Restructuring Activities

12 Months Ended

Dec. 31, 2023

Restructuring and Related Activities [Abstract]

Restructuring Activities

Restructuring Activities

During 2023, 2022 and 2021, we incurred costs related to the programs described below. We also incurred costs related to other individually insignificant programs.

Productivity Initiative Program

We initiated a productivity program in response to weaker economic conditions experienced in the second half of 2023. The Enterprise Solutions and Industrial Automation Solutions segments incurred $3.6 million and $5.5 million, respectively, of severance and other costs during the year ended December 31, 2023.

Acquisition Integration Program

We are integrating our recent acquisitions with our existing businesses to achieve desired cost savings, primarily by focusing on consolidating existing and acquired facilities as well as other support functions. The Enterprise Solutions segment incurred $6.5 million, $4.8 million, and $9.6 million of restructuring and integration costs during the years ended December 31, 2023, 2022, and 2021, respectively. The Industrial Automation Solutions segment incurred $3.0 million, $3.4 million, and $3.0 million of restructuring and integration costs during the years ended December 31, 2023, 2022, and 2021, respectively.

Manufacturing Footprint Program

We consolidated our manufacturing footprint in the Americas region during 2022. The Enterprise Solutions and Industrial Automation Solutions segments incurred $3.3 million and $5.0 million, respectively, of severance and other costs during the year ended December 31, 2022.

Cost Reduction Program

We executed a cost reduction program to streamline the organizational structure and invest in technology to drive productivity. The Enterprise Solutions and Industrial Automation Solutions segments incurred $2.6 million and $3.2 million, respectively, of severance and other costs during the year ended December 31, 2021.

The following table summarizes the costs of the programs described above by segment, all of which were excluded from Segment EBITDA:

	Severance		Restructuring and Integration Costs		Total Costs
			(In thousands)
Year Ended December 31, 2023
Enterprise Solutions	$	4,180	$	5,948	$	10,128
Industrial Automation Solutions	4,674		3,852		8,526
Total	$	8,854	$	9,800	$	18,654
Year Ended December 31, 2022
Enterprise Solutions	$	1,070	$	7,060	$	8,130
Industrial Automation Solutions	493		7,847		8,340
Total	$	1,563	$	14,907	$	16,470
Year Ended December 31, 2021
Enterprise Solutions	$	1,121	$	11,062	$	12,183
Industrial Automation Solutions	2,555		3,629		6,184
Total	$	3,676	$	14,691	$	18,367

The restructuring and integration costs incurred during 2023, 2022, and 2021 primarily consisted of equipment transfer, costs to consolidate operating and support facilities, retention bonuses, relocation, travel, legal, and other costs. The majority of the restructuring and integration costs related to these actions were paid as incurred or are payable within the next 60 days.

The following table summarizes the costs of the programs described above by financial statement line item in the Consolidated Statement of Operations:

	Years Ended December 31,
	2023		2022		2021
	(In thousands)
Cost of sales	$	1,667	$	10,060	$	8,493
Selling, general and administrative expenses	15,362		6,410		9,874
Research and development expenses	1,625		—		—
Total	$	18,654	$	16,470	$	18,367

Accrued Severance

There were no significant severance accrual balances as of December 31, 2022. The table below sets forth severance activity included in accrued liabilities that occurred for the Productivity Initiative Program described above (in thousands).

Balance at December 31, 2022		$	—
	New charges	8,254
	Cash payments	(3,151)
	Foreign currency translation	68
	Other adjustments	(161)
Balance at December 31, 2023		$	5,010