Friday, June 30, 2017
Sobeys’ transformation under new president and CEO, Michael Medline, is moving ahead with an internal restructuring of the company’s senior leadership team.
In memo to staff this week, the company announced the changes as part of “Project Sunrise,” Medline’s three-year, $500-million cost-cutting initiative revealed in early May. The restructuring is designed to simplify the business and hinted at significant job cuts. In this week’s Q4 financial statement release, the company said there would be a $200-million one-time charge for severances, consultant costs etc., to be charged before the end of this calendar year.
The memo noted that the following appointments will report directly to the Sobeys Inc. Executive Committee:
Lyne Castonguay, executive vice-president, Merchandising
Jason Potter, executive vice-president, Operations
Pierre St-Laurent, executive vice-president, Quebec
Vivek Sood,executive vice-president, Related Businesses
Clinton Keay, executive vice-president, Technology & TMO
Simon Gagné, executive vice-president, Human Resources
Rob Adams,general manager, Discount Format
The memo notes that structures for Finance and Strategy remain unchanged, and that a new leadership structure for Finance “will be determined by Mike Vels, the new executive vice-president and chief financial officer, before the end of July 2017.”
“The future state Marketing structure will be determined by the head of Marketing after that leader is appointed,” the memo added.
While the staff memo acknowledged “that we have a number promotions to celebrate and temporary transfers to explain… We also have a number of leaders who have contributed so much to our Sobeys family that we would like to thank. We are committed to acknowledging all of these milestones in the coming weeks.”