New operating model aims to reduce hierarchies, eliminate bureaucracy for Bayer

German pharma and crop sciences major Bayer (BAYN: DE) is introducing a new operating model called “Dynamic Shared Ownership” (DSO) worldwide, which will reduce hierarchies, eliminate bureaucracy, streamline structures and accelerate decision-making processes.

The new operating model is aimed at making the company much more agile and significantly improve its operational performance. In a joint declaration, the board of management of Bayer AG and the employee representatives on the supervisory board have agreed on principles for the future of the company. This also includes regulations for the significant staff reductions expected in the course of the restructuring at the group companies in Germany.

“Bayer is currently in a difficult situation for various reasons. In order to make rapid, sustainable improvements to our operational performance and our room to maneuver, far-reaching measures are necessary. We want to get Bayer back on the road to success quickly,” explains Heike Prinz, member of the board of management and labor director of Bayer.