Bill Anderson, at the helm since June, is keen to show investors speedy improvements and buy himself time to lay out broader restructuring plans over the next few months, the sources said. They declined to be identified because the details are confidential.
Anderson plans to soon present initial plans for cutbacks at an internal strategy meeting, one of the sources said, while another said the measures would affect middle-to-upper layers of management, resulting in as yet unspecified one-off costs for golden handshakes for departing employees.
The number of jobs affected and timing of an announcement are not known.
A Bayer spokesperson declined to comment.
"The litigation overhang, the corporate bureaucracy, debt levels, these all weigh on our ability to focus on the mission," he said in August.
He added at the time that he will change from annual to 90-day budgeting cycles, and let teams of people close to customers make business decisions, rather than a layer of management above them.
MARKET CONCERNS
Among the people leaving the maker of drugs and pesticides under the overhaul, for which the CEO has hired consultancy firm McKinsey, is head of group strategy Oliver Kohlhaas, who will not be replaced, two of the sources said.
Kohlhaas and McKinsey declined to comment.
Anderson's appointment was widely welcomed by shareholders as a qualified CEO pick to overhaul Bayer, replacing predecessor Werner Baumann, who had drawn criticism for not being responsive to capital market concerns.
But the new CEO will likely have only a short respite period to come up with concrete strategic proposals. Investor Artisan Partners told Reuters last month the company needs to separate its three main businesses - agriculture, prescription drugs and consumer health products.
Anderson has been tasked with reviving Bayer's share price, which has underperformed rivals, weighed down by the lingering costs of U.S. weedkiller litigation.
Anderson said last month he was not ruling out any options as part of his review of the company's strategy and structure, saying he was "leaving no stone unturned".
He added he would provide an initial update in the coming months and detailed plans in early 2024.
