(Telecompaper) Telefonica has announced a major structural reorganization that will see the integration of its Europe, Latin America and digital divisions into a new Global Corporate Centre, with greater visibility handed to local operations with a view to bringing them closer to the group's decision-making centre. The company will also create the new position of chief commercial digital officer, who along with the chief global resources officer will report to COO Jose Maria Alvarez-Pallete. In a statement Telefonica confirmed that Pallete will oversee operations across Europe and Latin America and Santiago Fernandez Valbuena, former head of Latin America, will become strategy chief and remain a board member. The company's CEOs in Spain (Luis Miguel Gilperez), Brazil (Antonio Carlos Valente), the UK (Ronan Dunne) and the yet to be appointed successor to Rene Schuster in Germany will become part of the company's executive committee. Telefonica also announced a EUR 1.5 billion cost-savings programme for the coming years, which doesn't include synergies from its proposed acquisition of German operator E-Plus. The company has sold assets in Ireland, the Czech Republic and China in the past couple of years in an effort to cut debt and improve its financial position and credit ratings.