Sony Considers Reorganizing Into Holding Company Structure
Nov 4, 2003
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Sony Corp. is considering revamping its corporate governance structure by putting three reorganized component firms under a holding company around 2006 in a bid to speed up its decision-making process, senior Sony officials said.
The plan calls for putting the three firms - an electronics hardware maker, content producer, and a financial company - under the wing of a commanding holding company, the officials said.
Sony wants to adopt the new structure around 2006 when it will celebrate its 60th anniversary, they said.
Sony, whose core business is the manufacturing of electronics goods, currently oversees many subsidiaries and affiliates, which are responsible for particular business sectors such as movies, music content, video games, and financial services.
This complex structure makes it difficult for the company to hand down quick decisions in determining its management strategies, they said.
"It is necessary to make headquarters operations (of the envisioned holding company) in the Sony group the central force," a Sony executive said.
Sony will determine what kind of functions and personnel system the holding company should have over the next 3 to 5 years, the executive added. (Kyodo News)
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