Sunday, November 02, 2008

Motorola's Impressive New CEO

Wednesday's Wall Street Journal featured Motorola's new co-CEO, Sanjay Jha, in an article in the Marketplace section.

Based on what I read, Mr. Jha is one impressive executive.

The article provides details on Mr. Jha's scrapping of a large part of Motorola's existing cell phone line because it uses too may different operating systems. He seems like a very decisive, hands-on co-CEO.

But these passages in the article really got my attention,

"Within days of arriving, Mr. Jha told employees gathered at the mobile-device division's Libertyville, Ill., headquarters, that he was proud to be a part of the pioneer in wireless communications, and asked employees to focus on developing the applications and services that could restore Motorola's leadership.

By late September, however, Mr. Jha noted that the company's problems were more basic, ranging from late deliveries to clumsy user interfaces. Mr. Jha told employees his wife carried an LG Voyager and refused his offer of a Motorola phone. She, like other consumers, didn't want to have to read a user's manual to figure out how to use it. "When my wife switches, then you'll know," he said, according to a person at the meeting.

Mr. Jha has restricted his visits to a few important partners, including Google, calling others by phone to introduce himself. "I'd love to come see you, but first I have to figure out what to tell you," he told the head of a European carrier. "My hands are full." "

I'm a big believer in senior executives being plugged into the real world, and Mr. Jha's story about his wife hit home.

So did the brutally honest phone calls he's made to customers.

You have to love a CEO that blunt and realistic, even with his customers.
One look at the nearby price chart of Motorola and the S&P500 Index for the past five years demonstrates that Mr. Jha both has his work cut out for him, but also has little risk, considering how far the company's stock price has plummeted since its high in late 2006.

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