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Exclusive: Telstra chief David Thodey Q&A

Exclusive: Telstra chief David Thodey Q&A

Telstra chief David Thodey opens up about his time heading IBM Australia ahead of the 100th anniversary of Big Blue

Telstra chief executive, David Thodey

Telstra chief executive, David Thodey

So is your major challenge at Telstra more about splitting a company in two without falling apart or is it about successful cultural change — it’s a big ship to turn around?

It is a big company to change, but if you get the DNA right and you return to what you stand for it is amazing how people respond, but yes it is a big challenge.

Was Telstra valueless before you took over?

No. Absolutely not. Telstra’s values and principles have always been very strong. I think it is just a new focussing, greater clarity and a reprioritisation. In fact, I would say the customer-centricty at Telstra has always been there. Now, I’m not saying we deliver good service every time, but the truth is that if you actually talk to Telstra staff about their desire to help [the customer]; have management gotten in the way? Have processes gotten in the way? Have there been misdirected decisions? Yes. But at the heart of what Telstra people get value from it is actually helping people. But let me be clear: customer service isn’t where it needs to be and we have a long way to go.

Does the market understand that and have you been able to communicate that need to change things internally before things will change externally?

I think I have been able to communicate it, but I’m not sure [the market] has yet seen enough to say we have been successful. People will see there is a different focus but at the end of the day until you get the proof out that there is something different about Telstra, then it is just words.

IBM can be characterised as an innovation company. Can the same be said of Telstra?

If you had to characterise Telstra, at its heart it is an outstanding engineering company. And that is what it has always been. But our challenge is to keep that but put a service, sales and marketing company over the top of that. But it is an engineering excellence company. Within that there is an element of innovation…. But I think I would say our IP TV offering is innovative, our NextG wireless has been very innovative, the LTE rollout... we are the first telco in the world to roll out in 1800 spectrum. The new shops have been innovative…

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