CalComp to Split Into 5 Divisions, Lay Off 130 : Restructuring: The Lockheed subsidiary says it has become difficult for the consolidated departments to service a widening variety of customers.
CalComp, a maker of computer graphics products, said Friday that it is reorganizing its business into five independently run divisions and will lay off 130 employees.
The layoffs involve about 5% of the company work force of 2,700 people, including 60 employees in Anaheim and 70 at other CalComp locations. Most of those laid off will be in CalComp’s administrative and marketing areas, and three top company executives will also leave.
“We’re doing this to restructure the company so it is more competitive, and the layoff is an unfortunate fallout from that,” CalComp President William P. Conlin said.
CalComp said the reorganization is aimed at combatting “increasing pressure from emerging domestic and international competitors” by speeding product development and enhancing customer relationships.
The five divisions will operate as autonomous companies responsible for their own profitability. Each unit will include employees from all facets of product development, marketing, manufacturing, sales and support.
The five new divisions are: CalComp Plotter Co. in Anaheim; CalComp Asia/Pacific in Anaheim; CalComp Digitizer Co. in Scottsdale, Ariz.; CalComp Display Co. in Hudson, N.H., and CalComp Europe in Amsterdam, Holland.
CalComp is a subsidiary of Calabasas-based Lockheed Corp. with $450 million in sales in 1989. The Anaheim firm makes plotters, digitizers and other equipment used in computer-graphics applications, as well as a line of software and accessories for Apple Computer Inc.’s Macintosh machines.
Conlin said CalComp’s product offerings have become so diverse--about 100 in all--that it has become difficult for the company’s consolidated sales, marketing and service departments to provide expert assistance to customers.
Another problem facing the company, Conlin said, is sluggish sales in the computer-aided design and computer-aided manufacturing markets.
Three top executives have voluntarily resigned as part of the reorganization. They are: Ken Van Kleck, senior vice president of finance and administration; David Schlotterbeck, senior vice president of corporate development, and Joe Smith, vice president of U.S. sales and marketing.
