French telecoms equipment supplier Alcatel-Lucent has appointed chief financial officer Paul Tufano to the newly-created role of chief operating officer, which he will perform in addition to his CFO duties as part of a reorganised company operating…
French telecoms equipment supplier Alcatel-Lucent has appointed chief financial officer Paul Tufano to the newly-created role of chief operating officer, which he will perform in addition to his CFO duties as part of a reorganised company operating model.
Tufano will start his new role on 1 January 2013, when a raft of other changes will also come into effect. He will assume responsibility for the company’s supply chain and procurement worldwide as well as its enterprise, strategic industries and submarine businesses.
The changes are part of a comprehensive ‘performance programme’, first announced on 26 July and designed to generate €1.25bn (US$1.6bn) of cost savings by the end of 2013.
CEO Ben Verwaayen said the new operating structure aligns with the company’s intention to focus on core products and services.
“A streamlined executive committee will oversee the simplified business model, with a newly-appointed chief operating officer focused on executing operational improvements,” he said.
The new model will also see several other key executive changes and a renewed focus on developing the company’s operations in China.
Alcatel-Lucent posted total revenues of €3.45bn for the second quarter of 2012, down 7.1% from the previous year. The company’s net loss stood at €254m its operating loss at €31m.