A transformation plan that will create dedicated leadership teams for Lord & Taylor in the U.S. and Hudson’s Bay in Canada also will cost 2,000 employees their jobs with the parent company, HBC. The new strategy is the result of a six-month operational review focused on identifying efficiencies in North American operations, and it is expected to generate more than $350 million in annual savings when fully implemented by the end of fiscal 2018.
While Hudson’s Bay was reported to be in preliminary talks to take over Macy’s in February 2017, it now appears the Canadian retailer is focused on improving its current assets rather than growing via acquisition.
Key elements of the transformation plan include:
• Creating separate leadership teams for the Canadian and U.S. chains. The Hudson’s Bay team will accelerate plans to build on its successful transformation in Canada, while the Lord & Taylor team will seek to drive digital opportunities while operating its stores more efficiently;
• Integrating digital functions throughout the organization to develop and maximize the impact of all-channel solutions for marketing,…