Finding the Strategic Leader to Drive Growth and Advance Xylem’s Water Mission

Water scarcity is a huge global issue impacting over half of the Earth’s population. According to the UN, about two billion people worldwide don’t have access to safe drinking water today and UNICEF states that half of the world’s population could be living in areas facing water shortages by as early as 2025. Even in countries with adequate water resources, water scarcity is not uncommon. The preservation of this invaluable resource demands collective responsibility.

Water companies such as Xylem Inc., work tirelessly to solve global water challenges with innovation and expertise. They require exceptionally talented leaders aligned with their values to deliver on their ambitious targets and sustainability pledges.

Pacific International is proud to have been Xylem’s Trusted Executive Search Partner for several years now and has been instrumental in placing key senior-level business-critical leaders at the company. Pacific knows that when the stakes are particularly high, adapting the executive search process to accommodate the client’s needs is necessary to achieve the desired outcome.

The Challenge

Xylem Water Solutions AB, the Swedish entity of Xylem Inc. (NYSE: XYL), is a global water technology provider helping its customers solve the world’s toughest water challenges across utility, industrial, commercial, and residential markets worldwide. It comprises two business units: a traditional manufacturing unit and a sales and services unit, a new entrepreneurial side of the business.

Manuel Preg, Group Director and Managing Director, in Germany, explained the challenges facing the team: “Xylem was looking to appoint a Managing Director in Sweden responsible for overseeing the commercial segment of the company – Sales and Services. The role was based at their head office in Stockholm with significant travel to other sites across the country where most of its 300 employees are based and who would have a significant P&L responsibility, with an annual revenue of approximately 130 million euros.

“The ideal candidate would be accountable for the financial performance of the organization, including the bottom and top-line revenue growth as well as a great communicator who can create a cohesive team out of people who are spread across different locations.

Manuel continued: “Xylem operates within a dynamic environment, and it requires someone capable of driving their transformation journey in the face of uncertainty. It was crucial to find an individual with a proven track record in implementing new initiatives, someone who would serve as a catalyst for change within the organization.

“In addition to these qualifications, the ideal candidate needs to possess strong leadership qualities and be unafraid to challenge the status quo when necessary. Xylem sought a leader who could respectfully push back against resistance, question established practices, and help them adapt to new approaches where needed. Given our longstanding partnership, our deep knowledge of Xylem’s culture, and the goals they are trying to achieve through this hire, we were confident in our ability to deliver results,” added Manuel.

The Solution

The search for Xylem’s new Managing Director truly showcased Pacific’s commitment to identifying the perfect candidate for the role by accommodating the changes to the search process the client requested.

Ebba Gotthard, Client Delivery Manager, EMEA at Pacific and one of the project’s lead consultants explained: “Xylem truly believes in harnessing all talents to advance their all-important cause – creating a more sustainable world. In this context, they asked us to include their internal candidates in the search process. By having them assessed by Pacific and benchmarked against the external candidates, Xylem wanted to create an equitable and unbiased process for everyone. We are fully committed to our client’s success so we were only too happy to support them on this quest.”

Like with all Executive Search projects, Pacific aimed to deliver a diverse shortlist and placement. However, finding qualified senior-level female candidates who have experience managing profit and loss (P&L) in such organizations within a traditionally male-dominated industry was at times challenging.

Ebba explained: “Diversity, equity, and inclusion are very high on Xylem’s agenda, and despite challenges, we were determined to start the project by presenting a strong and diverse shortlist.

“Sweden is a significant hub for major engineering organizations, including well-known companies like Scania, Alfa Laval, and Atlas Copco to name just a few, which were our primary targets. We sought organizations that not only developed, manufactured, and sold products but also offered related services. Approximately half of Xylem’s revenue comes from sales and services so it was crucial to find candidates within organizations that encompass both aspects, making this experience a top priority in our search.

“Another important aspect of this search was familiarity with the Swedish culture and fluency in Swedish. I am Swedish so this tremendously helped with research, assisting my colleagues by sharing keywords and job titles to look out for during the longlisting process, and later, building rapport with the candidates, making them feel confident and prepared for the interviews. We wanted to leave no stone unturned in this search so we expanded the search geographically to identify Swedish nationals living abroad who were open to relocation. It was very rewarding to be able to use my language skills in this way to great effect,” added Ebba.

The list of must-haves on this mandate was very long but Pacific’s team had one ace up its sleeve: Xylem has a very strong brand in Sweden and globally. They are a public company, a big multinational, an organization doing a lot of good in the community, consistently challenging the established norms and dynamically adapting to market shifts. Their commitment to solving water resonates with a broad audience, a purpose that gathers widespread support and enthusiasm.

The Result

Ebba described the selection process: “Pacific began with a long list of 122 candidates, of which 73% were female. Instead of the usual video interviews, we developed an hour-long standardized interview in collaboration with Xylem aligned with their values and leadership requirements. 4 internal candidates and 10 Pacific ones which included 5 male and 5 female candidates, were interviewed by the same individual to facilitate fair comparisons. As a result of this incredibly thorough process, we identified a clear winner, an individual with the relevant experience and leadership skills who would inspire the team to achieve success.”

Ebba added: “We started the search in April and despite the high number of candidates longlisted and shortlisted on this project, we managed to complete it just before the Swedish summer break. Xylem had high expectations for the recruitment process, and they greatly valued the customized approach tailored specifically to their needs. We were particularly proud of presenting several exceptionally strong female leaders, and will continue our unwavering commitment to placing diverse candidates in leadership positions.”

Patrik Skoog, the newly appointed Managing Director of Xylem Water Solutions Sweden AB, remarked:

“From a candidate perspective, Pacific handled the recruitment process with great dedication and thoroughness. It was clear that they wanted to find the right candidate for Xylem. Thank you for a great experience and I am convinced that our cooperation will continue in future assignments.”

The Ongoing Partnership

After the successful completion of this senior-level mandate, the efficiency of our processes, the support offered to candidates throughout their executive search journey and Pacific’s unwavering commitment to DE&I have all made an impression on Xylem, exceeding their expectations. This helped Pacific cement its position as Xylem’s Trusted Executive Search Partner resulting in continued partnerships and further engagements.

For a confidential chat about how Pacific International can assist you with your Industrial Goods and Engineering Talent Acquisitions and Diversity challenges, please contact Adam Nuzie or one of our Executive Search Consultants specializing in your sector.