Hill-Rom CFO Steve Strobel leaves post at short notice

  • Push-out Score suggests push-out forces
  • After about four years in the position
  • Praise and thanks for Strobel
  • Barbara Bodem taking over
  • Strobel will remain as senior advisor at Hill-Rom

(exechange) — Chicago, Illinois, November 27, 2018 — Steve Strobel, finance chief of Hill-Rom, leaves the position. It is a change at short notice. As announced by Hill-Rom Holdings Inc. in a news release and in a regulatory filing published on Tuesday, November 27, 2018, Steven J. (Steve) Strobel leaves his post as chief financial officer at the maker of hospital beds after about four years in the role, effective December 3, 2018.

Among the 3,000 largest publicly held companies incorporated in the U.S. based on market capitalization, the average tenure of the CFOs who departed over the past 12 months was 6.6 years, according to data compiled by exechange.

Steve Strobel’s move comes six months after John P. Groetelaars took over as CEO of Hill-Rom Holdings, Inc.

Strobel leaves the company effective November 17, 2019.

Steve Strobel’s duties will be taken over by Barbara W. Bodem, most recently senior vice president, Finance of Mallinckrodt plc.

The fact that Steve Strobel’s successor is brought in from outside suggests that the board may seek to stimulate change with fresh ideas and new initiatives.

Steve Strobel’s move is part of a management shake-up also involving the positions of senior vice president and president of the Front Line Care business; and senior vice president, Corporate Development, Strategy and Investor Relations.

No reason given

In the announcement, Hill-Rom did not explicitly explain the reason for Steve Strobel’s imminent move, leaving room for speculation.

Strobel will remain as senior advisor at Hill-Rom

“Effective December 3, 2018, Mr. Strobel will take on a new role as senior advisor to the Company’s Chief Executive Officer … and he is expected to remain in such new role through November 17, 2019, his anticipated retirement date,” Hill-Rom said.

“Retire”

Hill-Rom said that Barbara Bodem succeeds Steven J. Strobel, “who has announced his decision to retire as CFO.”

Hill-Rom further said: “On November 26, 2018, Steven J. Strobel, Senior Vice President, Chief Financial Officer of Hill-Rom Holdings, Inc. …, notified the Company of his intention to retire from the Company following a transition period.”

Share price increase since February 2016

The change follows an increase in Hill-Rom Holdings, Inc.’s share price of 117 percent since February 2016.

Chaired by William G. Dempsey

Hill-Rom Holdings, Inc. is chaired by William G. Dempsey.

Dempsey has served as a director of Hill-Rom since 2014.

CEO: John P. Groetelaars

John P. Groetelaars serves as CEO of Hill-Rom Holdings, Inc. John P. Groetelaars serves as President, Chief Executive Officer and Director of Hill-Rom Holdings Inc. since May 14, 2018.

In the position of CFO since 2014

Steven J. Strobel joined Hill-Rom as senior vice president of Finance and chief financial officer in November 2014.

Before joining Hill-Rom, Strobel was chief financial officer of BlueStar Energy, an independent retail energy services company.

Prior to BlueStar, Strobel served as treasurer and corporate controller at Motorola, and in the same positions at Owens Corning.

Earlier in his career, he worked at Kraft Foods and American Hospital Supply Corporation. Most recently, Strobel was president of McGough Road Advisors, a corporate finance consulting firm.

Strobel serves on the board of directors of Newell Brands Inc., where he chairs the Audit Committee. He holds a bachelor’s degree in Accounting from the University of Illinois and an MBA in Finance from the University of Chicago.

Strobel will focus on fully transitioning the Finance function to Bodem, and continue working with President and CEO John P. Groetelaars as senior advisor after the CFO transition is complete.

Push-out Score suggests push-out forces

It is not completely certain what forces eventually triggered Steve Strobel’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 49.2018 ($).