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A New Outlook on CMS

How can CMS add value to SK Telecom within the CIC?. A New Outlook on CMS. CMS Team #1. TABLE OF CONTENTS. CMS IN THE CIC SYSTEM. 1. CURRENT CHALLENGES. 2. RECOMMENDATIONS. 3. SUMMARY. EFFECTS. 5. 4. 1. CMS IN THE CIC SYSTEM. Current organization structure and functions of CMS.

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A New Outlook on CMS

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  1. How can CMS add value to SK Telecom within the CIC? A New Outlook on CMS CMS Team #1

  2. TABLE OF CONTENTS CMS IN THE CIC SYSTEM 1 CURRENT CHALLENGES 2 RECOMMENDATIONS 3 SUMMARY EFFECTS 5 4

  3. 1. CMS IN THE CIC SYSTEM Current organization structure and functions of CMS.

  4. Previous Organization Structure SK Telecom’s original organization structure was very similar to many other companies in Korea. Previous Structure CEO Supporting MNO Global Biz. C&I

  5. Organization Structure In 2008, SK Telecom implemented the CIC(Company In Company) system. Previous Structure CEO Supporting MNO Global Biz. C&I CMS

  6. Organization Structure Supporting functions moved into CMS and a TTC(Top Team Coordinator) was added under the CEO to coordinate each CIC. Current Structure CEO CMS The TTC is a committee that oversees a collaboration within the CIC system. Supporting TTC MNO Global Biz. C&I CMS All supporting functions became the CMS CIC.

  7. Why the CIC System? 1 2 3 4 Specialize in their own business Re-allocate key responsibilities Greater flexibility to react to an external environment Increases global competency

  8. What exactly is CMS now? CMS has many functions that support each CIC and SK Telecom as a whole. CMS Corporate Center Strategy Planning HR/FMI System Innovation Financial Services Legal Services CR Strategy Public Relations

  9. Examples of Specific Functions #1 The PR function in the CMS includes overseeing branding policies and PR campaigns that affect SK Telecom as a whole. CMS Public Relations • Responsible for corporate PR campaigns. • Manages the corporate brand. Corporate Center Strategy Planning HR/FMI System Innovation Financial Services Legal Services CR Strategy Public Relations

  10. Examples of Specific Functions #2 Financial services in the CMS include functions such as Accounting, Purchasing, Asset Management. CMS Financial Services • Controls corporate finance. • Accounting, Purchasing, Asset Management. Corporate Center Strategy Planning HR/FMI System Innovation Financial Services Legal Services CR Strategy Public Relations

  11. TABLE OF CONTENTS CMS IN THE CIC SYSTEM 1 CURRENT CHALLENGES 2 RECOMMENDATIONS 3 SUMMARY EFFECTS 5 4

  12. 2. CURRENT CHALLENGES What we are facing now.

  13. Challenge from the Restructuring Core Issue Decentralization

  14. Decentralization As SK Telecom broke into 4 separate CICs, several difficulties arose due to decentralization. 1 3 2 4 Processes became un-standardized Harder to maintain common corporate culture Duplication of the work Less internal communication and collaboration

  15. TABLE OF CONTENTS CMS IN THE CIC SYSTEM 1 CURRENT CHALLENGES 2 RECOMMENDATIONS 3 SUMMARY EFFECTS 5 4

  16. 3. RECOMMENDATIONS CMS Restructuring.

  17. Recommendation We recommend structuring CMS into 3 distinct groups. Shared Service Center Value Center Strategy Coordination Team CMS

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