Schneider Electric has replaced its CEO Peter Herweck just after a year-and-a-half long stint, citing differences on the implementation of the roadmap, replacing him with group veteran Olivier Blum effective immediately, a press release on November 4 said.
Herweck has been replaced over disagreements with the board regarding the strategic direction of the French energy-management equipment manufacturer. Blum, the new CEO, 54, has been part of the Executive Committee since 2014 and with Schneider for more than 30 years. Olivier Blum started his career with Schneider Electric in 1993 in France, his home country. He had been in Asia for nearly two decades, at leadership positions as Regional Head of Strategy for China, and the regional MD for India.
The board of Schneider Electric is led by Chairman Jean-Pascal Tricoire, who turned Schneider into one of France’s largest companies with a market value of $149 billion during his 17-year stint as the CEO.
Schneider has struggled in the US market with supply constraints, and was recently fined Eur 207 million by the French regulators over a price-fixing case relating to the 2012-2018 period. Schneider, and other equipment makers said they disagree with the regulator's actions, and may appeal.
Last week, Schneider reiterated its full-year growth targets.
The AI boom in the data centre business along with governments pushing for renewable energy has meant a rising demand for gears made by Schneider Electric. The data centre sales for top six electrical equipment makers has reached $22.2 billion in 2023, as per Redburn Atlantic. Data centres comprise 17% of Schneider's revenue.
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