Dive Brief:
- Rite Aid announced Tuesday that it was eliminating the role of chief operating officer as part of an effort to streamline the company's operations, according to a press release.
- The retailer is also consolidating its pharmacy leadership, per the announcement.
- As a result, COO Jim Peters and Jocelyn Konrad, executive vice president and chief pharmacy officer, have left the company.
Dive Insight:
Rite Aid is eliminating its chief operating officer role in order to cut costs.
Peters, who was in the position for nearly two and half years, recently told analysts about ongoing supply chain and labor market challenges the retailer was facing during an earnings call in late December.
"As we all know, we are operating in a high inflation environment. As we've seen, a number of our manufacturing partners increased their cost of goods to us, we strategically adjusted our pricing," Peters said at the time of the company's Q3 earnings results.
Peters was brought on to the company in 2019 to lead all aspects of Rite Aid's pharmacy and clinical strategy development and execution, strategic corporate relationships, marketing, merchandising, corporate development, strategy and communications.
At the same time that it eliminated Peters' role, Rite Aid also announced the following leadership changes:
- Karen Staniforth will become chief pharmacy officer, replacing Jocelyn Konrad. The role will focus on centralized pharmacy operations in addition to her current responsibilities. Staniforth is currently the senior vice president of clinical pharmacy services.
- Executive Vice President and Chief Retail Officer Andre Persaud will take over field operations for pharmacy as well as oversight of front-end operations.
- CIO Justin Mennen will expand his responsibilities to include leadership of all digital and e-commerce. His new title is chief digital and technology officer.
- Staniforth, Persaud and Chief Marketing and Merchandising Officer Erik Keptner will report directly to CEO Heyward Donigan.
"The changes we announced today are part of our ongoing efforts to reduce costs and remove layers," Donigan said in a statement.
