Ramsay Health Care announces new boss and creates a headache for Woolworths

Ramsay Health Care has poached key Woolworths executive Natalie Davis to be its next chief executive, just as Brad Banducci heads for the exit at the retailer too.

Woolworths’ Natalie Davis, who has been headhunted by Ramsay Health Care.

The Woolworths executive team will be down two key members by October with Natalie Davis tapped for the top job at Ramsay Health Care, just as Woolies boss Brad Banducci heads for the exit.

Ramsay announced on Tuesday that current managing director Craig McNally, who has been with the company since 1988 - the past seven as managing director - would retire at the end of June next year.

Ms Davis will join the private hospital operator on October 1, and work with Mr McNally to ensure a smooth transition.
Ms Davis was a potential candidate for the top job at Woolworths when Mr Banducci announced his shock retirement in February, but that role will be taken up by Amanda Bardwell, the boss of its loyalty and e-commerce division.

The move will leave Woolworths searching for a new boss for its $46bn revenue supermarkets division, which employs 130,000 people across 1000 sites.

Prior to joining Woolworths in 2015 Ms Davis was a partner at McKinsey and Co. for more than 15 years.

Mr Banducci said in a statement to the ASX on Tuesday that Ms Davis had played a key role in the transformation of Woolworths.

“For the last four years as managing director, Woolworths Supermarkets, Natalie has been

a very purposeful leader and championed a number of initiatives that are key to our future

but her single biggest achievement has been the immense care she has shown for our

team,’’ he said

“We want to thank Natalie for her commitment to our customers, team and the

communities we serve and helping make us better together. We wish her every success in her new role.”

Mr Banducci is scheduled to leave Woolworths in September, having handed over his role by then to Amanda Bardwell.

Ramsay chair David Thodey said Ms Davis was appointed after a thorough global search.

“In carefully weighing Ramsay’s performance and strategy, the Board made a conscious decision to select a proven and dynamic leader who has successfully mastered large-scale business transformation during periods of uncertainty and market disruption,’’ he said.

“Natalie’s strategic outlook and experience managing industry-wide changes in different markets makes her exceptionally well-suited to progress Ramsay’s strategy and skilfully accelerate our growth.

“Her data-driven understanding of customer needs, coupled with a focus on digital innovation and operational excellence, has resulted in a clear record of success.’’

Ms Davis will be paid a base salary of $1.8m including superannuation, compared with Mr McNally’s base of $2.08m for the 2023 financial year, and can earn another 100 per cent of that in short-term incentives and another 150 per cent in long term incentives.

Ramsay shares were 2.7 per cent lower at $45.66.