Ondrej Holzman Ron Johnson is stepping down as CEO of the JCPenney chain. The former head of Apple's retail division failed to transfer what he learned and applied at Apple to his new position, and after a series of failures, he is now leaving JCPenney…
Ron Johnson was nicknamed the "Father of Apple Stores" because it was he who, together with Steve Jobs, was able to build one of the most successful retail chains that gained worldwide renown. In 2011, however decided to leave Apple, because he wanted to go his own way and try to build something similar to Apple at JCPenney. But Johnson's engagement in this chain of stores is now ending in failure.
It all started with Johnson taking a 97 percent pay cut for a series of failures, and now JCPenney has announced that it has fired its chief executive. Johnson's replacement will be Mike Ulman, the man Johnson replaced less than two years ago.
[do action=”citation”]Apple had a unique opportunity to fill a problem position.[/do]
Johnson's vision when he came to JCPenney was clear: to use his knowledge of Apple and Apple Stores to start a successful period for the department store. Johnson therefore removed discounts from stores, as he believed that price should not be the main driver of sales, and also tried to create other small shops inside large stores (store-within-a-store). However, these moves were not met with a positive response from customers, which affected JCPenney's results. The company has lost money in every quarter since Johnson was hired, and its stock price has fallen 50 percent.
"We would like to thank Ron Johnson for his contributions to JCPenney and wish him the best of luck in his future." said an official JCPenney statement announcing Johnson's passing. But rather than the end, Johnson's future will be the most discussed in the coming days. The position at Apple, from which he left in 2011, is still vacant.
Apple tried to fill it, but the solution with John Browett it didn't work out. In the position of head of retail Browett quit after nine months, when he fell victim to extensive management changes at the California company. Tim Cook, Apple's CEO, has not yet found the ideal candidate for the position of head of sales, so he oversees the Apple Story himself. Now he may have a unique opportunity to fill the problematic position once and for all. It can be expected that Cook will turn to Johnson, with whom Apple certainly did not break up badly.
Then it's just a question of how Ron Johnson himself would react to an offer from a company in which he left a significant mark. After a failed stint at JCPenney, a return to Apple would provide him with a relatively quiet position in a familiar environment where he would easily bounce back from setbacks. Moreover, Apple could not wish for a more suitable candidate for a long-term unfilled position at the highest levels of its management than one who has more than ten years of experience with it.
The question is whether he is really a suitable candidate after what he has demonstrated and whether the success of Apple stores is not elsewhere and from someone else...