Thursday, August 31, 2006

Deutsche Telekom Outlines Seven-Point Strategy

Deutsche Telekom's Supervisory Board has given the go-ahead for changes in DT's management structure, in line with a new, 7-point program called "Telekom 2010."

T-Systems CEO Lothar Pauly will head the areas Networks, IT and Purchasing worldwide, while T-Mobile CEO Rene Obermann will be responsible for over-the-counter sales in Germany. Kai-Uwe Ricke will assume responsibility for advertising budgets, media planning and media coordination along with global brand-management.

The Telekom 2010 Plan

1. Germany -- DT aims to safeguard current earnings on a sustained basis, thereby securing its future in the long run. It plans to defend market share with attractive package deals and excellent service.

2. Europe -- In the European markets, the objective is to sustainably increase revenue market share by 2010.

3. USA -- DT seeks to maximize its revenue market share and develop T-Mobile USA into the Group's largest business unit in the consumer area.

4. Business customers -- In the European business customer market, Deutsche Telekom intends to achieve a market position among the Top 3 across all customer segments.

5. Innovation -- DT is concentrating on IPTV, mobile Internet and ICT services.

6. Service -- DT aims to achieve a first-done rate of around 80 percent. In 2007, the company will continue existing programs, such as integrating its customer database and CRM.

7. Efficiency -- DT seeks to become the strongest company in terms of earnings in the European industry by the year 2010. Measures in this area are IP-based infrastructure, IT architecture as well as enhanced sales and marketing efficiency.

See also