Bill McDermott isn’t retiring, he’s taking the top job at ServiceNow.
The former SAP CEO said two weeks ago that he would not renew his contract with the Germany technology giant. Today it was announced that McDermott will be the new CEO of ServiceNow.
Current ServiceNow CEO John Donahoe is moving on to become the CEO of Nike, effective January 2020. Donahoe, who was formerly the CEO of eBay from 2008 to 2015, joined ServiceNow in April 2017.
McDermott, who is still an advisor to SAP, will join ServiceNow by year end. Donahoe remains ServiceNow’s CEO through the transition period and will retain his seat on the company’s board for the remainder of his current term, ending in June 2020.
McDermott joined SAP in 2002 and has served as CEO for a decade. He is now moving from a company that was trying to transition its products to the cloud, to one which was born in the cloud back in 2004.
“ServiceNow is one of the most exciting innovation and growth companies in the world. The company has a transformational platform, immensely talented colleagues and limitless potential,” McDermott said.
“Fred Luddy has given us an enduring foundation on which to build the company’s bright future. I consider it a personal honour to succeed John and help carry ServiceNow’s proud legacy forward to the next chapter. I’m fired up and can’t wait to get started!”
Jeff Miller, Lead Independent Director of the ServiceNow Board of Directors said the company was “thrilled” with the appointment.
“His global experience and proven track record will provide for a smooth transition and continued strong leadership. Bill will further enhance ServiceNow’s momentum and reputation as a digital workflows leader committed to customer success, and as a preferred strategic partner enabling enterprise digital transformation,” Miller said.
The company noted that during Donohoe’s tenure ServiceNow’s market cap more than tripled as it rapidly added new customers and grew revenue.
“ServiceNow is a special company and leading the team has been an honour,” Donahoe said. “I’m very proud of what we have accomplished together and our deep commitment to delivering for our customers. I am very confident in ServiceNow’s future and am confident that the team will stay focused on strong execution. I can’t imagine a better and more capable leader than Bill McDermott to take the company forward.”