Burnett plan sees China offices expand, while Hong Kong staffers cut

<p>Leo Burnett has reorganised its Hong Kong and China operations in </p><p>the face of rapid expansion of its China business and an increasingly </p><p>competitive market environment in Hong Kong. </p><p><BR><BR> </p><p>However, while staffing levels in the agency's Guangzhou, Shanghai and </p><p>Beijing offices have been increased, about 20 people in Hong Kong have </p><p>been laid off because they do not fit in with the new structure. </p><p><BR><BR> </p><p>The reorganisation, described as client-driven, involves strengthening </p><p>the senior management team; Mr Dennis Wong has been promoted to chief </p><p>executive officer overseeing business development and strategy while Mr </p><p>Eddie Booth has been named chairman and executive creative director with </p><p>the responsibility of ensuring the highest creative output possible. </p><p><BR><BR> </p><p>In addition, each of its China offices will for the first time have </p><p>individual MDs. Mr Ben Tsang, who has been running and building the </p><p>China operation for the last three years, has been named operations </p><p>director China and Guangzhou MD. He is also acting Beijing MD. </p><p><BR><BR> </p><p>Doug Pearce, previously general manager of Leo Burnett Melbourne, </p><p>becomes the Shanghai MD. </p><p><BR><BR> </p><p>And Mr Mark Blears, the Hong Kong GM, now takes full responsibility in </p><p>running the Hong Kong operation, including all China business out of </p><p>Hong Kong. </p><p><BR><BR> </p><p>Burnett is also rolling out three specialised business units: </p><p>interactive, retail and direct marketing. </p><p><BR><BR> </p><p>Mr Booth said the bolstering of the China operations was due to the fact </p><p>that many clients who used to oversee their China business from Hong </p><p>Kong are now relocating to the mainland such as Coca-Cola. </p><p><BR><BR> </p><p>"China has reached the stage where individual markets within the country </p><p>are becoming more distinctive; Shanghai is different from Guangzhou and </p><p>those two places are different from Hong Kong. </p><p><BR><BR> </p><p>"The goal for each individual office from now on is to produce work that </p><p>is relevant to its market and to be the best individual agency in its </p><p>city. </p><p><BR><BR> </p><p>"This is why we have MDs in each of the China office in order to empower </p><p>those offices to do what is necessary to achieve the goals without </p><p>having to go through Hong Kong all the time," Mr Booth told MEDIA. </p><p><BR><BR> </p><p>On the 20 staff who were laid off in Hong Kong, Mr Blears described the </p><p>move as a purely business decision aimed at ensuring future growth. </p><p><BR><BR> </p><p>"In moving forward, we have tried to think about where the market will </p><p>be in five years time and to that end we have moved now to build and </p><p>develop structures and services. </p><p><BR><BR> </p><p>"If we implemented the plan only halfway, we would have the worst </p><p>structure in the world," said Mr Blears. </p><p><BR><BR> </p>