Exit of Bunnings chief won’t derail UK push

WESFARMERS chief Richard Goyder says the surprise ­departure of veteran Bunnings chief John Gillam will not ­interrupt the hardware giant’s push into Britain.

Who could use the Gillam golden touch?

WESFARMERS chief Richard Goyder says the surprise ­departure of veteran Bunnings chief John Gillam will not ­interrupt the hardware giant’s push into Britain.

And Mr Goyder has ­dismissed concerns about ­succession planning at the $45 billion conglomerate, ­saying it has a deep pool of ­talent to draw upon.

Bunnings owner Wesfarmers surprised investors on Wednesday by announcing Mr Gillam, who in the past year has seen off Masters Home Improvement and spearheaded a push into the UK, had resigned.

Mr Gillam, who had led Bunnings since 2004 and been with ­Wesfarmers for almost 20 years, will continue to support the big-box hardware retailer as an adviser.

Investors were left scratching their heads about the ­departure of a retail executive viewed as a potential successor to Mr Goyder, who has led Wesfarmers for 11 years.

Finance director Terry Bowen and industrials division chief Rob Scott have sharpened as the leading contenders for the top job.

Mr Goyder said Wesfarmers remained well placed to handle succession planning and the passing of the leadership baton at Bunnings was an example of the depth of its ­talent. “Wesfarmers is an ­excellent company with exceptional talent,” he told Business Daily. “We have ongoing succession development planning across the group.”

Wesfarmers managing director Richard Goyder.

Bunnings Australia and New Zealand managing director Mike Schneider and Bunnings UK and Ireland head Peter Davis — appointed to those roles by Mr Gillam in the past year — will now report ­directly to Mr Goyder.

The change comes two months before Bunnings opens its first rebranded Homebase store in the UK.

Mr Goyder said investors did not need to worry about the ongoing success of Bunnings as it entered that market.

Mr Gillam, who is joining the Bunnings UK and Ireland advisory board, would remain deeply involved in the business and would fly to the UK at the weekend, Mr Goyder said.

“John is not running away from the business,” he said.

“He will be at least as heavily involved in the UK in the coming year or so as he has been before.”

Mr Gillam, 50, declined interview requests but said in a statement it was the right time for a new generation of leaders to drive Bunnings forward.

“I look forward to continuing to support the Bunnings team in an advisory capacity, while also having the opportunity in the coming years to pursue other interests,” he said.