Whole Foods Axes Co-CEO Structure; John Mackey Resumes Solo Leadership
After a prolonged stretch of rocky performance, including a 2.6 percent decline in its most recent 12-week fourth quarter ended Sept. 25, 2016, Whole Foods Market is shaking up its management structure by eliminating its co-CEO leadership in favor of a sole chief executive, with the chain’s co-founder, John Mackey, to remain at the helm.
Walter Robb, who has served the company for 25 years, most recently as co-CEO for the past six years, will remain on the Austin, Texas-based chain’s board and will continue to serve as chairman for both Whole Kids Foundation and Whole Cities Foundation. He will officially transition his co-CEO duties on Dec. 31, and will continue to act as a senior advisor.
“Under Walter’s leadership, Whole Foods Market has grown from 12 to 464 stores in three countries,” said Dr. John Elstrott, chairman of Whole Foods Market’s board. “He has been instrumental in accelerating investment in our digital strategy and technology transformation to meet the ever-changing retail landscape. In the past year, Walter and John have hired five new senior executives, and have adopted and made significant progress on their nine-point strategic plan, putting the company in a strong foundational position for winning.”
For his part, Mackey said that it’s “impossible to convey what Walter has done for Whole Foods Market since he joined us in 1991. His incredible passion for retail and sense of the customer makes him the most extraordinary retailer I’ve had the privilege to work with. During his 25 years of leadership, Walter has been an advocate for the Whole Foods Market culture and a champion for our team members. His genuine love for our mission and our team members truly reflects what it means to be a conscious leader.”
Flanagan to Retire
In addition, the retailer’s CFO and EVP, Glenda Flanagan, who holds the distinction of being the longest-ever female CFO in the Fortune 500, will retire after 29 years at the end of the 2017 fiscal year. She will continue to serve the company in a senior advisory capacity. She joined Whole Foods Market in 1988 and helped guide the company through significant growth from six to 464 stores, and more than $15 billion in sales.
In a joint statement, Mackey and Robb praised Flanagan as “an outstanding CFO” whose “intelligence, wisdom, business acumen, kindness and integrity have been at the heart of everything Whole Foods Market has done and accomplished over the past 28 years. Glenda is deeply loved and respected by us and everyone at Whole Foods Market who has had the opportunity to know her.”
Also, Google’s VP of sales and product operations, Mary Ellen Coe, has joined the company’s board. “Mary Ellen’s deep experience in marketing, digital strategy and brand strategy is incredibly valuable, and we’re excited to have such a talented leader join our board of directors,” said Elstrott. “We’re confident that her expertise and understanding of the evolving marketplace will benefit the company as we remain focused on strategic investments in marketing and elevating digital experience.”