JSE listed Allied Electronics Corporation Limited (Altron) is well advanced with a number of initiatives aimed at making the business more efficient and streamlined. The latest in the group’s cost reduction exercises is the relocation of the Altech and Bytes head offices from Woodmead to the current Altron head office in Parktown, Johannesburg to realize a long stated goal of having one consolidated head office.
This will also enable the centralisation of finance, facilities, information technology, human resources and marketing shared services at an Altron level to further reduce support service costs, improve functional alignment and enhance efficiencies.
According to Robert Venter, Altron chief executive, the relocation of the offices and the centralisation of shared services is part of Altron’s transition into a leaner, more agile business operation that has already seen the group achieve significant cost savings.
“Following the release of our interim financial results in October, we announced our intention to focus on three areas that would be crucial to our future success, namely; business strategy and structure, cost reduction, and assets. I am pleased to report that we are seeing the benefits of our cost reduction activities and that the consolidation of head offices to date has been seamless with no impact on service delivery,” he says.
“The consolidation of our head offices facilitates more efficient and effective interactions at an executive level, while the centralisation of our shared services functions will lead to improved internal processes, closer interaction between businesses and improved cross selling opportunities across our customer bases.”