The Santa Cruz Operation Inc last week reorganised top management, a further result of the departure under a cloud of its co-founder Larry Michels right before Christmas. Board member Jim Harris, who took over immediately from Michels as president and chief executive, has moved up to chairman, and is succeeded as president by Santa Cruz’s European chief Lars Turndal. Turndal, a Swede who reputedly delegates, will run day-to-day operations. It is believed that Santa Cruz regards the shuffle as the springboard to a fairly imminent initial public offering despite mutterings on Wall Street that the sexual harassment suit brought against both Michels and Santa Cruz last month would be a millstone around its neck. Despite flotation preparations, the new team is still very open to an acquisition offer – it all depends on the price. It would like to fetch five times revenues – which were $160m in the fiscal year ended September 30 – but then who wouldn’t. Turndal predicted future growth would come from product development, strategic partnerships, alliances and acquisitions. Among these potential alliances is the possibility of pushing Windows NT through Santa Cruz channels, Harris said. It has done away with its once-powerful executive committee: its top echelon will now report directly to Turndal. Co-founder and executive vice-president Doug Michels has been named chief technology officer, and continues to have Jim Wilt, vice-president, business development, reporting to him. Other senior vice-presidents report direct to Turndal.
