- Push-out Score determined
- After less than three years in the position
- Praise and thanks for August
- Steve Swad taking over
(exechange) — Charleston, South Carolina, August 24, 2020 — Ray August, chief executive of Benefitfocus, leaves. As announced by Benefitfocus Inc. in a news release on Monday, August 24, 2020, Raymond A. (Ray) August leaves his post as chief executive officer at the provider of cloud-based benefits management software after less than three years in the role, effective immediately.
Ray August’s duties as CEO will be taken over by Stephen M. (Steve) Swad, most recently chief financial officer of Benefitfocus Inc.
“Strengthening our products, platform, talent and tools”
Benefitfocus did not give an explicit reason for Ray August’s departure from the CEO post. Swad said: “We are immediately focused on strengthening our products, platform, talent and tools, with the help of BuildGroup, to better serve our customers.”
Precise information regarding Ray August’s future plans was not immediately available.
Benefitfocus said: “Swad succeeds Raymond August, who is stepping down as president and chief executive officer.”
Share price decline
The announcement follows a decline in Benefitfocus Inc.’s share price of 59% since January 2018.
Chaired by Mason Holland
Mason Holland serves as Benefitfocus Inc.’s Executive Chairman.
Mason Holland, one of the Company’s founders, has been the Company’s Executive Chairman and a member of the Company’s board of directors since the Company’s founding in June 2000.
In the position of CEO since 2018
Ray August became CEO of the Company in 2018.
To ensure a seamless handoff of leadership responsibilities, and as part of the board’s succession plan, August will remain with the company through the end of the year.
Swad also succeeds August as a director on the Benefitfocus board of directors.
Ray August has been the Company’s President and Chief Executive Officer since January 2018 and a director since April 2018.
Prior to that, August served as the Company’s Chief Operating Officer since August 2014 and was promoted to the title of President and Chief Operating Officer in March 2015.
Prior to joining Benefitfocus, August served as the General Manager of the Financial Services Group of Computer Sciences Corp. (now DXC Technology Co. (NYSE: DXC)), or CSC, since October 2012.
From March 2008 to September 2012, he served as President of CSC Financial Services Group. Since July 2013, he has served as a member of the Executive Advisory council for Arthur Ventures Private Equity Fund.
August earned a B.S. in Accounting and Management Science from the University of South Carolina.
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 Benefitfocus and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 35.2020 ($).