Criticism of Ekholm’s USA residency

The appointment of Börje Ekholm as CEO for Ericsson last Wednesday was one of the more sensational pieces of news on the Stockholm stock market for several years. An initial gain in share price was later cancelled out due to Börje Ekholm’s decision to remain in the USA and the fact that he did not distance himself from Ericsson’s recent strategy.

DI reports that not all board members realised Ekholm would not move to Sweden, which creates problems for the board that fired Bina Chauraisa, HR director in October, because she lived in the USA and Ericsson needed someone stationed in Stockholm. Furthermore shareholders have expressed their concern about how it will work and how much time will be wasted on travel.

Furthermore in an interview with SvD chair of Ericsson’s board Leif Johansson admits that he and the board ought to have noticed Ericsson’s decline earlier. “If we had foreseen the decline that came heavily at the start of 2016 then we would have acted differently,” he says.

Getinge ousts CEO

Medical technology group Getinge has fired its chief executive Alex Myers after just 18 months on the job. Joacim Lindoff, head of the Surgical Workflows division, has been appointed as acting CEO.

Under Alex Myers’ leadership, Getting has failed to meet analysts’ forecasts, and the group’s shares have fallen by 21.5% so far this year. By comparison, the OMXS30 large cap index has fallen 3%.

Myers attempts to centralise the company structure and to hire McKinsey management consultants failed to impress chairman Carl Bennet who prefers a decentralised structure and who is of the opinion that it is the executives and employees in a company that should drive change, not consultants.

Handelsbanken CEO: “Didn’t meet the mark”

After Handelsbanken’s CEO Frank Vang-Jensen was unexpectedly fired yesterday following only 17 months in the post, chair Pär Boman addressed a press conference to answer why.

The main issue was the bank’s decentralised business model with strong and self-sufficient branches. “Being in charge of Handelsbanken and leading other self-sufficient managers is a very different kind of leadership compared to many other companies,” he said.

Frank Vang-Jensen, as well as planning to reduce the number of branches from 463 to 400, tried to centralise the bank’s operations more than local branch managers could accept. Boman also said, “Frank quite simply didn’t meet the mark to be CEO at Handelsbanken.”

Anders Bouvin, with over 30 years of experience at Handelsbanken, is taking over as CEO.

New CEO for Handelsbanken

Handelsbanken’s CEO Frank Vang-Jensen has been fired. In a press release this morning, the board of the bank said, “a change of CEO ought to take place now”. Chair Pär Boman continued, “The decision is only a question of the individual. Handelsbanken remains strong and our long-term goals are still in place.”

Vang-Jensen has been CEO since March 2015 when he took over from Pär Boman who became chair. Pär Boman says Vang-Jensen’s style of leadership does not match Handelsbanken’s “very decentralised way of working”.

Hans Vestberg fired

Ericsson’s CEO Hans Vestberg is to leave his position as CEO at the telecoms company with immediate effect after a board decision.

“Hans Vestberg has led the company for seven years through huge transformations in both the industry and the company. He has built strong relationships and partnerships with important clients around the world and his leadership and energy has been inspirational for both employees and managers in Ericsson. However given the current market situation and the increased tempo in executing the company’s strategy the board has decided that the time is right for a new leader,” says chairman Leif Johansson.

During Hans Vestberg’s time at the helm Ericsson’s shares have fallen by 3.6% while the Stockholm OMXSPI index has risen by 65%.

Swedbank CEO fired

Swedbank’s CEO, Mikael Wolf, is to step down with immediate effect, following a board decision. Birgitte Bonnesen has been appointed acting CEO. She will also continue as the head of the Swedish banking division. Bonnesen has been a member of the senior management team since 2014 and has worked at the bank since 1987.