Swedish telecommunications provider Ericsson is reorganizing its group structure and the position of its management team to achieve its objectives.
The new roles of the management team and the restructuring will take effect on June 1, 2022.
Software and cloud services for the business domain
To be a leader in the mobile infrastructure industry, business domain software and cloud services are created by merging business domain digital services and business domain managed services, Ericsson explains.
The merger will see Ericsson capitalize on the convergence of cloud, software and services. This new structure will leverage investments in research and development, increase cloud-native expertise, and create combined offerings for automation and AI for service delivery.
Per Narvinger is appointed senior vice president and head of software and cloud services for the business area and will be a member of Ericsson’s management team. He is currently responsible for the product zone networks within the business zone networks.
Jan Karlsson, Head of Business Area Digital Services, will leave the management team and instead lead the development of the global network platform, reporting to CEO Börje Ekholm.
Peter Laurin, new business area software and cloud services, we provide solutions that will help our customers automate increasingly complex networks for cost and speed-to-market advantages. By combining the two business areas, we can coordinate our investments in orchestration and AI solutions by leveraging insights from our network operations,” comments Ericsson CEO Börje Ekholm.
Enterprise Wireless Solutions for the Line of Business
An Enterprise Wireless Solutions business segment, comprising the current Cradlepoint business and Dedicated Networks, is created to take full responsibility and focus on developing solutions to meet the growing needs of businesses and create an organization for corporate clients.
George Mulhern is named Senior Vice President and Head of Business Line Enterprise Wireless Solutions and will serve as a member of the leadership team. Mulhern is currently CEO of Cradlepoint.
Åsa Tamsons will remain as senior vice president and head of line of business technology and new ventures.
Tamsons will continue to focus on developing new business solutions to accelerate growth across Ericsson’s core and enterprise businesses – building on the successful model established to incubate new growth businesses, such as Dedicated Networks and Cradlepoint.
“The new business area’s enterprise wireless solutions will provide the direction and conditions we need to thrive in the enterprise market and secure the next wave of success for this business,” said Ekholm.
Group Function Global Operations
The company is changing its structure by adding a global operations group function. This will combine support functions across procurement, IT, digital transformation, group sales, real estate, and human and financial operations.
Moti Gyamlani is appointed senior vice president and head of global operations for the group function and will be a member of the management team. Moti is currently working as Group Sourcing Manager.
“Global Operations was created to deliver a best-in-class customer and employee experience by simplifying and digitizing end-to-end process flows across the enterprise. By creating this function, we will be able to better meet the needs of our customers and better support our employees, which will make us more agile and competitive,” says Ekholm.
Changes in the management team
Arun Bansal, Executive Vice President and Head of Market Area Europe and Latin America, will be leaving the company to pursue other opportunities. He has been with Ericsson since 1995 and has held his current position for five years.
The interim head of the Europe and Latin America market area will be announced separately.
“After turning the company around, Ericsson is entering a new phase of growth. The new group structure we are announcing today represents exciting opportunities for our employees, our customers and our business, and will allow us to continue to grow our core mobile infrastructure business and capitalize on the growing enterprise market. concludes Ekholm.
Following the new group structure, Ericsson will have the following reporting segments:
Segment networks (unchanged)
Segment cloud software and services (corresponding to legacy digital services and managed services)
Segment company (enterprise wireless technologies and solutions and new businesses).
Once the acquisition is complete, Vonage will form a separate line of business included in this segment.
Other segment (including media companies and one-offs)
The new segment reporting structure will be applied from the third quarter of 2022. The restated financial statements of the new segments for 2020 – 2022 will be published in September 2022 before the third quarter quarterly report.
This first appeared in the CommsWire subscription newsletter on May 19, 2022.