September 2007 | The Atlanta Journal-Constitution
Over the past several months, pundits and much of the Atlanta business community have speculated about the succession plans at Delta Air Lines. It has been clear since Delta emerged from bankruptcy that Gerald Grinstein's retirement was imminent. Observers felt it was a two person race - between CFO Ed Bastian and COO Jim Whitehurst. Last week, when new board member Richard Anderson was introduced as CEO and Bastian named President, Whitehurst effectively became a short-timer. Internal heirs who are so visibly positioned as such and are then passed up tend not to stick around - as was demonstrated by the very public race to follow Jack Welch at GE.
What is interesting to note is Anderson's assertion that while he is currently considering the structure of the top management team at Delta, he has no plans to fill the COO role - noting his deep background in operations. Deep background aside, the airline industry as a whole faces a challenging future - and Delta has only recently begun to enjoy improved financial results. Given the value that everyone agrees both Grinstein and Whitehurst brought to the turnaround, it is hard to imagine a single executive replacing them both.
May 7 , 2007 | The Associated Press
In one of the more bizarre stories of CEO succession, Time Warner announced earlier this month that CEO Chris Albrecht had agreed to resign. His resignation came just days after Las Vegas police arrested him and charged him assault. COO Bill Nelson, an HBO veteran, has assumed the duties of CEO while a search for a permanent replacement takes place.
Albrecht attributed his erratic behavior to a slip from the sobriety he had maintained for over a dozen years. At the risk of oversimplification, the episode provides an unusual reminder of the fragility of leadership and the importance of having adequate bench strength to make certain that companies don't struggle when their leader's flaws are revealed.
February 28 , 2007 | The Associated Press
Medtronic, the medical device manufacturer, has announced that it will promote COO William Hawkins to the CEO position in August when Arthur Collins retires. The announcement is the culmination of a succession plan that was put in place several years ago.
January 16 , 2007 | Financial News Online
Former Goldman Sachs investment banker Gregory Kennedy has been appointed to the COO position at Redrock Capital Management. The COO position is new to Redrock and was created to provide some relief by taking duties off the shoulders of the firm’s founder, Craig Klein.
January 9 , 2007 | Reuters News Service
UPS announced the promotion of David Abney to the COO role. As such, he will be responsible for international operations, U.S. package operations, global transportation, labor and all freight activities.
January 5 , 2007 | St. Louis Business Journal
Build-A-Bear Workshop Inc. has announced that president and COO Barry Erdos is leaving the firm and will be replaced by current Chief Workshop Officer Scott Seay.
December 29, 2006 | Reuters News Service
J.C. Penney announced Thursday that effective immediately it was terminating COO Catherine West. West had been on the job only six months. The functions of the COO will be assumed by the Chairman and CEO, Mike Ullman. Though no reason was given for the termination, speculation was that West must not have been a “good fit for the company.''
December 14, 2006 | The Wall Street Journal, B3
Recently retired Southwest Airlines pilot Robert Gibson has been named COO of Benson Space Company – a rocketmaker looking at the space tourism business.
December 13, 2006 | The Wall Street Journal, B3
After running for just over one year, Qualcomm has replaced COO Anthony Thornley. Thornley left the company in the summer of 2005. The new COO, Sanja Jha, will serve also as president of the CDMA technologies division and will also be responsible for the integration of technology gained by Qualcomm’s acquisition of Flarion Technologies.
December 12, 2006 | Reuters News Service
Citigroup has named a new COO, Robert Druskin. Reports are that CEO Price has been under pressure from investors to address costs and to bolster share price. Some suggest this makes Druskin the number two and that it is a sign of the fading star of CFO Sallie Krawcheck.
October 16, 2006 | Reuters News Service
Reports are that Coca-Cola Company will promote Muhtar Kent, currently president of international operations, to the COO position. The move is suggested to place him in the favorite position to succeed CEO Neville Isdell. The Company has not had a COO since then-COO Steven Heyer left in 2004.
September 12, 2006 | Reuters News Service
The Scotts Miracle-Gro Co. announced that President and COO Robert Bernstock has left the company and the COO job has been eliminated. Instead, the company's operating units will now report directly to Chairman and Chief Executive Jim Hagedorn.
September 9, 2006 | Dow Jones Newswires
Ford's Americas COO Anne Stevens is expected to leave her position shortly. Her departure would not be surprising, given the recent resignation of CEO Bill Ford.
September 6, 2006 | The Wall Street Journal, B7
Mr. Zhang Shengman has been appointed COO of the corporate and investment banking division in the Asia Pacific region by Citigroup, Inc.
August 22, 2006 | Forbes.com
Len Lauer, COO of Sprint Nextel has left the company. Rather than replace him, CEO Gary Forsee will take on the COO duties. The Forbes.com report by Scott Reeves questions both why Lauer left so abruptly and how well will the company be served by its current management team.
August 22, 2006 | The Associated Press
Len Lauer, COO at Sprint Nextel Corporation, left the company earlier this week; the company has no plans to replace him. Instead, his duties will be assumed by President and CEO Gary Forsee.
August 21, 2006 | newratings.com
COO Claire Babrowski will be leaving her position with RadioShack Corporation effective at the end of the month. She had been serving as acting CEO. Recently, the company hired Julian Day as its new permanent CEO. The company does not have plans currently to replace the COO position.
August 15, 2006 | San Francisco Business Times
Pacific Gas and Electric Co. has announced that Bill Morrow will take the COO/President position left vacant since Tom King was promoted to CEO. Though Morrow had begun his career at PG&E, he most recently had been CEO of European operations for Vodafone.
August 10, 2006 | Reuters News Service
Martin Marietta has elected C. Howard Nye to the position of President and COO.
August 7, 2006 | The Associated Press
Steve Wilhite was appointed COO of Hyundai Motor America, effective August 16. He served as the senior vice president for global marketing at Nissan Motor Company.
July 27, 2006 | Reuters News Service
Penn National Gaming Inc. shares fell more than 11% on news that COO Kevin DeSanctis was leaving to form a new gaming company.
Comments from Nate Bennett: This story reported that shares in Penn National Gaming fell 11% on the news that the COO, Kevin DeSanctis, was planning to leave to form a new gaming company. It is hardly unusual for a number two to announce plans to pursue a chance to be CEO. What was unusual was the market reaction captured in the Reuters headline. Perhaps investors at Penn are at the fore in recognizing the value that a strong COO can add to a leadership team. When the role is properly designed and executed, the value added is great. The critical task for boards and CEOs is to understand when and how to use the role. Developing that understanding begins with recognizing the ways in which the role is a unique one in the governance of an organization.
July 25, 2006 | The Wall Street Journal, B10
XM Radio has named a board member, Nate Davis, to the newly created position of president and COO.
July 7, 2006 | The Wall Street Journal, B5
Levi Strauss & Co. announced the promotion of John Anderson to the position of COO, effective immediately. Mr. Anderson has been with the company for 27 years and is considered to be a potential successor to CEO Philip Marineau, who announced his decision to retire at the end of the year.
June 23, 2006 | Broadband Asia
WiMAX Telecom, Europe's largest WiMAX network operator, has appointed Bela Virage, formerly with Arthur D. Little, as COO. The role is intended to help the company realized its goals regarding unification of processes, systems, and technologies across the network.
June 22, 2006 | FinancialStandard.com.au
The lending group Bluestone as created a new COO role and staffed it with Tony Pescott. CEO Alistair Jeffery notes that the role is necessary because of the company's rapid recent growth and plans for continued expansion.
June 22, 2006 | iTWire, Australia
Nokia and Siemens have announced that Mika Vehvilainen will be COO of their joint venture combining the Networks Business Group from Nokia with the carrier-related operations of Siemens.
June 22, 2006 | The Wall Street Journal Online News Round-up
Novell announced today that CEO Jack Messman and CFO Joseph Tibbetts, 53 had been dismissed. Chief Operating Officer Ronald Hovsepian, 45, was named the new CEO.
June 19, 2006 | The Wall Street Journal, C1
Goldman Sachs has announced that Gary Cohn and Jon Winkelried will become presidents and co-COOs. This move is in conjunction with the designation of the current president, Lloyd Blankenfein, as the replacement for CEO Henry Paulson who is expected to become Treasury Secretary.
Comments from Nate Bennett: Three-in-a-box leadership has been used effectively at some firms, but there are some elements to the WSJ report that point out concerns that boards and CEOs need to be sensitive about. First, the report says that the motivation for the appointments is intended to appease both the fixed-income and investment-banking sides of the firm. My concern would be whether the board sees these co-presidents as simply a salve on the apparent tensions between the two sides of the house, or is there a strategy in place to attempt to reduce them? Second, the report suggests that Cohn and Winkelried have each been set up in a competition to be heir to Blankenfein— Blankenfein has a lot of runway left— he is only 51. It may be premature to be considering any COO at Goldman as an heir. The danger here is that once a COO is labeled an "heir apparent," their actions and performance as COO are interpreted differently. And, there is the risk of the COO focusing too much on proving they can do the next job— and not enough on doing what the firm needs its COO to do today. Certainly, positioning the two in a contest over succession perpetuates the investment bank-fixed-income divide.
June 15, 2006 | Reuters News Service
The Reuters Group has announced that Devin Wang has been appointed as COO.
June 14, 2006 | The Arizona Republic
New York Life announced today the appointment of Phillip J. Hildebrand to the position of COO.
June 5, 2006 |
The Associated Press
J.C. Penney has announced that Catherine West has been appointed as COO, tasked with supervising the opening of over 150 new stores over the next few years, as well as focusing on logistics and supply chain issues among all stores.
June 3, 2006 | The New York Times, B2
Goldman Sachs Group announced that President and COO Lloyd Blankfein will succeed Henry Paulson as Chairman and CEO. Paulson is expected to be confirmed as Treasury secretary.
June 2, 2006 |
The Associated Press
Donna Zarcone, president and COO of the Harley-Davidson financial services unit, has resigned, effective August 1. Larry Hund, currently vice president of operations and CFO now has the additional title of acting COO. |
