Agilent Technologies, a spin-off of Hewlett-Packard, was founded in 1999 and headquartered in Santa Clara, California. With more than 18,700 employees around the world, it serves customers in 110 countries. Boasting a $7 billion dollar revenue, Agilent has a long history in communications, electronics, semiconductor, test and measurement, life sciences and chemical analysis industries. Earlier this year, Agilent acquired Dako (a company focused in cancer diagnostics). Competitors in like industries are National Instruments. Other competitors in the information technology sector include: LeCroy, Thermo Fisher Scientific, and JDS Uniphase.
One thing that is might surprise some engineers is Agilent’s expansion into biological research. There is an equally-sized part of the company that focuses on products for measuring the quality of the world’s air, water, soil, and food supplies, for forensic and drugs-of-abuse testing and for enabling breakthrough pharmaceutical research and discovery. The decoding of the human genome and advances in synthetic biology are fueling a revolution in this latter area.
When it comes to smooth operation and manufacturing measurement products, Agilent believes that the most critical part is the process of verifying its performance. At the high end, its product has to be more accurate than anything the customer will expect to be able to measure with it. Agilent finds test signals that are more accurate than its measurement product. Often using its own equipment, products are sometimes calibrated in advanced ways. Imagine needing to test a state-of-the-art oscilloscope with a very accurate signal source, and likewise needing a very accurate oscilloscope or spectrum analyzer to test the latest high-performance signal generator. In the more mainstream product segments, this problem is not as pronounced, but the challenge often involves achieving the right price points without compromising quality. Customers purchasing a $5000 product expect it to have rock-solid performance and quality, but Agilent cannot spend the same number of hours testing that product as it does a $300,000 instrument.
The atmosphere at Agilent has encouraged its employees to create more innovative products. Jay Alexander, VP and GM of Agilent’s Oscilloscope Product, explained the corporate culture.
“Our corporate culture is all about innovation, speed to opportunity, and teamwork,” said Alexander. “It’s affected me significantly and was actually one reason I joined the company nearly 27 years ago. Beginning with my first assignment as a test engineer, I learned that I was empowered and supported in pursuing innovation that benefitted our customers. I’ve had some great role models in the company in that respect, and at this point in my career, operating in such a culture is the only way I can imagine working. It’s how I, and other Agilent executives, strive to lead our teams so the culture continues.”
Because Agilent has expanded into the pharmaceutical research and discovery industries, the potential for product and geographical growth is anticipated. Relying on its strengths, Agilent sees modular instrumentation, in both PXI and AXIe form factors, as a big opportunity, and have a significant strategic initiative focused on it. From a geographic standpoint, China and more generally the Brazil, Russia, India and China (BRIC) countries represent significant growth potential. There are millions of engineers, scientists, and students there who will need measurement tools as their economies continue to develop. Those countries also offer large potential for growth for life sciences, chemical analysis, and diagnostics businesses.
There have not been too many changes in Agilent’s customers. Its base is still doing design validation, characterizing and troubleshooting electronic systems at various points in the value chain. Over the past 5 years what has changed for many customers is the complexity of their end products. Many of customer’s products are really systems in themselves. So the measurement requirements have become more involved, resulting in the need to help beat back some of the complexity. Because Agilent is in tune with its customers needs, a lot of work with application-specific solutions, and advanced user interfaces has been put forth. The other change seen involves customer demographic. There has been a shift toward younger engineers, who are more comfortable with computers and software, but less knowledgeable of RF and have less time to become experts in measurement equipment. So, again, Agilent’s focus is on more turnkey measurement solutions and on user interfaces that make customers jobs easier.
The biggest challenge Agilent foresees over the next year is the ambiguity around the world economic situation. Keeping its R&D funding strong, it has compelled new products in many categories to position itself well. Shifting to a more variable cost structure has allows financial flexibility, as required. Agilent expects to do very well as the economy turns up, and will keep developing new measurement technologies so that the solutions customers need are ready.
Agilent Technologies
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