Infosys appoints executive search firm

Bangalore: IT behemoth, Infosys Ltd has announced 'look-out notice' for a successor to its Chief Executive Officer and Managing Director SD Shibulal. The company said in a statement that the nominations committee of the board of directors has appointed Egon Zehnder, an executive search firm, to help in identifying external candidates for the coveted position.

Shibulal has expressed his desire to retire from the post and as a member of the Board of Directors either on the date of the last board meeting before his superannuation - January 9, 2015, or when his successor is ready to assume office, whichever is earlier, the statement said. Infosys said the nominations committee will shortlist and evaluate an internal slate of candidates with the assistance of Development Dimensions International (DDI), a company specialising in corporate executive evaluations.

According to KV Kamath, an independent director at Infosys, Shibulal is due to retire in March 2015, while he offered to step down before, on his last board meeting sechuduled on January 9, 2015, or even earlier if the search committee identifies successor. However, the company said it will also consider internal candidates for the position. During Shibulal's tenure, the company shares underperformed. The Infosys share declined about 7 per cent in the current year, as the company lowered its projections. While its small time rival HCL Tech successfully gain over 10 per cent for the same period. Return of NR Narayana Murthy, who rejigged the top management and in the process some senior executives have left the company.

The new appointee will also be tasked with turning the company around, which among other issues is facing exodus of top level officials. Once a poster boy for the $108-billion Indian IT-BPO sector, Infosys has been battling top level exits, which analysts have raised concerns about. Over the last two years, Infosys has seen nine top level exits including leaders who were tipped to be in fray for the top job.

Former company's Americas head Ashok Vemuri quit to become CEO at iGate, while CFO V Balakrishnan joined political party AAP. Other exits include global sales head Basab Pradhan, Head of Utilities and Resources for North America Stephen Pratt, Head of BPO sales Australia Kartik Jayaraman and BPO Head Latin America Humberto Andrade. While some attributed the exits to the return of N R Narayana Murthy at the helm of affairs last year, the company has maintained that it remains unperturbed by these exits.