Coming off the back-end of some disappointing full-year results, Wesfarmers have announced a management shake-up.
Wesfarmers have announced that Guy Russo will retire as chief executive officer (CEO) of Wesfarmers’ Department Stores division and managing director of Target. This change will come into place as of November 1, 2018. Mr. Russo will remain in an advisory role to Wesfarmers and the Department Stores division for the remainder of the 2019 financial year.
Ian Bailey, the current managing director of Kmart will assume the additional responsibility of leading the Wesfarmers Department Stores division. He will assume this role from November 1, 2018. Marina Joanou, current chief financial officer of Wesfarmers Department Stores division has been promoted to managing director of Target effective immediately.
Target Chadstone Store
Mr. Russo first joined the Wesfarmers group 10 years ago as managing director of Kmart and helped transform the brand into Australia’s most successful department store. He became the CEO of the new Department Stores division in early 2016.
Rob Scott, current Wesfarmers managing director commended Mr. Russo on his achievements and contributions to the company, “Guy leaves a valuable legacy that is reflected in the record profit result for the Department Stores division for the 2018 financial year.”
Mr Scott continued, “He [Mr. Russo] has led a world-class turnaround of Kmart into one of Australia’s best product development and retail companies. Under Guy’s leadership, Kmart’s earnings have increased more than five-fold and more recently he has led a significant reset of Target, reducing its cost case and returning it to profitability.”
Mr. Scott commended Ian Bailey and Marina Joanou on their respective promotions, both natural successors of their new roles. “I am pleased to announce the promotions of both Ian and Marina. Both have been outstanding leaders in Wesfarmers and their knowledge of Kmart and Target makes them uniquely well-placed to drive continued growth across Department Stores,” Mr. Scott said in a statement released by Wesfarmers.
Mr. Russo said he was excited for the future of Kmart and Target. “Both businesses are well-positioned in the retail sector and, under the leadership of Ian and Marina, will continue to provide affordable, quality products for our customers to enjoy.”
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