Target Corp. has announced that Chief Operating Officer Michael Fiddelke will succeed CEO Brian Cornell as the company’s new leader, effective February 1. Cornell, who has been at the helm since August 2014, will transition into an executive chair role.
Fiddelke, a 20-year Target veteran, has overseen significant changes at the company, including overhauling its supply network and expanding its stores and digital services while cutting costs. Cornell praised Fiddelke’s strategic insights and judgment, saying he is “the right candidate to lead our business back to growth.”
The leadership change comes as Target struggles with weak sales in a competitive retail landscape. The company reported a 21% drop in net income in the latest quarter, with sales down slightly and comparable sales declining by 1.9%. Target has faced criticism over its diversity initiatives and has lost market share to rival Walmart.
Fiddelke acknowledged the challenges ahead, stating that he will work “urgently” to reclaim the company’s merchandising authority and regain its reputation for selling stylish goods at budget prices. He plans to expand Target’s store label brands and speed up new product launches to stay competitive.
Cornell, who has spent over 30 years in leadership positions at retail companies, reenergized sales by focusing on Target’s store brands and transforming its stores into delivery hubs. However, the company struggled during the pandemic, and inflation has continued to impact sales.
The change in leadership marks a new chapter for Target as it seeks to regain its footing in the competitive retail market.
Source: https://www.cbsnews.com/minnesota/news/target-ceo-brian-cornell-stepping-down-coo-taking-over