The appointment of a general counsel is almost always a nonevent. But not at PNC Financial Services Group Inc., where CEO William Demchak’s personal recruitment and subsequent hiring of Gregory Jordan, the longtime global managing partner at Reed Smith LLP, as the bank’s top legal officer set off shock waves in Pittsburgh’s corporate and legal circles.
The magnitude of the executive pairing — PNC and Reed Smith are, respectively, the city’s largest financial institution and law firm, and the nation’s 12th-largest bank and 19th-biggest law firm — coupled with the secrecy in which the negotiations were conducted has everyone pondering the implications.
In his first major hire since assuming the CEO post in April, Demchak didn’t hesitate to bring aboard a fellow empire builder. While PNC’s expansion through the Midwest and Southeast technically came during Jim Rohr’s tenure, Demchak unquestionably was a driving force. And Reed Smith quadrupled in size during Jordan’s 13 years at the helm.
It all says a lot about how Demchak’s building his team. Jordan was simultaneously an out-of-the-box hire and yet a very PNC-type choice.
“It’s all Bill,” said Rohr, PNC chairman and Demchak’s predecessor as CEO, who introduced Jordan, 54, and Demchak, 50, several years ago.
“Bill and Greg clicked,” Rohr said. “Greg’s going to do a great job. Look how he’s grown Reed Smith — 25 offices around the world.”
But in the end, when the offer from Demchak was made, not even Jordan saw it coming.
“In any organization, you’re as good as the people under you,” Carpenter said. “Greg put people in the right places at Reed Smith, and that’s the same thing Demchak is doing at PNC to make himself successful, and that makes the organization successful. It comes back to saying a lot about PNC’s commitment to Pittsburgh and the type of senior management that (Demchak) is looking to build. Had they brought someone in from a big firm in New York or Chicago, that would have been a very different picture. He’s one of our own.”
“Greg’s very, very well-liked,” Carpenter said. “He’s always taken a personal interest in people. He’s down-to-earth and can talk to anyone. I’ve seen him getting onto airplanes, and he always stops and talks. He’s also a very dynamic business leader and not only does he understand the law, but what it’s like to lead a legal department the size of PNC’s that will continue to grow.”
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Demchak swings for fences with Jordan - by Patty Tascarella, Pittsburgh Business Times