Press Releases

Budapest, June 18, 2012 15:00

At its meeting held today, Magyar Telekom’s Board of Directors approved the mid- and long-term strategic direction of the company’s operations. One of the first steps is the establishment of a new management structure. The changes, to start from January 2013, will enable Magyar Telekom to exploit the new, innovative service and business opportunities by responding more flexibly to changes in customer demand and to market challenges. The company’s new organizational structure is also designed to enable Magyar Telekom to serve its customers in a high-quality, state-of-the-artand efficient way.
Magyar Telekom will provide further details regarding the new strategic direction and the operational model in the fall, following the adoption of necessary decisions.

In the changing world of telecommunications, the rapid development of technologies and the dynamic transformation of customer demand, as well as the unfavorable market and economic trends of the recent period pose challenges that Telekom intends to prepare for. The company’s new vision is built to a great extent upon its existing, uniquely wide-range service portfolio, and the potential of its wide-scope sales channels and customer relations systems. Telekom’s core business will be expanded to develop new online capabilities and opportunities in the digital home, further strengthening its footprint in non-traditional markets. The company’s business activities will focus to an even greater extent on serving customers. This is reflected by the new organizational structure, in which separate management will be responsible for serving the three basic customer segments (residential; small and medium businesses; enterprises).

“Our market positions and the current challenges offer an opportunity, a break-out point for Telekom to implement the right strategic and management changes within a proper timeframe and thus ensure that we remain a service provider that is able to recognize trends and also shape them. As a result of the changes, we will be able to meet customer expectations without compromise and even exceed them. Moreover, we will ensure Magyar Telekom’s long-term sustainable and profitable operations and the return on investment,” said Chairman-CEO Christopher Mattheisen commenting on today’s decisions.

The main changes, to take effect from January 1, 2013, pursuant to the decision of the Board of Directors, are as follows:

• The current position of Chief Sales and Services Officer shall be transformed and renamed “Chief Commercial Officer Residential”.
• The current position of Chief Marketing Officer shall be terminated.
• A new position titled “Chief Commercial Officer SOHO/SMB” shall be created to head the field of responsibility in charge of serving the respective customer segment.
• The current position of Chief Operating Officer Business Services Business Unit shall be renamed “Chief Commercial Officer Enterprise”.
• The current position of Chief Strategic and Corporate Development Officer shall be transformed and renamed “Chief Business Development Officer”.

The number of senior executives will not change. The Management Committee, in charge of the company’s operational management, will continue to consist of the Chairman-CEO and eight Chief Officers.

Magyar Telekom’s Management Committee will elaborate on the transformation, new organization and management structure in due course. It will provide further information on the new strategic direction and the operational model in the fall.

As a result of the organizational changes, the employment of Chief Marketing Officer István Király will be terminated with mutual consent on June 30, 2012. His tasks will be assumed by Consumer Segment Marketing Director Melinda Szabó, until the end of the year. Chief Technology and IT Officer István Maradi will also leave the company with mutual consent with effect of July 31, 2012. A decision concerning his successor will be taken later.
Chairman-CEO Christopher Mattheisen expressed his appreciation for the departing senior executives and said: “Magyar Telekom has a lot to thank István Király and István Maradi for. They have greatly contributed to Telekom’s position as an innovative and high-quality service provider and its market leadership position in the Hungarian market from both a technological and a marketing aspect. I wish both of them all the best for their future careers.”
István Király has worked for eight years as a Telekom executive. In his capacity as T-Systems’s Marketing Director, he facilitated the introduction of the T-Systems brand in Hungary, as well as the product development and marketing activities aimed at business and public sector customers. He played an outstanding role in launching our first cloud-based services and the achievement of our market leading position in IT services. After his appointment to the Chief Marketing Officer position, it was under his leadership that Telekom‘s positions on the fixed line, mobile, internet and TV markets were strengthened. The integrated customer loyalty program was established, and unique innovative products were added to the product portfolio such as the “Hoppá” and “Paletta” tariff packages and interactive TV.
István Maradi joined Telekom at its beginnings in 1990. He played an outstanding role in the launch of mobile communications in Hungary, the introduction of the four mobile technology generations launched so far, and the achievement and retention of Telekom’s stable mobile market leadership. It was under his leadership that the IT background necessary for the provisioning and sales of Telekom’s unique integrated packages was built up. This laid the foundation on which the company is able to provide high-quality services to its customers in the new markets too. It was also with his leadership that, among other things, the broadband fiber network was developed, the technological platform of interactive television services was rolled out, and the 4G network development started.