Microsoft to reorganise entire company for greater 'speed and efficiency'

Microsoft chief executive Steve Ballmer has announced a new "one strategy, one Microsoft" reorganisation of the company, as it seeks to "innovate with greater speed, efficiency and capability".

Steve Ballmer: chief executive of Microsoft
Steve Ballmer: chief executive of Microsoft

The brand will now focus on a core strategy of "creating a family of devices and services for individuals and businesses", with a restructure that sees Kurt DelBene, president of Microsoft Office, retire.

In a lengthy memo to staff, Ballmer also revealed that former chief research and strategy officer Craig Mundie will step down next year.

The shake-up comes after the unsuccessful launch of Microsoft's much-anticipated Windows 8 operating system and is reminiscent of the "One Sony" restructure that was aimed at increasing Sony’s decision-making processes.

Ballmer claims the restructure will have Microsoft operating under a single strategy and as one company, rather than a collection of divisional organisations.

He said: "Our marketing, advertising and all our customer interaction will be designed to reflect one company with integrated approaches to our consumer and business marketplaces."

Ballmer has requested "more" from staff, including "better execution from product conceptualisation and innovation, right through to marketing and sales".

Marketing will continue to be led by Tami Reller, while Mark Penn, a former pollster for Bill Clinton, will "take a broad view of marketing strategy" for "the newly centralised advertising and media functions".

Microsoft will base the foundations of its new business on "mobile devices, Windows, Office 365 and Azure", while Xbox and Bing "will also be key future contributors to financial success". 

Subscribe to Campaign from just £57 per quarter

Includes the weekly magazine and quarterly Campaign IQ, plus unrestricted online access.


Looking for a new job?

Get the latest creative jobs in advertising, media, marketing and digital delivered directly to your inbox each day.

Create an Alert Now

1 Martin Freeman fronts Vodafone UK's first integrated ad campaign by Ogilvy

The Hobbit and Sherlock star Martin Freeman plays a rude wedding guest in Vodafone's first integrated ad campaign since the telecoms giant moved its UK ad business to Ogilvy & Mather earlier this year.

Case study: How 'This girl can' got 1.6 million women exercising

1 Case study: How 'This girl can' got 1.6 million women exercising

"This girl can" was based on a powerful insight: that the fear of judgement by others is the primary barrier holding women back from participating in sport.

Just published