Frost & Sullivan Recognizes Raytheon Professional Services for Innovative Training Solution Aimed at Automotive Service Industry

Palo Alto, Calif. —November 15, 2006— Frost & Sullivan recently named Raytheon Professional Services LLC, a subsidiary of Raytheon Company, as recipient of the 2006 Business Development Strategy Leadership of the Year Award, recognizing an innovative training solution that meets the diverse needs of the automotive service industry.

Approximately 270 vehicle models are launched in the North American market annually, which has over 800,000 service technicians spread across an estimated 352,000 retail service outlets.

New models call for more diagnostic knowledge and new hands-on skill knowledge from technicians. Frost & Sullivan’s research indicates that the bulk of experienced technicians is in their forties and receives, on average, $4,000 in training services annually.

Further, the repair industry is experiencing a shift from independent ownership to corporate affiliation where service capabilities will be mandated by the corporation. These factors highlight the urgent need for effective automotive technician training delivery in North America.

"As a provider of learning services to businesses in a variety of industries, Raytheon Professional Services was able to draw upon its current product offerings and technologies, adapting them to the unique challenges of the automotive service industry," said Frost & Sullivan research analyst Mary-Beth Kellenberger. "Raytheon Professional Services develops and delivers training for service technicians through a variety of media, including Web-based interactive training, Web-based self-study training, hands-on seminars and print-based training."

Raytheon Professional Services customizes its training solutions for automotive clients by blending the training delivery media based on the client’s goals and technological infrastructure. This approach enables Raytheon Professional Services to maximize technicians’ material absorption and retention for each task while making the most of shop productivity and profitability.

Raytheon Professional Services’ training solution includes a learning management system (LMS), a Web-based portal that enables business leaders and shop managers to schedule training, register their technicians for training sessions, launch Web-based training and track training completions. Clients also use the LMS to assess technician competencies and evaluate training impact.

This set of offerings has enabled Raytheon Professional Services to harness attractive revenue opportunities. The market for automotive training services in the United States, including automotive training schools, automotive specific training organizations, and business consultants, was approximately $950 million in 2005.

"Already a leader in the global learning market, Raytheon Professional Services’ expansion within the growing automotive service personnel segment is a smart strategic move," said Kellenberger. "Because of its efficient delivery structure, blended solution, and ability to connect training investments to return on investment, the business will continue to penetrate and succeed in the segment."

Raytheon Professional Services also works with automotive aftermarket service providers to provide long-term training, incentives, and career-path management as a means of fostering loyalty and develop a workforce that meets the company’s job and skill demands of the future.

In recognition of its successful expansion strategy, Raytheon Professional Services receives the 2006 Frost & Sullivan Business Strategy Leadership of the Year Award.

The Award honors the company for demonstrated excellence in strategic deployment of its business development plans. It recognizes the recipient company's ability to evaluate opportunities, create products and services that position it as an industry leader, build brand awareness, capture revenue market share, develop products and/or services that meet consumer needs, successfully introduce products or services to the industry, and identify new market segments to expand the existing customer base.

Frost & Sullivan Best Practices Awards recognize companies in a variety of regional and global markets for demonstrating outstanding achievement and superior performance in areas such as leadership, technological innovation, customer service, and strategic product development. Industry analysts compare market participants and measure performance through in-depth interviews, analysis, and extensive secondary research in order to identify best practices in the industry.

About Frost & Sullivan

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics. For more information, visit


Stacie Jones



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