(Yicai Global) Jan. 12 -- JD.Com will set up three business divisions, including a greater FMCG (Fast-Moving Consumer Goods) division, an e-entertainment division and a fashion and lifestyle division.
Wang Xiaosong, Yan Xiaobing, and Hu Shengli have appointed the heads of the three major business divisions, respectively, and senior vice presidents of JD.Com Inc. [NASDAQ:JD] and Richard Liu, as board chairman and chief executive, the company said in an internal memorandum yesterday.
JD.Com formally established the strategy of unbounded retail last year and actively reshaped itself into a provider of retail infrastructure. The company has transformed from 'integration' to 'integrated opening-up.' JD.Com should form a block structure, which is more agile and flexible to serve the changing needs of customers and an open ecosystem, Liu said in the memo.
The structural adjustment will bring about three changes. The first is to create a high degree of synergy with related businesses within the three major divisions, shifting its core to a user/customer or scenario-centric business and away from a purchase and sale integration approach, Liu said.
Second is to move authorization forward to reduce communication costs and decision-making cycles, and to respond quickly to meet customers' individual needs. "Give the decision-making power to the soldiers in the battlefield," and enhance the sense of bottom-up innovation, Liu added.
Third is to significantly lift the efficiency of resource utilization, strengthen operation, maximize the customer experience and consolidate core competitiveness. Liu himself will devote more time and focus to developing the technology businesses to promote JD.Com's technical transformation.