Murthy forced to give up Infosys throne, son Rohan too fleeing
14 Jun 2014 4:18 AM IST
Hit by several top-level exits, Infosys on Thursday undertook a major shake-up bringing in for the first time an outsider, Vishal Sikka, as CEO and announcing that mentor N R Narayana Murthy and his son Rohan will step down four years ahead of their tenure.Sikka, 47, who was previously executive board member of German IT firm SAP, will replace S D Shibulal, one of the seven engineers who founded Infosys in 1981, from 1 August, Infosys said in a statement.
Sikka is the first person outside the group of founders appointed to the position in the company’s three decade-old history. He’ll also be the first to operate out of California and will spend a ‘significant amount of time’ at its headquarters in Bengaluru. Along with Murthy, who upon return from retirement in June last year wanted five years as chairman to turn around the sagging fortunes of Infosys, Executive Vice Chairman S Gopalakrishnan will also step down on 14 June.
Since his return, Infosys had seen 11 top-level exits including CFO V Balakrishnan, global manufacturing head Ashok Vemuri and President BG Srinivas.
Murthy will be replaced veteran banker K V Kamath as non-executive Chairman of the Infosys board.Infosys said the chairman’s office would be dissolved and Rohan, who was brought in by his father as his executive assistant last year, would leave the company on Saturday, when the annual shareholders meeting is held in Bengaluru.
Murthy will be designated chairman emeritus from 11 October, the day Kamath will assume the role of non-executive chairman.
Moreover, S Gopalakrishnan will also voluntarily step down as Executive Vice Chairman with effect from June 14, 2014, Infosys said in a statement.
Infosys has also elevated UB Pravin Rao, President and whole-time director, as Chief Operating Officer, with effect from 14 June. Sikka, who quit SAP in May, comes in after four straight years of narrowing margins at Infosys. He will also be the company’s managing director.
A Stanford University computer science Ph.D. graduate, Sikka oversaw the development of new products, including a platform for quickly analysing large databases, as chief technology officer at SAP, the world’s largest maker of business-management software.
‘I am honoured to lead Infosys, an iconic company built by pioneers in the technology industry. Computing technology is reshaping every industry across every walk of life. We, at Infosys, have a unique opportunity to deliver breakthrough solutions that will bring greater value to our clients, employees, investors and other stakeholders,’ Sikka said.
Sikka is the first person outside the group of founders appointed to the position in the company’s three decade-old history. He’ll also be the first to operate out of California and will spend a ‘significant amount of time’ at its headquarters in Bengaluru. Along with Murthy, who upon return from retirement in June last year wanted five years as chairman to turn around the sagging fortunes of Infosys, Executive Vice Chairman S Gopalakrishnan will also step down on 14 June.
Since his return, Infosys had seen 11 top-level exits including CFO V Balakrishnan, global manufacturing head Ashok Vemuri and President BG Srinivas.
Murthy will be replaced veteran banker K V Kamath as non-executive Chairman of the Infosys board.Infosys said the chairman’s office would be dissolved and Rohan, who was brought in by his father as his executive assistant last year, would leave the company on Saturday, when the annual shareholders meeting is held in Bengaluru.
Murthy will be designated chairman emeritus from 11 October, the day Kamath will assume the role of non-executive chairman.
Moreover, S Gopalakrishnan will also voluntarily step down as Executive Vice Chairman with effect from June 14, 2014, Infosys said in a statement.
Infosys has also elevated UB Pravin Rao, President and whole-time director, as Chief Operating Officer, with effect from 14 June. Sikka, who quit SAP in May, comes in after four straight years of narrowing margins at Infosys. He will also be the company’s managing director.
A Stanford University computer science Ph.D. graduate, Sikka oversaw the development of new products, including a platform for quickly analysing large databases, as chief technology officer at SAP, the world’s largest maker of business-management software.
‘I am honoured to lead Infosys, an iconic company built by pioneers in the technology industry. Computing technology is reshaping every industry across every walk of life. We, at Infosys, have a unique opportunity to deliver breakthrough solutions that will bring greater value to our clients, employees, investors and other stakeholders,’ Sikka said.
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