The Supervisory Board of RMK approved the results of last year’s structural changes 24.09

At the 18 September meeting, the Supervisory Board of RMK approved the results of management structure reorganisations implemented last year. On the basis of summaries following the one-year implementation process, it is safe to say that RMK’s capability in terms of organising forestry works has greatly improved. Client and customer satisfaction with the organisation’s operations has also grown. 

The Supervisory Board deemed the wood chips delivery contracts concluded last month with AS Narva Elektrijaamadto be necessary, as they increase renewable energy production and also expand the uses of timber on the spot.

“The Supervisory Board of RMK listened to the Management Board’s presentation on the process of implementing reorganisations and is convinced that the changes have made the organisation’s operations more transparent and effective,” assured Ülle Rajasalu, the Chairwoman of the Supervisory Board of RMK.

According to Rajasalu, it is important that the partners deemed the effect the implementation of reorganisations and new work organisation has had on RMK’s work quality as positive (a survey by Turu-uuringute AS). A survey carried out inside the organisation also showed an increase in employee satisfaction.

According to the new work organisation, one structural unit – forest district – will plan silvicultural works, the other structure – forest management region – will implement them; the work quality will be evaluated by the forest district. This will ensure the application of the four-eyes principle and an increase in the quality of works.

RMK switched to specialisation, and thereby to a structure making the management system more effective and transparent, on 1 July 2008. During the first year, MEEK 77 has been saved on management and general administration costs, which constitutes almost a third of all the organisation’s respective costs before the reorganisations. The money saved has made it possible to make additional investments for improving nature conservation and forest recreation possibilities; RMK employees’ basic wages are now also market competitive. In the near future, RMK is planning to increase the volume of forest works, collect and sell more wood, and thereby grow employment in rural areas.

Additional information:

Ülle Rajasalu

Chairwoman of the Supervisory Board of RMK

Tel: +372 511 7319

Aigar Kallas

Chairman of the Management Board of RMK

Tel: +372 528 1299