Caterpillar Backtracks On Split CEO/Chair Role
By: Agenda
December 17, 2018
Caterpillar has named chief executive Jim Umpleby as chairman of the board, reversing the company’s decision to split the roles last year, reports The Wall Street Journal.
Though corporate governance experts argue that oversight and decision-making is improved if the two roles are separated, this only happens at about 40% of S&P 500 companies, according to MyLogIQ.
The leadership structure is reviewed by the board every two years, Caterpillar said in a statement last week, and at its Dec. 12 meeting it agreed to give Umpleby both roles.
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