WPP's new CEO is shaking up the ad giant's business model. Here are 3 key takeaways on what her overhaul means for staff. (www.businessinsider.com)

WPP's new CEO, Cindy Rose, has launched a comprehensive turnaround strategy aimed at addressing the company's declining performance and responding to the increasingly competitive landscape influenced by artificial intelligence (AI). The plan, known as "Elevate28," focuses on streamlining WPP's operations into four unified divisions—WPP Media, WPP Creative, WPP Production, and WPP Enterprise Solutions. The restructuring aims to achieve approximately $676 million in cost savings by 2028, driven by eliminating redundancy and focusing on high-growth areas, notably AI-driven consulting services. However, the announcement triggered a drop in WPP's stock, reflecting investor concerns over the financial health of the company. Rose's approach marks a significant shift from WPP's previous holding company model, as clients increasingly demand simplified service structures. The new Enterprise Solutions division is strategized to help businesses navigate their own AI transformations, reflecting the industry's pivot from traditional advertising to broader consulting roles. This transformation comes amid industry-wide pressures as advertising becomes commoditized due to AI advancements. While Rose aims to position WPP as a trusted partner in an AI-centric era, analysts suggest that the solution may not be robust enough to combat growing existential threats posed by AI innovation in the advertising sector.