Freescale Shake-up

Discussion in 'General Mac Discussion' started by rdowns, Jan 19, 2005.

  1. rdowns Suspended

    rdowns

    Joined:
    Jul 11, 2003
    #1
    AUSTIN, Texas _ Freescale Semiconductor Inc. announced the departure of two long-term executives Tuesday, including the company's president and and one-time CEO Scott Anderson.

    The Austin-based semiconductor company also announced that its top manufacturing executive, senior vice president Chris Belden, is leaving after 22 years. Both moves are effective immediately.

    Anderson's position, president and chief operating officer, will not be refilled, the company said. Belden will be replaced by Alex Pepe, a longtime executive who previously ran a division in the company's transportation and standard products group.

    The moves are a sign that Freescale CEO Michel Mayer, an IBM Corp. veteran who was named head of the company in a surprise announcement last May, is putting together his own executive team. Freescale, which went public in July, is attempting to revitalize its business after spinning off from Motorola Inc. last year.

    "He is definitely putting his own stamp on things," said analyst Will Strauss with Forward Concepts of Tempe, Ariz. '`Whether it is a good stamp or a bad stamp remains to be seen.''

    The analyst said Anderson's departure was not a surprise, because the veteran executive had been suddenly replaced by Mayer as CEO only weeks before Freescale's initial public stock offering in July. It's similar to last week's announcement by Motorola that its president, Mike Zafirovski, who was passed over for the CEO's job a year ago, would resign. His post also will not be refilled.

    Mayer, like Motorola CEO Ed Zander, is the first outsider to run Freescale's business.

    Freescale's stock rose 49 cents to $17.50 on Tuesday after the departures were announced but before the company reported fourth-quarter earnings.

    Anderson, a 27-year company executive was known for turning around the company's automotive business before being name CEO in June 2003.

    ``Now that Freescale is firmly established as a fully independent company, I believe this is the right time to move on,'' Anderson said in a statement. He was not available for an interview.

    Mayer said he appreciated that Anderson remained with Freescale ``after my arrival in mid-2004 to help see us through the IPO and manage our operations while I became better acquainted with our company, our customers and our employees.

    ``Scott has been very supportive over these past months, and I thank him for his service.

    Pepe, 43, is a 21-year veteran of the company with extensive experience in manufacturing and other business operations. His move signals that Mayer is willing to promote from within the company for some top jobs. Mayer's previous prominent hires were outsiders: Tim Doke, a former Dell Inc. executive, was named the company's vice president for communications; and Sumit Sadana, a former IBM executive, was named the company's senior vice president of strategy.

    Manufacturing has, from time to time, been a trouble spot at Freescale, which has struggled to achieve profitably high manufacturing yields for some products.

    In the late 1999, Apple Computer Inc. CEO Steve Jobs publicly criticized the chip maker for its failure to deliver enough G4 processor chips for Apple to meet its production targets for a new line of computers. Mayer is believed to be paying close attention to the company's manufacturing performance.

    A spokesman left open the possibility of more management changes at the company.

    ``For high-performance companies in extremely competitive markets, change is a constant,'' said spokesman Glaston Ford.

    The company also acknowledged that Matthew Harris, former president of the company's Metrowerks Inc. software subsidiary, resigned from that job in January "for personal reasons."

    Responsibility for Metrowerks, which develops tools for software programmers that are suited to various chips, will fall to David Perkins, head of Freescale's networking and communications group. Perkins formerly headed Metrowerks.

    Metrowerks formerly operated as an independent subsidiary, but the business is being integrated more closely into Freescale's operations. Freescale, with 21,000 workers worldwide and 6,500 in Austin, has been working to cut costs and bolster sales as it emerges from Motorola's shadow.
     
  2. MacsRgr8 macrumors 604

    MacsRgr8

    Joined:
    Sep 8, 2002
    Location:
    The Netherlands
    #2
    Hmmm... tnx for the info.

    To be honest, I don't know what to think of it.
    My feeling is a negative one.
     
  3. wrldwzrd89 macrumors G5

    wrldwzrd89

    Joined:
    Jun 6, 2003
    Location:
    Solon, OH
    #3
    I think Freescale is trying to resolve some discord within the company, which IMHO can only be a good thing. Who knows what effect, if any, it will have on Freescale's chip production.
     
  4. SiliconAddict macrumors 603

    SiliconAddict

    Joined:
    Jun 19, 2003
    Location:
    Chicago, IL
    #4
    Simple. It’s the Dilbert Principle in action. Anytime you have a shakeup at the top, people with their own "ideas","plans", and “strategies” come in to screw things up by taking an already broken system, because all corporate systems are inherently broken, and instead of repairing the broken system they simply tie it into a knot making it further FUBARed. Why do you think Palm Inc is a bloody mess? They have had top-level execs leave the company almost yearly. The end result is a company that is so massivly confused that they don’t have a clue what the heck is going on and is pretty much running on auto pilot right now.

    Typical corporate culture at work. Gotta love it.

    Thus ends the lesson from the good book of Dilbert. Now all stand and let us all sing Bang on the Drum All Day.
     

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