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February 19, 1989

RADICAL RESTRUCTURING AT AT&T

By CBR Staff Writer

Another radical restructuring at AT&T Co is on the way, although the only change expected at the Data Systems Group is that Robert Kavner’s title will change to group executive from president; elsewhere AT&T wants to give managers lower down profit-and-loss responsibility and eliminate arguments over what product or service expenses should be charged to, and to reduce the present system of decision by committee: as a result of the changes, the company is expected to end up with between 15 and 25 business units, each run as a profit centre under a manager with more autonomy.

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