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Compaq shuffles management

As expected, mostly Compaq executives will guide the PC maker after its acquisition of Digital Equipment.

Compaq CEO Eckhard Pfeiffer today revealed the management team that will guide the company after its acquisition of Digital Equipment, and, as expected, the team relies heavily on the Compaq side.

Executives at the PC maker will hold nearly all crucial marketing, manufacturing,

Eckhard Pfeiffer
Eckhard Pfeiffer
and sales positions. John Rose, Compaq's senior vice president and group general manager of the enterprise computing group, appears to hold the most expanded role. He now will oversee all of Digital's workstation and server operations, which include all of Digital's Alpha and Windows NT efforts, as well as the company's Tandem subsidiary.

Enrico Pesatori, president of Tandem, will become a senior vice president of marketing, and will report to Michael Heil, who will be Compaq's senior vice president of worldwide marketing and sales.

Absent from the lineup is Robert Palmer, Digital's See special report: 
Birth of a giant CEO since 1992. He announced separately that he would retire from the company following the merger and said today that he was leaving with "mixed emotions." Palmer stands to make some $6.5 million in severance, but he did not discuss the departure package.

Also absent are Harry Copperman, senior vice president and group manager of Digital's product divisions, and Bruce Claflin, the Digital senior vice president who oversaw all of the company's hardware sales. Claflin said earlier that he would step down after the merger was completed.

Only 3 of the 12 executives that will report directly to Pfeiffer hail from Digital, and they will serve in capacities similar to their previous roles. John Rando, senior vice president of Digital's services division, will become senior vice president and group general manager of services. Compaq previously did not have its own services group--a void that was one of the primary drivers of the acquisition. Tandem's service group also will report to Rando.

Other Digital executives staying on include Bill Strecker, who becomes senior vice president of technology and corporate development, and Tom Siekman, who will become senior vice president, general counsel, and secretary for Compaq.

Mike Winkler, senior vice president and group general manager of Compaq's PC division, will take over Digital's PC division. Several analysts have said that Compaq will quickly move to close Digital's PC efforts.

Many positions will remain unchanged following the merger. Earl Mason, Compaq's CFO, will continue in that role, and Rod Schrock will continue as the company's vice president of consumer products.

Digital will hold a stockholder vote on the merger tomorrow.