Rogers Communications Inc. RCI-A-T has changed its chief know-how officer simply days earlier than the corporate faces scrutiny in Ottawa over this month’s nationwide shutdown of wi-fi and web companies.
Veteran telecom govt Ron McKenzie will take over accountability for the techniques that help the 12 million prospects of Canada’s largest cellphone firm. He replaces Jorge Fernandes, who joined Rogers simply over 4 years in the past from Vodafone Group PLC, the place he was chief know-how officer for its U.Ok. division. Mr. McKenzie was beforehand the president of Rogers for Enterprise, the division that gives wi-fi and web companies to company shoppers.
After the community outage, Rogers chief govt officer Tony Staffieri vowed to make adjustments and extra investments to enhance community reliability. The July 8 disruption outraged prospects, prompted a overview by a Home of Commons committee and created new regulatory challenges for Rogers’ deliberate $26-billion takeover of Shaw Communications Inc. SJR-A-X.
The corporate up to date its web site on Wednesday night time to mirror the administration change. Rogers spokesperson Chloe Luciani-Girouard confirmed Mr. Fernandes’ departure and Mr. McKenzie’s appointment in an e-mail on Thursday.
Rogers nonetheless has some explaining to do about its outage and the fallout for its Shaw deal
Earlier than turning into president of Rogers For Enterprise, Mr. McKenzie led technical operations at Rogers for greater than two years, overseeing installations, service, upkeep and technical help for each the wi-fi and cable divisions. He additionally led the corporate’s technical operations transformation in the course of the pandemic.
In an open letter to prospects final week, Mr. Staffieri apologized for the outage, which impacted the Interac debit system and left Rogers prospects unable to entry 911 companies.
Mr. Fernandes’s departure follows govt adjustments that occurred after a dramatic energy battle on the firm final 12 months unseated then-CEO Joe Natale. Since taking excessive job final November, Mr. Staffieri has changed nearly all of Mr. Natale’s senior management crew, together with putting in new heads for the wi-fi, cable and media divisions. Mr. Fernandes was one of many final holdovers from Mr. Natale’s crew.
Mr. Fernandes is exiting the corporate simply days earlier than a Monday listening to in entrance of the Home of Commons committee on business and know-how. The committee, which is made up of members of Parliament from all 4 main federal events, will overview the reason for the outage, its affect, in addition to measures to stop future outages, and report its findings to the Home of Commons.
Mr. McKenzie, Mr. Staffieri and Ted Woodhead, the telecom’s chief regulatory officer, are scheduled to look as witnesses on behalf of Rogers. Trade Minister François-Philippe Champagne and Ian Scott, chairperson and CEO of the Canadian Radio-television and Telecommunications Fee, may even tackle the committee on Monday, together with members of their groups and several other telecom business researchers.
Mr. Champagne’s ministry is among the two federal regulators nonetheless reviewing Rogers’ proposed takeover of Shaw. Talking at an occasion in Calgary final Friday, Mr. Champagne stated the service disruption can be on the minds of regulators as they weigh the proposed merger of Canada’s two largest cable techniques.
The Competitors Bureau is trying to dam the takeover, arguing that it will end in larger costs and poorer service, notably for wi-fi prospects. Rogers has struck a deal to promote Shaw’s Freedom Cellular, Canada’s fourth-largest wi-fi provider, to Quebecor Inc. for $2.85-billion in an try to deal with these considerations.
Financial institution of Nova Scotia analyst Maher Yaghi stated the management change demonstrates that “Rogers is taking the scenario significantly and seeking to enhance inside operations as the corporate prepares for a possible gruelling assembly” in entrance of the committee.
“We suspect some accountability to the most important community failure that happened two weeks in the past was unavoidable,” Mr. Yaghi wrote in a analysis word, including that the committee is anticipated to grill Rogers executives on the extent of compensation they’re providing their prospects and the community and operational adjustments that the telecom plans to make to stop future outages.
The service disruption, which the corporate has stated was brought on by a coding error as a part of a upkeep improve to the telecom’s core community, is the second main outage to have an effect on Rogers prospects in simply over a 12 months. In April, 2021, the telecom’s wi-fi companies went down throughout the nation for 16 hours. Mr. Fernandes stated on the time a software program replace by Rogers’ provider Ericsson prompted the outage.
Mr. McKenzie has three a long time of telecom and know-how business expertise. Earlier than touchdown at Toronto-based Rogers, he spent 10 years in Shaw’s govt crew, together with a stint because the Calgary-based telecom’s chief working officer. He holds {an electrical} engineering diploma from College of Toronto and has attended Harvard College’s telecom administration coaching applications.
Mr. McKenzie has a “robust background to take over this key function” at this vital time, Mr. Yaghi stated.
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