George Adams is no longer in charge of Maxeda DIY Group, despite only being CEO since November 2010. According to chairman Tony DeNunzio, from now on ‘executive chairman’ of the group with brands such as Praxis, Formido, Brico and Plan-It, the DIY-market is under a lot of pressure and a simplification of the structure was necessary.
“Despite our robust results we are facing a new reality. Consumer confidence is low in Belgium and The Netherlands and the DIY-market is under pressure”, says Tony DeNunzio. That is a slight understatement, as in the first half year of the ongoing financial year Maxeda saw its market shrink by 5.4% in The Netherlands and 0.9% in Belgium (on a comparable basis).
“Therefore it is necessary to simplify our business, to shorten the lines of decision making, to lower our costs and to improve the implementation of our plans. With this in mind we are making some important organisational changes”, says the CEO, under whose reign the group changed from an overall trade group to a pure DIY-company - Maxeda sold among others Claudia Sträter in 2009, V&D and La Place in 2010 and M&S Mode, Hunkemöller and Bijenkorf in 2011.
From group CEO to strategic advisor
The biggest victim of the rearrangement is George Adams, who joined the company from Kingfisher and B&Q just 2.5 years ago. The 55 year-old Englishman, who became CEO of Maxeda DIY Group in November of 2010 and was named CEO of the entire Maxeda Retail Group, will now become strategic advisor. DeNunzio will now take the reigns as ‘executive president’.
“By simplifying the central organisation and the integration of formats the central role of George has become less necessary. He will become a strategic advisor of the group and will no longer be CEO of Maxeda DIY Group”, says DeNunzio.
This move is far from a complete surprise: in the February issue of the RetailDetail magazine, Jorg Snoeck already pointed at the fact that since the arrival of Erik Haegeman as CEO of Brico there was too much talent at the Maxeda-top to be maintainable.
John Colley new CEO Praxis
The second big change is the appointment of John Colley as CEO of Praxis, one of four chains within the group with about 140 locations in The Netherlands. Colley (ex-Screwfix and ex-B&Q) has been taking a close look at the assortment and the supplier portfolio of Maxeda DIY Group as chief commercial officer. “In a short time, John has created an organisation that has improved our sourcing in Asia and has strongly contributed to the development of our own brands”, says Tony DeNunzio.
Today Maxeda DIY Group has over 360 locations (including franchises), 6,000 employees and over a million customers each week. Tony DeNunzio talks about the success of the group, but also how they can still improve in the upcoming April issue of the RetailDetail magazine.