new project, employing the best practices and technology. Rigorous analysis by the company's senior managers gauges progress along the way. Funding is a critical issue, and Eaton dedicates funds to permit projects to succeed long-term. Substantial Rewards Ahead This strategy has already generated new sales, but the substantial rewards lie ahead as the strategy spreads throughout the company. Eaton SPPD teams have already had notable successes. tin 1995. Eaton will begin deliver ing multiplexing components to Chrysler that substantially reduce the wiring required in 1996 Jeep Grand Cherokees. Multiplexing permits electronic controls altached to vehicle components to communi cate wiih one another via a single twisted pair of wires. This system reduces weight and lowers costs b> eliminating the spaghetti-like wiring harness in vehicle doors and dash boards required to run individual wires lo each switch. The sales potential is extraordinary if other automakers adopt the technology, and Eaton's leading-edge position provides outstanding growth opportunities.