LONDON: The CEO of Unilever, owner of Ben & Jerry’s, has resigned after less than two years in charge.
Hein Schumacher will be succeeded by Fernando Fernandez, the company’s Chief Financial Officer, on March 1.
Unilever’s board praised Fernandez for his ability to drive rapid change and produce strong results.
Chairman Ian Meakins expressed confidence in Fernandez’s leadership and strategic execution.
Leadership Change
Unilever is currently implementing its Growth Action Plan to cut costs and increase sales.
The plan, introduced in late 2023, aims to improve the company’s financial performance.
Schumacher’s resignation comes as the company struggles with weak revenue and profitability.
Shares of Unilever dropped 1.6% following the announcement of his exit.
Analysts described Schumacher’s departure as an unforeseen event.
Ice Cream Split
Unilever announced last year that it would spin off its ice cream division.
The company believes this separation will make it a more efficient and focused business.
Managing frozen products requires specialized logistics and supply chain strategies.
Unilever owns ice cream brands such as Magnum and Ben & Jerry’s.
By separating this segment, Unilever aims to optimize its operations.
Workforce Reduction
Alongside restructuring, Unilever is cutting 7,500 jobs to improve efficiency.
Most of the affected positions are office-based roles.
The company is integrating technology to streamline its operations and reduce costs.
Leadership hopes these changes will boost financial performance and investor confidence.
Despite these efforts, challenges remain in achieving strong, sustainable growth.
Investor Outlook
Many investors remain cautious about the effectiveness of Unilever’s transformation strategy.
Schumacher’s exit raises questions about the company’s leadership stability.
Unilever’s ability to execute its strategy will determine its future success.
The company must now focus on delivering long-term value to shareholders.
