Schneider Electric Welcomes Olivier Blum as New CEO
Digital automation and energy management heavyweight Schneider Electric has announced a significant leadership change.
The company, recognised globally for its sustainable initiatives, ushers in a new era under the leadership of Olivier Blum.
Regarded as one of the world's leading sustainable firms, Schneider Electric integrates eco-conscious strategies into its solutions, with landmark French events such as the 2024 Olympic Games and the Paris marathon among those benefitting from Schneider's innovation.
Olivier Blum steps into the role of CEO, succeeding Peter Herweck, who led the company since May 2023 and held the position of CEO Designate from March 2023.
The surge in Schneider’s share price by over 50%, with a 31% increase in 2024 alone, reflects the booming demand for its energy management solutions.
This demand is spurred by the expansion of AI in data centres and governmental shifts towards electricity-only policies.
Despite this success, Peter Herweck's tenure as CEO was unexpectedly brief.
Chairman Jean-Pascal Tricoire, who has significantly shaped the company's direction during his 17-year leadership, continues to influence its strategic decisions.
With a market value of €137bn (US$149.37bn), Schneider stands as one of France's industrial giants.
Schneider Electric's statement on its new CEO
"We are excited to share that Schneider Electric’s Board of Directors decided unanimously to appoint Olivier Blum as Chief Executive Officer to accelerate the execution of our strategy and engage into the next phase of our development," Schneider Electric said on LinkedIn.
"The Board of Directors would like to thank Peter Herweck for his role at the helm of the organisation and his dedication to the Group that he has led for the last 18 months.
"Olivier brings a wealth of knowledge and experience gathered through 30+ years with the company. From sales and marketing roles to the period spent as Chief Strategy & Sustainability Officer and Chief Human Resources Officer, Olivier’s journey took him to his most recent role of leading our largest business, Energy Management. A member of the Executive Committee since 2014 and an AVEVA board director for the past 5 years, Olivier is passionate about technology and innovation, as well as a people-centric leadership style."
Challenges and transition at Schneider Electric
During this transitional phase, Schneider has faced several challenges.
Notably, the company was fined €470m (US$511.77m) by the French competition authority for its involvement in a price fixing scandal of electrical equipment between 2018 and 2021.
Schneider, which incurred the heaviest penalty of €207m (US$225.36m) among the accused, has indicated plans to appeal the decision.
The company has also encountered logistical challenges, particularly impacting its ability to meet increased demand in the North American residential sector.
These logistical issues have posed significant barriers to growth and efficiency.
Introducing Olivier Blum
With more than 30 years at Schneider Electric, Olivier Blum has shown a profound commitment to advancing the company’s mission in sustainable energy management.
His career has spanned a variety of strategic roles, making him a familiar face in the company’s global operations.
On top of this, and most recently, of course, he has featured as Sustainability Magazine's October 2024 cover star.
“I am fortunate to hold a unique position in the company, having gained diverse experience through various roles across different geographies,” he said in the interview.
“The fact that I had this combination of being in sales, marketing, product development, then at one point took over a smaller business unit globally, then HR, then chief strategy and sustainability — this combination of experience gives me a different view on my current role and the value of energy management to our customer, and of course to Schneider.”
Olivier’s approach to leadership, which balances technological innovation with a strong emphasis on sustainability and human resources, positions him well to steer Schneider Electric through its future challenges and opportunities.
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