Executive Shakeup at Microsoft

Microsoft Corp. (Redmond, Wash.) has announced a shakeup in its management ranks that includes naming Mark Penn as chief strategy officer.

Expected to be leaving is Tony Bates, executive vp of business development, who had been considered among the candidates to replace Steven Ballmer as ceo last year.

Also leaving will be marketing evp Tami Reller, who shared leadership of advertising and marketing.

Penn is most well-known as a political operative who managed Hillary Clinton’s run for the Democratic presidential nomination in 2008. He had more recently been an executive vp at Microsoft, overseeing advertising and strategy. He is also reported to have been a trusted advisor to Ballmer and is expected to play the same role for Ballmer’s successor, Satya Nadella.

He will not, however, continue to be in charge of the Microsoft advertising budget. That responsibility will go to Chris Capossela, a longtime Microsoft executive who has been managing its relationship with retailers and distributors.