Company Snapshot: Home Depot The End of an Era?
The Home Depot Inc.
2455 Paces Ferry Rd NW
Atlanta, GA 30339-1834
Francis S. Blake- Chairman, CEO
Craig A. Minear- President U.S. Retail
Prior to the company’s official debut, its founders carefully plotted a distinct course for a new type of home improvement retailer. The founders built the new platform with the intent to eclipse and vastly expand upon the then state of the art home center prototype. Thus the giant home center warehouse was created.
This model was created not only to offer do-it-yourselfers a greater depth and breadth of offerings with which to implement and complete projects. The founders correctly envisioned a retail entity which could prove to be a destination, one so dominant that manufacturers would grant the retailer unprecedented financial and logistical concessions just to be sure they are included in the retailer’s merchandising. The model succeeded to the point that after just a few years, The Home Depot was the industry’s number one retailer and has remained so ever since.
The company’s founders, famously headed by Arthur Blank and Bernie Marcus, became the retailer’s first generation of management. In the year 2000, as the founders decided that it was time to go on to new adventures, they determined it was best to look outside the company for the next CEO.
This became Robert Nardelli who decided to expand the company to serve many new roles, while cutting costs to meet Wall Street’s bottom line expectations. In 2007, he was ushered out by stockholders, though with a controversial golden parachute. Long-term company loyalist Frank Blake became CEO and turned the company around.
Now Mr. Blake has announced his decision to leave his CEO position, while remaining onboard as Chairman. He will oversee operations as the current President of U.S. Retail, Craig Minear, rises to the CEO position in November. As with Mr. Blake’s numerous dealings to right the company’s ship from the start the recession, and his competence in straightening out the recent data breach, this transition and its aftermath should be smooth sailing.