New organisational structure
The new strategic plan changed the previous organisation of the Gorenje Group from divisions to the structure reflecting business segments by their importance and purpose. The basic purpose of the reorganisation is to establish a process (functional) organisation of the Gorenje Group that has adjusted the complete organisational infrastructure of the operation of the Group to the key strategic objective of establishing an efficient business platform. The objective of creating an efficient business platform is namely a key tool for the achievement of all other strategic objectives that places three basic elements of value generation in the forefront: (1) people, (2) processes, and (3) an excellently operating unit (business model).
The Home Appliances Division has been restructured into the basic business segment of Home Appliances. In addition to production and sale of home products and services, this segment also includes the part of the former Home Interior Division that integrates the production and sale of kitchen furniture in scope of the Home Appliances segment. Until the year 2013, the Home Interior Division – in its previous form - will be divided into three segments. Besides the strategic component of kitchen furniture, it will become a part of other segments of the new organisation, namely of the Ecology and Portfolio investments segments.
The field of Ecology within the new organisation structure of the Gorenje Group has become a complementary segment and performs ecology-related services. This is the second strategic component of the operation of Gorenje with an emphasis on comprehensive waste management which is definitely one of the activities with strong development potential.
Other companies and activities that do not belong to the above-mentioned segments in accordance with their operation or strategic meaning for Gorenje are classified into the Portfolio investments segment. The basic attributes of their inclusion or operation in the Gorenje Group are mostly financial and reflect the capability of value generation (economic profit) and an adequate ratio of net debt to EBITDA. In the case of new investments, the main attributes for inclusion are strategic reasons and adequate net present value of the future yields of an investment.
The second level of the new organisation structure is a micro-organisational structure of the Home Appliances Segment. Management has also changed its organisation. Within the previous organisation structure, individual members of the M anagement B oard were responsible for separate divisions and their supporting activities to the functional process, with the main process in the forefront. The new structure is divided into sales and other operations with two responsible members from the M anagement B oard for both functional groups of operation. The complete organisational structure, even at lower levels, follows this model . It has become a tool of the basic attribute of sustainable improvement in performance, namely process excellence.