Deutsche Bank’s DWS Is Making the Managing Director Extinct

(Bloomberg) -- Asset manager DWS Group GmbH & Co. has pulled the rungs off the corporate ladder.

The firm majority-owned by Deutsche Bank AG plans to scrap titles such as associate, vice president and managing director by the middle of next year, according to an internal memo seen by Bloomberg.

“We will build a collaborative work environment with flat hierarchies based on functional roles, skills and capabilities,” the internal memo said. “Each role will have a clearly defined description covering responsibilities and specific expectations and priorities.”

A spokesman declined to comment on the memo.

Deutsche Bank spun off DWS last year, though still owns nearly 80% of its shares. DWS has been the subject of repeated speculation about a possible merger with firms including the asset management unit of UBS Group AG.

While Deutsche Bank sees “some form of consolidation” as necessary to develop DWS into a top 10 global asset manager, it has no plans to give up its majority stake, Chief Financial Officer James von Moltke said in July.

While the corporate titles are disappearing, there will still be job expansions or significant role changes for individuals, according to the memo. Roles will take into account “the expertise needed, business impact, team management and expected relationships with other parts of the business. The compensation for each role will be aligned accordingly.”

DWS Chief Executive Officer Asoka Woehrmann will retain his job title.

To contact the reporter on this story: Suzy Waite in London at swaite8@bloomberg.net

To contact the editors responsible for this story: Shelley Robinson at ssmith118@bloomberg.net, Chris Bourke

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