The Interpublic Group’s (IPG) mainboard of directors has undergone a radical reshuffle. The shake-up follows the resignation of four top-level executives, including Lowe Worldwide chairman Frank Lowe in a move that will allegedly shift power to agency outside, or non-executive, directors.
The board had six “outside” or non-executive directors and six executive directors. Now there will be seven non-executive directors and just two executive directors – John Dooner, the chairman and chief executive of IPG, and Sean Orr, executive vice president and chief financial officer. Michael Roth, chief executive of the MONY Group, is an addition to the board.
Frank Lowe leaves the IPG board after 12 years. He has held the position since his company was bought in 1990. However, he remains as chairman of Lowe. US-based executives David Bell, vice-chairman of Interpublic, Jim Heekin, chairman and chief executive of McCann-Erickson World Group division, and Brendan Ryan, chairman and chief executive of the FCB Group division have also resigned.
John Dooner says: “The interests of Interpublic shareholders will be best served by a board that is primarily made up of independent, outside directors.”
The board’s composition would now be more consistent with that of other leading public companies, adds Dooner.