In 1978 the Tucker Company underwent an extensive reorganization that divided the company into three major divisions. These new divisions represented Tucker's three principal product lines. Mr Hamer,Tucker's president, explained the basis for the new organization in a memo to the board of directors as follows:
The diversity of our requires that we reorganize along our major product lines. Toward this end I have estabished three new divisions: commercial jet engines, military jet engines and utility turbines. Each division will be headed by a new vicepresident who will report directly to me. I believe that this new approach will enhance our performance through the commitment of individual managers. It should also help us to identify unprofitable areas where the special attention of management may be required.