New CEO to save Satyam
Satyam's board has decided on a new chief executive after deliberating over the last two days with advisors.
A.S. Murty
(Credit: Satyam)
The new head of the Indian outsourcer, effective immediately, is A.S. Murty. He has worked within Satyam for the last 15 years, most recently as chief delivery officer.
"He is well respected for his ability to effectively integrate the team and enable a collective decision making — which will be critical as Satyam moves into its revival phase." said Deepak Parekh, a member of the Satyam Board.
Satyam's abrupt need for a new leader resulted from the revelation that the past chairman and founder Ramalinga Raju had been inflating Satyam's earnings and assets by over US$1 billion.
Since the event, Australian Satyam clients have been evaluating their relationship with the outsourcer. Yesterday NAB said that it had decided to drop the company from its books. Meanwhile, other companies are circling in the hopes of acquiring a controlling interest in the company.
"I have no misgivings about the enormity of the task in front of us, but together with my colleagues, I am confident we can accomplish the impossible... We will chart a precise and practical 30 to 60 to 90 day plan that will encompass and address the interests of all stakeholders," Murty said.
"In our interactions over the past few weeks, we are convinced that Satyam needs an internal leader to steer it at this critical juncture and [Murty] has the required bandwidth and support." Parekh said.
The board also announced the appointment of two special advisors to the board to help in management and finance areas.