BHP and ANZ yesterday revealed telling changes to their senior leadership teams that tell us who might be the next boss of both companies.
Effective from today (March 1), ANZ said yesterday that current Group Executives Mark Hand and Maile Carnegie will share responsibility for the financial performance of ANZ’s business in Australia – the bank’s main profit centre.
Mr. Hand has been appointed Group Executive Australia Retail and Commercial Banking, with Ms. Carnegie to take on an expanded role as Group Executive Digital and Australia Transformation.
ANZ said the new structure was “designed to help it better navigate the challenges facing the sector, while also ensuring increased organisational alignment to take advantage of current market opportunities.”
ANZ Chief Executive Officer Shayne Elliott said: “The continued transformation of the Australia business to succeed and thrive in this new operating environment is both the biggest challenge and opportunity for ANZ.
“It was clear that retaining single governance and accountability structure is no longer suitable given the size and complexity of the challenges facing domestic banking in Australia.
“We have made significant progress in recent years, particularly with the roll-out of Agile work methods, however, we know there are significant opportunities available for the bank that best responds to the changing needs of retail and business customers in Australia.
“This means continuing the work started in Australia several years ago to build a bank more relevant and responsive to the changing needs of our customers.
“Both Mark and Maile are experienced executives with a strong track-record at ANZ. I’m confident these changes will not only improve the services and products we provide our customers but also help us better meet the expectations of the broader community,” Mr. Elliott said.
Shorn of all the corporate speak, the new dual CEO structure is unworkable and has been set up to sort out a successor to Mr. Elliott from the two. It is clear the ANZ board can’t make up its mind about a successor to Mr. Elliott so a management structure has been established to set both senior executives against each other – no matter what the ANZ claims.
There is not an Australian company with the second most important operational role (some might argue the most important) after the CEO being filled by two people.
Mr. Hand will be the banker, Ms. Carnegie will be the hacker and slasher and push the bank further down the digital route. One of the two will be successful.
Meanwhile, over at BHP, it was a more conventional revamp of the top management structure to find a successor to current CEO, Andrew McKenzie.
Under the changes, three of four people promoted to BHP’s executive leadership team are women – its global petroleum business (Geraldine Slattery), a female chief commercial officer (Vandita Pant) and a female chief geoscientist (Laura Tyler).
The fourth person promoted to the miner’s executive leadership team is Jonathan Price, currently BHP’s transformation director, who will become “chief transformation officer” from today (all changes apply from today as well). Five of BHP’s eleven executive leadership team members will be women.
The changes reflected the miner’s “simplified portfolio and transformation agenda,” BHP said in a statement. All of the four executives promoted are already in senior positions at BHP.
BHP also confirmed the departure of two men from its current executive ranks – Arnoud Balhuizen, who will go after 25 years with Billiton and BHP, and Steve Pastor, the head of BHP’s petroleum business.
BHP chief executive Andrew Mackenzie said the two executives had made a significant contribution to the company, but the “management changes are an important step as we plan for the future of BHP”.
“The elevation of geoscience and transformation to the executive leadership team demonstrates the determination we have to advance the best science, technology, and people to make our operations safer and more productive.”
