ITC reshuffles senior management roles

Succession planning at ITC appears to be gaining traction, with the latest reshuffle in portfolios of top executives. Executive directors Kurush Grant and P V Dhobale’s portfolios have been interchanged. Grant, who was heading the fast-moving consuming goods (FMCG) business, will now be overseeing paper, paperboards and packaging, along with finance and information technology. Executive director Nakul Anand, in addition to overseeing the hospitality, travel and tourism businesses, has taken over the responsibility of the lifestyle retailing business.

Sanjiv Puri, divisional chief executive of the India tobacco division, has taken over as president, FMCG businesses, that include the India tobacco division, foods, personal care, education and stationery products, matches and agarbattis (incense sticks). “Some changes have been made in roles of senior management primarily, to prepare the organisation for the challenges of tomorrow and to provide diversity of exposure to members of the company’s senior leadership team. Apart from helping build the future senior leadership of the company, it is expected these changes will provide fresh perspectives in addressing the challenges ahead,” an ITC spokesperson said.

The ITC board had cleared Yogesh Chander Deveshwar’s extension as chairman with effect from February 2012, for five years. This implies any change in leadership was at least two years away. Within this tenure, however, he could become a non-executive chairman, to pave the way for succession planning. ITC does not have a retirement age.

During Deveshwar’s tenure, the company made several diversification moves that transformed ITC from a tobacco company to an FMCG company. In 1996, when Deveshwar took charge as chairman, the company’s gross income stood at Rs 5,188 crore, which has grown to Rs 48,176 crore (as on July 25, 2014). Profit after tax during the same period has grown from Rs 261 crore to Rs 8,785 crore.

ITC Limited