back to article Optus slices fat from management ranks

Optus is tightening up its middle and senior management ranks, confirming that it is shedding 250 positions. The carrier said that the redundancies were the result of a wide ranging business review which assessed the structure and capability mix to support its ongoing business transformation. An Optus spokesperson confirmed …


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Not Surprised

Optus are in some kind of internal meltdown and have been since late last year (if not before). This article just confirms it.

There's a old business rule that states that when you do a round of layoffs as part of some cost-cutting or efficiency drive, whatever the excuse is, you do it once and that's it (at least for several years).

Doing multiple rounds is a mark of failure. What it really means is that whoever orchestrated the layoffs doesn't understand the underlying business problem, because they should have got it right the first time.

In addition the 'confusion' within the business in terms of its structure and operation is very real and profound.

It's blatantly obvious that several very senior figures need to go, and I strongly suspect that this isn't just at the C level but also on the board.

Short answer is that I won't be buying any shares in Optus anytime soon. To me it looks like they're heading for their own 'Vodafone' moment.

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