Reliance Communication Restructuring

Reliance Communication, country’s second largest telecom company by way of foot print as well as subscriber base is restructuring its wireless business. The geographical restructuring is expected to enhance market competitiveness, execution excellence and improve productivity and quality of service in the field.

According to Reliance Communication, the restructuring would result in a leaner and flatter organization. This would also help in strengthening its customer facing – sales, distribution & customer service organization and consolidating the backend operations to deliver higher value to customers”. (Source: ET)

In management rejig of telecom operations, its wireless business head Syed Safawi is leaving the company and COO Shamik Das would oversee all the geographical divisions. Shamik Das had joined Reliance Communications as the Joint President & Chief Operating officer of Reliance Communication – wireless business in November 2011.

Similar exercise in form of business restructuring was conducted by Tata Teleservices, and Bharti Airtel in 2011.

Tata Teleservices had merged its GSM and CDMA Business, leading to a number of job positions getting redundant at all levels, thereby leading to job cuts and employee exits at all levels.

Bharti Airtel, had rolled out a unified structure leading to a merger of its Fixed Line, Wireless and DTH Business earlier in 2011, leading to job cuts, and reduced hiring.

It is expected that Reliance Communications restructuring may also lead to similar job cuts, and redundant positions leading to job losses.

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