SAP's dual chief executive structure is set to come to an end next year as co-boss Jim Hagemann Snabe prepares to stand down, leaving partner Bill McDermott in full control.
From May 2014 – provided a quarter of the shareholders agree – Hagemann Snabe is set to join the SAP supervisory board after standing down from the top role. He has worked at the vendor for more than 20 years and said the move marks the next stage of his career which he hopes will be closer to his family.
The pair have jointly held the reins at SAP since 2010 and both leaders claim Hagemann Snabe's move will benefit the firm. McDermott said the proposed set-up will build on the duo's partnership and friendship as well as make the firm "an even stronger company".
Hagemann Snabe said: "What the entire SAP team has achieved since 2010 is remarkable, and the momentum we have built is now driving the transformation of the industry. I would be honoured to continue my commitment to SAP in serving as a member of the supervisory board... to further accelerate SAP's success."
Analyst TechMarketView said the move will make the firm more straightforward to operate.
The analyst's director Tola Sargeant said: "Although we are somewhat sceptical of the idea of co-CEOs, the pair seems to have made it work for a couple of years.
"However, we cannot help thinking that a sole-CEO structure will be more straightforward to operate. The change in management structure is also likely to reinforce the view that SAP, which has expanded is activities in California, is becoming more US focused."
The announcement comes after the software giant posted its second-quarter financial results on Friday. For the three months to 30 June, total revenue was up four per cent year on year to €4.1bn (£3.5bn) despite a seven per cent slump in software sales over the same period. Its profit after tax for Q2 grew 10 per cent annually to €724m.
Neil Sawyer claims he has 'never seen so many conversations about a new method of investing in workplace technology'
Infrastructure provider says international sales now make up 51 per cent of its revenue
Suzanne Chappell of TMS plans sailing venture after selling Oxfordshire-based TMS to acquisitive Chess
Withdrawal of credit insurance by some providers a 'reflection' of current challenge facing IT sector, according to MD Steve Soper