At a Bloomberg Innovation and Jobs Forum in Washington, Cummins Inc. CEO Theodore Solso said that it will have to hire 7,000 more engineers within five years. Cummins, which is based in Columbus, Ind., produces diesel and natural gas engines.
It now predicts a steep increase in annual sales. It also makes electric power generation systems. For the next decade, engine technology and development will be dominated by further reductions in engine pollution and stricter fuel efficiency rules. In relation to this, more engineering resources will be needed. Cummins supplies diesel engines for the Chrysler Group in the U.S. light vehicle market
Analysts were informed last month that the company’s annual sales are predicted to increase by over 60% and hit $30 billion in 2015. Cummins anticipates that revenue will grow to an average of 14% a year from 2011 to 2015. Despite the weak economic growth in many global markets, its revenues are higher due to the overseas demand and more stringent environmental standards for engine emissions.
Last month, COO Tom Linebarger told analysts that he doesn’t know how bad the economies will be but he remains “confident” in its long-term profitable growth. Cummins’ engineering expertise proved to be an advantage in light of the tougher standards for engine exhaust.
This was seen more clearly in emerging markets where several domestic competitors lack the technical skill to meet the tougher rules. Demand is driven higher by the expansion of infrastructure in emerging economies like South America, China and India. Cummins's engines are used in construction equipment, commercial trucks, and power generators.