Simon Trott adds to speculation a major cull of Rio Tinto’s middle management is coming soon

Rio Tinto needs to “have a hard look” at reducing the number of “layers” it has, according to the mining giant’s chief executive Simon Trott.

Media reports emerged last month that the Anglo-Australian company wanted to cut about one-third of its 90 people with “managing director” titles, who report to Rio’s nine-person executive team.

Mr Trott added fuel to the fire at a Goldman Sachs conference over the weekend when asked about Rio’s plans to improve cost efficiency.

“Part of that (plan) is looking inside the organisation . . . we often talk about some of the differences being driven by standards. You’ve got to really drill into your standards. Who signs off on the standards, how they then relate, because we’ve tended to build this stuff up over time,” Mr Trott said.

“And we’ve got to have a hard look at that. Part of that is also around how you’re structured as an organisation.

“If you reduce the number of small teams, you reduce the number of layers, you can speed up some of that decision making and really drive those projects at full throttle.”

Mr Trott has not been shy to wield the axe since taking the reins as the company’s head honcho.

Rio’s Australia chief executive Kellie Parker and Brisbane-based minerals division chief executive Sinead Kaufman were made redundant and the two roles permanently extinguished on August 27 — just two days after Mr Trott officially started as boss.

The efficiency drive follows Rio’s key Pilbara iron ore rival — BHP — widening its lead in recent years as the most profitable producer in the region.

In February, Mr Trott’s CEO predecessor — Jakob Stausholm — foreshadowed job cuts at Rio’s Pilbara iron ore division this year.