Target Corp. announced the replacement of Chief Executive Gregg Steinhafel on Monday. He had been with the company for 35 years; six of those years were spent as CEO. Target says Steinhafel will serve in an advisory capacity during the transition.
The former chief executive’s resignation comes just five months after Target’s holiday data breach, which affected as many as 70 million customers. The retailer has been working to restore customer confidence, most recently with the announcement of the adoption of chip-and-PIN cards.
Steinhafel will be temporarily replaced by Chief Financial Officer John Mulligan. Board member Roxanne Austin will temporarily assume Steinhafel’s chairman role.
Says Target’s board of directors in a written statement:
“…The board and Gregg Steinhafel have decided that now is the right time for new leadership at Target… . The board will continue to be actively engaged with the leadership team to drive Target’s future success and will manage the transition. In addition to the appointments of the exceptional leaders noted above, we have also retained Korn Ferry to advise the board on a comprehensive CEO search.â€