An Overview of Trinity Industries

Table of Contents

Organization
Structure
Yearly Performance
Management and Culture
Conclusion
References

Trinity Industries is an industrial corporation that provides products and services for transportation, construction, and energy sectors. According to the official website of the corporation (Trinity Industries, n.d.), since November 1, 2018, Trinity Industries split up into two independent companies. Trinity focuses on the supply of railcar products and services, while the second company is engaged in the production of infrastructure-related products. The current paper discusses the companys background, market demographics, financial position, and governance policies.

Organization

Trinity Industries appeared in 1958 as the result of an amalgamation of Trinity Steel and Dallas Tank. Initially, Trinity had been producing tank rails cars that could transport such commodities as propane tanks and structural wind towers (Schultze, 2011). The companys administration strives to maintain its leading position of North American provider of railcar products and services (Trinity Industries, n.d.). The prosperity of Trinity Industries proves that the leadership successfully copes with this task. Talking about the size of the company, Trinitys market capitalization, the total value of all its shares of stock, equals to $2.2 billion (Investor Fact Sheet, 2019). 11875 staff members are officially employed by the company (Trinity Industries Inc, n.d.). From the companys specialization could be inferred that it performs in the industrial sector and the industry of transportation equipment. Overall, Trinity Industry is a large conglomerate that includes several spin-off companies and it the leader in the sphere of production of railroad equipment on the US market.

Structure

The organizational chart of Trinity Industries consists of forty-eight executives. The Chief Executive Officer and President Jean Savage has in subordination twelve vice-presidents. The vice presidents are responsible for such sectors as taxation, leasing, government relations, business development, and finances. The board consists of five directors and one non-executive Chairman, Leldon E. Echols. In addition, the whole Trinity is separated into five sections, including rail, management services and leasing of railcars, inland barge, construction services, and services related to energy equipment. Each subsection of this structure has its people in charge who are accountable to the Chief Executive Officer of Trinity.

Yearly Performance

As has been mentioned earlier, Trinity Industries remain the leading conglomerate in the sphere industry of transportation equipment in the US. According to Earnings Press Release (2019), during the recent year, the company got a total revenue of $3,005.1 million. In comparison with 2018, the growth of total revenue is equal to almost 20 percent (Q4 2019 Earnings Press Release, 2019). Below there is a comparison of total revenues of three its competitors, which include Westinghouse Air Brake Technologies Group, The Greenbrier Companies, and Freightcar America.

The comparison indicates that Trinity Industries is not a leader in revenue received over the last year. In 2019, Westinghouse Air Brake Technologies Groups revenue was $ 8,200.00 million and witnessed growth over the year for more than 100 percent. The Greenbrier Companies were also more prosperous since their year revenue was $3,033.59 million. Freightcar Americas total revenue in 2019 was $229.96 million. Besides, the revenue of the last two companies fall significantly in contrast to 2018. More precisely, the revenue of The Greenbrier Companies fell by 5 percent; Freightcar Americas total revenue fell by almost 49 percent (CSIMarket, n.d.). Therefore, Trinity Industries could not be called the most financially successful corporation. Nevertheless, its Senior Vice President and Chief Financial Officer Melendy E. Lovett indicates that 20 percent total revenue increase is still a significant achievement since the railcar industry is currently in decline (Q4 2019 Earnings Press Release, 2019). Consequently, Trinity has the potential for further development in the industry of transportation equipment and railroad.

Management and Culture

Trinity Industries promote operational experience, loyalty, and collaboration. Its culture is based on the assumption that the spirit of entrepreneurialism helps to develop the company and that every employee should have a right to speak out and be heard. Additionally, the company is result-oriented and thus encourages the implementation of new ideas and approaches. From this, it could be inferred that Trinity practices democratic management style since it values its employees and takes care of them. The company also has some degree of freedom in the sense that workers have a chance to discuss difficulties with the managerial staff. This became possible due to the implementation of the procedure of internal control. This way, the managerial personnel became responsible for the control of internal procedures. Later, accountability was increased with the help of the creation of a self-assessment system. As a result of this system, each control unit gained its responsible owner (Schultze, 2011). Thus, the culture of Trinity Industries and the strategy of governance that takes into consideration the requirements of average employees are highly beneficial for the creation of a productive working environment.

Conclusion

To sum up, it should be noted that Trinity is a substantial player in the industrial sector. As the comparison with the comparison has indicated, the conglomeration does not earn as much revenue as the other companies in the industry of transportation equipment. However, the long history of Trinity Industries that begun 62 years ago, as well as the management style and culture, indicate that Industries have a potential for further development and possess high sustainability.