India-based outsourcing and information technology giant Infosys has appointed Nandan Nilekani, one of company’s co-founders, as its non-executive chairman as part of a shakeup that involves four members of its board stepping down.
Nilekani’s return to the company follows the resignation last week of the company’s CEO Vishal Sikka following differences with some founders.
Chairman R. Seshasayee leaves the board along with three other members. The board changes come after stories about infighting among its members were publicized across India in the wake of Sikka’s departure.
Ravi Venkatesan stepped down as Co-Chairman but will continue on the board, the company said early Friday. U. B. Pravin Rao will continue as interim CEO.
Despite the CEO change last week, Infosys has said it remains committed to its expansion project in the Triangle and the hiring of 2,000 workers.
“Nandan is the ideal leader for Infosys at this stage in the company’s development,” Venlatesan said. “His appointment will allow Infosys to focus on the strategic changes it needs to make in order to capitalize on the attractive opportunities in the years ahead. Under Nandan, Infosys will build a cohesive management team that will no doubt take the Company to a leadership position in the industry. I believe these changes will infuse further confidence to the stakeholders in executing the transition plan and in reinforcing the strategy for the future.”
Infosys said in an announcement that the search for a new CEO was continuing.
“I am happy to return to Infosys, now in the role of non-executive chairman, and look forward to working with my colleagues on the board and in executive management on the business opportunities we see before us and delivering benefits to our clients, shareholders, employees and communities,” Nilekani said in a statement.
Nilekani told investors on Friday that he would focus on bringing stability and ensuring there are no discordant voices at the country’s second-largest IT firm. He said that he would take the company forward, deal with its challenges and would stay as long as necessary.
Nilekani, who as a young 26-year-old founded the company, was CEO of Infosys from 2002 to 2007. He quit Infosys in 2009 to introduce and run the government’s mammoth identity card system that involved collecting the biometric data of over 1 billion Indians.
Infosys, like other IT firms, has been faced with many problems in recent years. Efforts at tightening H1-B visas by the Trump administration have cut into the profits of Indian It companies. The U.S. contributes more than 60 percent of the overall revenues for Indian IT industry.