Infosys Witnesses Another High-profile Exit; CEO-hopeful BG Srinivas Quits

IT giant Infosys witnessed yet another high-profile exit as the company’s president BG Srinivas has stepped down on May 28. His resignation will be effective from June 10.

The exit of Srinivas follows those of nine other top executives of the company since 2013. This is also the fourth board-level resignation.

Interestingly, Srinivas was one of the contenders for the CEO’s post. The resignation has raised eyebrows and increased speculation over whether the nominations committee had chosen to overlook his candidature.

His decision also hints at a possibility of an external CEO or even an outside chance of the return of co-founder Nandan Nilekani.

The resignation also raises questions on executive chairman NR Narayana Murthy’s turnaround strategy since he came back in June last year.

According to Mohandas Pai, a former Infosys board member, Narayana Murthy has failed in his leadership and he should explain what vision he has for the company.

Ankita Somani, research analyst at MSFL (a Mumbai-based brokerage house), also said that top management exits could be a cause of concern for the IT bellwether.

As Srinivas built Infosys’ European business, which contributes 24.4% of its revenue, there are concerns around how clients will be managed, added Somani.

Infosys, however, maintains that the exit of one individual does not have a big impact.