- Push-out Score determined
- After around 10 years in the position
- Praise and thanks for Heffernan
- Melisa Miller taking over
- Heffernan said 79 words
(exechange) — Plano, Texas, June 7, 2019 — Ed Heffernan, chief executive of Alliance Data, leaves. As announced by Alliance Data Systems Corp. in a news release and in a regulatory filing published on Friday, June 7, 2019, Edward J. (Ed) Heffernan has left his post as chief executive officer at the provider of data-driven marketing and loyalty solutions after around 10 years in the role, effective June 5, 2019.
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 7.6 years, according to data compiled by exechange. Only 28 percent of the CEOs who departed over the past 12 months left the position after more than 10 years.
Ed Heffernan’s duties were taken over by Melisa A. Miller, most recently president of the Card Services business of Alliance Data Systems Corporation.
Ed Heffernan’s move is part of a management shake-up also involving the positions of chief financial officer; and chief administrative officer.
“To simplify Alliance Data’s narrative”
The management change is explained as follows. Alliance Data said: “The leadership changes were made pursuant to succession planning the Board of Directors implemented in anticipation of the completion of the sale of the Epsilon business, and additional initiatives under way designed to simplify Alliance Data’s narrative and focus capital on the Company’s highest earning and growth assets. At the Board’s request, Board Chairman Rob Minicucci will, on an interim basis, personally oversee Alliance Data’s leadership in connection with transitions at the Company related to the Epsilon disposition and other Board initiatives, with members of the leadership team reporting to him. While many functions will remain in Plano, Texas, it is expected that Card Services’ current Columbus, Ohio, location will serve as the Company’s headquarters.”
Precise information regarding Ed Heffernan’s future plans was not immediately available.
Alliance Data said: “Melisa Miller, who successfully led Alliance Data’s Card Services business for over 8 years as president, was named Alliance Data’s new president and chief executive officer, succeeding Ed Heffernan, who announced his resignation as president and chief executive officer and as a Director of the Company.”
Alliance Data further said: “In connection with its succession planning responsibilities, on June 5, 2019, the Board of Directors … of Alliance Data Systems Corporation … appointed Melisa A. Miller, who successfully led Alliance Data’s Card Services business as President for 8 years, as Alliance Data’s new President and Chief Executive Officer, succeeding Ed Heffernan, who announced his resignation as President and Chief Executive Officer and as a Director of the Company.”
Share price decline
The announcement follows a decline in Alliance Data Systems Corporation’s share price of 36 percent since June 2018.
Chaired by Rob Minicucci
Alliance Data Systems Corporation is chaired by Rob Minicucci.
In the position of CEO since 2009
Edward J. Heffernan had been appointed president and chief executive officer, effective March 1, 2009.
Heffernan, president and chief executive officer, joined the Company in May 1998, and has served as a director since June 2009.
From May 2000 until March 2009, Heffernan served as an executive vice president and chief financial officer and, prior to that, he was responsible for mergers and acquisitions.
Before joining the Company, he served as vice president, mergers and acquisitions, for First Data Corporation from October 1994 to May 1998.
Prior to that, he served as vice president, mergers and acquisitions for Citicorp from July 1990 to October 1994, and prior to that he served in corporate finance at Credit Suisse First Boston from June 1986 until July 1990.
Heffernan’s other board activities are focused solely in the not-for-profit sector, and specifically those areas identified by the Company’s associates as most meaningful to them: children’s health and education.
He is currently chairman of the board of Children’s Health System of Texas (parent company of Children’s Medical Centers), serves on the board of trustees of The Shelton School of Dallas (for learning different children) as well as holding board positions in higher education at Wesleyan University and Columbia Business School.
Heffernan holds a Bachelor’s degree from Wesleyan University and an MBA from Columbia Business School.
Push-out Score determined
The Push-out Score™ determined by exechange gauges the pressure surrounding the management change on a scale of 0 to 10.
exechange reached out to Alliance Data and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 24.2019 ($).