Mar 3 2009
The Siemens Energy and Industry sectors have signed an agreement with Fluor Corporation (NYSE: FLR) to strengthen the cooperation between the two companies. This strategic alliance establishes Siemens as a preferred supplier to Fluor and its global projects business. In the course of this long-term cooperation, the two companies will be coordinating their work and planning processes to better meet the increased project requirements. The focus will be on risk minimization and the acceleration of planning and implementation processes for major projects.
Fluor is responsible for the implementation of a wide range of major projects worldwide. "As a result of this long-term partnership, Siemens can be involved in project development right from the beginning," said Wolfgang Heuring, Siemens' Corporate Executive Sponsor for Fluor and CEO of Siemens Energy's Medium Voltage business unit. "This cooperation will enable the two companies to provide the maximum benefit to the end client at an early stage. We can thus simplify the project development process and make optimum use of the resources of the two companies. The two businesses will decide on a case-to-case basis how Siemens can provide the end client with the best possible support."
This agreement enables Fluor to take advantage of Siemens' broad solution and product range of the Oil & Gas, Power Transmission and Power Distribution Divisions of Siemens Energy, as well as those of the Industrial Automation, Drive Technology and Industrial Solutions Divisions of the Siemens Industry Sector. Siemens’ presence in more than 190 countries around the world and its global manufacturing locations demonstrate that Siemens is close to the vast majority of Fluor's clients and can utilize locally added value, where appropriate. Early involvement of Siemens will help to ensure that components with long lead times are available and reduce the likelihood that supply bottlenecks or unexpected high price fluctuations occur. An additional component of the agreement is that Siemens will also handle the coordination with licensing authorities or other project partners for defined subprojects.
"This agreement is the result of Siemens' extensive product portfolio and its global presence," said Steve Hamman, Fluor's Executive Sponsor for Siemens. "The formalization of our relationship will enable closer cooperation in the future between our two companies, including greater support for mitigating costs and schedule risks on complex projects."