HIGHLIGHTS

1984 1983 HOW 1984 COMPARED WITH 1983 Sales Profit Sales Profit £m £m £m £m CONTENTS Electronic Systems and Components 1,578 200 1,409 158 Chairman's Statement 3 Telecommunications and Business Electronic Systems and Components Systems 735 94 735 87 4,5 and 6 Automation and Control 448 53 425 48 Telecommtmications and Business Systems 7 and 8 Medical Equipment 435 24 412 16 Automation and Control Power Generation 623 52 680 70 9, 10 and 11 Medical Equipment Electrical Equipment 754 50 653 52 12 Power Generation Consumer Products 279 24 264 20 13 and 14 Electrical Equipment Distribution and Trading 197 14 214 13 15, 16 and 17 Consumer Products 18 5,049 . 511 4,792 464 Distribution and Trading 19 Associated Companies 20 Total Profits made before tax 671 670 Research 21 and 22 Training 23 and 24 Average number of Employees 170,865 178,061 Their Employment Costs £ 1,584m £ 1,545m Number of Shareholders 177,267 159,984 Cost of their Dividends £ 95m £ 82m Dividend per Share 3.45p 3.00p

2 CHAIRMAN'S STATEMENT

When Lord Carrington was to serve its customers, at home people we do need increasingly There is plenty of room in the I have been very glad to appointed Chairman of the or overseas, whether individuals, are those with higher skills; the world for a British manufacturing see the good response to the Company in February 1983, it corporate bodies or demand for electronic engineers industry much larger than today, Share Option Schemes we was far from his thoughts, that he governments. and technologists, software and plenty of demand at home introduced in 1983 and under would be called upon to re­ It is about twenty years ago specialists and computer for its products, many of which which further options were dedicate his life to public that the Company's management programmers is unabated. We are now being imported. GEC granted in February this year. service. We wish him well in his developed the pattern of do much to train our own, but has proven that relatively small We intend, with shareholders' new appointment as Secretary­ behaviour and attitude which the supply of young people with companies can grow into large permission, to improve the General of NATO, and we know has led to the remarkable the right basic educational ones in twenty years, even Savings-Related Share Option he will bring to the success of GEe. In the first requirements and with the right during a period of intense world Scheme, and to introduce a new accomplishment of his task the decade there was a dramatic inclination for these types of competition in our products. It Option Scheme for GEC same high quality of leadership, improvement in efficiency, work, is as yet insufficient to will help us all if other Managers, as made possible by good humour and professional reduction in costs and meet the demand. At a time of manufacturir)g companies do the the enactment of the excellence as we have increasing research and high unemployment, it is difficult same, for Britain cannot look for Chancellor's 1984 Budget witnessed in the Company development - all this in a to understand why the its future prosperity to the proposals. during his period of period of full employment when educational system is apparently service and financial sectors to We are also recommending chairmanship. we are told these things can not unable to satisfy the demand replace the wealth created by to shareholders that the It falls to me, as Deputy easily be achieved in the nation when and where it is required. I its manufacturers. Company be granted authority Chairman, to present this year's as a whole. And in the second hope universities as well as What is clear, however, is to purchase its own shares, Chairman's Statement. It is a decade, amidst fast schools will find ways of that the demand for labour is which can be of benefit to them. privilege to do this as I shall be technological change and one correcting this. Too many concentrated on highly These are detailed, but retiring from the Board at the economic crisis after another, graduates emerge from the productive skills. It is, indeed, potentially important changes Annual General Meeting, having the Company added further to universities ill-equipped to fill the two countries in the world which will, I am sure, help the reached the age of 70 years. I the strength of its base, as well available vacancies and become whose productivity is highest, Company in the future. became a director of The as to its sales overseas and at disillusioned because the jobs to the United States and Japan, I have emphasised the General Electric Company in home. I know of no opportunity which they aspire do not exist. which have been able to retain importance to GEC of highly 1957, and it is 20 years almost for sound investment which has Lord Nelson of Stafford, in something like full employment. skilled and well motivated exactly since I began a four­ been missed, but many his 1982 Chairman's Statement, In Britain it has been the high people. Over the years we have year period as Chairman of the proposals have been examined expressed concern for the productivity industries, such as to say goodbye to many such Company prior to the merger and discarded for sound problems raised by the high \ electronics, where levels of people. There is one this year, with English Electric. One reasons. level of unemployment; to quote employment have remained Sir Robert Telford, to whom I indication of the growth of the During this time the his words: "improved high. want to pay a special tribute. He Company in those twenty-seven Company has been directed productivity and the exploitation In GEC we believe we is leaving after working for 47 years is the profit for the year from a small headquarters of new technology will bring contribute to national years in the Marconi Company, ended 31st March, 1957, after tax building at 1 Stanhope Gate. about far reaching changes in employment in three ways. As a which when he joined was still and attributable to the There is no large central staff the patterns of education, highly productive company with operating under its original shareholders, compared with and no elaborate institutional training, work and leisure". He healthily increasing profits we name of Marconi's Wireless that of the year ended 31st structure. Responsibility has went on to say that "we cannot have maintained a good level of Telegraph Company and was a March 1984; the 1957 figure was been placed on the managing expect to see again what used employment. As exporters, constituent part of Cable and £2,397,336, the 1984 figure is £389 directors of the operational units, to be called 'full employment'. making extensive use of Wireless. His contribution to the million. How far we have come following the financial and The maintenance of stability in subcontractors, we bring work Company's success and to British in providing fuller information to management disciplines now the community requires a steady to Britain. As manufacturers of electronics will never be our shareholders is illustrated by well known. There is no change in attitudes and the the most advanced electronic forgotten, as he leaves to make the fact that in 1957 the intention to change that formula. evolution of new social patterns. and electrical equipment, we way for younger people. Accounts did not even disclose With the advancement in To think out how to control this help raise productivity - and the turnover of the Group, and I technology, the composition of process is surely a subject on that in turn helps to inspire the must add that not only our workforce has changed. which the efforts, ingenuity and competitiveness of British shareholders but directors too, More automation, more use of brains of our national and industry. The rise in British were short of important microprocessors, and the micro­ political institutions should be productivity in recent years is information in those days. But miniaturisation of many of our concentrated" . the solid ground for hope about one thing has not changed over products, mean that fewer and I agree; and it is to be the future of employment in ~\~~ the years, and that is the fewer people are needed for a hoped that we shall find a way Britain. preoccupation of the Company unit of production. But the to a kind of full employment. Lord Aldington

3 ELECTRONIC SYSTEMS AND COMPONENTS

Production of a wide variety of terminals were delivered, Award for Export Achievement PERFORMANCE products for the Tornado aircraft particularly a tactical anchor has been received for the continues satisfactorily, as does terminal for the UK military growing export sales of Rapier the supply of advanced data Satcoms Network, and an tracking radars, and artillery and processing equipment for upgraded version of the highly tank fire control equipment. 1984 1983 passive sonar for ships and successful naval Satcom A separate company, United aircraft. Considerable terminal, SCOT. A third Satellites Ltd. , was formed with importance is attached to MARECS maritime British Aerospace and British Turnover £1,578rn £1,409rn exploiting spin-off from military communications payload has Te1ecom International, to technology; one example is the been delivered and will be provide through the Unisat including Exports supply of radars for the launched later this year to series of satellites, a television measurement of bunker content provide a service for broadcasting service for the from UK £ 411rn £ 359rn for the National Coal Board; International Maritime Satellite BBC and a transatlantic and another is a pattern recognition Organisation (INMARSAT), to European communication equipment for automatic whom a major prime bid has service for British Te1ecom. Profits £ 200rn £ 158rn inspection for the Ford Motor been delivered to supply Work on the satellites was Company. Continued progress is replacement maritime suspended in March as a Order Book at being made in the North Sea oil communication satellites. The consequence of a decision of the recovery business, where there main work of the year in the BBC not to proceed on the year end £2, 458rn £2, 395rn is a contract to develop a new space field has been the originally agreed basis, but will generation of unmanned completion of the design and the probably resume if new undersea inspection vehicles; start-up of the manufacture of arrangements can be settled. pace and Defence Systems, the there are also contracts for the the engineering models of the In the current financial year, Canadian and Italian Marconi development of high reliability Skynet 4 and L-Sat four new management S control gear for deep undersea communication pay1oads. Work companies have been formed, companies, Instruments, Electronic oil wells. has continued in the definition of Marconi Defence Systems Ltd., the active microwave instrument Marconi Space Systems Ltd., Devices and the Valve Companies Marconi Avionics Inc.'s sales (which includes synthetic Marconi Secure Radio Systems showed the most substantial advances were similar to last year. The aperture radar) of the European Ltd., and Marconi Command and year-end order book is down, Remote Sensing Satellite No. 1 Control Systems Ltd. This is a in turnover, and, with 11 vionics and but several substantial export (ERS 1). A useful order has been reflection of the opportunities for Underwater Systems, contributed most orders are awaited which will won to design and manufacture further expansion in the product enable expansion to continue. sub-systems on four continental fields concerned, particularly in to the higher profits. New premises are under Meteosat weather satellites. The export markets, and will provide construction. Marconi Avionics Ltd. had a display developed for US Air order book is still growing, and an additional impetus for new satisfactory year. Sales were Force night attack systems is Marconi Space and Defence with the recently announced developments. similar to last year and orders in successfully undergoing flight Systems Ltd. again expanded its order for Zeus jamming Marconi Underwater Systems hand some 10 per cent higher. trials as part of the LANTIRN operations, and sales were up 20 equipment for Harrier aircraft, Ltd. has, during only the second Exports continue at about 50 per system programme. Thermal per cent on the previous year. now stands at over £650 million. year of its existence as a cent of sales and the export imaging equipment is now in full Sales of radar guided seekers Other important orders for separate company, strengthened order book is growing slightly scale production and is for Skyflash, Sea Dart and Sea electronic warfare equipment and built on its main product faster than the home order book. attracting considerable Skua missiles reached an all included the Hermes base of the Sting Ray, Tigerfish The development programme worldwide attention and orders. time high, and deliveries surveillance system for the and Spearfish torpedoes. Sting for the new wide-angle head-up The standard air data computer, commenced of the new Sea Indian Sea King helicopters. The Ray was delivered on time to display for the General developed under contract to the Eagle missile seekers. Deliveries award of the ALARM missile the Royal Navy and Royal Air Dynamics F 16 CID aircraft has US Air Force and Navy, has of Skyshadow, the world's most contract against keen US Force in September 1983 and is been completed, and 1arge­ completed its trial programmes advanced jamming pod, reached competition was a noteworthy successfully undergoing Fleet scale deliveries will start in mid- and has been formally accepted the full predicted rate. Several achievement for the well­ acceptance trials; negotiations 1984. The holographic head-up as ready for production. advanced satellite-to-ground established guided weapons for the main production order seeker business. A Queen's 4 This brings the total value of London, and a containerised continue at the same level orders for the new lightweight ground terminal was installed in . during the current financial year. Sea Wolf system to more than the Falkland Islands. Activities in the fields of £100 million. A new vessel traffic operational analysis, system has been developed for Marconi Instruments Ltd.'s mathematical modelling and harbour approach control; the continuing success was reflected system studies have shown a prototype is under trial at in its results. Orders received steady growth. Business in the Harwich. The first Martello 3D increased almost 40 per cent, new field of command and radar for the Royal Air Force with the greatest growth in control has been vigorously has been completed. Orders automatic test equipment. pursued and prospects are were received for the supply of During the year the assets of reasonably bright, mainly for the new Marconi Merlin airfield Quest CAE were purchased to export. Substantial interest surveillance radar for Newcastle provide a new business in continues to be shown in (already in operation), Amman computer-aided engineering, EAMACS (Easams Architecture and Bombay airports; a military and to complement the interests for Management and Control version of this radar has also of existing commercial automatic Systems) which is designed to been developed. The new test equipment products. There manipulate and display different Messenger range of monopulse is now a broad-based capability types of data in both civil and secondary radars has been for an integrated systems military command systems. The introduced, together with two technology and for further provision of software adaptors, new lightweight military gap­ development of the "Factory of for use with automatic test filler radars. Development was the Future" concept. The equipment, are meeting a completed of the Astrid radar commitment to enhanced growing demand. The results display system and the first development programmes was suffered adversely as a order received for the Royal demonstrated by the consequence of the mutually Naval air station in Yeovilton. A introduction of several major agreed termination of a project new lightweight 400 Series \ new products, including a digital undertaken in 1981 for the radar, capable of both functional test system, a range of British Gas Corporation which surveillance and tracking, is now microwave power meters, and was found to be unfeasib1e. under development together the Master Driver railway train are at an advanced stage. An antenna being tested in an anechoic simulator. Export activities McMichael Ltd.'s sales of Spearfish is ahead of chamber at Canadian Marconi. The with an associated anti-aircraft antenna is for an airborne radar turret system. Orders worth remain healthy, as new markets military and professional programme, and development Doppler navigational system. Of great are penetrated and new sales electronic equipment continued vehicles have been successfully accuracy, the system has been supplied more than £4 million were received for the new1y­ operations are established at a steady rate, but elsewhere fired on trials. The project to 40 countries and is fitted to over 100 worldwide. Over 400 jobs were the company has undergone a management and engineering different types of aircraft. established satellite antenna operations. created in the UK during the year of reorganisation and expertise gained during the year and, with stronger sales reconstruction. The work in development these torpedoes of been received and Marconi Communication and engineering teams, another sonar systems for the Ministry of being already is extended to mines, there other very Systems Ltd.'s sales were year of rapid growth is to be Defence has been transferred and are counter-measures encouraging prospects. higher than last year with British expected. The performance of the into Marconi Underwater . underwater vehicles, and will be Te1ecom, Cable and Wireless overseas units was very Systems Ltd. and Mobl1e RadlO enhanced by the addition of the Marconi Radar Systems Ltd. and Mercury as major encouraging, especially in has been transferred mto Defence Division of GEC­ continued its recovery following customers. The digital data France where orders received MarcoTIl CommUTIlCatlOn Systems McMichae1 and the Naval cancellation two years earlier of network activity is gathering incre~ed more than 50 per Ltd. Electronic equipment for Division of Marconi Space and naval orders. A contract was pace with export successes in cent. professional users, particularly Defence Systems. The product received for development of Sea Australia and New Zealand and for broadcasters, has been base is thus widened to include Wolf missile systems for the further prospects in the coming Easams Ltd.'s substantial combined with the Studio sonars. The potential for exports Type 23 frigates together with year. Small satellite ground involvement in the Tornado Equipment Division of Marconi is high; the first orders for both orders for 14 more Sea Wolf stations were delivered to British programme has been Communication Systems Ltd. Tigerfish and Sting Ray have radars for the Type 22 ships. Te1ecom and to Mercury in maintained and is expected to Heavy costs were involved in

5 ELECTRONIC SYSTEMS AND COMPONENTS

these areas, as a result of which order from the Malaysian Reorganisation is taking place to made at Chelmsford and sold applications, and power trio des a substantial deficit was incurred Telecommunications Authorities improve viability. mainly to the USA. Other major for the steel industry. for the year. for the new pulse code achievements in the year modulation telephone multiplex Marconi Electronic Devices included doubling liquid crystal Salford Electrical Instruments The Marconi International equipment, and orders received Ltd.'s business grew rapidly, display orders, high efficiency Ltd. had a good year in its Marine Company Ltd. had in the Italian market were with sales and orders over 40 broadband VHF TV klystron successful Quartz Crystal and another difficult trading year but, satisfactory both in the military per cent higher than a year sales to the USA, 49 per cent Electronics Divisions following although world shipping and in the civil field. The earlier. Substantial investments increase in variable vacuum the streamlining of its product continues in recession, there prospects for the current year were made in development and capacitor orders for broadcast range and manufacturing were positive signs during the are good. capital equipment to meet the transmitters, and sales to Japan facilities. Two new high volume latter part of the year of an rapidly growing demand for of new civil marine radar products were successfully upturn in sea trade, a view Cincinnati Electronics specialised electronic magnetrons. The current year launched during the year; an in- endorsed by the General Corporation, USA, did not components, particularly for the will see the completion of the car aerial using the rear window Council of British Shipping. The secure for its Communications telecommunications and defence first large screen video display. heating element was selected industry has changed radically Division the production contract industries. Greater penetration by Fords for its "Orion" mid- in recent years in terms of fleet for the US Army "Frequency of export markets was achieved, The M-O Valve Company range car; and a personal size, disposition, and the Hopping Radio" known as and for power devices, orders Ltd.'s sales and orders were radiation dosimeter for use by methods and centres of Sincgars, although the from overseas customers offset higher than expected, the Armed Forces. operation. company's radio was declared particularly for surge protection the low level of demand in the Salplex Ltd. maintained acceptable by the US Army UK. devices, but accompanied by a Canadian Marconi Company's evaluation team. The final sharp drop in demand for reed progress with the development sales increased by competition with ITT for the Circuit Technology Inc., USA, relays for telephone exchanges of a multiplex wiring system for approximately 30 per cent over initial production contract increased its order book during and receiving valves. Research motor vehicles. Favourable the previous year. Incoming marked the end of six years of the year and has enlarged its and development activity is results in performance and orders also rose to a record development effort, which had facilities. The custom hybrid and being notably increased, reliability from an ongoing field level, with virtually all the new started with five competitors. 1553 multiplex data bus system backed with investment in new test programme are arousing business coming from non- Since failing to win this contract, businesses are expanding at a plant, technical computing, increasing interest from UK and Canadian markets. The strongest the Communications Division has brisk rate and growth is renovation of facilities and overseas manufacturers. The performances were achieved in launched five new products expected in the integrated marketing support. A new incorporation of the system into the two largest product groups, which are expected to result in circuit design centre and power product range, integrated circuit a production car is likely to be defence communications substantial sales in future years hybrid market. packaging, is being introduced announced in the coming year. equipment and airborne systems to the Department of Defense and will become a major GEC Australia Ltd. The Digital, for commercial and military use. and in international markets. The English Electric Valve activity. Sun World Circuits Inc. of Company Ltd. had a record Defence and Telecommunications Aerospace Division is well Division, now re-named Florida, acquired in 1982, a positioned technically to year with orders increasing by EEV Inc., USA, had a good year manufacturer of double-sized 44 per cent and sales by 23 per with higher sales, and orders up "Marconi Division", has taken continue the growth it achieved over a new design and printed circuit boards, showed during the year. The Systems cent. It obtained its largest-ever 32 per cent. This was mainly the first signs of progress. single order, worth £9 million, due to first sales of tropospheric manufacturing facility at Division completed development Silverwater in Sydney, following Research and development and installation of an electronics for state-of-the-art third scatter klystrons to the US Air expenditure was again stepped generation image intensifiers; Force, microwave integrated its appointment as prime warfare simulator for the US supplier to the Australian up and exceeded 10 per cent of Navy; new products include a production facilities are being circuits for weather radar sales value. expanded at the Chelmsford applications and digital X-Ray Te1ecommunicatioI)S Commission fire control system and aircraft of digital data network tail warning receivers. factory. Two Queen's Awards for Leddicons for medical use. Marconi Italiana SpA!s orders Technological Achievement equipment. The Division also in the year, of which 30 per cent Norsk Marconi AlS, Norway, were won, one for 1inac EEV Canada Ltd. increased its received its first important order were for export, were 17 per had a difficult year due to lack magnetrons manufactured at sales by 21 per cent due to for defence equipment and has cent lower than for the previous of orders in the offshore oil Lincoln which are used to treat greater market share in won contracts for the first year, which was exceptionally sector, only partially offset by an estimated 12 million patients Leddicon television camera Australian-designed train influenced by a very large improvements in the instrument a year, and the other for pick-up tubes, sales of describer and for a telemetry Middle East contract for military landing system business. hydrogen thyratrons which are integrated microwave packages, system for the New South Wales radio stations. There was an 1inac magnetrons for medical State Rail authority.

6 TELECOMMUNICATIONS AND BUSINESS SYSTEMS to BT, Mercury, British Rail and programme for the introduction The very substantial PERFORMANCE others. Terminal Division's sales of System X into the UK network. investment made over the last of data modems increased Telephone Switching Group, in few years in product satisfactorily. collaboration with Plessey, was development and advanced Telephone Switching Group successful in winning the manufacturing facilities, has 1984 1983 had a transitional year; contract to supply 83,000 lines of provided GEC production of the modern digital System X to the City Council of Telecommunications with the systems, System X and UXDS, Kingston-upon-Hull, until capability and capacity for Turnover £ 735m £ 735m has been rising whilst recently the only independent volume production of a range of production of the older public telephone operator in the advanced digital switching and including Exports electromechanical and reed UK. Installation of the first export relay systems reduced. This System X exchange for St. from UK £ 4lm £ 41m pattern will continue at an Vincent commenced in August accelerated rate during the 1983, and of the first UXDS Reliance Systems' new executive current year to meet the digital rural exchanges in the workstation Datacom. Built to enable Profits £ 94m £ 87m managers to handle voice, data and text recently enhanced BT Solomon Islands in February in one compact package, it also 1984. provides fast access to many GEC Telecommunications' information sources. Offe ring a wealth Order Book at of facilities, Datacom has been Defence Systems Division is designed in conjunction with GEC's new year end £510m £518m prime contractor for Project SLX private telephone exchange. These UNITER which is expected to are two new products introduced by become the principal strategic Reliance Systems of Wellingborough to ower turnover of the Telephone communications system for meet the demands of the modern office. L Switching Group and Reliance the Armed Forces. Systems was compensated by higher sales of the Transmission Group, Telephone Division and Videojet Systems. Better profitability of the Transmission Group, Telephone Division and a turn-round in the results of A. B. Dick more than compensated for the reduced profits of the Telephone Switching Group. GEe Telecommunications the high capacity, bandwidth­ Ltd.'s Transmission Group efficient, 4 GHz radio system that maintained its growth during the forms a key element in BT's year, based on British Telecom's future network plan. Continued conversion of the national large orders for pulse code network to digital operation. modulation equipment enabled Substantial orders were also Multiplex and Cable Systems received from British Rail and Division to increase sales and Mercury Communications Ltd. optical fibre systems are now Microwave Division introduced being sold in increasing quantity

7 TELECOMMUNICATIONS AND BUSINESS SYSTEMS

transmission products. The from CDSS-1, offers voice and increased by more than SO per GEC Optical Fibres benefited view can be taken of its establishment of GEC Te1ecoms data switching capabilities and cent due to the receipt of an from increased sales of prospects. International is giving the has potential for sales in North initial production order for monomode fibre which has now Company steadily increasing America, Europe and the Far project Wavell, first orders for displaced all other types for Videojet Systems International opportunities to sell these East. The introduction of the the GEC Series 63, and further telecommunication trunk routes. continued its impressive growth products overseas. large PABX known as the SLX, large overseas Preste1 orders in Production capacity was record in automated AEI Telecommunications the successor to the SL-1, has Malaysia and Austria. The 4100 doubled in the year. Further identification and coding (Canada) Ltd. increased sales been very successful and series continues to do well and plant is being commissioned and systems and graphics. A new and margins, although neither market share in 1984 is further hardware and software manufacturing methods are standard in industrial coders are yet at satisfactory levels. expected to double. developments for these being constantly improved so was established with the Winnipeg-made products were Reliance Systems Ltd is machines are progressing. The that output capacity will shortly Videojet In coder, a sharply reduced in volume due meeting pressures from the strong position in computer­ reach 50,000 Km a year. microprocessor-controlled ink to continuing low activity in changes in the market place for based communications is now jet machine capable of print Canada's telephone switching telecommunications equipment, extending to the ability to A. B. Dick Company I the US rates of 1,375 characters per sector and slow market which impose difficulties but provide complete networks and producer of office equipment, is second on virtually any surface. acceptance of a major new also create opportunities. The services. Success in winning the now in a much healthier With substantially enhanced product in the USA. successful launch of the Key1ink continuing British Te1ecom condition than a year ago. features, the VIP system, an small telephone system and the Preste1 business in the UK will Extensive organisational changes advanced on1ine ink jet printer, GEC Information Systems increased sale of large SL-1 enhance the potential in the have been made, facilities achieved higher sales to the Ltd.'s sales increased by nearly PABX's complete with line growing international Viewdata streamlined, and operating costs high volume publishing and 20 per cent but increasing wiring, telephones and market. Production of the Series reduced. Concentration on up­ catalogue printing houses. competitive pressures and high maintenance, are examples of a 63 machine will commence in to-date improved designs of Accelerated growth is expected spend on new product new drive to take advantage of the current year and is expected offset printing machines, the as product date coding development adversely affected these opportunities. So too are to make a progressive mainstay of the business, led to legislation becomes effective in margins. other new products, such as the contribution to results. an increase in sales and more countries. Telephone Division recently introduced Roomcall - margins. Old models of word achieved record levels of Telephone Cables Ltd. OrCters processor equipment were Scriptomatic Inc.'s business 500, an advanced was badly affected by reduced activity and high order intake. microprocessor-driven hotel received and in hand declined phased out during the year, and The designs for its range of but a large share of the UK a new range of factored margins because of rapid communication system, and the changes in technology from electronic key-systems and development of the UK's market was won for optical fibre microcomputers is being telephones have proved to be cables. Optical fibre cable introduced, the "Knowledge cardsort systems to micro­ smallest digital PABX. In the computers. A write-down of very competitive in the UK, and current year, Reliance will systems have also been sold in Worker" series, a state-of-the-art attention is now being directed collaboration with GEC shared-resource system which obsolete inventories, the sale of launch a sophisticated office the Brazilian subsidiary and towards raising export sales, communications system based Telecommunications Ltd. in utilises the most popular particularly in the Middle East Australia, New Zealand, Nigeria operating formats and can be reorganisation of the Canadian mainly on products developed in operation also contributed and the Far East. In the co-operation with other GEC and Tunisia. Including other programmed in a variety of expectation of keener types of cables, overall sales languages. There has also been adversely to a very poor units, includirtg SLX, and performance. competition at home and Datacom, the first truly were about the same as for last brought to the market 'M-Path', a overseas, the Division is integrated executive year, but margins were down in unique software product which Parnall & Sons Ltd. made good engaged on programmes of cost workstation, so that a the struggle to maintain factory makes its machine exceptionally progress and achieved better reduction, at the same time comprehensive range of office load. The surplus of capacity user-friendly in the office results. Substantial contracts increasing the tempo of automation products will be relative to the level of demand environment. A new small offset were obtained for Terminal 4 of development of a wide range of offered. adds urgency to the drive to printing machine, and an Heathrow Airport, and new electronic products with GEC Computers Ltd. reduce costs and improve improved version of the only refurbishment work for British advanced facilities. Substantially higher expenditure factory efficiency. But for optical updatab1e microfiche machine Home Stores. New products Private Systems Division on new product development fibre cables, more offer further extensions to the were introduced in the Tansad achieved higher sales of the more than eliminated total gross manufacturing capacity was product range. With the office furniture range, and more CDSS-1 P ABX and is currently margins earned on only installed, and is being further business now earning positive are planned. the largest supplier to the UK modestly increased sales. increased to meet longer term margins and a new impetus in market. The "Lyric", evolved Orders received, however, potential. its operations, a more optimistic

8 AUTOMATION AND CONTROL

PERFORMANCE

1984 1983 Turnover £448m £425m including Exports from UK £121m £109m Profits £ 53m £ 48m Order Book at year end £316m £257m

~lectrical Projects and Industrial ,&;, Controls substantially increased their sales, but in llustralia there was a lower rate of contract completions. Several businesses contributed to docking based on the GEMBO automated factory at Kidsgrove A new electronic kitchen scale from higher profits with the most marked microprocessor-based control for the manufacture of electronic W & T Avery of Birmingham brings the sophistication of microchip technology advance by W. & T. llvery. system. The first contract was products. into everyone's kitchen. At the touch of secured from the Cairo GEC Robot Systems Ltd. a button, the scale can display the Wastewater Authority for the completed the development of a calorie, carbohydrate, fat and fibre GEC Electrical Projects Ltd. order for the system and of the new range of advanced welding content of over 1000 foods. Slimmers, design modernisation Cairo athletes, diabetics, invalids or anyone made sound progress with supply of electrical propulsion sewage system, covering systems, the launch of which else, only needs to place the food in a orders and sales well ahead of equipment for the proposed complete mechanical and generated a high level of weigh jug, key in the appropriate code last year. The high level of Type 23 Frigates for the Ministry electrical systems for the Ameria interest. and the nutritional values are instantly exports was maintained. Major of Defence. Mining Division pumping station. displayed. contracts secured in the home obtained an order for a large The Factory Automation GEC Industrial Controls Ltd. share of the UK market and is market included the total mine winder drive system for Systems Technology (FAST) maintained expansion of sales selling well overseas after its electrical and automation the Anglo American Vaal Reefs Division made further progress and orders, which both introduction in the USA. packages for the modernisation Mine. Airport Division signed a with new projects, particularly increased by 20 per cent, Heysham II and Castle Peak of the hot strip mill at British major contract in Sri Lanka to for the food and tobacco although sales of electronic power stations accounted for a Steel Corporation, Port Talbot, up-grade Katunayake Airport, industries, considerably products grew at a faster rate. major part of the sales of motor the hot strip mill automation Colombo; this Division, in expanding its activity in Besides the range of ac and dc control gear; with a wide range system for BSC Llanwern, and conjunction with Manchester production engineering variable speed drives, this was of these products to offer, the automation of the five-stand International Airport, developed consultancy and flexible due mainly to the GEMBO business was obtained from cold mill at BSC Port Talbot. a new system for automatic manufacturing systems, in microprocessor-based control customers outside the more Marine Division secured a major taxiway routing and aircraft particular on the major system, which now has a major traditional market areas in which

9 } AUTOMATION AND CONTROL

demand was affected by lower GEC Measurements Ltd. electronic manufacturing capital investment. The phased acquired during the year the facilities have been extended introduction of a flexible Leicester-based power system preparatory to the introduction manufacturing system for automation business of Fisher of high volume manufacture of a electronic products was started Controls Ltd. covering radio controlled load at the Kidsgrove factory, in telemetery, turbine controls and management system for the UK association with the FAST nuclear safety systems, which electricity supply industry. Of. Division of GEC Electrical complement the Stafford the increased spend on Projects. Division's power system technical development in the protection and control activities. current financial year, 70 per Electric Machinery Industrial This extension of total capacity cent will be devoted to Controls Corporation, USA. will facilitate growth in the microprocessor-based energy Results improved over the automated power systems management systems. previous year. The launch of the business. The Leicester Division GEC Moulded Plastics GEM80 microprocessor-based commissioned the first phases of achieved improved results control systems in the US an automated distribution system following organisational changes extended the product range; for the North West Electricity and continuing capital orders were obtained from the Board, and several large investment to broaden and food and automotive industries. enquiries for similar supervisory advance manufacturing These products, together with ac control and distribution technology. variable speed drives, are automation systems are being expected to ensure further processed for UK and overseas Satchwell Control Systems Ltd. growth of the business. electricity, water, oil and gas improved returns quite authorities. The performance of substantially on sales only GEC Mechanical Handling Ltd. the Stafford Division was poor slightly higher than the previous again improved its order intake, compared to the previous year; year as a result of better cost sales and margins. An order was export sales were down control and the phasing out of Over the next few years. GEC is management systems are now received to supply Mobil because some overseas unprofitable lines of business. progressively installing its first total being supplied to a growing Exploration Norway Inc. with a customers were unable to obtain Marketing expenditure is flexible manufacturing system at GEC number of customers in the foreign currency, but greater Industrial Controls' factory at Kidsgrove, system for the emergency planned to increase in the Staffordshire. Costing about £7.5 million, retail and industrial sectors. The evacuation of personnel from oil damage resulted from the loss of current year to take advantage the system will integrate the design, new "Independent" electronic platforms to a specially production early in March of the potential of the new assembly and testing of printed circuit retail scale, designed through industrial disruption in boards. Shown here is the test area equipped rescue ship. This Building Automation System 700 containing automated test equipment for specifically for small retailers, unique system has advantages the factory. and new microprocessor-based functional testing and a Marconi was successfully launched in the over more conventional rescue GEC Meters Ltd., formerly the energy controllers. Instruments' type SOX in-circuit tester. UK and is being introduced in by helicopter, particularly in Meter Division of GEC overseas markets. The very bad weather conditions. Measurements, improved its Satchwell SWlvic Ltd. had a W. & T. Avery Ltd. continued introduction of "Weighlink", a Important orders were won from performance through persistent poor year due to industrial to make satisfactory progress. micro computer-based Manchester Airport for efforts towards cost reduction, relations problems, rising Orders and sales were higher management system to automate advanced automated baggage improved productivity, and a production costs and declining than in the previous year, weighbridge operations and handling systems. Manufacture highly motivated workforce, product prices. A programme to despite lower unit selling prices provide a materials management began of telescopic passenger supported by a continuing rectify this situation aLd to and reduced demand from some system, was well received; so loading bridges for airports, six capital investment programme. speed up the introduction of traditional export markets. New was a new range of advanced of which were exported to Several electronic "energy new products is being product introductions continued bar code label printers. The Douala in Cameroon. Order management" products were implemented following senior at a rate of two per month to new healthlkitchen scale prospects are good, particularly introduced, and the first orders management changes. It is maintain market leadership in introduced in March, 1984 and in automation and process were secured for two new intended to transfer the business established business sectors and described on page 9, employs plants. technically advanced electronic to a modern factory in to broaden the trading base. novel technology which is metering devices. The ~ Uddingston. Integrated data capture and capable of extension to other

10 operations. Sales in the previous South African Scale Company GEC Traffic Automation Ltd. in home traffic signal year benefited from abnormally Ltd. had a reasonable year but increased its tumover, despite maintenance. Several overseas high sales of factored products the out-turn was slighUy down continuing pressqre on margins contracts for major traffic to the UK food industry, and so it due to the continued recession management projects have been was not surprising that the sales and the drought which delayed, but with orders in the volume was down. But orders depressed the agriculture A replenishment~at~sea system supplied home market at a higher level received were up. sector. Order intake for new by GEe Mechanical Handling of Erith. than expected and more new & Avery products Kent. The picture shows stores being Avery-Bardoll Ltd. achieved W. T. is transferred from ship to ship. products on the way, further orders and sales in line with the encouraging. growth should be attainable. previous year, in spite of a GEC Marine and Industrial reduction in Nigerian orders due Gear Ltd. 's results were to shortage of foreign exchange. maintained at last year's level. Sales were higher in the home Exports accounted for over one market, particularly for the Mk V third of the business in difficult self-service petrol dispensing trading conditions. The planned system. The heavy investment entry into the traction gear made during the past two years market is intended to open up in the design of new products longer term opportunities for and improved production expansion. facilities is expected to show benefits in the current year. GEC Australia Ltd.'s Pump Maintenance Ltd, Automation and Control Division continued the trend to had a good year with record improvement in spite of the results. But there were fewer declining number of petrol contract completions and falling stations in the UK. Opportunities demand in some sectors of the new products planned for the will arise from the change from Projects Division. The recession ensuing months now that AV8:ry traditional mecharucal also required a scaling down of has entered the market for home equipment to more complex the actiVity of the Industrial kitchen products. Products Division. electronic self~service pumps Avery-Denlson Ltd. achieved and the growth of associated The English Electric Company better results through new point-of-sales and garage of India Ltd.'s Relays and products and measures taken in management systems. Control Panels Division the previous year to improve Avery Australia Ltd. had a increased its sales but the manufacturing efficiency. poor year due to lower demand forvvard order book reduced. Capability in a range of liquid for mechanical weighing New products, such as static filling machines to complement equipment and consequently distance protection equipment, existing equipment was under-utilised capacity. Costs are being brought forward and acquired from Neumo Ltd., and have been reduced and new work is progressing to introduce development was completed of retail and industrial products the microprocessor~based PERM five new testing machines and a brought in from W. & T. Avery; system and railway signalling new microprocessor-based belt performance in the current year relays. weigher. Order intake for the should improve. new products is encouraging, GEC Composants SA, France. Avery New Zealand Ltd. Results were static in a Driver Southall Ltd. completed achieved results substantially depressed market, and margins the consolidation into a modern better than for the previous year narrowed on sales of imported factory at Tamebridge, Walsall, following the introduction of new fluid control and thermal control of its previously dispersed products from W. & T. A very. equipment. " MEDICAL EQUIPMENT

product range, PERFORMANCE Expanding sales of manufactured equipment, especially CT scanners, enabled trading margins to improve 1984 1983 during the year. Orders for CT scanners and conventional X-ray equipment were at a record Turnover £436m £412m high leveL including the largest single medical equipment order ever placed for 24 eT scanners by the US military. There are Profits £ 24m £ 16m now tvventy Picker MRI scanners operating around the world and Order Book at these include the first production cryogenic MRI units made in the year end £140m £140m UK for the British Health Service and the USA, Japan and Germany. Dicker International Inc. develops, At the Radiological Society r manufactures, sells and services a of North America's annual meeting, Picker introduced wide range of medical diagnostic ORACLETM, a system concept equipment, and factors many health care for storing, organising, sorting, transmitting and retrieving products. It has manufacturing facilities diagnostic imaging data in USA, recorded in digital form. the Canada, West Gennany and Development work in the the UK. magnetic resonance and ultrasound fields will bring more The Systems Division offers Other items in the Picker range new products, including a digital a full spectrum of medical X-ray include X-ray tubes, monitors, system for the diagnosis of equipment. About one-fifth of cardiology and patient vascular disease. sales is accounted for by monitoring products. radiography, radiographyl The Health Care Products fluoroscopy and vascular Division contributed a quarter of products and a similar total sales covering such items proportion comprised fourth­ as disposable supplies, X-ray generation computer film and chemistry products for tomography (CT) scanners. A hospitals and clinics. The Film growing sector is in magnetic Systems Service Group works resonance imaging (MRI) with hospitals, clinics and machines. About ten per cent of physicians to meet their daily A magnetic resonance medical imaging sales came from nuclear imaging film processing requirements. system made by Picker International. The system produces pictures of the equipment, some with on-board Picker's Service Division, body from measurements of magnetic computing capabilities and which accounted for some resonance excited by radio-frequency incorporating principles of fifteen per cent of sales, signals. Picker scientists have led the way in development of this advanced emission computed tomography, provides a full service capability technology, pioneered in British and from ultrasound equipment. in respect of Picker's entire universities and hospitals.

12 POWER GENERATION

-.:wxport sales of gas turbines and .&;" Ruston Diesels were down. Profits were adversely affected by provisions \ costs £15m relating GEe Turbine Generators Ltd.'s ahead of programme. The Duhva 'CAREFUL' is one of four Ministry of and amounting to to sales, which per cent were power station of the Electricity Defence tractor tugs powered by two of 70 six-cylinder Ruston RK engines each the reorganisation of the activities of for export, were the highest Supply Commission of South developing 1320 horsepower at 900 ever recorded. At home, Africa was completed seven revolutions per minute. A further five large gas turbines, and the reduction of machines were commissioned at months ahead of programme similar tugs are currently on order. the workforce of turbine generators. 1ittlebrook, Hartlepool and when the sixth unit entered Heysham; overseas, units were service in February 1984. Siberian gas pipelines contracts. Ruston, Paxman and Donnan Diesels commissioned in Korea, Hong Installation of the first two Product development is directed increased their trading profits but Kong and South Africa. In the machines at the Tutuka power towards broadening the USA, the two 1200 MW units for station, the second of three horsepower range and Ruston Gas Turbines could not maintain San Onofre nuclear station, the stations for the Commission, is improving fuel efficiency in the record level of the previous year largest sets ever made in Britain, now proceeding. The world's order to make the most of a reached full power and have economic difficulties reduced reduced total market. Work on and Large Gas Turbines recorded a performed very successfully. In the export market opportunities new products led to the winning loss. The outstanding order book Hong Kong, the third unit at and order intake was in 1983 of the important Castle Peak ' ~" station was consequently well down on the MacRobert Award for declined because turbine generators did commissioned several months previous year, but opportunities innovation, and to the first ahead of programme, and the are being pursued in China and multiple or ders for the new not secure any major power station station will be completed with India. 8500 hp Tornado gas turbine - contract in the period. the installation of the fourth unit four for the Arabian Gulf, three before the end of 1984. Ruston Gas Turbines Ltd. Sales for the USA and two for Holland. Construction of the Castle Peak were lower than in the previous In the absence of very large "B" station is also proceeding year, which included the projects, orders were obtained

13 POWER GENERATION

for many smaller ones, including into with Rolls-Royce Ltd. for the and further new engine orders 16 more gas turbines for the formation of GEC Rolls-Royce are expected for the Falklands North Sea and 14 for combined (Power Generation) Ltd. to Airport Project. Ruston Diesels heat and power duty. With specialise in the gas turbine received the Queen's Award for orders from Spain, Ras al power generation market above Export Achievement in Khaima and Thailand, Ruston 10 MW. These changes, and recognition of its exports of gas turbines have now been other action to improve diesel engines to over SO sold to 48 countries overseas. efficiency, speed up product countries. development and re-energise Ruston Gas Turbines Inc. was marketing, are designed to re­ Paxman Diesels Ltd. achieved also affected by the reduction in establish a successful business better results for the year with a demand, but the impact on the in large gas turbines. major increase in order intake. results was lessened by higher The Royal Navy took delivery of productivity. Orders improved in GEe Energy Systems Ltd. the first engines for replacement the second half and included continues to be heavily involved Type 22 frigates. A contract was further units for Alaska and in the completion of the secured for 32 engines to be major combined heat and power Hartlepool and Heysham used for propulsion and plants for California and the advance gas cooled reactor electrical power generation in Midwest. (AGR) stations currently being the new series Type 23 frigates. brought into service. Combined Napier Turbochargers Ltd. with work in hand for the new Donnan Diesels Ltd., following continued to make progress, AGR's at Heysham "B" and several lean years, enjoyed acquiring new export accounts Torness, this means that a much better results. The 6 SE despite the generally depressed substantial part of the total engine range was successfully diesel engine market. Recently activity is still being devoted to launched, and further new introduced high performance this type of main station contract. models will be added during the models are gaining acceptance Other areas of business are coming year. Sales of engine kits by the world's leading engine being developed which include boosted export sales. The designers for application with improvements to operating improved performance of the the new generation of fuel nuclear stations, hydro power, business is expected to be efficient engines. wind generation and combined maintained. from Dorman and Baudouin have MaintaIDing competitiveness means started to make an impact on constant investment in modem GEe Gas Turbines Ltd. faced heat and power capability. equipment in GEC's factories. Picture Kelvin Diesels Ltd.'s business the market and' the outlook is shows the heavy machine shop at GEC greatly reduced demand for Ruston Diesels Ltd. reported continued to be adversely better. Turbine Generators, Trafford Park, larger gas turbines. Orders for improved results despite lower affected by the general decline Manchester. future delivery worth £26 million sales than the previous year. in construction and re-engining GEe Diesels Inc., Canada, were taken for seven 32000 hp Order intcike improved; demand of fishing vessels. Further despite a depressed market, generating sets and compressor in the UK was strong for small measures of reorganisation have achieved higher sales and demand for gas and oil field drives for a major North Sea ship propulsion engines ~or tugs, been taken to improve the increased its -order book. Orders applications. platform, but orders for delivery minesweepers, maintenance and viability of the business. included a number of Ruston in the year were low; the results salvage vessels, and there was a Prospects improved slightly in engined diesel generator sets Societe des Moteurs Baudouin were very unsatisfactory, and contract for 10 engines for Twin the last quarter when some for replacement engines in the SA, France. Results were remedial measures have been Unit Tractor tugs for the Ministry traditional export markets Canadian Government affected by the continued taken. A new company, GEC­ of Defence. Export marine showed signs of revival as icebreaker "NORMAN McLEOD depressed state of the market Ruston Gas Turbines Ltd, was orders were also up, but international funds became ROGERS", additional generating for marine engines, but a joint formed to integrate the sales industrial and traction available. units for Amok Mines in product development and engineering functions with opportunities declined, affected Northern Saskatchewan and for programme with Dorman Diesels those of Ruston Gas Turbines; by investment restrictions in GEe Diesels Australia Ltd. was a coal terminal in Indonesia. and diversification into military manufacture will later be such territories as Saudi Arabia unable to maintain the sales Dorman spark ignition gas and industrial applications led to concentrated at Lincoln. An and Nigeria. However, the volume of the past two years, engines are in increasing substantially improved order agreement has been entered overall order book improved, but new engines now available intake during the last quarter.

14 ELECTRICAL EQUIPMENT

in the product range will be the two Liverpool businesses of Observation lifts which travel on the introduced during the current GEC Fusegear and GEC . outsides or within- the atriums of PERFORMANCE buildings are becoming popular in year. Distribution Equipment; a capital Britain. For the owners, they allow more project spread over two years to floor space, while often providing GEe Distribution Switchgear passengers with spectacular views. This Ltd. Because of low level of modernise and reduce the size of the Liverpool site is nearing lift is one of a group installed by 1984 1983 commitment for delivery in the Express Lifts of Northampton in Lloyd's first nine months, output for the completion. Performance and Chambers, Goodrnan's Yard, London. year fell. But the extension of the market prospects have been Turnover £7S4rn £6S3rn range of both indoor and enhanced by the introduction of outdoor vacuum switch gear up new and improved products. including Exports to 36 kV brought in more orders than in the previous year, with a from UK £239rn £ 169rn high export content. GEe Transmission and Profits £ SOrn £ S2rn Distribution Projects Ltd. combined for the first year a number of previously separately Order Book at conducted activities. Orders were received for power supply year end £ 720rn £819rn equipment for ac and dc traction schemes in the USA, South America, Europe and in the UK. ost of the units increased their The "Transidrive" vehicle M turnover. High Voltage mounted inverter successfully completed six months pre­ Switchgear, Transmission and commercial service in Distribution Projects, and Power Vancouver; this equipment will also be supplied for transit Transfonners advanced at a higher systems in Toronto and Detroit rate, as did Traction and Transportation and is installed on the Maglev vehicles at Birmingham Airport. Projects in respect of their content of Orders were obtained for the Korea Seoul Metro contract. Profits rectifier/converter applications and for substations in Central were affected by a high incidence of Africa and the Far East; for static compensator equipment in reorganisation costs, particularly Australia, Singapore and associated with Traction which also Zimbabwe, for saturated reactors for a transmission line showed reduced trading profits. in Tanzania, and for a steelworks in Mexico. Manufacture of the GEe High Voltage Switchgear substation for the CEGB's major items of equipment for the Ltd. won important export Sellindge cross channel link, and 2000 MW high voltage dc orders for 145 kV gas-insulated contracts completed included scheme linking the national grid switchgear including four switch yards at Drax and systems of the UK and France substations for Saudi Arabia and Dinorwic power stations. proceeded satisfactorily. a turnkey substation contract for Developments included a new GEe Installation Equipment Oman. Deliveries commenced 36 kV SF6 outdoor circuit Ltd. experienced a year of on the major 420 kV GIS feeder breaker; further improvements integration and consolidation of

15 · ELECTRICAL EOUIPMENT

Vynckier NV of Belgium greatly reduced level of maintained sales volume. ordering by the State Electricity Exports to European countries Boards, and so was Motors improved, and the German, Division which suffered a two Dutch and French subsidiaries months strike at one of the maintained their positions in Calcutta factories. The order their respective markets. input for the new range of Increased export orders were vacuum circuit breakers was achieved for moulded case encouraging and other new circuit breakers and earth products to gain customer leakage circuit breakers. A acceptance included higher range of enclosures was capacity induction melting successfully introduced in the furnaces, dc breakers and air USA, and a new development of pollution control equipment. floor-standing enclosures was well received at the Hanover The English Electric Company Fair. of India Ltd.'s Fusegear Division held its share of a GEC Power Transformers Ltd. reduced market, but the continued to improve. Orders introduction of additional were received from the CEGB capacity put pressure on for two unit transformers for the margins. The new, indigenously Heysham power station, two 400 developed moulded case circuit kV 240 MVA transmission breaker was well received and transformers, and a 400 kV plans exist to widen the product transformer and saturating range further. reactor for installation at Ninheld associated with the cross GEC Australia Ltd.'s Heavy channel link. Overseas orders Engineering Division had a good were booked for transformers year, but electricity consumption and reactors for installation in declined and so did the Mexico, Tanzania and Brazil. requirement for transformers and high voltage switchgear. the year. Further orders for home and export' sales in spite GEC Transportation Projects was GEC Distribution Transformers The volume of forward orders is submarine power cable were of the low level of demand from responsible for the project management good but margins and system engineering for the Maglev Ltd. did better than a year quite are won, and production of the some major customers in the (magnetically levitated) people mover at earlier, with order intake being down. Machines Division, has range of materials used in cable Middle East and Nigeria. A Birmingham, opened in May 1984 by kept up despite depressed been amalgamated with making was increased during continuing programme of Her Majesty The Queen. This, the markets home and abroad. Industrial Products Division in world's first revenue earning Maglev at the year; sales were made to product development is being project, operates between the new The largest converter view of the declining activity. cablemakers in Korea, Indonesia combined with improvements in Birmingham International Airport and transformers to be produced at and South America and in manufacturing efficiency. the National Exhibition Centre. Broadstairs were manufactured AEI Cables Ltd.'s results were Europe. Demand for wires and for the Sicartsa steel works in influenced by reduced margins cables for use in telephone Kent Electric Wire Ltd. and Vactite Ltd.'s better results Mexico. arising from the surplus of exchanges reduced sharply as a F. D. Sims Ltd. Results were derived from increased capacity against demand, both result of the changes in improved due to greater sales made possil?le by the The General Electric Company in the UK and export markets. technology, but demand is efficiency in production and further development of high of India Ltd. suffered from the The effect was felt particularly in holding up for high frequency distribution: further improvement performance wires and cable. severe recessionary conditions the first half, but reduced coaxial cables and for cables is expected. which prevailed throughout the operating costs made trading containing optical fibre. GEC Traction Ltd.'s margins year. The transformer activity results somewhat more Rodco Ltd. had a satisfactory were lower in spite of increased was particularly affected by the favourable towards the end of GEC-Henley Ltd. increased first full year of production. sales over previous years with

16 an export content of 84 per cent. activity included projects still to continuing to be developed to transferred from Rugby to applications, Major deliveries included be awarded for India and meet market requirements, Colchester to strengthen ties complete 1500 volt chopper London's Docklands, A major with Woods and to widen the GEC Reinforced Plastics Ltd. controlled propulsion units for role has been played with The Express Lift Company Ltd. opportunities for recovery and had another successful year with the 134 train set contract for the British Rail and other UK maintained the upward trend of growth. ' increased turnover, to which a recent years despite a declining major contribution came from Korea Seoul Metro, and similar suppliers in developing the GEC Engineering (Accrington) equipments for the Dublin technically advanced Maglev home market. A major the supply of the structures and Ltd. obtained more work for the suburban stock. Order intake system the new Birmingham development saw the successful components for the hvdc cross at nuclear, space and defence was drastically reduced in the International and the introduction of "Microglyde" high channel link, Airport, make for year due to low demand at speed drive systems into the industries to up a experience gained from this reduced input from aerospace A. G. Bac!mey & Company home and the smaller number of installation will assist in winning Post Office Tower and the Sedgwick building in London. sources, A notable achievement Ltd. increased sales again and available railway projects new orders, maintained margins, despite worldwide, Although it was Overseas, notable orders was the delivery of 70 ft fuel GEC-General Signal Ltd.'s buffer storage tubes to the severe pressure of imports into necessary to make a major included 55 lifts for the Shun Tak results were down the home market and greater reduction in manufacturing compared Macau ferry terminal in Hong CEGB's Heysham power station. with the previous year, At home, Manufacture has commenced of competition in export markets, A capacity, including the closure Kong, and major projects in the major British Rail order the new GEC "Nightstor 100" new range of ceramic products of the Sheffield Works, new a was Finance and Trade Centre in received for resignalling the line electric central heating boiler, for door furniture was capital investments at the Karachi, the Australia and New between Paisley and Ayr, and This appliance has good sales introduced, factories at Preston and Zealand Bank in Auckland, the export contracts came from potential an alternative Manchester will enable a quick Public Works Department in as to Brazil and Bangladesh. Since the oil fired boilers, over GEC Foundries Ltd.'s results response to to any Dhaka, and the Sheikha Mariam domestic be made year-end, important contract showed a marked improvement upturn in railway business, an Building in Abu Dhabi, A new which it shows a substantial has been concluded with saving in running costs, on the previous year with Engineering development also components distribution is Hyundai (Korea) worth increased sales and a substantial being increased, utilising business, Lift Components Ltd, GEC Claudgen Ltd.'s turnover improvement in margins approximately £20 million, for recently commissioned was established to supply lift increased over the previous achieved against a background the signalling and laboratories and test beds, New spares and other parts, year but margins were of over-capacity in Europe and telecommunications systems of technologies likely to feature substantially reduced due severe price cutting, are the main railway line linking Woods of Colchester Ltd. in traction propulsion units the primarily to the loss of two major in Kirkut with Haditha in Iraq, The produced somewhat better second half of the decade, long-term contracts and to more L. B. Marthinusen (Pvt) Ltd., major resignalling contract at results in spite of the continued including ac drives, difficult market conditions, Major Zimbabwe, Results withstood the Victoria is now complete, slow recovery in the civil controls and the new signs were supplied to impact of recession as the microprocessor Development projects include engineering and construction use of gate turn off devices, Piccadilly Circus and other business in heavy electrical the solid state signalling pilot industries, Growth was achieved equipment repair work is little GEC Transportation Projects largely from new products, prime sites and the range of scheme at Leamington Spa and heating products was expanded, affected by the foreign Ltd. achieved sales of almost part of the Maglev transit system including air handling systems exchange crisis, Steps have £100 million, all for export, The at Birmingham Airport, and roof units, "Varofoil" pitch­ The Micanite & Insulators been taken to improve major areas of activity were in-motion fans continued to do Company Ltd. suffered due to productivity, ongoing transit systems for GEC Large Machines Ltd. well, Exports were maintained at the depressed demand for high obtained reasonable level of Melbourne, Dublin, Seoul and a nearly half of total turnover with voltage insulation products and GEC (New Zealand) Ltd.'s Recife, main freight line orders, but did not achieve several substantial orders to the high costs associated with Industrial Machines & Controls, satisfactory operating results, electrification in Brazil, and the obtained by overseas a product rationalisation Power & Electronics and successful conclusion of the Benefits are expected from subsidiaries; there are prospects programme, Sales of the Switchgear Divisions did not main line electrification project development work directed of increased business in the biodegradable "Midel" low escape the effects of a sluggish towards product improvement in Zimbabwe, A new project USA. flammability dielectric fluids economy, but the results were was secured in Turkey for main and more competitive practices, increased, with export orders sustained by the introduction of line traction equipment. Orders GEC Small Machines Ltd. Keith Blaclanan Ltd. had an being obtained in the USA, new products and sales, in hand remain at a satisfactory Increased demand and higher unsatisfactory year and a Singapore, Hong Kong and South especially in the Switchgear and level and sales in the current manufacturing efficiency led to complete change of Africa, Development has Industrial Machines Divisions, for financial year are expected to better operating results, More management had to be made, continued on new mica products large energy saving projects, be maintained, Tendering cost effective designs are The headquarters of the unit was for electrical and heat insulation

17 CONSUMER PRODUCTS

sales, especially in export PERFORMANCE markets which showed a 20 per cent increase. Improved margins reflected continuing investment in new products introduced 1984 1983 during the year, including toilet! bathroom ventilators, condensation control units Turnover £279m £264m (specifically introduced to combat serious condensation in including Exports local authority dwellings), and a from UK £ 24m £ 19m new range of cooker hoods. Cannon Industries Ltd. made lower sales due primarily to Profits £ 24m £ 20m technical delays on the introduction of a range of freestanding gas cookers based otPOint, GEC-Xpelair and Osram on a new method of construction. H made the greatest contributions to Redring Electric Ltd. achieved better margins but lower sales, higher sales and trading profits. although sales of components to Hotpoint Ltd. increased both its sales and margins in buoyant market conditions. Its market share rose in automatic washing machines with the "New Generation" range manufactured at the new plant in North Wales. Sales of refrigerators also increased, and at the end of the appliance manufacturers Hotpoint's new freezer/fridge, designed improved. More new products for the family needing more freezer than year the launch of a freezer/ fridge space in one wtit. It is a best fridge combination proved very are in course of introduction. seller. successful. Major new Osram (GEC) Ltd. continued its investment was made in recovery. Streetlighting sales computer-aided design were higher, mostly as a result equipment. of large overseas contracts. GEC (Radio & Television) Ltd. Exports of lamps showed an increased its sales of colour TV, improvement in volume and particularly 14 in and 16 in tube margin, and measures are being sizes, but was unable to make a taken to maintain international profit. Its operations were badly competitiveness. affected by the unsatisfactory A new concept in domestic cooking is the Cannon gas/microwave cooker. It has a and now discontinued joint combined gas/microwave oven, a "grilling" facility and a four-burner hotplate for cooking. The aim is to add the speed and convenience of microwave cooking to the venture with Hitachi. excellent baking and browning propenies of gas. Gas and microwave can be used independently or in combination. An 8lb turkey can be completely cooked without GEC-Xpelair Ltd. had another turning or basting in 56 minutes. The normal time by conventional methods is three successful year with increased hours.

18 DISTRIBUTION AND TRADING

PERFORMANCE

1984 1983 Turnover £191m £214m Profits £ 14m £ 13m hanges in exchange rates and a C lower rate of contract completions in Bong Kong accounted for the fall in turnover. The English Electric better results. The successful Corporation, USA, has been development and introduction of considerably strengthened to a range of single phase motors enable it to pursue business and vertical hollow shaft motors opportunities more effectively helped the Chittagong factory to Malaysian economy; progress \ industry, but the government's Because GEe trades worldwide, a and across a broader spectrum achieve record output. was made in a number of "open door" policy has attracted strong selling network is necessary. of GEC activities. Notable orders Machinery for a new fan This picture shows the headquarters of business activities. The lighting many new foreign entrants and GEe New Zealand at Elsdon, Porirua, were obtained from the urban manufacturing unit is being manufacturing unit made good further sharpened competition. near Wellington. GEe NZ trades transit authorities. installed to strengthen its strong progress and a number of useful through 15 branches, the southernrnost market position. one at Invercargill has the distinction of GEC Australia Ltd.'s Lighting distribution equipment contracts GEC Zambia Ltd. Severe being the electrical trading post closest and Wholesale Division's costs GEC Canada Ltd. were secured in which local restrictions on imports continue to the South Pole. have been tightly controlled commissioned a manufacturing manufacturing content was a key due to the acute shortage of during the period of a sales facility to supply power factor. The highlight of the year foreign exchange. Despite a recession and margins conditioning units to Metro­ was the award to Marconi reduced turnover, careful improved. Trading was Canada Ltd, and its record Italiana of a major contract planning achieved a reasonable adversely affected by the worst results were supported by spanning several years for the result for the year but the Walsall Conduits Ltd. achieved drought in living memory. Some expansion in motors, fusegear supply of pulse code modulation outlook remains uncertain. record sales despite the still recovery in home building has and protection relays. equipment to the been noted. telecommunications authority. GEC ;limbabwe (Pvt) Ltd. was depressed conditions in the The General Electric Company affected slightly by the cuts in building and construction GEC New Zealand Ltd.'s of Hong Kong Ltd. was affected The General Electric Company foreign exchange allocations and industry. Several new products Wholesale and Consumer adversely by dull markets of Singapore Pte. Ltd., by a depressed market for new were successfully launched and Product Division had a difficult reflecting investors' nervousness eliminated loss-making electrical equipment. Short-term export sales again increased. year and has been obliged to over the future of Hong Kong. manufacturing activity, but was prospects for recovery are poor, embark on restructuring its affected by a sharp fall in but operating economies are GEC Distributors (Ireland) Ltd. organisation. The General Electric Company demand for electrical consumer planned by merging activities held its share of a dull marke t of Malaysia Sdn. Bhd. had a goods. Some sectors were more with those of L. H. Marthinusen for electrical equipment The General Electric Company successful year despite the buoyant, particularly those (Pvt) Ltd. distributed through wholesale of Bangladesh Ltd. recorded impact of world recession on the concerned with the construction outlets.

19 ASSOCIATED COMPANIES

AEI Henley successfully PERFORMANCE introduced the CDSSl PABX with a high level of locally manufactured content. Telephone Manufacturers of 1984 1983 South Africa (Pty) Ltd. increased its sales and introduced locally-designed Turnover £417m £408m telephones and key systems during the year. The changeover from the production Profits £ 27m £ 24m of electromechanical exchanges to digital electronic exchanges continues. The figures given show the GEC manufacturing during the year ATC (Pty) Ltd. improved its share calculated by reference to and its operations are at present performance and secured the GEC interest in the equity of . largely restricted to spares and further l071g term contracts with the Associated Companies. service. The Company is in the South Mrican Post Office. dispute with Bucyrus Erie Ownership by the Company GEC-Hitachi Television Ltd. Company, the controlling changed through the sale of 25 The unsatisfactory joint venture shareholder in Ruston-Bucyrus per cent of its shares to a South has been terminated and the Ltd., and is seeking damages in African company. Hirwaun factory is continuing to proceedings in the United States Winding Wires (Pty) Ltd. had operate under the sole on the grounds that in exercising ownership of Hitachi. a better year and widened its its control over Ruston-Bucyrus product range to include National Nuclear Corporation Ltd., Bucyrus Erie Company has insulations, such as kapton and Ltd. Construction of the new violated the United States anti­ mica, applied by lapping. advanced gas cooled reactor trust laws and is in default of its (AGR) nuclear power stations at fiduciary duties. Pending the Avery Nigeria Ltd. had a Heysham II and Torness outcome of the dispute, a reasonable year despite strict continued to programme, and provision in the accounts of the import controls. Sales of design work proceeded for the Company has been made to imported products were well pressurised water reactor station write down its interests in the down on the previous year, but proposed for Sizewell B. The net assets to a figure not less this was partially offset by an first units at Hartlepool and than it would expect to receive increase in the service business. on realisation of its investment. Heysham I (AGR) nuclear power activity was disposed of during The National Nuclear Corporation's Avery India Ltd. achieved stations commenced generation the year. principal contracts are for the design and The Lamp Component construction of Tomess nuclear power record results. A major of electricity for the National companies returned to profit GEC South Africa (Pty) Ltd. station in Scotland and for the nuclear investment is taking place to Grid. Agreements have been following a small increase in island at Heysharn Stage 2 power station, expand production facilities and made with France and Germany slightly increased its trading Lancashire. The picture shows the roof of demand, after benefiting from profit assisted by better the steel lining for the Heysharn reactor introduce new electronic for technical collaboration on a reorganisation measures. pressure vessel being lifted into position. weighing equipment. commercial demonstration fast management of the capital reactor programme. Cable Makers Australia (Pty) employed. Poor market Genelec Ltd., India, had a Ltd. did not have a good year. conditions particularly affected successful year. The Projects Ruston-Bucyrus Ltd., affected Demand declined, and measures the transformer and machines Division received a record value by the continuing depression in of cost reduction were activities. Switchgear benefited of orders, and the high pressure construction and mining inadequate and too slow. The from efficiency gains, despite a sodium lamp factory machinery markets, ceased unprofitable moulded foam growing shortage of new orders. commenced production.

20 RESEARCH

I"f'Ihe task of the GEe Research .& Laboratories is to provide fresh options on which the GEe product units can base their future products and process innovation. This demands wide­ ranging interdisciplinary research related to GEe's interest in communications, infonnation technology, industrial, medical and defence electronics, components, and power and transportation systems. The current research programme is illustrated in the following selection.

Materials Engineering is the made bipolar transistors and application of science and lasers using these techniques, as technology to the creation of a first step toward a new new and improved materials for generation of integrated a variety of applications. Current optoelectronic circuits. research includes work on glass­ ceramics, fine grain ceramics, Silicon Very Large Scale made by melting and controlled Integration (VLSI) continues to re-crystallisation. Control of be the most important single composition and heat treatment feature of electronics permits optimisation of such technology, and our research properties as thermal expansion, commitment reflects this, with a thermal shock resistance, infra­ Company-wide collaborative red and microwave programme on improved computer-aided design tools in A finite element thermal stress analysis being carned out at GEe's Mechanical characteristics. New composite circuits, but we are also Engineering Laboratory at Whetstone, near Leicester. The equipment under to continued work on materials are being studied for addition exploring promising techniques investigation is the exhaust manifold of a Paxrnan diesel engine. Features of the high performance bipolar and their potential in diesel engines using recrystallised silicon analysis, such as stress and temperature, are indicated by the contours and CMOS integrated circuit colours. and turbines. Research in deposited on an oxide-coated electronics has always been technologies. As individual silicon slice. We expect to be systems requrring operation at related compounds involving strongly influenced by the device dimensions are shrunk to able to achieve packing frequencies well in excess of indium, aluminium, phosphorus properties of available materials, one micron or less, our research densities of more than 10,000 one giga-hertz. Using electron and antimony - collectively such as silicon and gallium has shown the advantage of transistors per square millimetre beam direct-writing, we have known as the III-V compounds arsenide. It is now possible to using some form of insulating in this way made sub-micron dimensioned - are also the basis for our create, using molecular beam substrate instead of the more field effect transistors and research on light emitting epitaxy, micro-scale composites usual bulk silicon. Much of our Gallium Arsenide Devices and microwave monolithic integrated diodes and lasers for use in with novel electrical and optical effort is based on the use of Circuits are becoming circuit amplifiers with a uniform optical fibre-based properties. The Research sapphire substrates to give increasingly important because gain of 6db from dc to about 30 communications systems. Laboratories have recently silicon-on-sapphire (SOS) they complement silicon in giga-hertz. Gallium arsenide and

21 RESEARCH

is well known, it has proved to be more subtle and less traumatic in MRI. Instrumentation for a variety of applications forms an important part of our research. The main thrust is towards rugged low cost sensors and the associated signal conditioning and processing, Typical areas of research are a liquid tanker contents gauging system incorporating vibratory sensors, a laser scanning unit for guiding a free-ranging driverless warehouse truck, a novel vibratory cylinder gyro whose simplicity and ruggedness offers new possibilities and tactile sensors for dextrous robot grippers, Particular research themes An extensive programme is being conducted at GEC's Hirst Research Antennaes are important in include artificial intelligence Centre, Wembley into speech radio communications and radar techniques as applied to technology. Its aims are to open up systems, Our research has led to automatic problem solving and systems of spoken communication improved tools for software between man and machines and improved methods of radiation provide new services on the telephone pattern synthesis which enable creation, and computer aids to network. The equipment shown in the us to compute the amplitude and systems reliability improvement photograph stores and reconstitutes phase distribution for a specified - again, covering software and speech in a computer-compatible form and can generate spoken array configuration to provide hardware aspects, This latter announcements. the required far field power work is typified by a programme Optoelectronics is a rapidly VISI CV ery Large Scale Integration) pattern. This has been to improve both the initial expanding part of our research circuit structures under test, The semiconductor substrate is mounted on a successfully demonstrated on quality control and the in-service , programme, covering displays, vacuum chuck and electrical contact is antenna arrays producing performance of equipment for equlpment such as , data transmission, signal and made with finely pointed tungsten multiple beams for the Martello high voltage dc power communJcatJOn statlons, and a image processing, Specific needles which are accurately positioned 3-D radar and for the satellite­ transmission schemes, solar water heatmg system using micromanipulator controls, Test deslgned and mstalled as a projects include large area voltages and currents are applied and the borne antennaes required for liquid crystal displays, behaviour of the devices monitored, direct broadcasting by satellite Energy and Earth Resources testbed and providing 20,000 integrated optic devices based (DBS), where the separate beam form the background to several kWh of heat each year from a 50 on lithium niobate, optical applications, As examples, coverage is designed to give the research projects: control and square metre array of evacuated modulators for signal distribution research in the last year has required terrestrial footprint. monitoring systems for the 20 tube solar collectors, Satellite- in phased array radar, bulk and resulted in the use of in-vivo metre diameter 250 kilowatt based remote sensing of the surface acousto-optic cells, magnetic resonance imaging Computer Science and wind turbine generator which earth provides important data in spatial light modulators, and a (MRI) to map flow patterns in Software Engineering are has been successfully many areas, and research is range of active and passive arteries and veins in the neck, growing in importance, both in commissioned on Orkney, being carried out on the design 'devices for use in fibre-optic and in the development of terms of the performance of the research on a hybrid power of such systems and of the systems, methods for contrast systems we produce and of the scheme involving photovoltaic subsequent image processing enhancement using improved design methods for solar cells and a wind generator, and pattern recognition Medical Diagnostics research paramagnetic agents, While the the hardware and software with battery storage, for techniques necessary to display includes basic techniques and use of contrast in X-ray imaging contents of those systems, powering remote electronic and interpret the data,

22 TRAINING

IJ"Ihe types of skill required in GEe are ... changing, as can be seen by updating figures published five years ago in 'GEe THEN NOW CHANGE 19' of a GEe unit of 1,000 employees with a breakdown of jobs in the same 1979 1984 proportion as the total workforce of GEe Production Operatives 360 315 DOWN 12% in the UK. Clerks and Office Workers 140 130 DOWN 7% Craftsmen 140 125 DOWN 11% In GEC Telecommunications, technician engineering and the transition from electro­ student traineeships for 18 year Technicians 140 160 UP 14% mechanical telephone olds, who undertake training exchanges to electronic systems programmes leading to either a Engineers and Scientists 80 130 UP 62% requires less added value and Higher Technician Diploma or a consequently fewer jobs. university degree. Supervisors, Foremen and Furthermore, many employees GEC Measurements has also Chargehands 50 45 DOWN 10% have had to be retrained, a been moving steadily towards challenge to which they have electronics. Its own school has Salesmen 30 30 SAME responded positively. Some of facilitated the retraining of the employees in drawing employees to adapt to the new Welfare and Personnel 30 30 SAME offices have become expert in skills required to produce keyboard skills and developed a technologically advanced Managerial \ 30 35 UP 17% thorough understanding of the products. Over 200 employees basic computer-aided design have obtained engineering (CAD) systems. Some of the qualifications through day production operatives, release, Open University and design of sophisticated course, participants were includes those with no maintenance workers and other specialist courses. The electronic products which meet assessed as being as good as previous knowledge of software industrial engineers have number of apprentices taken on the complex demands of the top 10 per cent of students who have been away from full­ attended courses to upgrade has trebled. Most are student generation, transmission and who specialised in computer time studies for several years. their skills in the use of technologists, and some have distribution systems. studies. These employees are In GEC as a whole, computer numerically controlled attended the M Eng. programme currently engaged on a six­ management skills are not being (CNC) machine tools. And those at Bath University which has Marconi Underwater Systems, month project transferring allowed to lag behind the employed in test and installation been co-sponsored with GEC­ anticipating the dearth of people complicated technical data from changes in technology. Project­ departments have received Marconi Electronics. Many with electronics and computing an analogue to a digital based training programmes are formal training on digital employees have worked with skills, has adopted the unusual computer. used to develop managerial telephone switching systems, comprehensive computing approach of recruiting graduates talent, and GEC was among the including eighteen weeks of facilities which, besides with little or no experience of Marconi Avionics is providing first companies to introduce the classroom instruction on a operating financial and business computers. Graduates in music, a full-time conversion course Action Learning approach to 'System X' telephone exchange. systems, also cover computer­ classics, ancient history and enabling its employees to management development; this The required changes in skills aided design, computer-aided languages underwent an become experts in computer gives managers of high potential are also reflected in the types of manufacture and the automatic intensive three-month tailor­ software. Operated in the chance to tackle real trainees recruited. Traditional testing of components. Since made computing course at the conjunction with the Bromley problems in a business and craft and technician 1979, 75 per cent of University College of Wales, College of Technology, the learn from the experience. The apprenticeships, starting at age development expenditure has Aberystwyth, with excellent course is directed especially to College of Management at 16, are being replaced by been directed towards the results. At the end of the first drawing office personnel, and Dunchurch is part of a wider

23 TRAINING

GEC training programme which FRONT COVER Osrarn Solarcolour lamps were used for is extending this and other the new lighting on the Severn Bridge. approaches to learning and self­ The lamps save energy, yet give better development. illumination. The lanterns in which the GEC continues to search for lamps were installed were specially modified by Osrarn to resist high winds ways to extend employee and vibration. participation in the improvement of business performance. One initiative will Be the secondment over the next year of managers from GEC operating units to the College of Management teaching team to give them a better understanding of how people think and feel. This experience is also intended to develop and foster the important principle of self-help when the managers concerned return to their own units. GEC intends to persist in creating the necessary environment with appropriate facilities to give the widest possible scope for applying the principle of self-improvement.

Pauline Clayton instructing Janice Hunt (foreground) in the use of a semi­ automatic assembly machine, which indicates the appropriate compcnent and pinpcints its pcsition for assembly on a ANY QUESTIONS? System X printed-circuit board. Janice, who used to wire reed-electronic If you have a question about telephone exchanges, has worked for GEe please write to The GEC for eight years. Pauline, with over 19 Secretary, The General Electric years service, is an instructress in the Company p.l.c. , 1, Stanhope Gate, Helen Street Training School of GEC London W1A 1EH Telecommunications, Coventry.

24 Printed by Waterlow Ltd" Dunstable. Member of the BPCe Group.