The new boss of Rio Tinto has launched a major restructure of the mining firm’s operations and leadership team.
The Anglo-Australian company said it will review the future of two of its smaller divisions – borates, which supplies the detergent industry, and its iron and titanium business – as a result.
Rio Tinto told shareholders on Wednesday it will now reorganise the business into three core units: iron ore; aluminium and lithium; and copper.
The shake-up comes days after the appointment of Simon Trott as its chief executive, following the surprise departure of previous boss Jakob Stausholm.
Mr Trott said the shake-up will drive “great accountability and focus” across the company.
It comes amid pressure on the business to reduce its costs and improve value for shareholders.
Mr Trott said: “A simplified business structure, grounded in our fundamental commitment to safety and with sharper focus on the most compelling opportunities we have, will enable us to deliver new standards of operational excellence and value creation.
“It will bring greater accountability and focus to our teams, underpinned by a more disciplined approach to operational performance and capital investment.”
As part of the overhaul, Rio Tinto will bring all its iron ore operations into one consolidated division led by Matthew Holcz.
A restructure of the leadership team will also see additional roles for Jerome Pecresse and Bold Baatar.
However, Sinead Kaufman, the boss of Rio Tinto’s minerals business, will leave the company later this year. It also said it will end the role of Australia chief executive, which is currently held by Kellie Parker.
