The Quick Rise and Fall of a CEO

A major shakeup happened at a well-known retail company. The CEO, Ashley Buchanan, was let go just four months into the job. The reason? He broke company rules by getting involved in deals that had hidden conflicts of interest. This move had nothing to do with how the company was doing overall. No other employees were involved. Michael Bender, the board chair, will step in as the interim CEO while they look for a permanent replacement. Buchanan's time at the company was short but costly. His pay package was over $20 million. This was a lot more than what his predecessor, Tom Kingsbury, had made. During Buchanan's brief time as CEO, the company saw a drop in sales and profits. In the fourth quarter of 2024, which includes the holiday shopping season, sales fell by 9. 4% and profits dropped by 74. 2%. Buchanan took over as CEO in January. He had previously led Michael’s, a crafts retailer, for four years. Before that, he had worked at other big retail companies. His time at Kohl's was marked by store closures and a falling stock price. He was the third CEO in just four years. Michael Bender, who will now lead the company temporarily, has a background in retail as well. He previously ran Eyemart Express and had executive roles at Walmart. He has been on the Kohl's board since 2019. Bender will keep his seat on the board but will step down from some committees while he serves as interim CEO. The company is one of the largest in Wisconsin. It has thousands of employees in the Milwaukee area and across the state. Despite the recent changes, the company plans to announce its first-quarter earnings for 2025 on May 29. This news highlights the challenges that retail companies face. It also shows how important it is for leaders to act with integrity. The company's future will depend on finding the right leader to navigate these challenges.