KUALA LUMPUR (July 14): Axiata Group Bhd announced today that Datuk Seri Shazalli Ramly, the CEO of its wholly-owned unit Celcom Axiata Bhd, has been appointed as the group’s regional CEO for Southeast Asia beginning Sept 1.

Shazalli, who has been with Celcom for 11 years and will have his tenure extended for another three years, will hold the posts of corporate executive vice president and regional CEO, Axiata said in a statement.

The group said the structural changes are in line with its strategy to refresh the management teams, execute its succession plan, strengthen the corporate headquarters to manage an entity that is more than twice its size since its formation, and accelerate its transformation into a regional digital company.

It added that Shazali’s sppointment is part of the group-wide transformation where it plans to accelerate its digitisation programmes, develop innovative technologies/business models, industry consolidation and merger integration, costs restructuring and support operating companies’ turnaround programmes.

Axiata noted that Shazalli’s duty is similar to recently-appointed Celcom regional CEO Dr Hans Wijayasuriya’s role, where he oversees the operations in the South Asia region.

“He will continue to be a member of the Celcom board and will also be appointed to three other boards of Axiata’s operating companies. They would both carry two titles, consisting of corporate executive vice president and regional CEO for their respective regions,” Axiata added.

Meanwhile, the group said Celcom will undertake a major organisational refresh with the set up of an executive committee (exco) and appointment of six new key senior positions — one from Celcom, three from the group, one external hire and another to be announced.

“To oversee the transition, a board exco will be established. Axiata president and group CEO, and Celcom chairman Tan Sri Jamaludin Ibrahim will chair the exco,” it said.

Jamaludin said the group needs to critically relook and refresh the management teams, and the announcement reflects its goal and determination to build the `best-in-class’ digital company.

“Since Axiata’s formation back in April 2008, we have doubled the size of the group’s revenue and market capitalisation, but our past success is not necessarily the recipe for the future.

“We have now entered into a new growth and transformation phase, while working on short-term challenges facing some of our businesses. We certainly need to critically relook and refresh our management teams across the group.

“Some changes have already taken place, even before today’s appointments and we expect to make further changes over the next few years. Fortunately, we have a strong reservoir of great talent, nurtured over the years,” he said.

Jamaludin said some talents from previous years were brought back to lead the respective national companies.

“We also plan to inject world-class external talents to further energize and continue to enhance diversity within the group,” he said.

In the meantime, Axiata’s unit Robi Axiata Ltd’s former CEO Michael Kuehner would assume the role of CEO for Celcom, beginning Sept 1.

Kuehner is a board member of three OpCos, such as Robi, Smart Axiata Co Ltd and edotco Group.

Axiata’s share price closed two sen or 0.36% down at RM5.48 today, for a market capitalisation of RM48.8 billion.