What it means for Malaysia
Asia Pacific countries are expected to be in the vanguard of one major aspect of Industry 4.0 growth - the Industrial Internet of Things (IIoT) arena, which is expected to be worth USD$54 billion by 2020.
Geer said the new Asean regional headquarters will help stimulate the company's businesses with on the ground leadership. Areas of particular interest include aerospace, oil and gas, automation and process controls, home and building solutions, industrial safety, mobile business productivity and automated warehouse operations.
Honeywell has invested more than USD$500 million in this move and created more than 120 high-value jobs, with most of these using local talent.
Also present, Yang Berhormat Dato' Sri Mustapa Mohamed (pic above), minister of International Trade and Industry, officially welcomed the initiative. "Malaysia is heartened that Honeywell has chosen the country as the home for its Asean regional headquarters. Its decision is testimony to our value proposition as a trusted hub, where companies can access global talent and build strategic capabilities to spearhead their growth in the region."
Commenting on why Malaysia has been selected as the regional headquarters, Geer said: "Malaysia and the broader ASEAN region is a very important market for Honeywell. As we evolve into a software-industrial multinational-company, with a local mind-set focused on industry 4.0 connected technologies across our vast portfolio, we will continue to place greater emphasis on resources and investment here and across Asean."
He further explained, "I would like to take this opportunity to thank the Malaysian government, the Ministry of International Trade and Industry, the Malaysian Investment Development Authority and InvestKL for the tremendous support they have given us. We will continue to work closely with them to help contribute to sustainable economic and social growth for Malaysia. We also hope to further advance the local development of infrastructure and enhance the lives of the communities in which we live."
Honeywell's next moves
"We are strongly committed to the region," Geer added. "We have been here for more than 30 years, but this is a new chapter for Honeywell. We are excited to partner with the Malaysian and other regional governments and businesses to hire and develop local talent and bring our global resources and vision to these markets."
The regional headquarters, totalling 74,000 square feet, is so far the base for more than 400 employees from four strategic business groups - Aerospace; Home and Building Technologies; Safety and Productivity Solutions; and Performance Materials and Technologies.
Honeywell currently has a workforce of 1,500 in Malaysia, with more than 4,000 employees across the region, including Singapore, Indonesia, Thailand, Vietnam, Myanmar and the Philippines. This includes six regional and global engineering, manufacturing, and repair and service sites.
He said the next phase - moving key expertise and leadership into Malaysia - has already started. More than 50 regional roles have moved to Malaysia in the last 12 months. Meanwhile, Honeywell's automated building solutions have helped enhance the Asean HQ with new workplace designs to help foster flexibility and collaboration.
A showcase area demonstrates Honeywell's best-in-class software-industrial products and offerings in Connected Transportation, Connected Worker, Connected Homes and Buildings and Connected Industrial.
Geer said about 60 percent of Honeywell's global growth over the next five years will be connected to software, and to support this growth, the company will continue making smart investments in software development capabilities, facilities and talent. "Malaysia has been a great partner thus far, and we are very happy with our decision to locate our Asean headquarters here."
To see some recent Malaysian digital transformation news, visit:
- What's really in store for Malaysia's IT industry in 2017?
- Securing the Internet of 'Nano-Things,' an exclusive with NanoMalaysia CEO Dr Rezal Khairi Ahmad
- MDEC exclusive: Can Malaysia really become a Data Centre hub?
- MDEC exclusive: Looking for the X factor behind Malaysia's Digital Hub strategy
- Malaysia's regional hub vision includes gaming sector, MDEC says
- Why Malaysian companies must expand into ASEAN's US$48 billion pie: MDEC exclusive