Genesco
Situation:
- Banks set to pull loan commitment
- Dysfunctional management
- Inventory and cash issues
- Dramatic net worth decline
Businesses challenged:
- Johnston & Murphy
- Jarman
- Journeys
- Perry Ellis/Grief (Men’s Suits)
- Mitre (Soccer)
- Toddler U
- Laredo (Cowboy Boots)
- Volunteer Leather
- Dockers Footwear license
Solution:
- Sold Mitre, Grief and Toddler U
- Repositioned Journeys and Johnston & Murphy
- Cut costs and changed organizational structure
- Reworked failed culture quickly
- Changed anger and frustration to high energy and motivation through involvement
- Metrics and personal accountability installed
Result:
- Stock rose from below $2 to over $15 in 30 months – a 24 year high; company strong today
- Journeys is a dominant teen shoe chain
- Johnston & Murphy is a premium men’s shoe line