Caterpillar CEO to step down at end of 2016

Doug Oberhelman, CEO of US machinery giant Caterpillar, is to step down from his position at the end of 2016, and retire from the company early after 41 years.

The company announced the news on Monday and it appears as if Oberhelman's risky move to heavily invest into building more and more of its famous yellow machines has cost him dearly.

He took charge of the company in 2010 when there was a global boom in commodities, and initially oversaw a highly successful period for the manufacturer in which it recorded its highest ever annual sales in 2012.

Things would turn consistently worse from that point onwards however and Catperillar has now entered into its fourth consecutive year of declining sales.

Shares in the company are up 29% this year, but still 25% below their peak in 2012.

"It has been an honor and a privilege to lead this company, and I am confident in the choice of my successor, Jim Umpleby," Oberhelman said in a statement.

Umpleby will take the reins at Caterpillar, having worked for the Illinois-based company for the last 35 years.