The restructuring effort is likely to result in increased competition with Boeing as well boosting the efficiency across its global supply chain.
Following a recent merger of Airbus’ parents and its dominant plane manufacturing arm, on Monday, the company has formally kicked off its effort at creating a leaner corporate structure under Chief Executive Tom Enders while confirming a reorganization of its commercial sales.
The structural changes were first announced last year. The reorganization will now involve Airbus having a single corporate headquarters at Toulouse, France, with Fabrice Bregier as its group-wide CEO and president of commercial aircraft.
“Airbus will benefit from a simpler structure that enables faster decision-making, less bureaucracy, greater collaboration and increased efficiency,” said Airbus in a statement.
Its sales team will now report directly to Enders instead of to Bregier.
The move is sensitive since it essentially revisits a power-sharing deal between Bregier and Enders.
A spokesman for the company passed off the exercise as a routine matter.
In a letter to its staff, Enders stated that Bregier as the head of the commercial aircraft division, he would lead programs, including manufacturing, engineering, support and services, procurement and quality assurance.
“However, due to the heavy operational challenges in our largest revenue-driving business, and to slightly rebalance our internal burden-sharing, I will lead sales and marketing.”
The letter went on to add, Bregier will oversee Airbus’s efforts to capitalise on the power of ‘Big Data’ through increased ‘digitalization’ of the company’s global supply chain.
“Only companies with lean and integrated structures will reap the full benefits of digitalization in both their existing operational challenges and their future endeavors,” he said.
He emphasized that Airbus needs to move with the frenetic pace of change in the industry, “waving goodbye to an era in which a return to ‘stability’ was a realistic aspiration”.
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