The company currently has a research centre in Bangalore.
Honeywell Chief Information Officer and the Senior Vice President Larry E. Kittelberger said that India is a strategic arm for Honeywell operations. The move to expand to Hyderabad was prompted by the need to tap the large talent pool and the proactive support of the State Government.
The company expects to have its first new building up by the first quarter of next year. In Hyderabad, Honeywell Technology Solutions Limited (HTSL) currently has 4,000 employees in the Bangalore R&D centre and it expected to double the R&D workforce strength in the next five years.
“We will hire software, mechanical and electrical engineers in this facility,” he added. The company expects a turnover of $156 million and employment to 5,500 people by 2009 in Hyderabad, according to a statement. Meanwhile, Honeywell has launched the Honeywell Technology Solutions Laboratory at the Thiagarajar College of Engineering (TCE) in Madurai.
Kittelberger said the company envisages major expansion in India in the next five years. Krishna Mikkilineni, managing director of Honeywell’s Indian subsidiary, said the company will recruit another 1,000 engineers and invest $10 million to $15 million in R&D in Hyderabad. “We are one of the key labs to serve the needs of Honeywell International. We have realized the way to add value is by tapping into the ecosystem and the local talent pool,” Mikkilineni said.
Honeywell’s expansion move comes in the wake of its joint venture with the Tata group terminating after its parent firm acquired the latter’s 41 percent stake earlier this year. Honeywell Asia Pacific, a subsidiary of Honeywell International, bought out the stake from Tata Industries. The transaction is expected to be completed this year. The two partners each had 41 percent stake in Tata Honeywell, with the balance (18 percent) held by financial institutions.
Andrew Bond, email@example.com, is Editor of the Industrial Automation Insider, a United Kingdom-based monthly newsletter that is delivered via e-mail.Uday Lal Pai, firstname.lastname@example.org,is a freelance journalist based in India.