Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News

      TCS | South Africa’s Sociable wants to make social media social again

      23 June 2025

      Tech stability key to getting South Africa off damaging financial grey list

      23 June 2025

      ‘System offline’ scourge to end, says Schreiber – but industry must pay

      23 June 2025

      Naspers shifts to an AI-first strategy – and it’s paying off

      23 June 2025

      Letter: South Africa risks missing AI wave while world surges ahead

      23 June 2025
    • World

      Watch | Starship rocket explodes in setback to Musk’s Mars mission

      19 June 2025

      Trump Mobile dials into politics, profit and patriarchy

      17 June 2025

      Samsung plots health data hub to link users and doctors in real time

      17 June 2025

      Beijing’s chip champions blacklisted by Taiwan

      16 June 2025

      China is behind in AI chips – but for how much longer?

      13 June 2025
    • In-depth

      Meta bets $72-billion on AI – and investors love it

      17 June 2025

      MultiChoice may unbundle SuperSport from DStv

      12 June 2025

      Grok promised bias-free chat. Then came the edits

      2 June 2025

      Digital fortress: We go inside JB5, Teraco’s giant new AI-ready data centre

      30 May 2025

      Sam Altman and Jony Ive’s big bet to out-Apple Apple

      22 May 2025
    • TCS

      TechCentral Nexus S0E3: Behind Takealot’s revenue surge

      23 June 2025

      TCS+ | AfriGIS’s Helen Hulett on how tech can help resolve South Africa’s water crisis

      18 June 2025

      TechCentral Nexus S0E2: South Africa’s digital battlefield

      16 June 2025

      TechCentral Nexus S0E1: Starlink, BEE and a new leader at Vodacom

      8 June 2025

      TCS+ | The future of mobile money, with MTN’s Kagiso Mothibi

      6 June 2025
    • Opinion

      South Africa pioneered drone laws a decade ago – now it must catch up

      17 June 2025

      AI and the future of ICT distribution

      16 June 2025

      Singapore soared – why can’t we? Lessons South Africa refuses to learn

      13 June 2025

      Beyond the box: why IT distribution depends on real partnerships

      2 June 2025

      South Africa’s next crisis? Being offline in an AI-driven world

      2 June 2025
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • Iris Network Systems
      • LSD Open
      • NEC XON
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Wipro
      • Workday
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » IT services » SAP breaks up co-CEO role as Jennifer Morgan abruptly exits

    SAP breaks up co-CEO role as Jennifer Morgan abruptly exits

    By Agency Staff21 April 2020
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    Christian Klein, left, with Jennifer Morgan

    SAP co-CEO Jennifer Morgan, appointed in October to the top executive post alongside Christian Klein, will abruptly leave the German software company at the end of April, after the Covid-19 pandemic caused problems with its leadership structure.

    Klein, 39, will remain in the CEO role, SAP said late on Monday in a statement. He joined the company as a student in 1999 and had been chief operating officer since April 2016 before his October promotion, with Morgan, to replace Bill McDermott in the top job. Klein has been a member of SAP’s executive board since 2018.

    The company said it is shifting to a lone CEO model now to provide a clearer leadership structure in the face of business challenges posed by the Covid-19 pandemic. SAP also posted its first quarter results on Tuesday, stating business activity in the first two months of the quarter was “healthy” but as the spread of the coronavirus intensified a significant amount of new business was postponed.

    Jen and I really started with a joint agenda. The reason we decided to come back to a sole CEO model was because of the outbreak of the pandemic

    “Jen and I really started with a joint agenda,” said Klein in a call with reporters. “The reason we decided to come back to a sole CEO model was because of the outbreak of the pandemic. There was no exact date to when SAP would have come back to a sole CEO model but in these turbulent times we thought now was the right time.”

    SAP had been committed to the co-CEO structure, but when the coronavirus hit, it became clear that having two people in charge was no longer tenable, according to a person with knowledge of the matter. Morgan is the first female chief executive of a DAX-listed company.

    The leadership structure was “disorganised and, at times, chaotic”, said the person, who asked not to be named discussing the company’s internal dynamics. It took longer to get some things done because, in certain instances, managers needed sign off from two different CEO offices, this person said. “It was driving people crazy.”

    Distinct power centres

    Over time, two distinct power centres emerged, the person said. One was based in the US under Morgan, who is American. The other, under Klein, was anchored in Germany, the site of the company’s headquarters, its greatest sphere of influence and Klein’s homeland, said the person. Klein also benefited from his close ties to chairman and co-founder Hasso Plattner, this person said.

    “The leadership model has many benefits,” an SAP spokeswoman said. “But the current environment requires the company to take swift and determined action.”

    SAP also said that due to current uncertainty regarding the duration and severity of the Covid-19 pandemic, it can not predict whether its response will be effective in mitigating the impact of the virus on its business and results of operations. On Tuesday it reported:

    • Total revenue in 2020 will be 27.8-billion to 28.5-billion, down from a previous forecast of as much as 29.7-billion, SAP said on 8 April in its preliminary results.
    • Cloud revenue increased 27% to more than 2-billion for the first quarter of 2020 while total revenue was up 7% to more than 6.5-billion.

    SAP is not planning on applying for stage wage support or requesting governmental aid amid the pandemic, Luka Mucic, chief financial officer, said on the call with reporters.

    Morgan, 48, joined SAP in 2004 and had been president of the software giant’s cloud business group before being named co-CEO. She became the first American woman appointed to SAP’s executive board in 2017 when she was named president of the Americas and Asia.

    McDermott’s departure last year was unexpected, but the new co-CEOs had been on investors’ “short list” to take over in future, Citigroup analysts including Walter Pritchard said in a note at the time of their appointment.  — Reported by Nico Grant, Tom Giles and Sarah Syed, (c) 2020 Bloomberg LP



    Christian Klein Hasso Plattner Jennifer Morgan SAP top
    Subscribe to TechCentral Subscribe to TechCentral
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleInterview: Mimecast’s Brian Pinnock on malware threats in the Covid-19 era
    Next Article Huawei growth evaporates as coronavirus compounds US woes

    Related Posts

    SAPHILA 2025 – transcending with purpose, connection and AI-powered vision

    13 June 2025

    ERP systems ready for VAT hike but rollback risk looms

    22 April 2025

    SAP is now Europe’s most valuable company

    24 March 2025
    Company News

    IoT connectivity management in South Africa – expert insights

    23 June 2025

    Let’s reimagine Joburg using the power of tech, data and AI

    23 June 2025

    Netstar doubles down on global markets while backing SA growth

    23 June 2025
    Opinion

    South Africa pioneered drone laws a decade ago – now it must catch up

    17 June 2025

    AI and the future of ICT distribution

    16 June 2025

    Singapore soared – why can’t we? Lessons South Africa refuses to learn

    13 June 2025

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2025 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.