Shake-up for senior Myer management
The changes, announced in an internal email, have been sparked by an "internal review of processes" at Myer, as the retailer seeks to find further cost savings without having to axe staff.
As part of the changes, Myer's general manager of marketing and brand development Megan Foster will become managing director of the department store's part-owned fashion label sass & bide.
Myer paid $42.3 million in 2011 for a two-thirds stake in the high-end label.
Ms Foster's vacant marketing role will be merged with control of digital sales, the successful "Myer one" loyalty program, major events and the "omni-channel" sales strategy - selling merchandise across bricks-and-mortar stores, online websites and mobile devices - as part of a new executive role.
Myer is already interviewing candidates for the position. Whoever gets the job will be a prime contender to succeed Mr Brookes as chief executive when he and the board agree to a timetable for his retirement.
Staff at Myer's head office in Melbourne have already been briefed on the changes.
Mr Brookes has been chief executive and managing director of Myer Group since 2006 and has guided the company through one of the most difficult periods the retail sector has seen.
Myer's sales have grown marginally from $3 billion when it floated in 2009 to $3.12 billion last financial year. Mr Brookes has improved the bottom line through cost-cutting, store refurbishment and investment in new IT systems.
Myer chairman Paul McClintock has stated the global hunt to replace Mr Brookes will not begin until next year.
Ms Foster had been considered an internal candidate to follow Mr Brookes as CEO, but her move to sass & bide may rule her out of contention. A senior source within Myer said: "Megan has long been involved as a director of sass & bide and loves the brand. It would be wrong to consider this a demotion, as this is a chance for her to run her own company."
Ms Foster will remain on Myer's management team.
The leading internal candidates to replace Mr Brookes are chief financial officer Mark Ashby and executive general manager of merchandise Adam Stapleton. In his 10 years with Myer, Mr Stapleton has also been the company's national manager of advertising and general manager of marketing.
"That puts Adam in a pretty good position to follow Bernie, if they look inside," a former Myer executive said. "If you look around the industry, having both marketing and merchandise on your CV holds you in good stead for the top job."
Frequently Asked Questions about this Article…
Myer has reshuffled its management team: Megan Foster, the general manager of marketing and brand development, will become managing director of Myer’s part‑owned fashion label sass & bide. Her former marketing role will be merged with responsibility for digital sales, the Myer One loyalty program, major events and the company’s omni‑channel sales strategy. Myer is already interviewing candidates for the new executive role.
The changes follow an internal review of processes as Myer looks for further cost savings without cutting staff. The reshuffle also comes ahead of next year’s planned hunt for a replacement for retiring chief executive Bernie Brookes, so the company is reorganising leadership in advance of that succession.
Megan Foster has been Myer’s general manager of marketing and brand development. She will become managing director of sass & bide, a high‑end label in which Myer paid $42.3 million in 2011 for a two‑thirds stake. Foster will remain on Myer’s management team, but the move may take her out of contention for the CEO role.
Megan Foster’s marketing role will be combined with control of digital sales, the Myer One loyalty program, major events and the omni‑channel sales strategy (selling across stores, websites and mobile). Myer is interviewing candidates for this new executive position that will oversee those areas.
In the article, Myer’s omni‑channel strategy is described as selling merchandise across bricks‑and‑mortar stores, online websites and mobile devices—integrating physical and digital sales channels to reach customers wherever they shop.
The article names chief financial officer Mark Ashby and executive general manager of merchandise Adam Stapleton as the leading internal contenders. Adam Stapleton has 10 years with Myer and has previously been the company’s national manager of advertising and general manager of marketing.
Bernie Brookes has led Myer since 2006 and guided the company through a challenging retail period. Under his tenure Myer’s sales have grown marginally from $3.0 billion at its 2009 float to $3.12 billion last financial year, and he has improved the bottom line through cost‑cutting, store refurbishments and investment in new IT systems.
For investors, the reshuffle signals Myer is focused on finding cost savings without large job cuts, strengthening digital and omni‑channel capability, and preparing leadership for the eventual CEO succession. It also highlights Myer’s ongoing investment in brands like sass & bide and efforts to improve profitability—factors investors may want to watch as the company searches for its next chief executive.
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