Hoover President’s Priorities: Productivity, Diversity Sep 30, 2003

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Hoover’s president has told employees that more efficient factories and diversification beyond floor-care products are essential to the company’s health. A report in The Akron (Ohio) Beacon Journal said Tom Briatico and a local union leader agreed that it’s possible to save jobs. Roughly 400 people were laid off in the spring. Many were rehired.

As the floor-care industry was afflicted by price erosion and softer volume, Hoover as the upscale leader took a severe hit. It was blamed for much of Maytag Corp.’s declines this year.

According to the newspaper, Mr. Briatico has begun instituting LeanSigma practices that helped him turn around Maytag’s Dixie-Narco vending-machine division before he took over at Hoover five months ago. LeanSigma attempts to match production with demand and eliminate waste. Hoover also introduced an air purifier early in the year, has just unveiled an outdoor sweeper and created a Diversified Products division in May to develop products outside floor care. (HFN)

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