Published on the 26/08/2013 | Written by Newsdesk
After effecting the transformation of the software giant, Steve Ballmer will retire a happy man, but has committed to staying on until his successor is named…
Microsoft has undergone a significant transformation in the last few years with the introduction of Windows 8 and a shift in focus away from its traditional software staples to a “devices and services” company. The success of the new Windows 8 has been a subject of great debate, but whatever its flaws, it has certainly brought Microsoft in to the 21st century and allowed it to join the social mobile revolution, its previous attempts in the mobile arena having been somewhat lacklustre.
It is against this backdrop that CEO Steve Ballmer has announced his plans to retire within a year.
“There is never a perfect time for this type of transition, but now is the right time,” Ballmer said. “We have embarked on a new strategy with a new organisation and we have an amazing senior leadership team. My original thoughts on timing would have had my retirement happen in the middle of our company’s transformation to a devices and services company. We need a CEO who will be here longer term for this new direction.”
Ballmer was the thirtieth Microsoft employee to be hired by founder Bill Gates and the first business manager. He was offered a salary and a percentage ownership in the company and took it – a smart move by anyone’s logic. By 2000 he was installed as CEO, but it wasn’t until 2006, when Bill Gates stepped back from the day-to-day running of the company, that Ballmer was able to really make his mark.
Since then he has carefully replaced the head of every major division at Microsoft and has steered Microsoft in the direction she sails today, leaving its PC-first heritage in its wake.
Criticised for not having the charisma of Gates, it is Ballmer who turned Microsoft into a company that can once again compete in the modern computing world, replacing the head of every major division, encouraging collaboration amongst departments and steering Microsoft in a new direction with the old PC-first heritage firmly in its wake.
Now the board of directors is looking for a new CEO capable of staying the course of transformation that Ballmer has charted. It has appointed a special committee to direct the process of finding a suitable replacement. The committee is chaired by John Thompson, the board’s lead independent director, and includes chairman of the Board Bill Gates, chairman of the audit committee Chuck Noski and chairman of the compensation committee Steve Luczo. The special committee is working with Heidrick & Struggles International Inc., a leading executive recruiting firm, and will consider both external and internal candidates.
“The board is committed to the effective transformation of Microsoft to a successful devices and services company,” Thompson said. “As this work continues, we are focused on selecting a new CEO to work with the company’s senior leadership team to chart the company’s course and execute on it in a highly competitive industry.”
“As a member of the succession planning committee, I’ll work closely with the other members of the board to identify a great new CEO,” said Gates. “We’re fortunate to have Steve in his role until the new CEO assumes these duties.”
