Leader Update: Progress on Multiple Fronts
We are only a few months post-close and we are making good progress integrating ADI and LTC – and the combined company is already bringing value to our joint organization and customers. Here are a few highlights:
Achieving a “Best of Both” integration continues to be a guiding principle: We have remained true to our initial goal of building a new company culture and operation combining the “best of both” ADI and LTC. For example, as we have worked through the processes of our two companies during the integration, we have decided to adopt:
• 52 ADI processes (e.g., Systems for WW Ops, Sales, Finance, HR, IT, etc.)• 24 LTC processes (e.g., Arrow as our single broad line distribution partner, Linear Express for smaller customers, overhead allocation and “contribution margin” approach in Finance, etc.)
• 36 new processes built from the experience of both companies (e.g., product development process and long term pricing strategy, etc.)
1+1>2: it’s much more than a marketing tagline: Almost no one could have projected the speed at which our teams are coming together to both identify and help implement opportunities to truly make 1+1>2 for ADI.
For example, prior to our transaction close in March, joint teams had identified about 15 new product ideas. Since then, our cross-organizational efforts have increased that number to more than 100.
We’re also well ahead of schedule identifying and quantifying cross-selling opportunities – a huge potential growth driver – now targeting $100M in cross-selling opportunities by FY20. And we’re working on a predictive analytic project to identify cross selling opportunities on products we’ve already released. That means more opportunities to grow our existing pipeline. And that’s an exciting prospect.
Thanks to the partnership we’re forging, we’re delivering 1+1>2 results already. And we’re clearly on a path to sustained profitable growth – and industry leadership.
The PCs are coming: New compliant PCs are beginning to be distributed to legacy LTC sales teams in May and June. Deployment to G&A and engineering functions at LTC should be complete by October.
In the meantime, access to ADI’s intranet, “The Circuit” should be available to all LTC employees this month.
As you can see, there is a lot of positive momentum throughout the organization and while we recognize there is still much work to do to harmonize the two companies, we are pleased with how far we have come and are excited by the possibilities ahead.
 What is the plan to consolidate geographically proximate sites? |
The plans for consolidating sites in near proximity to each other are nearing completion and some sites are already beginning the process of combining. The consolidation of these sites is first and foremost about combining our teams to enable and enhance opportunities for greater collaboration, which will be critical to our future success. The cost savings of a smaller real estate footprint are an added benefit but not the primary driver. It is important to emphasize that the consolidation of facilities is not designed to reduce headcount. We are building a new ADI culture and physically combining our two teams will facilitate that process. |
About Question of the Month:
We want to hear from you, address questions foremost on your mind and share how we’re moving together as one company. Each month, we’ll answer a frequently asked question. We also encourage you to review our current FAQ located on the Integration Microsite. If you have an integration question you’d like answered, please send it to employee.questions@analog.com.
We are More Powerful Together
By: Market Development Manager Abhishek Kapoor (Legacy ADI) and Product Marketing Manager James Wong (Legacy LTC)
Before the close of the LTC acquisition, ADI already possessed the industry’s broadest portfolio of RF, microwave, and millimeter wave parts. The integration of LTC’s 140 industry-leading RF and microwave parts to the portfolio further strengthened ADI’s offerings and our ability to partner with customers to deliver complete signal chain solutions.
This combined portfolio is truly a unique and powerful competitive advantage for ADI. What is equally as powerful is the impact we can produce by working together to deliver the best possible results for customers.
A recent example of such collaboration started with us exchanging emails to explore whether it would be feasible to create an integrated RF, Microwave, and Millimeter Wave IC Selection Guide in time for the IEEE International Microwave Symposium (IMS) 2017 tradeshow in June. Customers rely heavily on the Selection Guide to choose parts for their RF designs and we felt it would be critically important to demonstrate the strength of our combined portfolio at IMS, which is the most important tradeshow of the year for the RFMG business.
While a project of this scope would normally take two months to complete, we had only weeks before IMS. But both the legacy LTC and legacy ADI teams indicated they were up for the challenge (we soon determined that this was a common trait between us).
On the LTC side, a team that included Brian Black, Brian Hamilton, Greg Fung, Alison Steer, and Doug LaPorte worked tirelessly to compile and review the list of their RF parts, as well as recalculate specifications to match ADI’s format. At the same time, the ADI RF team undertook the technical review and integration of these parts into the Selection Guide, as well as adding recently released ADI parts. Most importantly ADI’s Marketing Services team, which included Susan Peterson, Chuck Corley, Noah Lavallee, and Anna Laznik spent long hours and weekends to merge the combined inputs and refresh the design formats, playing a vital role in achieving our goal despite multiple logistical, geographic, or technical challenges.
With the combined effort of teams across our combined company, we finished the Selection Guide in less than two weeks, well before IMS 2017. Customers can now easily access information on all legacy ADI and legacy LTC parts from DC to 100GHz in one place. The Selection Guide is also a powerful tool for ADI’s sales force and we have posted an interactive PowerPoint version to Hyperion so that our Sales colleagues can actively partner with our customers to optimize their designs.
Working together to create an integrated Selection Guide was a rewarding and positive experience for us. The key to our success was that we put aside our different approaches and focused on how we could work together to best meet customers’ needs. If we all remain focused on the very worthy goal of moving our customers Ahead of What’s Possible, there will be no limits on our ability to define the future – and definitively prove that 1+1>2.