Dentsu restructures head office to quicken response times

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TOKYO -- Dentsu, the world's fourth biggest ad organization, is to restructure its Tokyo-based head office beginning next year. The Japanese company says the move is in response to rapid change in the ad industry and increasingly sophisticated client needs.

The office will divide into a "five headquarters structure" that will push power down the management lines to enable quicker decision-making, Dentsu said. From next January, headquarters for business administration, media administration and research and development will be set up, followed in April by two more for corporate and overseas business promotion.

"As a first step towards strengthening the organization for the 21st century, Dentsu aims to promote section integration and enhance quick decision making, collaboration and consistency among divisions," a company statement says.

Among the changes: Current account management and support divisions will come together under the Business Administrative Headquarters to make the agency more responsive to client needs; Media Administrative Headquarters will be responsible for ensuring rapid adaptation to the changing media environment and taking a more strategic approach - investing in content business, for example - and the Research and Development Headquarters will develop new techniques for clients.

The ad organization claims it is aiming for a structure that allows it not only to carry out all stages of advertising activities on a global scale, but also to anticipate client needs.

No one at Dentsu was available for comment at press time.

Copyright October 1998, Crain Communications Inc.

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