Infy will scrap Exec Council, elevates Srinivas, Pravin Rao

Following a string of top-level exits at technology services behemoth Infosys in recent months, the company is planning to dissolve its Executive Council and will restructure its business portfolios under two divisions to be headed by B G Srinivas and U B Pravin Rao. Both have been promoted to presidents of the company reporting to Infosys CEO & Managing Director S D Shibulal. 

It is believed that the move will help the company groom the new presidents to take over CEO duties from Shibulal once the latter retires next year. It will also help alleviate concerns about succession planning at Infosys after the recent resignations of frontrunners for the CEO’s post like former Chief Financial Officer and BPO Head V Balakrishnan and former Head of Americas and Global Head of Manufacturing and Engineering Ashok Vemuri.

Shibulal said on Friday that the changes brought about by the realignment and “will further enhance our (Infosys0 focus on deepening client relationships, increasing market share, creating service differentiation through innovation and agility in execution". 

Under the realignment plan, Srinivas will be responsible for verticals including financial services, insurance, manufacturing, engineering services, energy and communications, Infosys Public Services, Infosys Lodestone, strategic global sourcing, marketing and alliances.

Retail, consumer packaged goods and logistics, life sciences, resources and utilities, services, growth markets, cloud and mobility, quality and productivity and Infosys Leadership Institute will now be headed by Pravin Rao.

In addition, Srinivas will focus on global markets, while Rao will focus on global delivery and service innovation, the company said in a market filing.

“In view of these changes, the Executive Council, as a forum, will cease to exist with effect from April 1, 2014,” the company filing said.

The Council was constituted by company co-founder N R Narayana Murthy on his return to its helm on June 1 last year. It included the executive board, current EC members, heads of key business units and strategic business enabler units.

Shares of Infosys, which rose by over 50 per cent since June, gained 2.6 per cent on Friday to close at Rs 3,565 on the Bombay Stock Exchange.