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  • Sahriar Shuvo - Tech Journalist

Changes in IBM leadership: President and former Red Hat boss Jim Whitehurst steps down

A drastic change is made in the IBM leadership circle. Three years after Jim Whitehurst has been positioned as IBM’s president stepped down from the council. Arvind Krishna, current Chairman and Chief Executive Officer at IBM said, “Jim has been instrumental in articulation IBM’s strategy.” But Jim agreed to step down from his role as a president and will continue to work in the Executive Leadership Team.

Jim Whitehurst had tremendous success with Red Hat and continuity systems improved by evolving with technological trends. He had a massive impact on binding IBM and Red Hat in a single integration. As per the leadership change, Jim will still be the Senior Advisor to Arvind Krishna. And as a tech and customer service-based company, IBMs north-star is the insider culture.

Since the rise of AI, Big Blue contributed towards its strategy and hybrid cloud. At the time of Covid, while many companies fell under loss, IMB managed to stay on top of their game. It was due to the swift decisions of Jim and the board of directors. Why a sudden change in leadership, big blue didn’t clear it up. But as far as their announcement, several higher officials got replaced within the company like chess pieces.

During the 2020 business year, Big Blue CEO Arvind Krishna and former executive Ginny Rometty received $38m altogether for their outstanding services. Later the profit margin shrined but the company managed to pay almost every executive top dollar.

Former CEO, Bridget van Kralingen helped Arvin in the transition process. She stepped down and took the role of Senior Vice President of Global Markets. At the same time, there was a 4.5 per cent decline in turnover to $7.62 billion. It was for the 2020 fiscal year only. The expected non-GAAP profit target was $10.7 billion. But the company failed to fulfil the target and stopped at $7.8 billion. Eventually, cash flow in operations came a billion short. Which overall is considered a loss for the company.

Jim’s compensation package came in at $27.178 million. Within this cash, $1.173 million was his salary and $22.4 million is in stock. Non-equative and other compensation raised $1.455 million and $130,562 respectfully.

Rob Thomas is also promoted as the Senior Vice President of Global Markets replacing Bridget. Tom Rosamilia with extensive experience within IBM in Cloud and Cognitive Software will become a Senior Vice President too. Being a friendly face to software-related solutions, Tom has solid business experience. He held the General Manager of WebSphere position alongside lead on database products.

According to other news, Jim’s leave may weaken IBM’s command line. Red Hat was acquired for $34 billion during the business session of October 2019. It was a bold move by the former president and proved to be a valuable one. Red Hat impacted Linux and Cloud systems. Ex CEO Ginni Rometty while promoting Arvind Krishna in his place said “he is a brilliant technologist.” So far, his command floated the company on its way to extraordinary achievements even in times of dire chip shortage. While containing Red Hat, its employees were feared to lose the environment and unique culture. But IBM preserved its independence, which made suitable cultural partnerships within industries.

Other positional changes in the company happened with Kelly Chambliss as Senior Vice President of Strategic Sales & Global Business Service.

Roger Premo consultant to the business development team, directly reporting to Jim Kavanaugh. Bob Leonard will continuously support as the Senior Vice President of Worldwide ecosystems. He reports directly to Arvind.

Investors were not impressed during the Covid session of business and it was supposed to be a wavy sea. As stock prices declined, the company thought it would be a great idea to swiftly change personals and utilise them in manners where they can best provide their experience.





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