Electric utility E.On rearranges management structure
Under these structures, both companies will have four management board functions: a CEO, a CFO, and two operating functions
As part of its transformation, E.On has made organizational and personnel decisions. In the five months since announcing its new strategy, E.On discussed the main aspects of the organizational architecture for the future E.On and the new company and has reached decisions.
It also defined new management structures for them that reflect their respective strategic challenges. Under these structures, both companies will have four management board functions: a CEO, a CFO, and two operating functions.
The future E.On will have a chief markets officer who will oversee the development of new products and innovative solutions as well as the renewables business, which will be directly integrated into the company’s future portfolio of products and services. A chief regions officer will be responsible for the existing sales and distribution network businesses in E.On’s various national markets. The new company will have a chief operating officer, who will oversee the operation of technical assets, and a chief commercial officer, who will be responsible for marketing the company’s production and for energy trading.
E.On will focus on three core businesses: renewables, energy networks and customer solutions. The interplay between these businesses will enable E.On to package solutions for the new energy world, such as sustainable offerings for cities and custom-tailored products and services for industrial customers.
In addition, it will develop and expand its activities in marketing, technical innovation, digitalization and energy solutions; these activities will be centrally managed under the leadership of a new management board function. The company’s global renewables business, which is managed by E.On Climate & Renewables, will be further strengthened. E.On will manage its distribution-network and sales operations through regional units that are close to their markets and customers.
The new company, whose core businesses are conventional power generation, energy trading, and exploration and production (E&P), will begin operations at the start of 2016 under the name “Uniper.” The name, which stands for “unique performance,” underscores the company’s outstanding capabilities and expertise.
It was suggested by an employee and emerged as the winner over the roughly 3,000 ideas considered. This employee has been with the company for many years and works at a subsidiary that will be part of Uniper.
The spinoff encompasses E.On’s activities in the conventional energy world, from technical asset management to energy trading. These activities will be closely meshed and managed from a single location by means of an integrated management model.
At its meeting, the E.On supervisory board made decisions about the planned distribution of Board roles and appointed E.On’s future leadership team.
Johannes Teyssen (55) will remain E.On CEO after the spinoff.
E.On’s operating businesses will be led by Leonhard Birnbaum (48) and Bernhard Reutersberg (61). As chief regions officer Birnbaum will be responsible for the businesses in E.On’s core markets and thus for its sales customers and its network operations. Under his leadership, the company intends to further strengthen its market activities in Germany, the United Kingdom, Sweden, the Czech Republic, Slovakia, Hungary, and Romania.
Reutersberg, whose service agreement was extended to 2017, will serve as chief markets officer and propel the development of innovative customer solutions and manage E.On’s renewables businesses.
New on the Management Board will be future CFO Michael Sen (46), who will take over Klaus Schäfer’s responsibilities effective June 1. Sen, who was born in the Rhineland region of Germany, has worked at Siemens for almost 30 years. After completing a commercial apprenticeship at the power engineering factory in Berlin and earning a master’s degree in business administration, he has held a variety of management roles in both operations and strategy, including being responsible for international portfolio strategies at Siemens’s Corporate Development and later serving as head of investor relations at Siemens AG.