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February 23, 2004

USA: Albertsons announces operational changes

US grocery retailer Albertsons has announced changes to its management and organisational structure, aimed at improving the company’s operations.

US grocery retailer Albertsons has announced changes to its management and organisational structure, aimed at improving the company’s operations.

Albertsons said the changes are designed to further reduce management layers, increase leadership spans, improve focus on customers, drive new format development and enable the launch of a new company-wide quality program.

The company said it is establishing a new centralised customer service operation consolidating all dimensions of its customer service operations for every major banner under one leadership team. Pam Powell, currently group vice president of marketing, has been chosen to lead the new effort and has been named senior vice president of customer service.

Albertsons also said it would make major changes to its food operations, consolidating its operations into seven operating divisions.

All seven division presidents will now report directly to CEO Larry Johnston. In addition, each of the six food division presidents will report to Bob Butler, who assumes the coordinating role of executive vice president of food operations.

Albertsons said it is forming a new division to develop new formats and also manage the company’s large store construction and remodel programs. Roe Cefalo, who has served as executive vice president of eastern operations for the past four years, becomes executive vice president of real estate, construction, store development and new formats.

Johnston said the changes would allow the company to move more quickly in the marketplace, improve communication with associates, roll out new formats and pass more savings on to customers.

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