Irishman Chris O’Herlihy is to take over as chief executive and president of US-listed manufacturer Illinois Tool Works (ITW) next year.
Mr O’Herlihy (59), who is originally from Co Cork, has been with ITW for over 34 years and will become the eighth chief executive in its 112-year history.
Mr O’Herlihy was named executive vice-president of the company’s food equipment group in 2010 and elected vice-chairman in 2015. He also serves on the board of directors of peer group Masco.
He has a bachelor’s degree in science from University College Cork, and a master’s degree in science from the University of Massachusetts.
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Filings with the US Securities and Exchange Commission suggest Mr O’Herlihy is in line for a substantial pay rise following his promotion. The group’s current chief executive, Ernest Scott Santi, was paid a base salary of $1.4 million (€1.3 million) in 2021, but took home a total of $4.3 million after bonuses. Mr O’Herlihy was paid a base salary of $858,934 and took home $1.7 million.
ITW’s market capitalisation has increased from $23 billion to $74 billion over the past decade, and the company paid out $12 billion in dividends, resulting in total shareholder value creation of $63 billion.
It is a Fortune 200 company that generated revenue of $15.9 billion in 2022. It employs about 46,000 people around the world.
Mr O’Herlihy will take up the new role and become a member of its board of directors from January 1st.
Mr Santi, ITW’s chief executive since 2012, will step down from his position but will remain chairman of the ITW board until March 1st, at which time he will become non-executive chairman.
“ITW’s independent directors and I determined that this is the right time to transition to a leader who can see the company through this next phase, and that Chris O’Herlihy is the absolute right person to lead ITW forward as our next CEO,” said Mr Santi.
“I know that Chris and his very skilled and talented leadership team will continue to deliver on ITW’s well-established track record of ‘do what we say’ execution throughout this next phase.”
Mr O’Herlihy said: “I am incredibly humbled by the opportunity to lead this great company, our exceptionally talented leadership team, and our 46,000 dedicated ITW colleagues around the world.
“We have accomplished a great deal together over the last 11 years in executing our enterprise strategy to leverage the powerful set of strategic, operational and cultural practices that comprise the ITW business model to their full potential.
“As a result, our company has never performed better or been better positioned for the future.”
