TELECOMMUNICATIONS

Total Access Communication (DTAC) has scaled down its top-heavy management structure, replacing it with a more streamlined organisation.

The restructuring shake-up by the country's second-biggest mobile operator took effect on Sept 1.

Chief executive Jon Eddy Abdullah acknowledged the restructuring represents an important step in creating a more efficient business, with enhanced focus on operational and management flexibility.

The restructure is also meant to address intensifying competition in the local mobile phone market, especially for reception of third-generation wireless broadband service.

"The move is part of being customer-centric," said Mr Abdullah, adding that the new structure will prove fruitful for DTAC next year.

DTAC has about 6,000 employees. A senior executive said many managerial "boxes" have been merged and 15% of managers reassigned, with each layer having its own clearly defined functions and job responsibilities.

DTAC did not issue any layoffs and did not slash employee pay or cut benefits under the restructuring.

The senior executive said the restructuring was made after nine months of in-depth study: "We decide to do a shake-up in order to minimise handovers, increase efficiency and serve rapidly changing customer demands."

DTAC in July revamped its shareholding structure to eliminate the risk of being charged as a foreign-dominated firm. Telenor of Norway is the majority shareholder of DTAC with 42.61%, while Thai Telco Holdings owns 22%.

Pakorn Pannachet, a senior vice-president, said the number of DTAC data users is expected to reach 9 million this year, up from 6 million last year, thanks to the proliferation of smartphones and lower data tariffs.

Average revenue per data user is about 300 baht, he said.