SAP chief Bill McDermott is stepping down as CEO after a decade leading the German technology  giant. 

He will be replaced by board members Jennifer Morgan and Christian Klein who have been named co-CEOs, effective immediately, in-line with the company’s succession plan. 

The news was announced alongside the company’s Q3 financial results, released today. 

McDermott joined SAP in 2002 and has served as CEO during a period of dramatic growth for the business, including expanding its portfolio and initiating a major shift to cloud computing.

“Every CEO dreams of being able to transition a company to its next generation from a position of significant strength,” said McDermott. 

“When you look at where we were and where we are, I simply could not be prouder of what this company has achieved over the past decade. I am thankful for the opportunity to lead one of the world’s finest companies.” 

McDermott will remain in an advisory capacity until the end of the year to ensure a smooth transition. 

“SAP would not be what it is today without Bill McDermott,” said Professor Hasso Plattner, chairman of the Supervisory Board of SAP SE. “Bill made invaluable contributions to this company and he was a main driver of SAP’s transition to the cloud, which will fuel our growth for many years to come. We thank him for everything he has done for SAP.”

Jennifer Morgan and Christian Klein bring decades of experience in the enterprise applications software industry. Both serve on the Executive Board. 

Morgan, who joined SAP in 2004, most recently served as president of the Cloud Business Group, overseeing Qualtrics, SAP SuccessFactors, SAP Ariba, SAP Fieldglass, SAP Customer Experience and SAP Concur. She was named an Executive Board member in 2017.

Klein, who started his career at SAP two decades ago as a student, most recently served as the company’s chief operating officer, also overseeing product development for the flagship ERP solution SAP S/4HANA. Previously, he worked as SAP SuccessFactors chief financial officer and as SAP chief controlling officer. Klein was appointed to the Executive Board in 2018.

“As they have already demonstrated, Jennifer and Christian complement each other perfectly and will be strong co-CEOs, a leadership model that is time-tested at SAP with multiple prior instances of success,” Plattner added.

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