Korn Ferry Report Reveals Increase in Retail Executive Shuffles
- Retail CEO turnover reaches a seven-year high in 2019
- Korn Ferry’s eighth annual UK Retail CEO tracker report reveals a 25% increase since 2018
- 55 CEOs replaced in 2019, up from 44% the previous year
- More than one-third of CEO changes had tenure less than three years
- Sales or merchandising backgrounds decreased to one-third in 2019
- Financial backgrounds increased from 15% to 21%
- Female representation in CEO roles remains stagnant at 23%
- Laura Ashley announces Kwan Cheong Ng’s retirement and Katharine Poulter’s appointment as new CEO
A recent study by Korn Ferry has found that retail chief executive turnover reached a seven-year high in 2019, with the industry replacing 55 CEOs compared to 44% in 2018. The report analyzed over 200 UK and Irish retailers with annual revenues of at least £50m. Over one-third of the replacements saw former CEOs holding their positions for less than three years, while sales or merchandising backgrounds dropped to a third in 2019. Financial backgrounds rose from 15% to 21%. Female representation remained stagnant at 23%, with 11 female CEO appointments. Laura Ashley announced Kwan Cheong Ng’s retirement and Katharine Poulter’s succession as CEO.
Factuality Level: 8
Factuality Justification: The article provides accurate information about retail CEO turnover rates, backgrounds of new CEOs, and specific examples of CEO changes in the industry. It cites a reputable source (Korn Ferry’s annual UK Retail CEO tracker) and includes relevant data points. However, it could provide more context on the challenges faced by the retail industry and could include more sources to support its claims.
Noise Level: 3
Noise Justification: The article provides relevant information about retail CEO turnover rates and backgrounds of new CEOs, but lacks in-depth analysis or exploration of the reasons behind these trends. It also includes a brief mention of a specific company’s CEO change without much context or connection to the broader topic.
Financial Relevance: Yes
Financial Markets Impacted: The article discusses CEO turnover in the retail industry, which can impact financial performance and stock prices of individual companies. The mention of profit warnings and high-profile companies going into administration indicates potential market impacts.
Financial Rating Justification: The article discusses financial troubles faced by retail companies and their CEO changes, which can affect company stocks and overall market sentiment.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no extreme event mentioned in the article, but the high CEO turnover rate in the retail industry can be considered a minor issue.
www.retailsector.co.uk 
