Infosys on Saturday appointed Salil S Parekh (53) as chief executive officer and managing director.
Salil Parekh will be effectively appointed as Infosys CEO on January 2, 2018.
Apprising the Bombay Stock Exchange about its decision, Nandan Nilekani said Parekh has almost three decades of global experience in the IT services industry and has a strong track record of executing business turnarounds.
Nilekani also said as Parekh had a strong track record of executing business turnarounds and managing very successful acquisitions, the Board believed that he was the right person to lead the company at a transformative time in the industry.
Infosys chairman Nandan Nilekani said the board was delighted to have Parekh joining the organisation.
The appointment of Parekh, who was a top executive at global IT services giant Capgemini prior to his latest assignment, marks the second successive time that Infosys has chosen a rank outsider to helm the company, after being run by its founders for the better part of its first three decades of existence. An IIT Bombay alumni, he holds Masters degrees in computer science and mechanical engineering from the Cornell University, in the United States.
"So Infosys appears to have played it safe as the company a bad experience of earlier appointing an American CEO based out of U.S.", said Shriram Subramanian, founder and managing director of proxy firm InGovern Research.
The company's previous Board blamed Murthy for Sikka's dramatic resignation three years after he joined the outsourcing firm in August 2014 from global software major SAP AG of Germany.More news: Tiger Woods back on the leaderboard and back turning heads
Parekh will take over on January 2, 2018.
"Capgemini has agreed on Parekh's departure".
In March 2015 he was named the deputy chief executive officer of Capgemini Group.
Parekh, joined Capgemini in 2000 after the company bought the consulting arm of Ernst and Young. However, unlike the Tatas who finally opted for an insider to be chairman of Tata Sons, Infosys has again looked outside and brought in Parekh, apparently much to the disappointment of the internal candidates.
6- He has occupied various leadership positions in Capgemini Group. "Infosys" statement on Saturday noted that the selection of Parekh was done based on the recommendation of Nomination and Renumeration Committee.
Fersht also added that Parekh has extensive working experience across Ameican, European and Indian work cultures - which is critical for Infosys.
"It will also be seen by stakeholders as Nilekani's ability to align rhetoric with reality by delivering to his promise, amid speculation that Infosys may not find the right candidate for months", Sen said in an e-mail to IANS.