The CEO of Invensys, Ulf Henriksson, has been asked to step down. CFO Wayne Edmunds (pictured here) has been appointed chief executive. There is speculation that Henriksson was sacked because of his micromanagement of Invensys’s operating divisions. There is a perception that Henriksson had fallen out with senior divisional managers.
The board led by chairman Sir Nigel Rudd believes the three main divisions of Invensys – operations management, rail, and controls – should have more autonomy. In a statement, Sir Nigel said: "We have three world-class businesses and a management team to match, and I am confident that Invensys is well positioned to continue to deliver value to shareholders."
Industry analyst Jim Pinto beleives that Henriksson did a great restructuring and refinancing job, but the 47-year old Swedish engineer had failed to build a cohesive team from top to bottom.
Henriksson did not win many fans with his public statement late last year that Invensys was a takeover target by China Southern Rail (CSR), a partner in high-speed railways. He was quoted as saying, "CSR has the possibility of acquiring Invensys, in principle, in its logic, as long as the shareholders accept the price".
Industry obeservers agree that Henriksson’s time with the company has been generally successful but not brilliant. Now, his dismissal is sparking rumours of a takeover with ABB and Siemens mentioned as possible suitors.