Warsaw (Puls Biznesu) – Polkomtel implements a program which should generate PLN 200m of savings.
Jaroslaw Bauc, the CEO of the operator of Plus and Sami Swoi mobile networks plans to cut spending.
“We want to save over PLN 200m (EUR 52m) till 2008. The first effects will be visible as early as this year although the amounts won’t be big”, Jaroslaw Bauc said.
The program should increase the net income. Last year, the net income amounted to PLN 1.05 billion and it could be 20 percent higher in two years unless the other elements influencing the company’s efficiency change.
The cost cutting program includes 140 initiatives, like saving IT spending or implementing CRM system. Polkomtel plans also to increase outsourcing. According to “Computerworld” weekly, the program may result in firing over 800 people out of 3,500 employees.
“The business grows very fast and we need new people so there won’t be any group lay-offs. The program will be implemented by limiting the employment growth rather”, Jaroslaw Bauc said.
In the first three quarters of this year, Polkomtel had PLN 5.5 billion of sales and PLN 836m of net income. The company wants to offer more fixed line services, and in effect offer convergent services. Today, it has 160,000 fixed line clients.
“The fixed line services for all clients should be launched in the second half of next year. I would be very glad if every out of over 11m of Polkomtel clients would use it but it is not very probable”, Jaroslaw Bauc said.
(PLN 1 = EUR 0.260)