Vodafone moves to streamline group structure with new look from October 1
Vodafone is to change its organisational structure to simplify the business and focus on its priorities.
The change will see Vodafone’s three current regional structures reduced to two. It currently operates with regional operations covering Europe; Asia-Pacific and Middle East; and Central Europe and Africa.
Europe will absorb Central Europe and Africa and comprise existing controlled businesses in Europe, plus the Czech Republic, Hungary, Romania and Turkey. Michel Combes will be the regional chief executive officer in charge of Europe.
The Africa, Middle East and Asia Pacific will comprise all operations in emerging economies in Africa, the Middle East and Asia, plus Australia, New Zealand and Fiji. Nick Read will be the chief executive officer of the region.
Vodafone said its priorities for the new structure are customer and commercial strength, taking a lead on data, brand advocacy, cost efficiency and shareholder returns.
Responsibility for Vodafone’s investments in Verizon Wireless, SFR, Polkomtel and Bharti Holding will no longer be held within the regional structures, instead managed by group chief executive officer Vittorio Colao (pictured), group chief financial officer Andy Halford and group strategy and business development director Warren Finegold.
Vodafone said the trio will put in place strategies to maximise shareholder value from these investments. Vodafone has recently offloaded its 3.2 per cent stake in China Mobile, and is reported to be looking at doing the same with its minority interests in SFR and Verizon Wireless.
A new unit, called Group Commercial, will be formed to bring together operations in the Group Marketing, Vodafone Business Services, Vodafone Global Enterprise, Partner Markets and other commercial units. Former Central Europe and Africa region chief Morten Lundal will head this in the new role of group chief commercial officer.
All technology functions in Vodafone’s operating companies will report into Group Technology, with Steve Pusey in the role of group chief technology officer.
The new structure comes into being on October 1 and Vodafone will report its results for the second half of the current financial year on the basis of the new organisational structure.
A Vodafone spokesperson said: “The aim of the change is three-fold. It will simplify the organisation; enhance our focus on key commercial and financial priorities; and increase the speed we can bring new services to market and respond to industry changes.
“All major organisations go through this kind of review once in a while and it will help us deliver on our strategic goals.”