Department store Myer has appointed Olivia Wirth as executive chair effective immediately.
Wirth will then assume the role of CEO as well as executive chair from June 4 this year when current CEO John King retires.
It comes nearly five months since Wirth joined the Myer board as non-executive director, around the same time she had exited Qantas where she was the CEO of loyalty.
Incumbent chair Ari Mervis will retire from the board, effective today.
Meanwhile, current independent non-executive director Dr Gary Weiss AM has also shifted roles, taking on both deputy chair and lead independent director - with the latter being a new role created to drive governance across Myer.
Myer’s executive GM of stores Tony Sutton has also been promoted to the new executive position of Chief Operating Officer, reporting to Wirth.
Sutton has 30 years of experience working at Myer, including more than a decade on the Executive Management Group (EMG).
As part of the leadership transition, CEO and MD John King will remain in his role until June 3.
The revised Myer EMG will report to Wirth under the new governance structure.
“The board’s appointment of Olivia as executive chair is the start of a new era for Myer,” Myer chairman Ari Mervis said. “Olivia is an experienced and respected leader, with a track record of delivering improved business performance. She transformed Qantas Loyalty into one of Australia’s most successful customer engagement and omni-retail businesses.
“Since joining the board last year, Olivia has demonstrated impressive commercial acumen and an acute understanding of the dynamics facing both Myer and the broader retail sector. It is the board’s view that Olivia is the ideal person to lead Myer as it accelerates the work undertaken in recent years to stabilise and strengthen the business.”
Mervis also commended King for his “enormous contribution” in delivering Myer in challenging times.
“We thank him for his support in ensuring a smooth leadership succession to Olivia,” Mervis said. “I am confident Myer is well placed under Olivia’s stewardship to build on the Customer First Plan and continue delivering for customers and shareholders in the years ahead.”
Wirth welcomed the new appointment, saying the next chapter in Myer’s story involves the tackling of significant challenges and meeting shifting needs of customers.
“My immediate priorities will be ensuring we are delivering a great in-store experience with a world-class range and best-in-class customer service, while investing in e-commerce and harnessing loyalty and partnerships among our customers and suppliers,” Wirth said.
“I want to thank both Ari and John for their service to Myer and support. John has led the team with distinction and stabilised the business during some very challenging times, especially the COVID-19 period.
“Over the coming weeks, I will be meeting with the team and our loyal customers to hear from them first-hand about their needs and gathering their feedback on our growth plans.”
King echoed Mervis’ comments, saying Wirth’s appointment is a positive outcome for customers, team members, brand partners and shareholders.
“I have worked closely with Olivia since she joined the board and I have been deeply impressed with her hands-on approach, commitment to our loyal customers and support for the team,” King said. “I believe Myer has an exciting future with the Board’s appointment of Olivia as executive chair.”
King added that he is proud of what he and his team achieved in his six years as CEO and MD.
“We have transitioned Myer into a stronger and more profitable business, culminating in last year’s strong financial performance, which included the best sales result in almost two decades. It has been a privilege to lead one of Australia’s highest profile companies and I am committed to providing a smooth transition to Olivia to ensure we maintain momentum in delivering our Customer First Plan.”