TORONTO – There will be some reductions in the management ranks at Rogers Communications Inc. (TSX:RCI.B) and a new focus on agility but no large-scale reductions are planned, the company’s new chief executive says.
Rogers president and CEO Guy Laurence spent Friday telling the company’s workforce and reporters that Rogers will untangle organizational structure that he likened to a bowl of “cold spaghetti” so it can be better at meeting the needs of customers.
“When you remove overlap and reduce bureaucracy, and you create agility, then it takes less people in management. So there will be job losses at the management level. No doubt of this,” Laurence said.
“But because this is not a cost story, I don’t have a dollar value or a number of people. I don’t even have the vaguest idea in my head what that might be.”
Laurence said he doesn’t expect job losses among the company’s front-line employees and “in fact, I see investment in that area, although he couldn’t put a dollar value on it or say how many employees might be added.
Among other things, Rogers will adopt a new organizational structure focused on consumer and business customers.
Rogers will also keep its media division, which currently owns conventional radio and television stations, sports entertainment businesses and a magazine publishing operation that includes Maclean’s, Chatelaine and Canadian Business.
The company has announced a number of departures, including Robert Bruce, who has been head of the former communications business that includes Rogers Wireless and Rogers Cable. He will serve as president of the new consumer business unit until the end of the year.
On Wednesday, Rogers announced the departure of executive vice-president John Boynton and senior vice-president Shelagh Stoneham, who held marketing positions.
Laurence told reporters in a Friday briefing in an informal lunchroom at Rogers headquarters in downtown Toronto that the company will be adopting a different marketing approach but declined to reveal any details.
Note to readers: CORRECTS spelling of Laurence throughout