Neiman Marcus to cut 5 percent of workforce as part of operating model shift

Neiman Marcus Group (NMG) has set about making strategic changes to its operating model in a bid to accelerate its growth roadmap.

The moves come as part of its ‘Revolutionise Luxury Experiences’ strategy, and will include a realignment of its leadership team structure.

NMG has also said that certain positions representing less than 5 percent of the workforce will be cut across the company.

Meanwhile, the group has identified open roles that would support its operating model going forward, which it said would be filled based on business needs.

As part of the changes, NMG’s brand presidents will take on additional group-level responsibilities for strategic capabilities.

This will see the likes of Bergdorf Goodman president Darcy Penick assume group-level leadership of the NMG Product and Technology organisation, and Ryan Ross, president of Neiman Marcus, lead customer insights for the group.

In a release, Geoffroy van Raemdonck, chief executive officer of NMG, said Penick has been tasked with aligning the right tools and platforms to investments in customer experience, while Ross will drive customer-informed decisions.

In addition, Bob Kupbens, chief product and technology officer, will be exiting the company following the build up of its product, technology and analytics organisation, bringing the capabilities back into the business.

NMG hopes this new operating model, centred around luxury customers, will push fast decision-making and accelerate the company’s competitive advantage.