- After about nine years in the position
- Elimination of Dual Chief Executive Officer role
- Rob Enslin becomes sole Chief Executive Officer
- Dines will remain as Chief Innovation Officer and Executive Chairman at UiPath
- Dines made a lengthy statement and said 419 words
(exechange) — New York, July 10, 2023 — Daniel Dines, co-chief executive of UiPath, is set to leave his position. His upcoming departure is made public at an early stage. As announced by UiPath Inc. in a news release and in a regulatory filing published on Monday, July 10, 2023, Daniel Dines leaves his post as co-chief executive officer at the software company that makes robotic process automation (RPA) software, after about nine years in the role, effective January 31, 2024.
UiPath eliminates the dual Chief Executive Officer role. Robert (Rob) Enslin will be sole Chief Executive Officer.
“We need to evolve and adapt”
UiPath did not give an explicit reason for Daniel Dines’s planned departure from the co-CEO post. Dines stated: “As with any company, the Board of Directors and I have always considered leadership succession planning to be one of our most important mandates. I’m constant in my belief that we need to evolve and adapt to ensure the long-term success of UiPath. As part of that process, in April 2022, we hired Rob Enslin to serve as a partner to me as Co-CEO – and in the last year, I’ve increasingly delegated the scaling of our business to Rob.”
Dines will remain as Chief Innovation Officer and Executive Chairman at UiPath
UiPath stated: “Mr. Dines will assume the newly-created role of Chief Innovation Officer and will continue to serve as the Executive Chairman of the Board of Directors. In his new capacity at UiPath, as Chief Innovation Officer, Mr. Dines will drive the Company’s AI and technology initiatives.”
“Resign”
UiPath said: “On July 7, 2023, Daniel Dines notified the Board of Directors of UiPath, Inc. (the “Company”) that he will resign from his position as the Company’s Co-Chief Executive Officer (“Co-CEO”), effective as of January 31, 2024. Rob Enslin, UiPath’s Co-CEO, will continue to serve in his current role through January 31, 2024. Thereafter, Mr. Enslin will serve as the Company’s sole CEO.”
Share price decline since July 2021
The announcement follows a decline in UiPath Inc.’s share price of 76% since July 2021.
In the position of CEO since 2015
Daniel Dines became CEO of the Company in 2015.
Dines is the Company’s Co-Founder and has served as the Company’s Co-Chief Executive Officer since May 2022 and Chief Executive Officer since the Company’s founding in 2015.
Dines was a software development engineer at Microsoft Corporation.
Dines holds a M.S. from the University of Bucharest.
419 words by Daniel Dines
In announcing his departure, Daniel Dines made a lengthy statement and said 419 words.
“Surreal experience”
Daniel Dines stated: “As I reflect on where the UiPath journey started, I’m filled with a deep sense of gratitude for the surreal experience of watching this amazing Company grow into what it is today. From a tiny apartment in Romania to a public company of more than $1 billion in revenue and more than 10,000 customers, I remain invigorated by our bold aspiration to create a generational Company that will revolutionize the very nature of work itself. As with any company, the Board of Directors and I have always considered leadership succession planning to be one of our most important mandates. I’m constant in my belief that we need to evolve and adapt to ensure the long-term success of UiPath. As part of that process, in April 2022, we hired Rob Enslin to serve as a partner to me as Co-CEO – and in the last year, I’ve increasingly delegated the scaling of our business to Rob. Throughout our partnership, I have come to trust Rob’s business instincts, his vision for the Company, and his ability to lead. We are fully aligned on the power of automation to create tangible benefits for our customers and the steps we need to take to position the Company to reach its potential. With that, today we announced that – following a transition period through our fiscal year end of January 31, 2024 – Rob will become sole CEO and I will assume the newly-created role of Chief Innovation Officer. As an engineer at heart, this has always been where my true passion lies. I plan to drive the UiPath innovation agenda to transform enterprise automation by harnessing the next-generation of AI technologies into practical solutions for our customers. I’ll also continue to serve as Executive Chairman of the Board of Directors where I’ll partner with Rob on strategic decisions and challenge the leadership team to champion our most important ingredient for success and happiness: our culture. I’m excited about Rob’s leadership. I know he is humbled and honored to step into the CEO role and to have the opportunity to lead us into the next phase of growth by building on our vision of empowering knowledge workers with AI-powered automation to accelerate human achievement. I’m so proud of our team members – past and present – who have poured their hearts and souls into building this Company, our culture, and our market opportunity. While we have come so very far, I firmly believe that we have our best days in front of us. Here’s to the next chapter of UiPath and our leadership.”
40% of CEOs are forced out or fired
When CEO departures are announced, exechange determines the Push-out Score on a scale of 0 to 10 to assess how likely it is that the chief executive was pushed out or felt pressure to leave the position, with 0 being most likely a voluntary move and 10 being most likely a forced exit. Anything over a 5 indicates that there are valid reasons to believe an executive may have been pushed out.
Of the 313 CEO departures in the Russell 3000 Index evaluated over the past 12 months (July 10, 2022, to July 9, 2023), the average Push-out Score was 6.1, according to exechange data. References to conduct issues, disagreements and irregularities lead to the highest Push-out Scores. When performance issues, time with family or pursuit of other opportunities were cited as departure reasons, the average Push-out Scores were also significantly elevated.
Around 40% of the CEO departure events from the past 12 months received Push-out Scores of 8 or higher.
In other words, in the past 12 months, two in five departing CEOs were forced out or fired.
Push-out Score for Daniel Dines’s move determined
The Push-out Score regarding Daniel Dines’s move is explained point by point in the exechange report.
exechange reached out to UiPath and offered the company the opportunity to comment on the score.
Read the full story in the exechange report 29.2023 ($).