Yahoo Finance India’s Zee to Cut Workforce by 15%, Proposes Lean Management Structure After Unsuccessful Sony Merger
Punit Goenka, MD and CEO of Indian media conglomerate Zee Entertainment Enterprises Limited, is trimming the organization’s workforce by 15%.
“In line with his overall strategic approach, the MD and CEO has initiated the process of rationalization of the workforce by 15%, that will prune the staff strength across the company to arrive at a streamlined team that is sharply focused on the set goals for the future,” Zee said in a statement on Friday.
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Goenka has also proposed the implementation of a “lean and streamlined management structure” to the Zee board, “in line with his strategic plan focused towards achieving the targeted goals for the company,” Zee said.
“The proposed structure is aimed towards arriving at a cost-effective operational model with speed and agility as the core areas of focus. It will further enable the company to chart higher growth by maintaining a keen eye on performance and profitability, thereby seamlessly executing its strategic priorities as required for a content creation company,” the statement said. The core business units of the new structure will be broadcast, digital, films and music.
The new regime will revolve around “frugality, optimization and a sharp focus on quality content” and every team member of the lean structure will “function as a partner and a co-owner of the company.” Goenka, who is now in direct charge of some of Zee’s verticals, has also proposed the elevation of some team members across businesses, giving them higher responsibilities.
Earlier this week, Goenka had said that he would take a voluntary 20% reduction in his personal remuneration. In late March, Zee had cut its Technology & Innovation Centre by 50%.
These moves follow the unsuccessful merger with the Sony Group Corporation’s Indian unit in January.
Goenka said: “Building a simplified, lateral structure for the company, will ensure that we maintain a sharp focus on performance and profitability as the key growth drivers, and the structure proposed to the board is in line with this core thought. The streamlined team at Zee will maintain a sharper focus on targeting higher levels of productivity to drive growth in order to generate value for all our stakeholders going forward.”
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