Wärtsilä streamlines marine offerings
By Jack Burke14 February 2023
Voyage will now focus on fleet and port optimization, simulation and training services
Wärtsilä said it will streamline its offerings to marine customers in an effort to improve profitability.
The Finnish company integrated its Voyage business, which focuses on digital solutions such as ship-to-shore communications, fleet optimization and vessel control systems, into Wärtsilä Marine Power at the beginning of 2023 in an effort, it said, to strengthen its lifecycle offering and to accelerate the turnaround of Voyage business.
Based on the now-completed Voyage strategy review, the Voyage offering is planned to be streamlined focusing on fleet and port optimization and related simulation and training services.
According to the plan, NACOS Navigation, NACOS Automation, Dynamic Positioning and sensors would be merged into a new business unit and moved to Wärtsilä Portfolio Business during April 2023. Wärtsilä said its Portfolio Business consists of business units, which are run independently with the aim of accelerating performance improvement and unlocking value through divestments or other strategic alternatives. Business continuity will be ensured, and current customer commitments will not be impacted, according to the company.
“We are committed to drive decarbonization in the maritime industry and accelerate the turnaround of our former Voyage business,” said Roger Holm, president of Wärtsilä Marine Power. “By combining digital capabilities with performance-based services, we plan to unlock synergies and offer our customers unique end-to-end solutions to optimize their vessel and port operations. The planned integration of these specific voyage offerings to our existing Marine Power portfolio will provide customers the strongest decarbonization offering available.”
Wärtsilä has initiated a formal process globally with a plan to reduce a maximum of 300 positions in the current Voyage organization, while at the same time opening approximately 150 new positions.
The business unit Marine Electrical Systems, currently part of the Marine Systems business, is planned to be moved to Portfolio Business
In addition to the strategic review of Voyage, Wärtsilä has continued to review the strategic fit of other business units in Wärtsilä. As an outcome, Marine Electrical Systems, focusing on electrical integration, is planned to be moved to Portfolio Business during April 2023.
“Marine Electrical Systems largely serves different markets and customers than the rest of Wärtsilä and has limited strategic fit with the rest of the group,” said Tamara de Gruyter, EVP of Marine Systems and Portfolio Business. “Therefore, we believe that an independent set-up and potential new ownership will be the best way forward for Marine Electrical Systems to develop and create shareholder value. Business continuity will be ensured, and current customer commitments will not be impacted.”
Wärtsilä will publish a restatement of financials according to new planned organizational structure later.