IBM board elects Virginia Rometty as new ceo

Rometty, who was elected by IBM's board of directors, will replace Sam Palmisano who is approaching retirement age. He will continue with the firm as chairman. Rometty joined IBM as systems engineer in 1981 and holds a Bachelor of Science degree with high honours in computer science and electrical engineering from Northwestern University. "Ginni Rometty has successfully led several of IBM's most important businesses over the past decade – from the formation of IBM Global Business Services to the build out of our Growth Markets Unit," said Palmisano. "But she is more than a superb operational executive. With every leadership role, she has strengthened our ability to integrate IBM's capabilities for our clients. She has spurred us to keep pace with the needs and aspirations of our clients by deepening our expertise and industry knowledge. "Ginni's long term strategic thinking and client focus are seen on our growth initiatives, from cloud computing and analytics to the commercialisation of Watson. She brings to the role of ceo a unique combination of vision, client focus, unrelenting drive, and passion for IBMers and the company's future. I know the board agrees with me that Ginni is the ideal ceo to lead IBM into its second century." Rometty added: "There is no greater privilege in business than to be asked to lead IBM, especially at this moment. Sam had the courage to transform the company based on his belief that computing technology, our industry, even world economies would shift in historic ways. All of that has come to pass. Today, IBM's strategies and business model are correct. Our ability to execute and deliver consistent results for clients and shareholders is strong. This is due to Sam's leadership, his discipline, and his unshakable belief in the ability of IBM and IBMers to lead into the future. Sam taught us, above all, that we must never stop reinventing IBM." Palmisano became IBM's ceo in 2002 and chairman of the board in 2003. Since then, IBM has set records in pre-tax earnings, earnings per share, and free cash flow. During his tenure, the company increased EPS by almost five times, generated over $100billion in free cash flow and invested more than $50billion in research and development – creating over $100bn of shareholder value since 2002. As global sales leader for IBM, Rometty, is accountable for revenue, profit, and client satisfaction in the 170 global markets in which IBM does business. She is responsible for IBM's worldwide results, which exceeded $99bn in 2010, and for leading its global strategy, marketing and communications functions. Previously, Rometty was senior vice president of IBM Global Business Services. In that role, she led the integration of PricewaterhouseCoopers Consulting - the largest acquisition in professional services history, building a global team of more than 100,000 business consultants and services experts. She has also served as general manager of IBM Global Services, Americas, and of IBM's Global Insurance and Financial Services Sector.