Best Buy Restructures Key Leadership Positions
Richfield-based Best Buy Company, Inc., on Monday announced the restructuring of two key leadership roles: Shari Ballard was named president of Best Buy's international business, and Mike Vitelli was named president of the electronic retailer's domestic operations.
Previously, Ballard and Vitelli shared the role of president of Best Buy's domestic business while carrying certain responsibilities for its Canada and Mexico operations. The altered roles are effective immediately.
“The focus, energy, and drive of these two leaders will serve us well as we accelerate the pace of our company's transformation, work to provide more compelling multi-channel experiences for our customers and employees around the world, and improve returns for our shareholders,” CEO Brian Dunn said in a statement.
In her new role, Ballard will oversee Best Buy's business operations in China, Canada, Mexico, and Europe. Among other initiatives, Ballard will work to expand the product reach of Best Buy's Five Star chain in China by piloting a “store-within-a-store” mobile phone business, the company said.
Vitelli, meanwhile, will focus on creating “seamless customer experience” across all domestic channels, according to Best Buy.
“Mike has a unique ability to create clarity and drive alignment on complex issues, which will serve him well as he brings a sharp, end-to-end focus in our U.S. business, helping the teams move from strategy through execution with greater clarity and speed,” Dunn said in a statement.
Best Buy's leadership changes come at a time when the company has shown signs that it is struggling. For the most recent fiscal quarter, which ended November 26, net income fell 29 percent to $154 million.
Furthermore, the company was unable to fulfill some holiday orders and has recently come under fire by some harsh critics in the media-which prompted a public response from Dunn.
A recent report by Forbes indicates that Best Buy is restructuring more than just its leadership team: The company has also combined several of its retail groups into what it calls a “connectivity business group.” The group will reportedly sell a range of devices from computers to tablets, e-readers, and cell phones-along with associated service plans in Best Buy and Best Buy Mobile stores.
Best Buy is Minnesota's third-largest public company based on revenue, which totaled $50.3 billion for the fiscal year that ended in February 2011.