- Push-out Score determined
- After around 15 years in the position
- Praise for Nagel
- Neil Ashe taking over
- Nagel will remain as Executive Chairman at Acuity
- Nagel made a lengthy statement and said 267 words
(exechange) — Atlanta, Georgia, January 8, 2020 — Vern Nagel, chief executive of Acuity, leaves his position. As announced by Acuity Brands Inc. in a news release on Wednesday, January 8, 2020, Vernon J. (Vern) Nagel leaves his post as chief executive officer at the lighting and building management firm after around 15 years in the role, effective January 31, 2020.
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 announced their departure over the past 12 months was 7.5 years, according to data compiled by exechange. On an accumulated basis, around 12% of the CEOs who announced their departure over the past 12 months left their posts after more than 15 years.
Vern Nagel’s duties as CEO will be taken over by Neil M. Ashe, a former President & CEO of Global eCommerce & Technology of Walmart, Inc.
The fact that Vern Nagel’s successor is brought in from outside suggests that the board may seek to stimulate change with fresh ideas and new initiatives.
In general, an outsider does not have the constraints of an insider when it comes to leading painful changes or making unpopular decisions.
“Orderly succession plan”
Vern Nagel’s departure from the CEO post is explained as follows. Acuity said: “The appointment of Mr. Ashe as President and CEO of Acuity Brands culminates an orderly succession plan for certain senior leadership positions which began almost a year ago.”
Nagel will remain as Executive Chairman at Acuity
“Mr. Ashe, 52, will take over the CEO position from Vernon J. Nagel, who will remain with the Company in the newly created role of Executive Chairman,” Acuity said.
Share price decline
The announcement follows a decline in Acuity Brands Inc.’s share price of 46% since September 2016.
In the position of CEO since 2004
Vern Nagel became CEO of the Company in 2004.
Vernon Nagel has served as Chairman, President, and Chief Executive Officer of Acuity Brands since September 2004.
He joined the Company as Executive Vice President and Chief Financial Officer in December 2001.
Nagel was formerly a principal with Jepson Associates, Inc.; Executive Vice President, Chief Financial Officer, and Treasurer of Kuhlman Corporation; and Vice President of Finance, Chief Financial Officer, Treasurer, and Secretary of Stericycle, Inc.
He received a B.B.A. degree from the University of Michigan and is a Certified Public Accountant (inactive).
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 Acuity and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 2.2020 ($).