Juicy tip: a boss for the new age is moving upstairs

Ingram Micro Inc., the large computer distributor, has announced that it is looking for a new chief executive to replace Jerre Stead. Mr. Stead is infamous in business circles for his New Age management techniques that include tearing down the walls of his office and urging employees to communicate their feelings directly to him. Mr. Stead will remain as CEO until a successor is named, after which he will remain as chairman. His track record at Ingram Micro is questionable as the company has announced it will fall well short of earnings estimates in the current quarter, and its stock has fallen 50% since February. Mr. Stead's unusual management style was formed in his 21 years at Honeywell Inc. before joining AT&T Corp. In 1993, he took over AT&T's troubled computer unit, the former NCR Corp.. The unit never was very successful for AT&T and Mr. Stead resigned after 16 months in the position. He joined Ingram Micro in 1996 as the company was already the world's largest distributor of computers, with revenue of around $12 billion at that time. Although Ingram Micro's net income rose to $245.2 million last year, and its 1998 revenues reached $22 million, up 83% since Mr. Stead's arrival, its margins have been squeezed heavily this year.