Richard Lobo Joins Byju's as Exclusive Advisor Amid Layoff Exercises and Corporate Governance Crises
Key Highlights :
Richard Lobo, former executive vice president and head of human resources at IT services integrator Infosys, has joined edtech major Byju's as an "exclusive" advisor to help drive its human resources function and guide the management on organisational change and transformation. The move comes at a time when the Bengaluru-based edtech steers itself through massive layoff exercises and corporate governance crises.
Byju's co-founders Byju Raveendran and Divya Gokulnath said that Lobo's extensive experience and leadership in human resources will be instrumental in further enriching their work culture and ensuring that the welfare of team members remains at the core of every decision taken. Byju's has been built by its people; it is an ecosystem where talent can thrive and grow, they added.
Lobo had stepped down from Infosys earlier this month and his last day with the company was August 31. Speaking on his new role, Lobo said that he is excited to take on this pivotal role and work closely with the team at Byju's to build on their achievements, and help transform the organization to be future ready. He added that he looks forward to working with the leadership to scale global organisational design, innovate people practices, and help strengthen the foundation of the enterprise to support its next phase of growth as a global market leader.
Lobo began his corporate journey with the Godrej group in Mumbai and then joined Infosys in 2000. He is credited with bringing technology and analytics to the human resources function as Infosys scaled to become a global leader in technology and consulting.
Separately, Byju's has also roped in former State Bank of India chairman Rajnish Kumar and former Infosys chief financial officer Mohandas Pai on a recently-constituted board advisory committee (BAC). The edtech company is currently facing multiple challenges ranging from director resignations and legal tussles surrounding a $1.2 billion loan, to layoffs across the organisation to save capital.
Byju's founder and CEO Byju Raveendran had told shareholders that the company will form a BAC for advice and guidance on composition of the board and the governance structure at the beleaguered edtech major. The company may have to pay an additional $50-60 million annually in interest on its $1.2 billion term-loan facility as part of new terms with lenders. Byju’s and New York-based investor Davidson Kempner Capital have also begun negotiations to settle their dispute over the breach of a loan covenant linked to the startup’s test preparation subsidiary, Aakash Institute.
Richard Lobo's appointment as exclusive advisor to Byju's at a time when the edtech is experiencing massive layoff exercises and corporate governance crises is a significant move. His extensive experience and leadership in human resources will be instrumental in further enriching the work culture and ensuring that the welfare of team members remains at the core of every decision taken. The edtech is also taking the help of former State Bank of India chairman Rajnish Kumar and former Infosys chief financial officer Mohandas Pai on a recently-constituted board advisory committee (BAC) to guide them through the current crisis.
