Best Buy (NYSE:BBY) Appoints Hubert Joly as CEO
There’s more news on the Best Buy (NYSE: BBY) saga this morning. You’ll remember that early this month and then again late last week the company’s founder and former CEO Richard Schulze sent letters to the retail giant’s board of directors expressing his desire to acquire Best Buy and take the company private. It’s been a bit of a roller coaster, and for the managed services market the big question has been around what would happen to mindSHIFT, Best Buy’s managed services acquisition and the company’s more consumer-oriented Geek Squad.
Well today Best Buy announced that the board has appointed Hubert Joly, who they say has expertise in turnaround and growth, as president and CEO. Here’s a quick look at Joly’s background.
- Joly most recently served as CEO of Carlson, a global hospitality and travel company based in Minneapolis with more than 170,000 employees in 150 countries. Brands include T.G.I. Friday’s restaurants.
- Joly was promoted to the CEO role after being credited with the transformation of Carlson Wagonlit Travel (CWT) into a force in corporate travel management with a sales increase from $8 billion in 2003 to $25 billion in 2007 and online bookings growth of more than 50 percent. Carlson is the parent company of CWT.
- Before Carlson, Joly did a stint leading video game and entertainment company Vivendi which included titles such as Diablo II and World of Warcraft. He was part of the team that lead the restructuring of Vivendi from 2002 to 2004.
- Perhaps the most technologically relevant experience Joly holds when it comes to managed services is his time leading EDS France, before EDS was acquired by HP. Joly worked there from 1996 through 1999 and is credited with turning the business around in that country and increasing profit margin by 20 points of revenue.
- Joly is French and is a graduate of École des Hautes Études Commerciales de Paris (HEC Paris) and of the Institut d’Etudes Politiques de Paris.
- And if you don’t like the Geek Squad uniforms, stay tuned. Joly is also a member of the board of directors of Ralph Lauren Corp.
“A Great Fit”
“Hubert was an outstanding candidate for this position and I am confident he will be a great fit for Best Buy,” said Hatim Tyabji, chairman of the Best Buy Board, in a prepared statement. “Hubert’s range and depth of experience in transforming companies is exactly what the company needs at the moment, as is his energetic, imaginative and experienced leadership in executing strategies.”
Joly will step into his new role as president and CEO in early September when his visa is secured, Best Buy said in a statement. Joly succeeds G. Mike Mikan, a member of the Board of Directors who has served as CEO (interim) since April. Mr. Mikan will continue to be the interim CEO until Joly’s start date. Following that, Mr. Mikan will continue to serve on the Board, where he will take the position of chairman of the Audit Committee.
What will this mean for the Geek Squad, for mindSHIFT, for Richard Schulze? MSPmentor will keep a close watch on the situation.