The company's board removed Herweck from his leadership position for “divergences in the execution of the company roadmap at a time of significant opportunities.”
Blum has now been brought in to replace the ousted Herweck to “accelerate the execution of [Schneider Electric]’s strategy and engage into the next phase of its development.”
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“The Governance, Nominations & Sustainability Committee worked on this succession where several high-quality external and internal candidates were considered,” said Fred Kindle, vice chair and lead independent director at Schneider Electric.
“The Board determined that Olivier Blum’s skills and personality made him the perfect candidate to lead the company, notably, his extensive knowledge of Schneider Electric, recognised exceptional leadership, and strong track record in setting a vision, defining a strategy and executing the required transformations.
Herweck assumed the CEO role at Schneider Electric in May 2023, marking his return to the company where he had previously served as EVP of Industrial Automation, with his tenure briefly interrupted by a period as CEO of the Schneider-owned industrial software firm Aveva.
Schneider Electric’s recent earnings report saw the company’s revenue rise by 8%, with its lucrative energy management business up 12%.
However, its industrial automation arm saw revenues decrease by 6%, citing “market weakness in discrete automation.”
The company’s performance was not enough for its board, and Herweck was replaced by Blum, a stalwart at Schneider having spent over thirty years with the business.
The 54-year-old was most recently EVP for the company’s energy management business, where he led a team providing technologies, software and services to improve energy efficiency in data centres and infrastructure sites.
Blum’s other previous roles at Schneider include group chief strategy and sustainability officer, chief human resources officer, country president of Greater India, and business leader in China.
The new CEO has also been on the board of directors for Aveva for the past five years.
Jean-Pascal Tricoire, chair at Schneider Electric, said: “For more than 30 years, Olivier has been an outstanding and transformative leader at Schneider Electric, deeply understanding our business, our operating model and culture and focusing on future technology and strategic development while delivering strong and consistent operational performance, as shown by the acceleration of Energy Management under his tenure.
“I have complete confidence in his ability to lead Schneider Electric in this new phase of focused acceleration.”
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