The consumer-goods giant has announced changes to its organisational model to make it a simpler and more category-focused business.
The company will move away from its current matrix structure and will be organised around five distinct Business Groups:
Beauty & Wellbeing (which includes Hair Care, Skin Care, as well as Vitamins, Minerals and Supplements, and Unilever Prestige);
Personal Care (which includes Skin Cleansing, Deodorants, and Oral Care);
and Ice Cream.
Each of these entities will be “fully responsible and accountable for their strategy, growth, and profit delivery globally,” said the company in a statement.
This simplified organisational model is expected to enable the group to be more responsive and to accelerate growth, just days after they abandoned their bid for GlaxoSmithKline PLC’s consumer-healthcare business and as shareholders are increasing pressure for improved results.
Under the new structure, Fernando Fernandez, EVP Latin America, has been appointed President Beauty & Wellbeing, and Fabian Garcia, President North America, has been appointed President Personal Care. Peter ter Kulve will continue to lead home care; Hanneke Faber will be the head of nutrition; and Matt Close will head ice cream.
These appointments are effective from April 1, 2022.
According to Unilever, the proposed new organisation model will result in a reduction in senior management roles of around 15% and more junior management roles by 5%, equivalent to around 1,500 roles globally. However, factory teams are not expected to be impacted.