A NEW ERA: Cummins names Jennifer Rumsey as new CEO

Cummins Inc. has appointed Jennifer Rumsey as its new chief executive officer, selecting the Columbus native to steer the company through the industry’s transition to greener forms of energy.

Rumsey, 48, becomes the first woman and seventh person to hold the top spot in the company’s 103-year history, Cummins said. She has been with the Cummins for 22 years and was most recently promoted to president and chief operating officer last year, overseeing the company’s global operations.

Rumsey will take the reins of the Columbus-based company from current Chairman and CEO Tom Linebarger on Aug. 1.

Linebarger, 59, will continue to serve as chairman of the board and executive chairman, working with Rumsey on “specific initiatives that position the company for continued success,” including the pending acquisition of Meritor Inc.

Cummins is the largest employer in Bartholomew County, employing about 8,000 people in the Columbus area. The company has 59,900 employees worldwide.

Rumsey will bring the total number of women leading S&P 500 companies to 34, Bloomberg News reported.

“I promise you, when I grew up in Columbus, Indiana, I would have never imagined that I would be standing here today as the next CEO for Cummins,” Rumsey said during a press conference held Thursday at the company’s corporate headquarters in downtown Columbus. “…I’m incredibly honored and proud to serve as your next CEO.”

Energy transition

In running Cummins, the world’s largest maker of diesel engines, Rumsey assumes the challenge of leading the company as it seeks to secure its place in a world shifting away from fossil fuels.

Currently, the diesel industry finds itself at a crossroads of sorts, as alternative fuel technology grows in viability and concerns about climate change continue to reshape how companies and policy makers think about energy consumption.

At the same time, the coronavirus pandemic, supply chain challenges and inflation continue to disrupt global markets.

In February, Cummins outlined its long-term growth strategy, which officials said largely involves investing in and producing technology that company officials believe will play a key role in the path to zero emissions, including a broad range of clean diesel and other lower-emission technologies.

Company executives described the energy transition as a “growth opportunity” for Columbus’ largest employer and unveiled earlier this year an annual revenue target for the New Power segment of $6 billion to $13 billion by the end of the decade. By comparison, that segment pulled in $114 million in revenue last year.

Cummins’ New Power business segment includes the company’s growing electrified power and hydrogen portfolios and represents much of its efforts to invest in technologies that seek to curb greenhouse gas emissions.

The company’s New Power business is headquartered in Columbus.

“The company is going through a period of transformation,” Rumsey said in February. “…We also need to think about how we reposition the company for the future as decarbonization occurs.”

‘Followed my passion’

Rumsey, a 1992 graduate of Columbus East High School who still lives in Columbus, told The Republic in February that she “followed my passion” of working on “technologies that would make a difference” to Cummins.

She received a bachelor’s degree in mechanical engineering from Purdue University in 1996 and a master’s degree in mechanical engineering from the Massachusetts Institute of Technology in 1998.

Before joining Cummins, Rumsey started her career at a fuel cell startup company “because I wanted to work on interesting technology that would make a positive difference in the world.”

However, she left the startup company and joined Cummins in 2000 “because fuel cells were a long way from being a viable technology, and I wanted to work on technologies and products that really mattered to customers and made a difference in the environment.”

At Cummins, Rumsey has held a variety of roles and is among just a few women who have risen to the highest levels of the company’s hierarchy and the first to hold the chief executive role.

She has served as the vice president of engineering for the engine business, president of the company’s component business and became the first woman to hold the roles of chief technical officer and president and chief operations officer.

“We’re living in a challenging period of time for our planet, for society, and it’s a really important time for Cummins,” Rumsey said. “Climate change is a real issue and increasingly we’re living in a society that is divided and dealing with change. I believe that this challenge period of time is the opportunity for us at Cummins to step up and shine.”

“I feel a tremendous responsibility and also excitement for what’s ahead for Cummins,” she said.