Rolls-Royce Holdings’ (LON:RR) boss Warren East is looking to reinvigorate his turnaround of the company by putting someone with no direct experience of human resources in charge of managing people within the business, The Telegraph reports. Harry Holt, the president of the FTSE 100 company’s nuclear division, will take over the HR role early this year.
Rolls-Royce’s share price has fallen into the red in London this morning, having given up 0.71 percent to 841.00p as of 10:13 GMT. The stock is marginally underperforming the broader market, with the benchmark FTSE 100 index currently standing 0.33 percent lower at 7,662.31 points.
Management shake-up at Rolls-Royce
The Telegraph reported this morning that Harry Holt, the president of Rolls-Royce’s company’s nuclear division, will replace current HR boss Mary Humiston early this year. Holt, who joined the company in 2011 in a government relations role after 25 years as an officer of the British Army, is expected to use his goal-orientated military background to drive change at the business.
“The change of culture from slow decision-making to quick ones that we need is not going as fast as the chief executive wants,” one source within the company told the newspaper. “Harry’s job will be to get it up to speed. There’s the belief that culture eats strategy for breakfast: his job will be to bring in that cultural change.”
The news comes as chief executive Warren East continues with his efforts to turn around the group’s fortunes. Rolls-Royce, however, recently suffered a hit as the European aviation safety regulator ordered airlines to replace some of the group’s Trent 1000 engines.
Analysts on Rolls-Royce
The 17 analysts offering 12-month price targets for Rolls-Royce for the Financial Times have a median target of 818.00p on the shares, with a high estimate of 1,261.00p and a low estimate of 645.00p. As of December 30, 2017, the consensus forecast amongst 21 polled investment analysts covering the British engine maker advises investors to hold their position in the company.