CACI names Lockheed exec new CEO

A need to bolster its business development activities has led CACI International Inc. to ask CEO Dan Allen to step down immediately, and in his place they have named former Lockheed Martin executive Ken Asbury.

The sudden move on Wednesday came amid growing concerns on CACI’s board that the company didn’t have the business development organization and focus in place to compete in today’s environment, said Jack London, the company’s executive chairman.

Allen had only been CEO for a year, and joined CACI in 2011 as chief operating officer. He was brought in as part of a succession plan when Paul Cofoni decided to retire.

“Moving into the environment we are in now, the board wanted to intensify and advance our business development strategy and leadership,” London said. “The conclusion we came to was we wanted to move in a more accelerated fashion and streamline our approach to the market.”

London said there was no single issue or incident, such as a missed contract or opportunity, that led to the board to ask Allen to step down.

“This was a business judgment from the board’s perspective. We wanted to put in the kind of leadership that had the experience and track record of being able to perform in these market conditions,” London said.

Along with bringing Asbury on board, the company is revamping its business development organization – London called it a reset – so that it will be more aggressive in fighting for recompetes and winning new business, he said.

The business development organization will report directly to Asbury, which is a change from the structure that existed under Cofoni, and then Allen.

CACI’s growth stagnated in the last year. During its last quarterly report, the company lowered its guidance to be $3.7 billion to $3.9 billion in annual revenue. In fiscal 2012, the company reported $3.8 billion in revenue.

“We want to continue growing, and we aren’t satisfied that given the addressable market opportunities in front of us that we shouldn’t be more aggressive,” London said.

Asbury comes to CACI after a 27-year career at Lockheed Martin. He took a voluntary buyout from the company 2010, and moved on to be president and CEO of Arctic Slope Regional Corp.’s federal business, known as ASRC Federal. He held that position until resigning to take the CACI position. ASRC Federal is being led by Paul Dillahay as interim president and CEO.

Asbury joined CACI on Wednesday, and said he is going to take a little bit of time to “figure out how things are being done today and then see what needs to be adjusted and focused on.”

Recompete win rates are high on his list. “I’m going to be looking at recompetes and how we are positioned,” he said. “You don’t want to lose the business you already have.”

Another priority is looking at planning processes and the opportunities that are in the company’s pipeline, and how they related to the strategy of the company, he said.

He also sees a lot of disruption going on in the market because of the uncertain budget situation, government cutbacks and the realignment of programs and priorities. Taking advantage of the opportunities that disruption causes will be a priority for him, Asbury said.

Neither Asbury nor London would comment about how long negotiations were underway to bring Asbury on board as CEO.

Asbury’s experience was a big selling point. At Lockheed he was president of the civil business group, which had $3.7 billion in sales and a $6 billion pipeline in 2009.

“He’s got the track record to compete,” London said. “He has that hunter DNA and the instinct and behaviors that we need, particularly at this time.”