Next Pitney Bowes chief pledges to “accelerate our transformation”

Pitney Bowes has appointed an IT industry veteran as its next president and CEO, signaling the importance of technology in the future of the mailroom equipment and mail services giant. Marc B Lautenbach, 51, has had a 27 year career at IBM, most recently been managing partner for IBM North America Global Business services,

He takes over effective immediately from Murray D Martin, who is retiring but will continue to work with his successor on a smooth transition.

Pitney Bowes said today that its board has also appointed its lead independent director Michael I Roth as non-executive chairman of the board, effective immediately. Roth is the chairman and CEO of global marketing firm Interpublic Group, and has been on the Pitney Bowes board since 1995, as lead independent director since February 2012.

Roth said today that the company’s new president and CEO was a “successful leader and manager, with a proven track record within the technology and business services industry”.

The non-exec chairman said Lautenbach had experience in transforming businesses, both within IBM and for its customers.

“During his tenure at IBM, Marc developed a reputation for delivering consistent results while assisting companies to reach their full potential,” said Roth.

“This experience is of critical importance to Pitney Bowes at this important time of change for our company and our industry.”

“Transformation”

Pitney Bowes, the world’s largest mailroom equipment supplier, has been undergoing a transformation in recent years into a “customer communications provider”.

The company has developed a range of software to bring together its background in the printing, finishing and mailing of physical mailpieces and new digital channels including electronic communications and digital mail.

Lautenbach’s most recent role has seen him responsible for the consulting and systems integration business of IBM North America. He previously led sales and distribution at IBM North America as general manager, within the US, Canada and Latin America region. Previous to that role, he took responsibility for all of IBM’s work supporting small and medium-sized businesses around the globe as general manager for IBM Global Small and Medium business.

A graduate of Ohio’s Denison University and the Kellogg Graduate School of Management within Northwestern University, Lautenbach has been on IBM’s Worldwide Management Committee since 2001.

He takes charge of a $5.3bn company with 29,000 employees worldwide, which sees its core activity as helping businesses of all size to communicate with their customers – including through direct mail, transactional mail, call centres and digital channels ranging from web and email services to live chat and mobile applications.

With Pitney Bowes currently seeing its revenues flat, or even declining, its new president and CEO is facing the challenge of a slow recovery in the US economy, and its resulting affect on business’ investment in new mailing equipment, and the weak economies in Europe, which have hit Pitney Bowes’ outsourcing activities.

Lautenbach said he was ready to “accelerate our transformation” with his new role leading Pitney Bowes.

He said: “I view this as a time of great opportunity to build an even stronger future for the company with its valuable portfolio of innovative products and solutions, strong customer relationships and a team of deeply talented and devoted employees around the world.”

“Proud”

Roth paid tribute to outgoing chairman and CEO Murray Martin and the 26 years he has spent at the company based in Stamford, Connecticut.

“Under his leadership, Murray has overseen numerous acquisitions, many major technological innovations and strategic initiatives to streamline the business and focus on high growth opportunities,” he said.

Martin said he was “proud” to have been part of the company’s evolution since 1987.

He said of his successor: “I believe Marc has the right background and experience to lead Pitney Bowes forward, and to execute on the initiatives necessary to drive future growth and value creation for shareholders.”