• by Joe Mandese  @mp_joemandese, December 18, 2006

VNU, the world's largest marketing and media research company, Monday confirmed details of a massive reorganization reducing 10% of its global workforce (MediaDailyNews, Dec. 11), the sale of its trade publications in Europe and a management restructuring that effectively makes Nielsen Media Research CEO Susan Whiting the No. 2 person in the company. The moves, which come months after VNU was taken private by a group of private equity firms, and former GE honcho David Calhoun was named CEO, are part of a radical repositioning of VNU that puts the expansion of Nielsen's media research services at the heart of the organization. Much of the savings realized by the 4,000-person workforce reduction will be reinvested into new Nielsen products, including its so-called A2/M2 (Anytime/Anywhere) initiative, and NielsenConnect, the new unit headed by former MediaCom heavy Jon Mandel, who continues to report directly to Calhoun.

As part of the restructuring, Nielsen's whiting was named executive vice president of VNU, making her the highest ranking person reporting to Calhoun, and chairman of Nielsen Media Research. Insiders say Whiting will continue to oversee the day-to-date operations of Nielsen, but has gradually been elevating the role of her core management team, including Sara Erichson (head of national business), Catherine Herkovic (head of local business), Scott Springer (head of operations), and Dave Thomas, how has emerged as Nielsen's chief deal-maker and also filled in as acting CEO when Whiting took an eight-week leave of absence during August and September to adopt two children. During the extended leave, outsiders speculated that Whiting had butted heads with Calhoun and might be stepping off of VNU's fast-track.

While Nielsen is taking more of a center role within VNU, some other areas, especially trade publications, will become a smaller factor. As part of today's announcements, VNU confirmed it has sold its European trade publications to a European private equity firm.