Dow Jonesundefined reorganized its operations and streamlined management, cutting 20 jobs in a bid to save $8 million a year.
The move allows new chief Richard Zannino to put his stamp on the New York-based publisher of
The Wall Street Journal
just over a month after he took the reins from longtime chief Peter Kann.
Dow Jones said Wednesday it will organize and report its business around three markets: consumer media, enterprise media and community media. The company was previously organized around its channels of distribution, meaning print publishing, electronic publishing and community newspapers.
Dow Jones said the streamlining will reduce management layers and decentralize corporate functions. The company will take $14 million in one-time charges, mostly in the first quarter of 2006.
"This new structure and leadership team is a major first step in transforming Dow Jones from a channel-focused publishing company to a franchise-, market-, and customer-focused media company," said Zannino. "By organizing around markets and customers and integrating print, online and other media for each of our franchises, we will enhance our journalistic excellence, increase the value we provide to customers, improve our efficiency, execution and decision-making, reduce costs and be better positioned to exploit growth opportunities in the consumer, enterprise and local media markets."
The Consumer Media Group will include The Wall Street Journal, Barron's, MarketWatch and SmartMoney. It will be led by L. Gordon Crovitz, who will become executive vice president of Dow Jones, president of Dow Jones Consumer Media Group, and publisher of The Wall Street Journal Franchise.
The Enterprise Media Group will include Dow Jones Newswires, Dow Jones Licensing Services, Dow Jones Indexes, Dow Jones Financial Information Services, Dow Jones Reprints and Permissions, and the joint ventures Factiva and Stoxx. It will be led by Clare Hart, who was previously CEO of the company's Factiva joint venture with Reuters. Hart and will join the Company March 1 as executive vice president of Dow Jones and president of Dow Jones Enterprise Media Group.
The Community Media Group will include the Company's portfolio of 15 daily and 19 weekly Ottaway community newspaper properties in nine states. It will be led by John Wilcox, who will become senior vice president of Dow Jones, president of Dow Jones Community Media Group and chairman and CEO of Ottaway Newspapers.