- Push-out Score suggests push-out forces
- After 12 years in the position
- Accolades, praise and thanks for Nooyi
- Ramon Laguarta taking over
- Nooyi spoke at length and said 279 words
(exechange) — Purchase, New York, August 6, 2018 — Indra Nooyi, chief executive of PepsiCo, leaves. It is a change at short notice. As announced by PepsiCo, Inc. in a news release and in a regulatory filing published on Monday, August 6, 2018, Indra K. Nooyi leaves her post as Chief Executive Officer at the food, snack, and beverage corporation after 12 years in the role, effective October 3, 2018.
It is the end of an era.
Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CEOs who departed over the past 12 months was 9.5 years, according to data compiled by exechange. Only 38 percent of the CEOs who departed over the past 12 months left the position after more than 10 years.
Nooyi’s duties will be taken over by Ramon Laguarta, currently President of PepsiCo, Inc.
“To pursue the next phase of her life”
Nooyi’s imminent departure from the CEO post is explained as follows. PepsiCo said: “Indra K. Nooyi, 62, PepsiCo’s Chairman and Chief Executive Officer, will depart PepsiCo in early 2019 so as to pursue the next phase of her life.”
The phrase “to pursue the next phase of her life” opens the door to speculation.
Precise information about Nooyi’s future plans was not immediately available.
PepsiCo said: “Nooyi will step down on October 3rd after 24 years with the company, the last 12 as CEO.”
In the position of CEO since 2006
Nooyi has been the Chairman of the Board and Chief Executive Officer of PepsiCo, Inc. since May 2, 2007 and October 1, 2006.
She was elected to the Company’s Board and became President and Chief Financial Officer in 2001, after serving as Senior Vice President and Chief Financial Officer since 2000.
Nooyi also served as PepsiCo’s Senior Vice President, Corporate Strategy and Development from 1996 until 2000, and as PepsiCo’s Senior Vice President, Strategic Planning from 1994 until 1996.
Prior to joining PepsiCo, Nooyi spent four years as Senior Vice President of Strategy, Planning and Strategic Marketing for Asea Brown Boveri, Inc.
She was also Vice President and Director of Corporate Strategy and Planning at Motorola, Inc.
Nooyi also currently serves on the boards of the International Cricket Council and several non-profit organizations, including the U.S.-India Business Council, the Consumer Goods Forum, Catalyst, Lincoln Center for the Performing Arts, Tsinghua University School of Economics and Management, the World Economic Forum and the Asia Society.
She also serves on the Americas Advisory Panel of Temasek International Pte. Ltd., a Singapore-based investment company.
She will remain Chairman until early 2019 to ensure a smooth and seamless transition.
Nooyi will continue to serve as Chairman of PepsiCo’s Board of Directors until a date in early 2019 to be mutually determined by Nooyi and the Board.
Push-out Score suggests push-out forces
It is not completely certain what forces eventually triggered Indra Nooyi’s imminent move.
The Push-out Score™ determined by exechange suggests that push-out forces may have contributed to the change.
Read the full story in the exechange report 33.2018 ($).