Wednesday, 4 February, 2009

OEM International introducing new corporate structure and initiating measures to handle decreased demand

A new corporate structure, based on a product and country template, will be introduced from 2009 and on. This change aims to strengthen the long term competitiveness of OEM as well as to increase growth outside Sweden.

- The new corporate structure implies increased local ownership of business development and that synergies regarding business offers are taken into account. The structure is based on three product divisions in combination with geographical regions, says Jörgen Zahlin, CEO OEM International AB.

At the same time, measures to handle decreased demand following the recession have commenced. The cost cuts will imply a 50 MSEK reduction of expenditures on a yearly basis, compared to cost levels of late 2008.

- The cost cuts are a response to decreased demand. Amongst other things, the number of employees will decrease from today’s 630 to about 580. This is a very difficult but necessary measure to maintain efficiency and competitiveness, says Jörgen Zahlin.

Download wkr0003.pdf