Kohl’s has appointed Michael Bender as its permanent CEO as the department store chain aims to get back on track after a long period of falling sales.
Bender has been the interim CEO since the company fired Ashley Buchanan in May. He has also been on the Kohl’s board since 2019, where he held positions including director and chair.
Bender is currently a director of industrial technology company Acuity Brands. He was president and CEO of optical retailer Eyemart Express from January 2018 to April 2022, as well as held various executive management positions at Walmart.
According to Kohl’s board chair John Schlifske, the new CEO brings three decades of leadership experience across retail and consumer goods companies and a deep commitment to the Kohl’s brand.
“As previously shared, the board engaged an external firm and conducted a comprehensive search. At the conclusion of this effort, the board enthusiastically and unanimously appointed Michael as CEO,” Schlifske said.
Commenting on his appointment, Bender said he will work to reestablish the company’s leadership position by “putting customers first every day”.
“While we’re pleased by our recent progress, we’re deeply motivated to accelerate our transformation – together with our partners, vendors, and incredible Kohl’s associates all across the country,” he added.
‘Much-needed stability’
According to GlobalData MD Neil Saunders, Bender’s appointment brings some “much-needed stability to the beleaguered chain”.
“It is also the easiest transition as Michael already has a very intimate working knowledge of Kohl’s and is familiar with the business,” he said.
“However, our hope is that Michael will not simply be a continuity CEO,” the analyst continued. “What Kohl’s needs most of all is a shift in management attitude and focus, with a huge injection of discipline and determination to improve the business.”
Saunders considered Kohl’s as one of the worst performers in retail, with sales and market share plummeting since 2019. He attributed the chronic underperformance to “operational sloppiness” and the lack of a clear strategy.
Bender started to make some improvements during his time as interim CEO, the analyst said, adding that these improvements should now be accelerated and accompanied by a much clearer vision.
For the second quarter ended August 2, Kohl’s reported a 5.1 per cent year-over-year sales decline to $3.3 billion, with comparable sales down 4.2 per cent. The department store chain will release its third-quarter results this week.
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