Warren East swings Rolls-Royce axe

Streamlining the engineer begins with the removal of a layer of management and two key employees.

by Adam Gale

You have a multibillion pound engineering firm that’s issued five profit warnings in two years and you’ve got activist investors breathing down your neck to do something drastic about it. Where do you start?

If your name’s Warren East and the firm in question is Rolls-Royce, the answer appears to be ‘at the top’. East announced today that he’s ditching the divisional structure he inherited from his predecessor John Rishton in July in an effort to simplify the firm’s bureaucratic decision-making process.

From the New Year onwards, Rolls-Royce’s five businesses – Marine, Defence Aerospace, Nuclear, Civil Aerospace and Power Systems – will report directly to East, rather than through the now redundant Aerospace and Land and Sea divisions. The two long-serving executives heading those divisions – Tony Wood and Lawrie Haynes – will leave the firm as a result.

Sign in to continue

Sign in

Trouble signing in?

Reset password: Click here

Email: mtsupport@haymarket.com

Call: 020 8267 8121



  • Up to 4 free articles a month
  • Free email bulletins

Register Now

Get 30 days free access

Sign up for a 30 day free trial and get:

  • Full access to managementtoday.co.uk
  • Exclusive event discounts
  • Management Today's print magazine

Join today