ABB CFO Eric Elzvik leaves

  • Strong signs for push-out forces
  • After about four years on the job
  • Laud, praise, thanks and good wishes for him
  • Timo Ihamuotila to take over

(management-change.com) — Zurich, Switzerland, October 27, 2016 — Eric Elzvik, finance chief of ABB, leaves. His departure is made public at an early stage. As announced by ABB Ltd. in a news release on Thursday, October 27, 2016, Eric Elzvik leaves the post as Chief Financial Officer at the provider of power and automation technologies in a surprising move after about four years on the job, effective April 01, 2017.

Elzvik’s duties are taken over by Timo Ihamuotila, currently Chief Financial Officer at Nokia.

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

“Pursue career opportunities outside of ABB”

Elzvik’s departure is explained as follows. ABB said: Elzvik “will pursue career opportunities outside of ABB after a thorough handover in second quarter of 2017”.

The phrase “pursue career opportunities” is often used in corporate announcements and opens the door to speculation.

Precise information about the future plans of Elzvik was not immediately available.

Cevian holds 5.97 percent stake

Cevian Capital AB reported a 5.97 percent stake in ABB Ltd. Cevian is an activist investor.

Chaired by Peter Voser

ABB Ltd. is chaired by Peter R. Voser.

Ulrich Spiesshofer serves as CEO of ABB Ltd. Spiesshofer has been the Chief Executive Officer and President of ABB since September 15, 2013.

On the job as CFO since 2013

Elzvik serves ABB as Group CFO since February 2013.

Elzvik joined ABB in 1984 and has during his long and distinguished career held a variety of leadership roles in Sweden, Singapore and Switzerland, including head of Corporate Development, and head of Mergers & Acquisitions and Joint Ventures.

He was CFO of the Automation Products division from 2006 and in 2010 became CFO for the Discrete Automation and Motion division.

Elzvik’s CV is as follows:

Born 1960 – Swiss / Swedish citizen

Education

1984 Degree in Business Administration, International Finance, Stockholm School of Economics, Sweden

Professional experience ABB

  • 2013 to date Chief Financial Officer
    Member of the Group Executive Committee of ABB Ltd, Switzerland
  • 2010 – 2013 Group Senior Vice President, Division CFO Discrete Automation and Motion Division
  • 2006 – 2009 Group Senior Vice President, Division CFO Automation Products Division
  • 2001 – 2005 Group Senior Vice President, Head of Group Function, Mergers & Acquisitions and New Ventures
  • 1998 – 2000 Senior Vice President, Head of Group Global Processes
  • 1993 – 1998 Vice President, Corporate Development
  • 1989 – 1993 Vice President and Assistant to the CEO
  • 1988 – 1989 Vice President, Regional Controller and Treasurer
  • 1987 Regional Controller, South East Asia
  • 1984 – 1986 Assistant to the CFO

Board memberships

  • Member of the Board of Directors of IMD Foundation Board
  • Member of the Board of Directors of the Swedish Swiss Chamber of Commerce.

Strong signs for push-out forces

It is not completely certain what forces eventually triggered Eric Elzvik’s move.

The Push-out Score™ determined by management-change.com suggests strong signs for push-out forces that may have contributed to the management change.

Read the full story in the management-change.com report 40.2016 ($).