{"id":35723,"date":"2022-12-27T14:24:53","date_gmt":"2022-12-27T14:24:53","guid":{"rendered":"https:\/\/one.sightlinemg.com\/c4isrnet\/uncategorized\/2022\/12\/27\/fincantieri-ceo-talks-us-frigates-vision-for-europes-naval-sector\/"},"modified":"2026-08-20T16:16:39","modified_gmt":"2026-08-20T16:16:39","slug":"fincantieri-ceo-talks-us-frigates-vision-for-europes-naval-sector","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/c4isrnet\/industry\/2022\/12\/27\/fincantieri-ceo-talks-us-frigates-vision-for-europes-naval-sector\/","title":{"rendered":"Fincantieri CEO talks US frigates, vision for Europe\u2019s naval sector"},"content":{"rendered":"\n

ROME \u2014 The building of new U.S. Navy frigates in Wisconsin<\/a> is about to get more efficient thanks to the introduction of techniques used to make luxury cruise ships in Italy.<\/p>\n\n\n\n

The Italian company Fincantieri, which is constructing Constellation-class guided-missile frigates at its stateside Marinette Marine yard, plans to implement processes it perfected building cruise ships on tight deadlines at its Monfalcone yard in Italy, CEO Pierroberto Folgiero told Defense News.<\/p>\n\n\n\n

\u201cWe aim to use more preconstruction on land at Marinette, which means building modules before adding them to the vessel, meaning less work in the dock and more work on land \u2014 which is much more efficient,\u201d he said. \u201cIt is the model we use for our cruise ships at Monfalcone and other merchant shipyards in the group. We are transferring the technique to our naval yards in Italy, and we have carried out a study to make changes at Marinette. We have sent a team and plan to put the changes into effect in 2023.\u201d<\/p>\n\n\n\n

Eight months after he was named head of the state-controlled company, Folgiero, 50, is focusing on the 2020 contract from the U.S. Navy for three frigates \u2014 of an expected total order of 20 \u2014 based on the FREMM vessels Fincantieri built for the Italian Navy. Work is already underway at Marinette, which Fincantieri purchased in 2008 and where it already builds Freedom-class littoral combat ships for the U.S. Navy.<\/p>\n\n\n\n

\u201cWe\u2019ve invested more than $300 million in our Wisconsin shipyards to meet the Navy\u2019s requirement of two frigates a year, and it\u2019s important we continue to improve productivity,\u201d Folgiero said, adding that the move to producing more modules on land will require additional covered areas and cranes to transfer the modules.<\/p>\n\n\n\n

The challenge is finding the employees to make it happen, he noted. \u201cThe key point is the availability of skilled staff, which is the bottleneck to maximize production,\u201d he said.<\/p>\n\n\n\n

As production accelerates, Fincantieri has said, the company will need 1,000 extra staff members at Marinette and the two other yards it controls in Wisconsin. At Marinette alone, the firm aims to increase the head count by 700 in the next three to four years, from 1,900 to 2,600.<\/p>\n\n\n\n

Fincantieri\u2019s unusual blend of work on defense platforms \u2014 which accounted for 29% of its 2021<\/a> \u2014 and cruise ships has produced synergies before, with lessons on comfortable quarters learned in cruise ship construction passed onto military vessels; conversely, cruise ships have benefited from naval tricks to make them more silent.<\/p>\n\n\n\n

The firm also claims it applies the same punctuality to defense orders as it does in the deadline-conscious cruise sector.<\/p>\n\n\n\n

\u201cThe operational discipline we have in the cruise sector we apply to naval construction, and we have a control of costs and times, which clients greatly appreciate: for example, Qatar, to which we have just delivered vessels on budget and on time despite COVID-19 disruptions,\u201d Folgiero said.<\/p>\n\n\n\n

The CEO was named to take over from retiring head Giuseppe Bono<\/a> in April after nine years running Italian engineering firm Maire Tecnimont Group, which is involved in building petrochemical plants. When it came to entering a new field, Folgiero said he had no qualms.<\/p>\n\n\n\n

\u201cThis business is about engineering, procurement and construction. We manage clients and contracts and sell, and that is what I have done for many years,\u201d he said. \u201cI don\u2019t believe you must only be an expert on the product. Companies can suffer by obsessing about the product. What you must know is how to improve processes, achieve operational excellence and perfect the engineering. It\u2019s about how you buy and build.\u201d<\/p>\n\n\n\n

Focus in Europe<\/h1>\n\n\n\n

Folgiero also told Defense News that he is plotting tighter cooperation with another Italian defense giant. Leonardo, which builds systems for Fincantieri vessels destined for the Italian Navy, is already partnered with Fincantieri in the joint venture Orizzonte Sistemi Navali.<\/p>\n\n\n\n

\u201cWe want to increase cooperation with Leonardo and reinforce Orizzonte Sistemi Navali to increase the integration between platforms and combat systems. We also want to increase joint marketing,\u201d he said.<\/p>\n\n\n\n

\"\"
Pierroberto Folgiero took over as CEO of Fincantieri in April 2022. (Fincantieri)<\/figcaption><\/figure>\n\n\n\n

He also said Naviris, Fincantieri\u2019s joint venture with France\u2019s Naval Group, is the \u201cperfect\u201d springboard to usher in a more integrated European defense industry. \u201cNaviris can help Europe align requirements and make industry cooperate. We will bring in more industries as more common multinational requirements appear.\u201d<\/p>\n\n\n\n

But he warned governments \u2014 not industry \u2014 must take the lead in pushing integration<\/a>.<\/p>\n\n\n\n

\u201cThis is, above all, geopolitical and depends on alliances between states. I don\u2019t believe managers should be in charge of the industrial policy choices of a nation. The nation should do that while managers should take care of their companies along the lines defined by nations,\u201d he said.<\/p>\n\n\n\n

One possible catalyst for European integration will be the sale of Oto Melara<\/a>, the Leonardo-owned firm making turrets for tanks and naval cannons. French and German buyers have expressed interest since Leonardo hinted it was on the block, with Fincantieri a rumored Italian investor.<\/p>\n\n\n\n

But Folgiero appeared to pour cold water on the idea.<\/p>\n\n\n\n

\u201cI am extremely prudent about moving outside our core business. A firm should focus on its core business, so this is not the first idea that comes to mind,\u201d he said.<\/p>\n","protected":false},"excerpt":{"rendered":"

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