UK, November 8. In a time of significant economic and geopolitical instability, technological disruption and climate change, continuing to keep pace and adapt has never been more challenging.
At Rolls-Royce, we know this will take more than small, incremental changes. It will require us to transform our business and the way we work.
Transforming what we do and how we do it
This year, we launched a bold, multi-year transformation programme. One that goes beyond short-term solutions or one-off improvements to deliver a deep-rooted refocus on everything we do and how we do it.
We’re tightening our focus on our activities, prioritising what is at the core of our business and radically improving where we can. To do that, we’re empowering our people to work with more agility, greater efficiency and a greater commitment to safety and the quality of our products. We’re driving profitability, investing more wisely and creating cost-savings at every opportunity.
All of this is enabling a stronger Rolls-Royce, delivering sustainable changes that will significantly reduce our working capital and improve our performance.
Built to innovate and deliver success
Though our plans are ambitious, our long heritage of problem-solving and ingenuity means we’re well-positioned to achieve the change we need. At our half-year results, Tufan Erginbilgic, CEO of Rolls-Royce confirmed that we’re already on our way to becoming a stronger and more attractive business, reporting improved financials that will help us to offset the supply chain and inflation pressures the industry is facing.
Already, we’ve identified opportunities to reduce our engineering spend by around £250 million, as well as additional savings across procurement and better control over our inventory.
What’s more, we’re doing this at pace, seeing a step change in our business mindset that’s already delivering better outcomes. But we can’t stop here. Our goal is to maintain continued improvement year after year.
Through this transformation, we will become a higher performing, more competitive and more resilient Rolls-Royce. As a result, we’ll be a better long-term partner for our stakeholders and a better innovator to deliver the necessary technologies and engineering prowess for our future.
