Telstra revamps business unit setup

Product group split; new operations and customer service units.

Telstra has unveiled a revamped organisational structure that includes product units divided into fixed and mobile, a combined operations unit headed by Michael Rocca and the departure of Holly Kramer.

The changes, announced by chief executive officer David Thodey, were foreshadowed in part at recent investor gatherings including the annual general meeting, according to a statement.

But today's announcement fleshed out the details.

Product changes
Thodey said Telstra's product portfolio would be divided into two specialist groups: PSTN, Fixed Broadband, BigPond and Media to be headed by Justin Milne; and Wireless, Data, Applications and Services to be headed by Philip Jones on an acting basis.

Milne was managing director of Telstra's media group and he was BigPond's director when he joined in 2002.

Holly Kramer, group managing director of Telstra product management, would leave to Telstra to "pursue other opportunities" as part of the restructure of the product group.

Network and customer service
The telco's network, technology and IT functions were consolidated into an operations business unit.

The former group managing director of networks and services, Michael Rocca, will act as chief operations officer.

Telstra also created a customer service unit - the Customer Satisfaction, Simplification and Productivity unit - and appointed former Tabcorp executive Robert Nason to take charge.

Nason, who joins in February, has 18 years experience consulting to the telecommunications industry.

Customer satisfaction was high on Thodey's agenda in recent weeks, with the telco scrapping an unpopular $2.20 charge to pay bills in person and last week's plan changes including a mix of higher quotas, lower charges and throttling.

Asia combined
Thodey also created a new International unit headed by Tarek Robbiati, which he said would "bring together all of Telstra's Asian assets and expertise into one dedicated unit for the first time".

"Asia is a very important market for Telstra and the creation of this new unit enables us to take a coordinated approach to our performance in one of the world's fast-growing markets," Thodey said.