Home / Knowledge / News / Textiles / Evonik to continue restructuring operations
Evonik to continue restructuring operations
26
Sep '13
At its meeting, the Supervisory Board of Evonik Industries AG unanimously passed resolutions relating to the successful focusing of the Group on specialty chemicals and its future growth targets. Over the past five years Evonik has been restructured from an integrated conglomerate to a listed specialty chemicals company.

Following the refocusing of the business, the next step is to consolidate management and administrative processes. Within the Executive Board, operational responsibility for the entire specialty chemicals business will therefore be transferred to Patrik Wohlhauser (49) as of January 1, 2014. Dr. Thomas Haeberle (57) and Dr. Dahai Yu (52) will be leaving the company by amicable and mutual agreement effective December 31, 2013.

Dr. Werner Müller, Chairman of the Supervisory Board of Evonik Industries AG, said: "The reorganization of Evonik as a listed specialty chemicals company would not have been possible without the full commitment of Dr. Haeberle and Dr. Yu. They contributed many years’ experience of the operational side of Evonik's chemical business to the Executive Board and played a key role in shaping the successful repositioning of the Group. On behalf of the entire Supervisory Board, I would like to take this opportunity to thank Dr. Haeberle and Dr. Yu for their outstanding achievements."

Further, Evonik's Supervisory Board unanimously welcomed the Executive Board's decision to undertake extensive streamlining of Group-wide administrative structures. In many respects, the present administrative functions still reflect the needs of Evonik's former structure as a conglomerate.

Moreover, administrative expenses are now approximately 26 percent higher than they were in 2008. Evonik therefore intends to extend the progress made in the operating units through the On Track and On Track 2.0 efficiency enhancement programs to its administrative organization. The goal is to make cost savings of up to €250 million a year by the end of 2016.

Dr. Klaus Engel, Chairman of Evonik's Executive Board, explained: "We want to create an administrative organization that has a common stamp worldwide, without duplication of responsibilities on the one hand and unacceptable additional workloads on the other. To achieve this, we will be reviewing all administrative workflows and systematically identifying scope for improvement. Creating a more efficient Group-wide administrative organization will also make us faster and more agile in the marketplace."

The planned restructuring of the administrative functions will result in savings in material and personnel expenses. The related job cuts will be achieved in a socially compatible manner in close collaboration with representatives of the workforce and the German Mining, Chemical and Energy Industrial Union (IG BCE).

The scope and nature of the necessary measures will be examined in the coming months.Existing framework agreements, including the agreement to refrain from dismissals for operational reasons, will be extended for two years to the end of 2018. 

Ralf Hermann, Chairman of Evonik's Central Works Council, commented: "We will be keeping a critical eye on the administrative restructuring announced by the company, particularly to ensure that good administration is not misunderstood as meaning minimizing costs and maximizing workloads. Restructuring the administrative organization in collaboration with us will only be possible if good working conditions are provided for our colleagues."

Dr. Klaus Engel stressed: "Throughout the process, we will work as in the past: with decency and respect for people, and in close collaboration with representatives of the workforce."

Evonik


Must ReadView All

Israeli minister announces tax cuts on consumer goods

Apparel/Garments | On 14th Dec 2017

Israeli minister announces tax cuts on consumer goods

The Israeli Government will slash taxes by $227 million, finance...

Courtesy: Kelvin Techstyles

Apparel/Garments | On 14th Dec 2017

Kelvin Techstyles fuses style and function in city apparel

Fusing style and function in outdoor clothing, Roseville,...

India’s WPI inflation for textiles up 0.3% in Nov 2017

Textiles | On 14th Dec 2017

India’s WPI inflation for textiles up 0.3% in Nov 2017

India’s annual rate of inflation, based on monthly wholesale price...

Interviews View All

Top executives
Textile industry

The foremost issue is bridging the skill gap

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Prabu Mohanram
Balavigna Weaving Mills Pvt Ltd

The biggest challenge that the weaving industry faces is high price

Suresh P Bagrecha

Komal Texfab, founded in 1981, is into manufacturing of knitted fabrics,...

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

December 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.6%
No
12.0%
Skip
18.5%

Total Votes: 92

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
62.0%
No
30.4%
Skip
7.6%

Total Votes: 92

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.0%
No
9.8%
Skip
3.3%

Total Votes: 92

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
81.5%
No
8.7%
Skip
9.8%

Total Votes: 92


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search