LafargeHolcim CFO Ron Wirahadiraksa leaves

  • Push-out Score suggests push-out forces
  • After about two years on the job
  • Praise, thanks and good wishes for Wirahadiraksa
  • Géraldine Picaud taking over

(exechange) — Jona, Switzerland, October 09, 2017 — Ron Wirahadiraksa, finance chief of LafargeHolcim, leaves. As announced by LafargeHolcim Ltd in a news release on Monday, October 09, 2017, Ron Wirahadiraksa leaves the post as Chief Financial Officer at the building materials company after about two years on the job, effective January 31, 2018.

No company wants a CFO to flame out in the first years.

Wirahadiraksa’s move comes less than 40 days after Jan Jenisch took over as CEO of LafargeHolcim Ltd.

Wirahadiraksa’s duties are taken over by Géraldine Picaud, currently Chief Financial Officer at Essilor International.

“He will remain in his role and provide a smooth handover to Géraldine in due course,” LafargeHolcim said.

The fact that Wirahadiraksa’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.

“To pursue opportunities outside the Group”

The management change is explained as follows. LafargeHolcim said: “Ron Wirahadiraksa, the current CFO, has decided to pursue opportunities outside the Group.”

The phrase “to pursue opportunities outside the Group” opens the door to speculation.

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

Share price decline

The change follows a decline in the share price of LafargeHolcim Ltd since September 25, 2017.

Chaired by Beat Hess

LafargeHolcim Ltd is chaired by Beat Hess.

CEO: Jan Jenisch

Jan Jenisch serves as CEO of LafargeHolcim Ltd. German national born in 1966, Jan Jenisch joined LafargeHolcim as Chief Executive Officer on September 1, 2017.

On the job as CFO since 2015

Dutch national born in 1960, Ron Wirahadiraksa has been CFO of LafargeHolcim Ltd since December 1, 2015.

He graduated with a Doctoral in Business Economics from the Free University of Amsterdam, the Netherlands.

He also graduated as a Certified Registered Controller from the Free University of Amsterdam.

Ron Wirahadiraksa joined the Philips group in 1987.

He became Chief Financial Officer at LG. Philips LCD in South Korea in 1999, during which time he shared operating leadership with the Korean CEO.

He also led the 2004 initial public offering of LG. Philips LCD on the Korean and New York Stock Exchanges and supported the significant growth and market leadership of the company.

He became Chief Financial Officer at Philips Healthcare in 2008 and in 2011 he took over as CFO for the Philips Group.

At the time of Wirahadiraksa’s appointment as Chief Financial Officer at LafargeHolcim, Eric Olsen, then CEO of LafargeHolcim, had said: “I am delighted to welcome Ron to LafargeHolcim. Ron is a highly skilled and experienced CFO with a multicultural background. He comes with vast experience in transforming business models, driving performance and in taking value creation to the next level.”

At the time of Wirahadiraksa’s appointment as Chief Financial Officer at LafargeHolcim, Wolfgang Reitzle, then Statutory Chairman of LafargeHolcim, had said: “Attracting an international CFO of Ron Wirahadiraksa’s caliber is a great opportunity for LafargeHolcim and I am pleased to see him joining the Group.”

Push-out Score suggests push-out forces

It is not completely certain what forces eventually triggered Ron Wirahadiraksa’s move.

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

Read the full story in the exechange report 42.2017 ($).