AB InBev Announces a New Organization

AB InBev has announced some principle changes to its business structure as follows:

1) Changing our zone structure
We are simplifying our geographic structure, and will shift from 9 to 6 management zones. Our Zone Presidents will focus on driving growth opportunities and developing talent at the zone level. Together with their leadership teams, our Zone Presidents will own the commercial and external affairs agendas for their businesses. We are making these changes to more closely align with our consumers, make our company more agile in the zones, and proactively pursue growth opportunities.

The key changes are:
• The new Middle Americas zone will combine the current COPEC and Middle Americas zones and the BU Central America and Caribbean, with headquarters in Mexico City.
• The new South America zone will combine the current Latin America South zone and the BU Brazil, with headquarters in Sao Paulo.
• The new APAC zone will combine the current Asia Pacific North and Asia Pacific South zones, with headquarters in Shanghai.
All changes will be reflected in our financial statements as of 1 January 2019; Europe and Africa will continue to be reported as a combined EMEA region.

2) Anticipating future market and consumer needs
To further our objective of anticipating market and consumer trends, we will bring Marketing and ZX Ventures under a common global lead, which will allow us to adopt ZX Ventures’ innovative approach more broadly. ZX Ventures will maintain its current independence in order to remain ahead of the curve, stay agile and invest in new products and experiences to address emerging consumer needs.

3) Capturing growth opportunities
We will create two new senior leadership positions to capture organic growth opportunities within our existing business. These two positions will report to the CEO and will bring focus to these areas at the leadership table.
• Lucas Herscovici, currently Global Marketing VP of Strategic Functions, will become Chief Non-Alcohol Beverages Officer. He will focus on accelerating growth in our existing non-alcohol business, which represents more than 10% of our current volumes.
• Pablo Panizza, currently BU President for BU Rio de la Plata, will become Chief Owned- Retail Officer. He will focus on managing our existing owned-retail business, including shaping its strategy, coordinating cross-market initiatives and sharing best practices.

4) Changes to our leadership team
To reflect our new zone structure and enhanced focus on top-line growth and value creation, we are also announcing changes to the CEO’s leadership team. Key changes to the leadership team are highlighted below:
- Bernardo Paiva, currently Zone President Latin America North, will become Zone President for South America.
- Carlos Lisboa, currently Zone President Latin America South, will become Zone President for Middle Americas.
- Jason Warner, currently BU President Northern Europe, will become Zone President for Europe.
- Ricardo Moreira, currently Zone President COPEC, will become Zone President for Africa.
- Jan Craps, currently Zone President Asia Pacific South, will become Zone President for APAC.
- Ricardo Tadeu, currently Zone President Africa, will become Chief Sales Officer. I would like to thank David Almeida for taking on this additional responsibility on an interim basis over the past year.
- Pedro Earp, currently Chief Disruptive Growth Officer, will now hold the dual role of Chief Marketing and ZX Ventures Officer. ZX Ventures will continue to be independent from our core business under the leadership of Bernardo Novick, currently VP Client Services Latin America North.
- Miguel Patricio, currently Chief Marketing Officer, will become Chief Special Global Projects - Marketing, reporting to Carlos Brito.
- Jean Jereissati, currently Zone President Asia Pacific North, will take on a new role that will be announced in the coming weeks.
- Stuart MacFarlane, currently Zone President for Europe, has decided to leave our company to pursue other interests, effective 1 May 2019. Stuart started with us in 1992 and leaves a tremendous legacy. He demonstrated relentless commitment to our people in growing our talent pipeline and to our business, by driving strong results for Europe. We thank Stuart for his many contributions to our company’s success and wish him the best for his future.

In order to enable the zones and business units to focus on top-line growth and increase execution agility, effective as from 1 January 2019, the Executive Board of Management (EBM) will evolve into an Executive Committee (ExCom). The ExCom members will be Chief Executive Officer – Carlos Brito, Chief Financial and Solutions Officer – Felipe Dutra, Chief External Affairs and Strategy Officer – David Kamenetzky and General Counsel and Company Secretary – John Blood.

The ExCom will work with the Board on matters such as corporate governance, general management of our company and the implementation of corporate strategy as defined by our Board.

The Senior Leadership Team (SLT) will drive the commercial and operational agenda. The SLT will be made up of the members of the ExCom, all other functional Chiefs and Zone Presidents and will continue to report to Carlos Brito.

In Summary
These changes will become effective on 1 January 2019. All changes will be implemented with due respect for applicable legal, regulatory and works council considerations, as well as consultation requirements.

We will use the coming months to guarantee a smooth transition into the new structure and ensure continuity for the future. We continue to be focused on delivering top-line growth, creating new occasions and expanding the beer category. We believe that by implementing these changes, we will be better equipped to accelerate growth and be more responsive to our consumers and customers to bring them an even better experience.

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