Just last month, Mahindra announced the appointment of Dr Pawan Goenka, who was the Executive Director of the Mahindra Group, as the new Managing Director. Today, the $17.8 billion Mahindra Group announced major rejig in top management under the leadership of Dr Goenka.
It is to be noted that the post of Managing Director was previously held by none other than Mr Anand Mahindra. As for Mr Mahindra, he now holds the post of Executive Chairman in the Group. Dr Pawan Goenka will continue to report to Mr Anand Mahindra and to the Board of the Company.
Mahindra’s statement released today read –
“The company formed a new sector, the Agriculture Sector. This is in addition to its two existing sectors, namely – Automotive and Farm Equipment Sectors.
The company has also announced the appointment of Mr. Rajan Wadhera as the incoming President of the Automotive Sector. Mr. Wadhera will take over from Pravin Shah, the current President & Chief Executive (Automotive) M&M Ltd, as he retires on March 31, 2017.
Subsequent to the restructuring announcement, the respective business heads have also been re-designated.
Accordingly, Rajesh Jejurikar will now be the President of the Farm Equipment Sector and Ashok Sharma, the President, of the Agriculture Sector. All three sector Presidents in their respective capacities will report to Dr. Pawan Goenka. All changes will be effective April 1, 2017.
Mahindra Trucks and Buses and the Construction Equipment businesses will now be an integral part of the Automotive Sector and will report to Mr. Rajan Wadhera.”
In the official statement released by Mahindra, the company reveals that this rejig in senior management is in line with the practice followed by companies in the Mahindra Group. The practice in Mahindra Group of Companies is that the post of Managing Director or CEO is different than that of Chairman.
It is to be noted here that Mr Anand Mahindra was also the Chairman of Mahindra Group before November. He held two posts – Managing Director and Chairman. From November, he holds only one post, and that is of Executive Chairman.
Mr. Mahindra emphasized that as the Executive Chairman of Mahindra & Mahindra he will continue to oversee, and be responsible for shaping, the growth strategies of the Company and its portfolio of investments.
Announcing the appointment, Mr. Mahindra said “Pawan has played a major role in M&M’s meteoric growth in the post liberalization era. His elevation as MD is a fitting recognition not only of his vast experience and domain knowledge in the mobility space and his many past achievements, but also of the eminent role that he currently plays in the Company”.
“I am humbled by my appointment as the Managing Director of Mahindra & Mahindra” said Dr. Goenka. “When I joined the Group 23 years ago, I could never have imagined that one day I would be entrusted with this responsibility by the Board of the Company. I am sure that with the guidance of the Executive Chairman and the Board, and the support of my colleagues, this Company will continue on the growth path that we have witnessed over the last decade and a half.”
About Dr Pawan Goenka
Dr. Goenka joined Mahindra & Mahindra as General Manager R&D in 1993, after working for General Motors Corp. in Detroit, USA for 14 years, and was instrumental in growing the R&D capability of Mahindra and also the launch of the Scorpio SUV. He became President of the Automotive Sector in 2005, of AFS (Automotive and Farm Equipment Sectors) in 2010 and was appointed Executive Director on the Board of Mahindra & Mahindra in 2013. Dr. Goenka has been actively involved with many professional bodies such as CII, SIAM, SAE, ARAI and has been widely acclaimed for his technical work and business leadership. Currently he also serves as the Chairman of the Board of Governors of IIT Madras.