New Leadership at EDS: TPI Viewpoint

 

A good move for EDS is TPI's opinion on the recent executive leadership appointments of John Ladaga, Tom Egan, and Steve Heidt to new roles in the EDS Executive Leadership team. John Ladaga assumes the role of vice president and general manager, Latin America, Tom Egan will now lead Global Service Delivery for the Americas, and Steve Heidt takes over the role of vice president of Operations, previously held by Tom Egan.

 

These changes had some domino effect caused by Ladaga filling the Latin American general manager role vacated by the retirement of Micael Ciment, Egan assuming a role that includes Ladaga's previous responsibilities, and Heidt assuming Egan's previous role. The result is three very strong and experienced leaders placed in key roles in the company, which should lead to a more integrated and effective executive team.

 

One of EDS' historical strengths has been the heritage of many of its leaders having grown up in the business, and truly understanding the company, its services, and its business model. Ladaga, Egan and Heidt all come from this mold. They began at the ground level of the company and worked their way up, are extremely well-respected inside EDS, and more importantly, inside the service delivery portion of the company. They understand global service delivery, as well as client-focused service.

 

We think the peer leadership team of Tom Egan and Steve Heidt, who together have a significant portion of the delivery responsibility of the company, will mesh extremely well. Heidt began in the depths of the global IT infrastructure delivery arm of EDS and has been continually tapped during his career to take on key technical leadership as well as strategic roles. Egan's new organization is responsible for working with and leveraging the resources directed by Heidt, and Egan's intimate familiarity with this organization (Heidt assumes the role from Egan) will allow Egan to more effectively integrate Global Service Delivery for the Americas with Operations.

 

John Ladaga has a successful background in business development and business management inside of EDS in addition to true service delivery experience. This breadth of experience will serve him well in his new role as general manager of Latin America.

 

Ron Rittenmeyer, the Chief Operating Officer, was clearly the architect of these moves. He is a no-nonsense, results oriented executive who has been with EDS for a year — enough time for him to learn the company, its strengths and weaknesses. His stated intention is to fill key leadership roles by leveraging both internal candidates as well as through EDS’ trend over the past few years of bringing in outside talent. We think it is significant that he identified EDS veterans for all three of these positions. We believe these moves will be strongly supported by the rank-and-file EDS employees, many of whom know these three well. That is important. Because as with any service company, at the end of the day it is the employees who make the difference.