MARIUS Kloppers, the most powerful man in the world of mining, says he "loves" his job and that after almost five years as BHP Billiton's chief executive he has no intention of leaving the post.
Having weathered a global financial crisis, the failed hostile takeover of Rio Tinto, tax battles with the federal government and now the eurozone debt debacle, Mr Kloppers says he is neither bored nor worn out by his job.
Speaking in Perth this week, Mr Kloppers said he did not believe in a fixed shelf-life for chief executives but also said he was cognisant of not overstaying his welcome.
"I must confess that I am probably not the CEO that thinks that people that have stayed in jobs [for a long time] . . . [GE's] Jack Welch, I don't know if the last 10 years were good," Mr Kloppers said.
"But I love this job, I have had more things and experiences that I have never thought I would have.
"I mean the Rio thing was . . . it was an exhilarating experience and the fact that we created an option to do it or not do it when things change was unbelievable.
"I think I have a chairman [Jac Nasser] who has fantastic complementarity to the CEO in that his North American experience is hugely valuable to us at a point in time where I am more au fait with the Australian context.
"So I am not bored, love the job, but I don't think that any CEO should do the job forever."
Mr Kloppers, who turns 50 in August, took over as BHP chief executive in September 2007, upon the retirement of Chip Goodyear.
His ascension to the top job came just months after Tom Albanese replaced Leigh Clifford as Rio's chief executive, signalling the start of major leadership restructuring at the two biggest diversified mining companies.
Mr Kloppers' comments this week come amid a torrid time for the chief executives of listed companies. Concerns about the eurozone debt crisis and its impact on global growth, a setback in the US economic recovery and a slowdown in China's growth are weighing heavily on investors, who are shunning indebted companies and demanding that healthier stocks such as BHP return surplus cash.
It has put Mr Kloppers on a collision course with investors over how best to use BHP's cash, with the miner's plan to spend $80 billion on growth projects facing rejection by fund managers who would prefer immediate returns.
Frequently Asked Questions about this Article…
Who is Marius Kloppers and what role does he hold at BHP Billiton?
Marius Kloppers is the chief executive of BHP Billiton. He took over as BHP CEO in September 2007, succeeding Chip Goodyear, and had been in the role for almost five years at the time of the article.
Does Marius Kloppers plan to step down as BHP Billiton CEO soon?
According to the article, Kloppers says he 'loves' his job and has no intention of leaving the post, though he also says he doesn’t believe any CEO should stay in a job forever and is mindful about not overstaying his welcome.
What major challenges has Kloppers faced while leading BHP Billiton?
During his time as CEO Kloppers has weathered the global financial crisis, a failed hostile takeover of Rio Tinto, tax battles with the federal government, and the fallout from the eurozone debt problems.
What happened with BHP's attempted takeover of Rio Tinto and how did Kloppers describe it?
The article describes the takeover attempt as a failed hostile bid for Rio Tinto. Kloppers called the Rio episode 'exhilarating' and said it created an option to proceed or not if circumstances changed.
How does BHP's boardroom leadership complement Kloppers as CEO?
Kloppers highlighted the complementarity of chairman Jac Nasser, noting Nasser’s North American experience is highly valuable while Kloppers is more familiar with the Australian context, suggesting a balanced leadership partnership.
Why are investors concerned about how BHP should use its cash reserves?
Investors, especially fund managers, have been pressing healthier companies like BHP to return surplus cash rather than invest heavily. The article says BHP’s plan to spend about $80 billion on growth projects has met resistance from investors who would prefer immediate returns.
How are global economic issues affecting investor sentiment toward mining stocks like BHP?
The article notes that concerns about the eurozone debt crisis, a setback in the US recovery and a slowdown in China are causing investors to shun indebted companies and push for stronger balance-sheet stocks such as BHP to return cash to shareholders.
Did Kloppers’ appointment reflect wider leadership changes in the mining industry?
Yes. Kloppers’ ascension to CEO came months after Tom Albanese replaced Leigh Clifford as Rio Tinto’s chief executive, a sequence the article says signalled the start of major leadership restructuring at the two biggest diversified mining companies.
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