Cornerstone OnDemand founder Adam Miller is moving out of the CEO’s office to make way for Phil Saunders, who led Saba Software through its acquisition by Cornerstone in February.
When the transition takes effect on June 15, Miller will become co-chair of Cornerstone’s board of directors.
Cornerstone OnDemand’s $1.4 billion acquisition of Saba created an organization with 75 million users at some 7,000 employers around the world. At the time, Miller described Saba as “an ideal complement to Cornerstone.” He said the companies’ combined product development team would “significantly expand, giving us the ability to develop faster, further increase competitive differentiation and help millions of people around the world to overcome the skills divide.”.@CornerstoneInc CEO Adam Miller to move out in June; Saba's Phil Saunders will replace him. #HR #HRTech Click To Tweet
Saunders, who described the two companies as “a natural fit,” acted as interim COO of the combined business. The company planned to spend 2020 integrating the Cornerstone and Saba product portfolios, and hired management consulting firm AlixPartners to help with the effort
In a statement, Miller said he was “excited to commit more fully to my passion for social entrepreneurship and public service,” and would work with Cornerstone on future innovation.
Saunders said Cornerstone’s priorities would continue to be serving its customers and employees, integrating the businesses and delivering shareholder value. “Going forward, we have even more opportunities for growth and the ability to make an even bigger impact in the lives of people at work, every day,” he said. “I am energized by this challenge and look forward to guiding Cornerstone’s continued success.”
On Monday Cornerstone announced first-quarter revenue $150.1 million, up 7.2 percent from the same period in 2019. Subscription revenue rose 10 percent to $144.4 million. The company posted an operating loss of $2.7 million compared to operating income of $1.2 million in the year-ago quarter.
Saunders become CEO of Saba in 2015. Before that, he spent 20 years at digital security girm Gemalto, where he rose to become chief revenue officer and a board member.
Saba had been a public company before Vector Capital took it private in 2015 for $400 million. In 2014, the company was charged with accounting fraud by the SEC and settled the charges for $1.7 million.
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