By  on September 15, 2011

Liz Claiborne Inc. has trimmed its executive ranks and plans to continue to reorganize its organization as part of a $25 million cost-cutting program that includes the shuttering of an Ohio distribution center.

Peter Warner, senior vice president of global sourcing and operations, and Lisa Piovano-Machacek, a 23-year veteran of the firm and svp and chief human resources officer, will leave the company over the next month.

More changes are on the way as part of the program, which the company described in broad strokes in July.

Warner was hired to run Claiborne’s Hong Kong-based sourcing operations in 2008, but he ended up negotiating and managing the firm’s switch to Li & Fung as sourcing agent.

“We have been very effective in transitioning many of our services and functions into the brands — becoming brand-centric,” said William L. McComb, chief executive officer, and Andrew Warren, executive vice president and chief financial officer, in a memo obtained by WWD. “We now face bringing the central organization in line size-wise and believe that we continue to have cost-reduction opportunities, especially in the corporate center.”

The human resources and sourcing departments for the various brands, including Kate Spade, Lucky Brand and Juicy Couture, will report to the brand ceos.

McComb and Warren said they were taking a “top-to-bottom approach” in the organizational review and that their aim is to finish most of the cost-related job cuts by the middle of October.

As part of the review, John Moroz was promoted to svp of global operations from vice president of global logistics, distribution and administration. He will add on responsibility for the company’s supply chain village and quality assurance and report to McComb.

“We continue to feel upbeat about our businesses,” McComb and Warren said in the memo. “However, the environment in which we operate continues to be uncertain. The U.S. economy is not growing as fast as predicted; the European economy continues to struggle, and consumer confidence seems to vary day by day. Our goal is to address our cost structure now so that we do not have to act more rashly later if we are faced with a macroeconomic situation that drives a drop-off in volume.”

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