Confederations of companies rarely outlast the onslaught of the group’s corporate accountants (especially when the new top management comes from a supply chain company like Flextronics).
The confederation known as Nortek will centralize all its nine residential brands under one new group with three business divisions to reduce product and R&D budgets and “deliver programs with higher impact.”
"We've joined the expertise and efficiency of the industry's most important technology brands and formed a new resource for our dealers that represents a unique opportunity for them to grow both ROI and competitive standing," says Sean Burke, group president of Nortek's technology products segment. "By synergizing the benefits of our brands under one centralized group, additional resources can be better allocated to product development and marketing." Not to mention the money that might drop to the bottom line.