Quest Diagnostics Announces Leadership Succession Plan

On Feb 4, 2022

Secaucus-based Quest Diagnostics announced that its board of directors, as part of its ongoing leadership succession planning, has appointed James E. Davis, executive vice president, General Diagnostics, to be its next CEO, effective November 1, 2022. At that time, Davis will succeed Steve Rusckowski, who will have served as CEO for more than a decade. Rusckowski, 64, currently chairman, CEO and president, will continue to serve on the Quest Board of Directors as executive chairman through March 2023.

“Today, Quest is the clear leader in diagnostic information services, positioned for continued execution of its ambitious growth plans under a new CEO in Jim Davis, who has been instrumental in accelerating growth and driving the company’s operational excellence program for eight years,” said Tim Ring, Quest’s lead independent director. “Jim is uniquely qualified to lead Quest in its next phase of growth, and this gradual and comprehensive transition process will ensure continuity for the company’s strong market momentum.”

Davis, 59, currently oversees Quest’s general diagnostics business, accounting for more than 80% of the company’s $10.8 billion revenues in 2021 and encompassing three-quarters of its employee base. Additionally, he manages the company’s operations, including sales and marketing, patient services, logistics, laboratories, billing, and customer services.

Davis joined Quest in April 2013 as senior vice president, Diagnostic Solutions, and was responsible for managing a portfolio of businesses and was instrumental in refocusing the business on diagnostic information services. He was named senior vice president of operations in February 2014, overseeing the company’s drive operational excellence strategy and Quest’s Invigorate program, which has consistently delivered 3% in annual productivity improvements.

Since being named executive vice president for General Diagnostics in 2017, Davis has compiled a strong record of revenue and earnings growth through strengthening relationships with Quest’s largest health plans and its hospital health system customers. In addition, he has been responsible for integrating Quest’s regional lab acquisitions, and he has led the evolution of Quest’s ESG strategy.

Davis has provided enterprise oversight for Quest’s pandemic response. He oversaw the rapid development and expansion of Quest’s molecular testing capacity, leading an agile team that innovated new testing techniques as well as new models for patients to get tested, such as drive-through retail sites and direct-to-consumer testing.

“I am deeply honored to have the opportunity to succeed Steve and lead Quest into the next phase of growth and build on our vision of empowering better health with diagnostic insights,” Davis said. “Our company has never been more integral to patients and the healthcare system, as we have seen during the pandemic. Together with the Quest management team and all 50,000 of our colleagues, I look forward to building on the strong foundation we have put in place. Quest’s future is bright, and we are extremely well positioned to continue to create value for shareholders as well as all the patients, customers and partners we serve.”

Ring said: “Steve is a superb CEO who has led a team that has executed a well-defined strategy which has generated strong growth and shareholder value during his decade-long tenure at Quest. He has worked closely with the Board over the past several years in building a succession plan that ensures a smooth, gradual transition to new leadership. On behalf of the entire Board and all 50,000 Quest colleagues, I want to thank Steve for his leadership and his tremendous dedication and commitment to making Quest Diagnostics the exceptional company it is today.”

“Quest Diagnostics is a great company with a powerful mission and well positioned to continue to deliver value for all of its stakeholders,” Rusckowski said. “As I approached a decade in service as CEO, the Board and I determined that now is the right time to begin to turn the helm over to a new leader. Jim Davis is extremely well qualified to be CEO, having managed a large part of the company in his role as Executive Vice President. He has deep knowledge of Quest, the healthcare industry, and the corporate world, gained through more than 35 years of business experience. Jim is widely respected and will be a strong CEO.”

Quest also announced that Mark Guinan, executive vice president and chief financial officer, has announced his intention to retire in 2022, following eight and a half years in the role. A process to identify Quest’s new CFO has begun. Guinan, 60, will participate in the selection process and will remain in his role through the transition.

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