Nokia faces more than a lowered outlook for Q3 2012 as it completes transition to Windows Phone-- it is also slashing jobs and restructuring senior leadership in order to "sharpen strategy."

The company says the Smart Devices unit is negatively affected by "competitive industry dynamics" by "greater extent than previously expected," and thus expects Q2 2012 non-IFRS Devices and Services operating margin to be lower than Q1 2012.

In cost-cutting (or "rescaling") efforts, Nokia is also slashing jobs-- 10000 global postition by end 2013, with reductions in Devices & Services, the closure of facilities in Finland (manufacturing), Germany and Canada (R&D) and the streamlining of IT, corporate and support functions. 

Leadership also sees changes, as Nokia appoints Juha Putkiranta as executive vice president of Operations, Timo Toikkanen as executive vice president of Mobile Phones, Chris Weber as executive vice president of Sales and Marketing, Tuula Rytila as senior vice president of Marketing and Chief Marketing Officer, and Susan Sheehan as senior vice president of Communications.

Meanwhile Jerri DeVard, Mary McDowel, and Niklas Savander step down from the Ladership Team as from June 30 2012. 

"These planned reductions are a difficult consequence of the intended actions we believe we must take to ensure Nokia's long-term competitive strength, Nokia CEO Stephen Elop says. "We do not make plans that may impact our employees lightly, and as a company we will work tirelessly to ensure that those at risk are offered the support, options and advice necessary to find new opportunities."

Go Nokia Sharpens Strategy and Provides Updates to its Targets and Outlook