BANGALORE: KV Kamath, the man who transformed ICICI from a stodgy, old-school bank into an aggressive and nimble-footed lender, is being considered for the post of chairman at Infosys Technologies, India’s software bellwether.
Though Infosys’ board nominations committee has not taken any final decision, Kamath’s business credentials, wide-ranging contacts, name recognition, and trouble-shooting expertise have propelled him ahead of others, people close to the development said.
Kamath, 62, is a member of the Infosys nominations committee. Last year, he helped ICICI Bank manage a successful leadership transition, passing on the baton to Chanda Kochhar before stepping down as CEO in May. Narayana Murthy, who will retire from Infosys in August next year, and other Infy founders hold Kamath in high regard.
When contacted on Sunday, Cornell University professor Jeffrey Sean Lehman, who along with Kamath, and HDFC Standard Life CEO, Deepak M Satwalekar, is responsible for finding Murthy’s replacement, declined to share any specific details. But he said it’s technically feasible for one of the nominations committee members to be considered for the chairman’s post.
“You may be rest assured that Infosys is taking the selection of the next Chair with great seriousness,” said Lehman, the committee chairman. “I trust you will understand that we do not respond to speculation about who that person might be. We will make a decision and we will make a public announcement with appropriate lead time before Murthy steps down,” he added.
Satwalekar added, “There is no firming up as of now. It would not be accurate to say that he has been chosen.” ET has learnt that the announcement is expected later year.
Detailed emails sent to Murthy and Kamath remained unanswered until Sunday evening. Kamath could not be reached on his cell phone either.
As reported last week, Infosys has begun the search to replace Murthy on the board of Infosys. India’s most-admired software services company will also consider changes to its current management structure. Murthy, one of India’s most-admired entrepreneurs, is now the non-executive chairman of Infosys.
Some of the other changes being discussed within Infosys are the possible elevation of SD Shibulal, a founder and current COO, to CEO next year. Unconfirmed reports suggest that Kris Gopalakrishnan, the current CEO, may be considered for the position of vice-chairman. Both founders could serve in the new roles till they reach 60, which would be in 2014.
Murthy may continue as the chief mentor of the company even after stepping down from the board, said a person familiar with the development. According to at least two people familiar with the decision-making, Infosys plans to bring a non-founder as its CEO by 2014, a transition that will be overseen by the current independent director on the company’s board, KV Kamath, Kris Gopalakrishnan and Shibulal, apart from other board members and founders.
“That Infosys should have a non-founder as its CEO by around 2014 is a serious thought, there’s a plan, but it’s too early to discuss how that is going to be achieved,” said one of the persons.
As part of this transition, Infosys has already been grooming the next leaders who are already part of the company’s executive council. These include Ashok Vemuri, BG Srinivas, Subhash Dhar and Chandra Shekar Kakal.
Murthy, who founded Infosys along with six others in 1981, quit as executive chairman when he turned 60 in 2006. The company has been preparing for its biggest leadership transition since then.
An Infosys spokesperson declined to offer specific comments, as the officials authorised to make comments about the activities of board were not available. “Such specific issues are not yet being discussed — it’s still a long way to go. Until the real people involved with this decision-making start formal discussions, everything is speculation,” said another person with direct knowledge of the process.