New Regime: 7 Top Executives Exiting Cisco So Far
Cleaning Hous e
Cisco this week added two more top executives to its chopping block as Hanh Tu, president of Cisco China, and Fredy Cheung, vice president of Cisco in Greater China, are reportedly leaving the company.
Cisco confirmed to CRN that Owen Chan, Cisco's top leader in China, had announced changes to his leadership team, but declined to confirm whether Cheung or Tu would be leaving the company, citing its policy of not commenting on specific personnel matters.
The Wall Street Journal reported that the two executives were asked to step down following weak sales.
The China leaders are just two of the top executives who will be leaving the networking giant as incoming CEO Chuck Robbins formulates his strategy to create a more agile, faster and "flatter" executive team following the departure of longtime leader John Chambers on July 26.
Here's a look at the biggest Cisco players who are already heading for the door.
Hanh Tu
Hanh Tu has been president of Cisco China since 2013, and first joined the company as vice president of Cisco China in 1999, according to his LinkedIn profile.
In May, Cisco reported China sales had dropped 20 percent year over year for the third quarter of the current fiscal year.
"Asia-Pacific without China, instead of growing at 1 percent, would have grown at 8 percent," said Chambers, during the earnings call last month. "Chuck, you and I are going over there every quarter ... But we'll eventually get that one turned around, assuming our governments get along," Chambers said.
In May 2014, tensions arose between China and Cisco when the country accused the networking giant of helping the U.S. in cyberespionage. Just two weeks prior to the accusations, photos were published showing the National Security Agency (NSA) allegedly intercepting and implanting surveillance functionality into Cisco equipment going overseas. Cisco denied the accusations.
Fredy Cheung
As vice president of Greater China for Cisco, Fredy Cheung was responsible for the company's overall business -- including enterprise, commercial and telecommunications industries -- in the Greater China region, according to his LinkedIn profile.
In a statement to CRN, Cisco said the structure of China's new team is providing a "flattened reporting line, enhancing the ability to execute and respond to the market requirements."
Cheung first joined Cisco Asia-Pacific as Director of Channels in Singapore in 1999 and was a "driving force" behind a series of international summits between Cisco, the Chinese government and the United Nations Development Program from 2004 and 2012, according to his profile.
Padmasree Warrior
Arguably one of the most popular women in the tech industry, Cisco's Chief Technology and Strategy Officer Padmasree Warrior will be leaving the company in September after seven years with Cisco. She will move into a strategic adviser role until her departure.
Rumors were swirling that Warrior would be leaving just days prior to the official disclosure on June 4, with partners saying she was likely next on the chopping block.
Warrior took to Twitter after the announcement of her departure:
"To the many [Cisco] customers and partners who I had the privilege to serve -- thanks for inspiring me to do better," Warrior wrote on Twitter on June 4.
Warrior is being replaced by Hilton Romanski as the new chief technology and strategy officer. Romanski was formerly executive vice president, chief development officer at Cisco.
Rob Lloyd
For years seen as Chambers' No. 2 and the most likely candidate to succeed him, Rob Lloyd, president, development and sales, is heading for the door on July 25 after 21 years with the company.
Not only will Lloyd be leaving the company, he will be unable to work for some 30 companies Cisco deemed as competitors, including Hewlett-Packard, Palo Alto Networks, Amazon Web Services, Juniper Networks and Dell, for one year, according to details of a separation agreement included in a filing with the U.S. Securities and Exchange Commission.
Lloyd was well-liked by Cisco solution providers and has been a fixture at Cisco's annual Partner Summit conferences for the past several years. Personnel that previously reported to Lloyd will answer directly to Robbins as part of his senior executive leadership team.
Edzard Overbeek
Another rumored candidate seeking to succeed Chambers was Edzard Overbeek, senior vice president for Cisco Services. Cisco revealed earlier this month that Overbeek will be leaving the company in one year and will become a strategic adviser in the interim.
The 15-year Cisco veteran was a major player abroad as president of Cisco's Asia-Pacific, Japan and Greater China region before becoming the top services executive in 2012. He also previously helped develop the partner ecosystem and strategic alliances businesses in Europe as vice president of EMEA (Europe, Middle East and Africa) channels. Overbeek also oversaw the design and implementation of Cisco's commercial line of businesses as vice president of the EMEA region.
Joe Cozzolino will become senior vice president of services. Cozzolino was previously Cisco's senior vice president, general manager, mobility, service provider video infrastructure.
Gary Moore
Yet another rumored candidate for Chambers' top spot was Gary Moore, president and chief operating officer, who instead will be leaving on July 25, the day before Robbins succeeds Chambers as CEO.
Moore has also agreed to not work at nearly 30 competitive companies for the next year, per the terms of his separation agreement. The 14-year Cisco veteran led Cisco's services business for 12 years where, under his leadership, Cisco Services grew from $3 billion to nearly $10 billion in annual revenue, according to a Cisco release.
Moore was named the company's first COO in 2011.
Chief Information Officer Rebecca Jacoby, who currently reports to Moore, will become the new senior vice president of operations when he departs.
Wim Elfrink
Wim Elfrink, executive vice president of industry solutions and chief globalization officer, is departing the company on July 25 after 18 years.
Elfrink, who Cisco said is retiring, also sits on Cisco's Operating Committee and is a leader in Cisco's efforts toward the Internet of Things and Internet of Everything. He established Cisco's Globalization Centre East in Bangalore, India, which grew into Cisco's second world headquarters with more than 10,000 employees.