Walmart Revamps Finance Operations -- WSJ
July 22 2019 - 3:02AM
Dow Jones News
By Mark Maurer
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (July 22, 2019).
Walmart Inc.'s finance executives are undergoing a shuffling as
the world's biggest retailer absorbs Jet.com into the company's
digital operation.
The Bentonville, Ark., company said in an internal memo that it
would merge the U.S. e-commerce finance group into the greater U.S.
finance team.
Michael Dastugue, the company's U.S. finance chief, will lead
the combined U.S. segment finance team in his current role, said
the memo, which was shared with The Wall Street Journal. Steve
Schmitt, the finance chief for Sam's Club, will be CFO for the U.S.
e-commerce division.
Mr. Schmitt will succeed Jeff Shotts, who will run the company's
U.S. marketplace business, the memo said. Brandi Joplin, the chief
accounting officer for Sam's Club, will succeed Mr. Schmitt as
Sam's Club's CFO.
A spokesman for Walmart declined to comment beyond the memo,
which was sent to employees from Walmart's U.S. Chief Executive
Greg Foran, Sam's Club CEO John Furner and Walmart U.S. e-commerce
CEO Marc Lore.
The shuffling is intended to "support the business in a more
integrated and customer-centric manner," the memo said. The company
also announced changes to its supply-chain management.
The combined supply-chain team will unite the heads of grocery,
e-commerce, fleet operations and other functions, the memo
said.
Greg Smith, the executive vice president of supply chain for
Walmart U.S., will lead the combined team. Nate Faust, the head of
the e-commerce fulfillment process, will take an unnamed role
within the company, the memo said.
Walmart has been working to integrate its store and e-commerce
operations in recent years. The company said last month it would
fold the Jet.com staff into the rest of its business. Walmart paid
$3.3 billion in 2016 for the online seller of groceries, clothes
and electronics, whose main offices are in Hoboken, N.J.
As Walmart's e-commerce arm matures, it is increasingly
difficult for the company to distinguish how to allocate labor
across its divisions, said Greg Melich, an analyst at Evercore ISI
who follows the retailer. "The e-commerce business is reaching the
scale of integration on a day-to-day basis with the stores," he
said. "To run it in silos makes less and less sense."
Walmart extended its four-year streak of sales growth with a
3.4% increase at U.S. stores and websites operating at least 12
months during the quarter ended in April.
Walmart shares closed Friday at $113.90, down 0.7%.
Write to Mark Maurer at mark.maurer@wsj.com
Corrections & Amplifications Nate Faust will take an unnamed
role at Walmart, according to a company memo. An earlier version of
this article incorrectly stated he will leave the company. (July
20, 2019)
(END) Dow Jones Newswires
July 22, 2019 02:47 ET (06:47 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
Walmart (NYSE:WMT)
Historical Stock Chart
From Aug 2024 to Sep 2024
Walmart (NYSE:WMT)
Historical Stock Chart
From Sep 2023 to Sep 2024