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Microsoft
Business Honor
22 March, 2025
Leadership change aligns Microsoft’s culture with an AI-driven future amid workforce shifts.
There will be a significant leadership change at Microsoft with Amy Coleman taking over from Kathleen Hogan as Chief People Officer. This is at the same time that Microsoft is working to transform workplace culture and performance review practices to make them align with artificial intelligence's rapid growth.
Kathleen Hogan, who has served as chief people officer for over a decade, will now take on the role of executive vice president of the "Office of Strategy and Transformation," reporting directly to Satya Nadella. Acknowledging Hogan’s contributions, Nadella stated, "Over the past 10+ years, she has led our cultural transformation as we embraced a growth mindset, positioning us to seize new opportunities with agility and attract and retain world-class talent."
Amy Coleman has played a significant role in creating Microsoft's organizational initiatives. She was previously the corporate vice president for human resources and corporate operations. Coleman was hailed by Nadella as a "trusted advisor" who has been instrumental in enhancing the company's culture.
The recent Microsoft layoffs, which resulted in the company laying off more than 2,000 workers earlier this year, coincide with this leadership shift. The company's focus on performance reviews and cultural change remains a key component under its new leadership model.
Other than initiating a "growth mindset" and Microsoft's review system redesign, Hogan played an active role in making the workplace better. While being interviewed in 2019, she referenced the changes as follows: "We came up with some big symbolic changes to show that we really were serious about driving culture change."
While Microsoft evolves in "times of great change," this leadership change is a constant work in progress to reconcile company culture with the needs of an AI future.