Fluor Corporation 2000 Annual Report | Fluor Signature Services

Fluor Signature Services (FSS) has successfully completed its first year of operation as the shared services enterprise within Fluor Corporation. The organization’s charter is to provide business administrative services to multiple operating units within Fluor as well as businesses outside of Fluor Corporation. This concept has facilitated streamlining of operations and is now providing services in a more cost-effective manner. By looking to FSS for the necessary support and business services, Fluor’s operating units have the opportunity now to focus all of their energy on their core business.

The goals FSS attained in the Year 2000 include:
• Successfully implemented shared services model ahead of schedule
• Significantly reduced Fluor’s overhead costs
• Standardized computing platforms to increase efficiency and reduce costs
• Implemented Fluor’s Enterprise Resource Management system, SAP, to select U.S. Finance and Human Resources systems
• Delivered more efficient and cost-effective services to our customers
• Achieved break-even performance in our first year of operation

To help engage Fluor Signature Services’ members in this new business, a vision and mission was created. A Balanced Scorecard was developed to link company goals with individual performance objectives.

TRS’ Staffing Solutions, a unit within Fluor Global Services, was aligned with FSS’ as of November 1, 2000, to capitalize on the synergy between the two organizations. TRS staffing capabilities are complementary with FSS administrative and support services, particularly in the human capital management arenas, accounting and finance, and information technology. The combined size of TRS and FSS ranks the organization as a significant player in this rapidly growing industry.

Looking ahead to 2001 and beyond, Fluor Signature Services will generate rewarding financial performance for the corporation and its stakeholders. FSS has two major objectives. First, to retain and enhance its position with internal customers by upgrading our service delivery and identifying products and technologies which will enhance capabilities and strengthen operations.

Second, Fluor Signature Services will enhance its financial contributions to Fluor through several initiatives. FSS will further reduce costs and upgrade value of services by capitalizing on an improved information technology infrastructure and further implementation of SAP. In addition, a strategy will be developed regarding much greater sales for TRS and FSS in external markets.

As part of Fluor’s effort to increase efficiencies and reduce costs, FSS launched the Global Pentium III Project to standardize computing platforms across the company, thereby providing more effective customer service, reducing overall IT support costs and preparing for the SAP implementation.

Fluor’s leading edge approach to injury prevention and management, assists clients in attaining record lows in total lost workday and recordable cases. Safety performance is a key differentiator to clients such as NAM BV in The Netherlands, where a safety alliance among project managers and team members achieved their safety objective as Best in Class for the oil and gas industry.

To support Fluor’s goal of performance improvement, the initial phase of its Enterprise Resource Management system, SAP, was implemented in 2000. Training is a key part of the implementation, including classroom and web-based training courses that allow the user to learn at their own pace and provide on-the-job performance support.

Due to the fact that Fluor Signature Services completed the year ahead of schedule and its financial plan, the pursuit of external sales outside of Fluor Corporation has been accelerated. The external sales strategy includes evaluating the organization’s capability and competition, and developing a targeted plan to sell individual as well as integrated service offerings. The primary objective, however, remains to exceed the service expectations of Fluor customers.

Fluor Signature Services is dedicated to solidifying its position as a premier service provider. The company will continue to provide world-class products and services to its customers and leverage the knowledge and capability of its members.

The coming year promises to be an exciting and challenging one for Fluor Signature Services as it continues to evolve and provide shareholder value to Fluor Corporation.

Fluor Corporation, One Enterprise Drive, Aliso Viejo, CA 92656-2606 U.S.A. Tel: 949.349.2000 Fax: 949.349.5271 © 2000 Fluor Corporation. All Rights Reserved. Fluor is a registered service mark of Fluor Corporation.