Specialist feature and smart phone manufacturer Doro is to say goodbye to long standing CEO Jérôme Arnaud as part of a restructuring of the company which will also include ‘staff optimisation’ in their home market of Sweden, and the closure of a research and development site in France.
Doro produces devices for the senior phone market but has recently found a second audience in B2B device sales. The handsets are stocked in over 40 countries making it the only large scale manufacturer in its market niche. The company expects the restructuring costs, which includes relocating the top management team to Lund, Sweden to cost just over £1.8 million and to take place in Q4. The effect of this one-off cost is to alter the company’s projected operating profit to below that of 2015, at £3.5 to £4.4 million.
Describing the decision to let go their long-time CEO, the company statement reads, ‘the Board has concluded that, even though Mr. Arnaud’s frequent presence in Sweden and visionary leadership throughout the group have served Doro well over the years, centralizing top management and development teams at the Lund headquarters will create the operational synergies needed for success.’
The current CEO is expected to stay on at the company until the recruitment process for his successor is concluded in ‘early 2017’. Commenting on his departure, Arnaud said, ‘I have been working for Doro for almost 16 years, of which nine as CEO, and I must say it has been a fantastic professional journey full of challenges and satisfaction. This could not have been achieved without my team, with whom I have established a trusting relationship, board members and shareholders and other stakeholders who have supported our strategy and growth. I am very thankful for that. I wish the best success for Doro and my successor.’
In a recent interview with Mobile, Doro UK and Ireland MD Chris Millington stated the company’s goal of becoming the leading feature phone manufacturer in 2017, specifying that this was to come through company growth, not market contraction, which Millington said had ‘bottomed-out.’