Brian Cornell, Target's CEO, has stopped downplaying the supply chain issue and has said it is a serious problem that must be solved, according to MPR News. Supply chain problems played a big role in the chain's decision to close its stores in Canada, but the issue is also apparent to shoppers in U.S. stores, especially in the grocery aisles. Target is now investing $1bn in supply chain and technology. Walmart is also making supply chain changes to adapt to the new retail environment.
A first step in Target's strategy was naming John Mulligan as COO in August and tasking him with fixing the supply chain challenge. He said the retailer's supply chain has struggled to deliver appropriate goods to stores in a timely manner. Cornell, who came to Target from PepsiCo a year ago, cares more about these supply chain issues than former CEO Gregg Steinhafel did.
Enjoy curated articles directly to your inbox.