Three Misys board members paid the price for the failed management buyout at the software developer last year as Mike Lawrie, the new chief executive, cleared out the company's old guard yesterday.
Tom Skelton, the head of the company's struggling healthcare division, the finance director Howard Evans and the corporate development director Jasper McMahon were all involved in the failed MBO that has already cost Misys founder and chief executive Kevin Lomax his job.
The trio have also paid the price for a disappointing performance over the past six months and the company's failure to develop state-of-the-art software for its core healthcare and banking customers. The executives are expected to exit with bumper payoffs although Misys declined to comment on any compensation packages. Last year, the trio earned a combined salary of £2m and will be eligible to cash in on substantial share option grants.
Mr Lawrie joined Misys late last year after Mr Lomax's exit. The American tech veteran has moved quickly to turn around the company's fortunes and committed to invest in its core businesses to improve its products. Mr Lawrie expects the recovery plan to take between three and five years after labelling Misys's performance in the US healthcare sector under Mr Skelton as "unacceptable".
Guy Warren, former head of LogicaCMG's UK business, has been appointed to lead the core banking business while Paul Lewis, previously head of IBM's healthcare division, has been put in charge of the company's ailing US healthcare business on a temporary basis. Mr Lawrie said Mr Lewis would not be appointed on a full-time basis as he has been brought in to improve the healthcare unit's sales. A search for Mr Skelton's replacement has already started.Reuse content