The simultaneous announcements last week of the departure of David Kenny from Publicis Groupe and the decision of holding company CEO Maurice Levy to delay his retirement were widely interpreted as a cause-and-effect scenario.
Levy, however, is quick to dispel the assumption that Kenny, managing partner of Publicis’ digital unit VivaKi, had been given the nod as his successor. (See also: “VivaKi at a Crossroads.”)
“David Kenny was never designated as the heir apparent and he knows that,” Levy said. “He was being considered along with a few others.”
Levy is only the second chief executive Publicis has had in its 84-year history. He joined the Paris-based firm in 1971 and succeeded company founder Marcel Bleustein-Blanchet as CEO in 1987.
In recent years, Levy, 68, had said he would not renew his contract when it expires at the end of 2011.
However, in an interview last week, he explained that last July, the Publicis board expressed concern about the ongoing economic crisis and broached Levy about the possibility of staying on in the top job. Last summer, he had “on-and-off conversations” with Elisabeth Badinter, Bleustein-Blanchet’s daughter, who now chairs the company’s board, as well as another director — and in September, the board asked him to indefinitely remain in the job.
“At that time I said I would think about it. Since then I’ve felt pressure to stay longer. At the [Memorial Day] weekend, they insisted I accept this to allow more flexibility in my departure,” Levy said. “There might still be some rocky times ahead and they don’t know when this crisis will end. Some shareholders were concerned as well.”
In complying with the board’s request, Levy also cited his loyalties to Publicis:
“Another reason I agreed to stay on has something to do with my relationship with this agency. I’ve spent most of my life here and adding a little more time to my 40-year tenure was not a big deal. But I accepted on the basis that the process of succession would continue.”
Last week, Jean-Yves Naouri, evp, group operations at Publicis, was promoted to chief operating officer, an apparent confirmation of his inclusion among the executives in contention for Levy’s job. Also said to be in the running for the CEO post is British executive Richard Pinder, the chief of Publicis Worldwide. But few insiders believe a non-French executive would ever get Levy’s job.
The company explained the departure of Kenny, an American, in a statement: “The possible future evolutions for David Kenny would have implied relocating to Paris, which was not possible for family reasons.”
He joined Publicis’ management ranks after the company announced in 2006 it was acquiring Digitas, where Kenny was CEO. Through his VivaKi tenure, Kenny remained based at Digitas headquarters in Boston.
Why Levy's Staying On at Publicis
