What's Happening?
Unilever's CEO Fernando Fernandez has announced plans to review the company's top 200 leadership roles, aiming for a 25% refresh in management. This initiative is part of Fernandez's strategy to ensure Unilever's leadership is benchmarked within the market. Appointed CEO in March, Fernandez is focusing on creating a 'machine of demand creation' with geographical anchors in the US and India. The review will assess whether current leaders meet the standards expected by Unilever, with plans to fast-track emerging talent and introduce new hires. Additionally, Unilever has reduced its white-collar workforce by 18% over the past 18 months to enhance accountability within the organization.
Why It's Important?
The leadership review is significant as it reflects Unilever's commitment to maintaining competitive edge and operational efficiency. By refreshing its management, Unilever aims to foster innovation and responsiveness in a rapidly changing consumer market. This move could lead to improved decision-making and execution across its global operations, particularly in key markets like the US and India. The focus on accountability and performance incentives suggests a shift towards a more dynamic and results-oriented corporate culture, which could enhance Unilever's ability to adapt to market demands and drive growth.
What's Next?
Unilever plans to implement these changes swiftly, with Fernandez emphasizing the need for rapid decision-making. The company is targeting €800 million in savings by the end of 2026, with €650 million expected by the end of this year. As Unilever progresses with its leadership review, stakeholders can anticipate further organizational changes aimed at optimizing performance and achieving strategic goals. The focus on emerging talent and new hires indicates potential shifts in company culture and operational strategies.
