Rotating Chief Executive System at Foxconn
In a significant shift from traditional leadership structures, Foxconn, the world’s largest contract electronics maker, has initiated a rotating chief executive system. This move is part of a comprehensive management overhaul aimed at fostering the next generation of leadership within the company. Chairman Young Liu announced the change, emphasizing the importance of succession planning for the sustainability of the Taiwanese tech giant.
Previously reported by Reuters, this strategic decision is set to enhance corporate governance by delineating the roles of chief executive and chairperson. Moreover, it is designed to cultivate a pool of future leaders equipped with a broad understanding of the company’s diverse operations. According to Liu, the new system will allow selected executives from its six key business sectors, which span smartphones, personal computers, and televisions, to gain invaluable insights into Foxconn’s multifaceted operations.
The identity of the first executive to take on the rotating role remains undisclosed, but the chosen individual is among the leaders of these critical divisions. Liu clarified that while the rotating CEOs will manage the core businesses, they will not be involved in the operations of major listed subsidiaries such as Foxconn Interconnect Technology, FIH Mobile, and Foxconn Industrial Internet.
This leadership transformation follows the dual role held by Liu since 2019, after Terry Gou, Foxconn’s billionaire founder who established the company in 1974, stepped down. Gou’s tenure was marked by a singular leadership style that Liu’s new approach seeks to evolve. A source familiar with the matter suggested that this change could signal an end to the era of “one-man rule” at Foxconn, paving the way for a more collaborative and rotational management system.
With operations spanning over 20 countries and encompassing hundreds of subsidiaries, Foxconn’s adoption of a
