Nokia is making some strategic moves to adapt to changing market demands, including splitting its Mobile Networks business group into two distinct organizations.
The company on Friday said as of April 1, the current Mobile Networks group will become two separate entities. Those will include a Mobile Networks business focused on products and solutions, and a Global Services group focused on other services.
“These changes are designed to accelerate the execution of our strategy,” Nokia President and CEO Rajeev Suri explained in a statement. “They will strengthen our ability to deliver strong financial performance, drive growth in services, meet changing customer demands in mobile networks, achieve our cost saving and ongoing transformation goals, and enable strategic innovation across our networks business.”
The organizational changes will, of course, come with some leadership adjustments as well. These include the shift of current Chief Innovation and Operating Officer Marc Rouanne to become President of the Mobile Networks group, where he will be responsible for mobile products and solutions encompassing 4G, 5G, cloud core, small cells, and other mobile solutions. Igor Leprince, currently Executive Vice President of Global Services, will take the role of President of Global Services, which will be comprised of the Services organization that currently resides within the existing Mobile Networks business group, including company-wide managed services. Additionally, current COO of Fixed Networks Monika Maurer will take on the role of Group COO, responsible for Nokia’s operating model, Global Operations (manufacturing and supply chain), procurement, implementation of cost saving and ongoing transformation activities, information technology, real estate, and quality.
The company also noted the departure of current Mobile Networks President Samih Elhage, who Nokia said is leaving now that the integration with Alcatel-Lucent is complete.
“From helping lead the transformation at Nokia Siemens Networks and creating a disciplined operating model that remains a competitive advantage, to being one of the driving forces behind the acquisition of Alcatel-Lucent and its fast and successful integration, Samih’s contributions to Nokia have been remarkable,” Suri said. “He has been a close friend and advisor through times both good and bad, and I fully support his desire for a change.”
Once the changes go into effect in April, Nokia’s Group Leadership team will include Suri, Kristian Pullola, Maurer, Basil Alwan, Bhaskar Gorti, Federico Guillén, Leprince, Rouanne, Ashish Chowdhary, Hans-Jürgen Bill, Kathrin Buvac, Barry French, Maria Varsellona, and Marcus Weldon.