Aviat Networks, a microwave networking solution company, announced job cut to reduce costs.
The company also announced a new chief operating officer to manage the restructuring program and growth.
The company will incur $3 million towards restructuring charge and $0.5 million in share-based compensation in the fiscal 2018 fourth quarter and first half of fiscal 2019.
Aviat Networks aims to generate $1.2 million in savings in fiscal 2019 targeting to use for supporting growth-related initiatives.
Aviat Networks will use automation and consolidate back-office functions to generate annual savings of $3.2 million in fiscal 2020.
Aviat Networks will be centralizing operations, finance, IT, and business process engineering under Stan Gallagher, the newly appointed COO. These departments will provide shared services on a geographic basis to enhance its market focus and effectiveness.
Aviat will be centralizing back-office functions and aligning resources by geography to both lower its expense structure and capitalize on the anticipated growth in the coming years both in North America and internationally.
Aviat Networks said its chief financial officer Ralph Marimon will leave the company in July 2018. The company will not appoint a new CFO because Stan Gallagher will also assume the role of principal financial officer of the company.
“We approach fiscal 2019 with an improving market outlook, significant opportunities to grow with our customers and expand into new accounts and improve our bottom-line performance,” Michael Pangia, president and chief executive officer of Aviat Networks, said.
