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2019-11-11
L3Harris Focuses on Building Lasting Ties with Global Customers
L3Harris, formed after the merger of L3 and Harris Corporation, has a growing presence worldwide in both military and commercial markets.
The company, which has a strong presence in the Middle East, offers not only a full range of airport security systems, airline pilot training, and commercial aircraft avionics but also military training systems, including end-to-end training for both pilots and maintenance personnel for fixed and rotary wing systems, Intelligence, Surveillance and Reconnaissance (ISR) systems and counter-unmanned aerial (UAS) systems. In an interview with Nation Shield, Charles R. “CR” Davis, Lt Gen USAF (retd.), Vice President, L3Harris International, says that the company is looking to expand into new markets in Africa, Europe and Japan and building lasting relationships with international customers.
The company, which has a strong presence in the Middle East, offers not only a full range of airport security systems, airline pilot training, and commercial aircraft avionics but also military training systems, including end-to-end training for both pilots and maintenance personnel for fixed and rotary wing systems, Intelligence, Surveillance and Reconnaissance (ISR) systems and counter-unmanned aerial (UAS) systems. In an interview with Nation Shield, Charles R. “CR” Davis, Lt Gen USAF (retd.), Vice President, L3Harris International, says that the company is looking to expand into new markets in Africa, Europe and Japan and building lasting relationships with international customers.
By: Sakha Pramod
For the last few years, you have been instrumental in intensifying and creating value for L3Harris’ international business development efforts. Can you elaborate on your success in strengthening customer relationships and forging new partnerships in key regions around the world?
Throughout my career, both in the U.S. Air Force and as an independent consultant and especially now at L3Harris, I have always sought to form and grow international partnerships. I have personally managed international programmes providing capability to dozens of countries.
Today, I have the responsibility of growing L3Harris’ sales in more than 130 nations. As L3 merged with Harris Corporation, our total international sales grew to around US$3.8 billion in 2018. Because of the synergy that exists among our range of products and systems, we are highly confident that the figure will grow year-over-year. However, this growth only happens if we continue to build strong and lasting relationships with our international customers and partners in industry. Taking time to listen to our customers and understand their requirements allows us to tailor-make mission system solutions to meet their needs. We are somewhat platform agnostic and that allows us a lot of flexibility in offering solutions.
Today, I have the responsibility of growing L3Harris’ sales in more than 130 nations. As L3 merged with Harris Corporation, our total international sales grew to around US$3.8 billion in 2018. Because of the synergy that exists among our range of products and systems, we are highly confident that the figure will grow year-over-year. However, this growth only happens if we continue to build strong and lasting relationships with our international customers and partners in industry. Taking time to listen to our customers and understand their requirements allows us to tailor-make mission system solutions to meet their needs. We are somewhat platform agnostic and that allows us a lot of flexibility in offering solutions.
Expanding international military and commercial business into new and existing markets has been central to L3Harris’ global growth strategy. What have been your initiatives in this regard?
L3Harris focuses on expanding our presence in both military and commercial markets. We support the commercial airline market across its entire value chain. We offer a full range of airport security systems, airline pilot training, and commercial aircraft avionics. We support airports and airlines around the world. L3Harris has solutions in airports throughout the UAE and the Middle East. In addition, we offer full-spectrum training solutions to leading UAE airlines. We also have a full range of military training systems—we offer end-to-end training for both pilots and maintenance personnel for fixed and rotary wing systems. In partnership with a prominent Emirati firm, we are in discussions with the UAE Air Force to offer a complete pilot training enterprise. In addition, we are growing our offerings of strategic and tactical Intelligence, Surveillance and Reconnaissance (ISR) systems along with end-to-end network communications and data systems to support them. We are also particularly excited about a range of counter-unmanned aerial (UAS) systems that we have been asked to demonstrate in the Middle East.
L3Harris already has an international and commercial revenue base from more than 130 nations that exceeds US$2 billion. Do you think there are more opportunities on the horizon?
Yes, there are opportunities that we have not tapped. Prior to our merger, L3 and Harris approached international markets as two separate companies selling components and sub-systems. Following the merger, we are offering larger integrated mission systems. That opens new markets for us with both major OEMs and international customers. This will allow us to expand international sales. We have the capability to offer higher level systems for ships, combat vehicles, and space systems. This is, of course, in addition to what we currently offer for aircraft and ISR systems. Just one very important example of this is that L3Harris is now the fifth largest supplier to the F-35 Joint Strike Fighter programme.
What is your take on L3Harris’ business in the Middle East?
L3Harris has long valued our relationship in the region and both our legacy companies have supported key Middle East partners for more than 15 years. We have permanent facilities and joint ventures in both Saudi Arabia and UAE. Our joint venture with the Saudi Arabian Military Industries, for example, is growing rapidly. It is allowing us to offer a wide range of sensor, counter-UAS and communication systems in the region. The UAE is one of our largest customers for night vision systems and communication equipment today, and we are growing aircrew training and mission systems partnerships tomorrow.
To what extent can Dubai Airshow boost your business in the region and across the world?
To me, this event is very important, but it is not just about growing sales. This event offers L3Harris an opportunity to strengthen partnerships, grow relationships and listen to our customers. That helps us to support their missions, whatever they may be. This year, coming just four months after our merger, the Dubai Airshow offers us a great opportunity to expose the region to the “one L3Harris” Technologies and the combined capabilities of this powerful company.
You have had a distinguished 35-year career in the U.S. Air Force (USAF), where you managed a wide range of DOD and USAF programmes and often in conjunction with partner nations. How has that experience been useful in your current assignment?
I have been extremely fortunate throughout my career. The F-35 programme taught me quite a lot, not the least of which was how to manage extremely complex programmes composed of international partners and suppliers across the world. It really reinforced the importance of partnerships with governments, armed forces, and industry—these are essential if you want any multi-national programme to succeed. Today, there is not a single programme I know of across the aerospace and defence industry that does not have some international content. So L3Harris’ strong focus on international partnerships reflects the reality that in today’s world, they are a requirement for growth period.
You also handled Air Force for Acquisition, where you were responsible for programmes valued at more than US$40 billion annually. What is the share of U.S. in your business and what are the new areas to which you are planning to diversify your client base?
Today, about 75 per cent of L3Harris revenue comes from the United States and about 80 per cent of that is from the U.S. Department of Defense. Roughly 25 per cent international sales comes from 130 nations. Expanding the diversity of our large customer base is a challenge. But, I most certainly see areas where we should grow. Large parts of Europe and North Africa are growth opportunities for us. Expanding our presence in Japan is another opportunity we are focused on. Most importantly, we are focused more on offering complete mission systems to our current customer and partner base. This is also allowing us to expand sales.
L3Harris Technologies is an agile innovator and leading provider of global ISR, communication and network systems, and electronic systems for military, homeland security and commercial aviation customers. How important is ISR in your view as an ace pilot in air defence and what difference can L3Harris make in this segment?
The importance of ISR cannot be overemphasised today and we need only look at recent events in Saudi Arabia, Yemen, Syria and the Arabian Gulf. Our focus on ISR is not about the platforms, it is about how we can link systems, share and analyse data, and get the right information to the right individuals at the right time. L3Harris is focused on actionable intelligence that supports decisions across all domains—air, land, sea, space and cyber. This is where a focus on agility and innovation is important. There are many traditional and non-traditional ISR systems in every country across the world. How you collect, interpret and use seemingly disconnected and disparate data from these systems offers significant opportunity to see and operate in the multi-domain battlespace.
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