Fonterra names new interim CEO

Fonterra Co-operative Group’s leadership is going through further change, with the appointment of Miles Hurrell as its interim Chief Executive.

The Co-operative replaced Chairman John Wilson with John Monaghan following a health scare last month, and it announced in March that its CEO of eight years, Theo Spierings, would step down.

Monaghan explained that he and the board agreed they would stop the global search for a CEO, with Hurrell giving them more time to review its current portfolio and direction, and find a suitable person to take the position.

“It’s important that we give ourselves the time to take stock of where we are as a Co-operative, breathe some fresh air into the business then determine any changes that are needed,” he said. “Appointing a new CEO is the most critical decision a board will make.”

While it looks for a replacement, he said the company needs a leader that can “hit the ground running”.

Hurrell has worked at Fonterra for the past 18 years and has been the Chief Operating Officer of Farm Source. In this role, he was responsible for the global Co-operative farming strategy that includes farmer services and engagement, milk sourcing and the chain of 70 Farm Source rural retail stores throughout New Zealand.

Monaghan said of Hurrell, “He has a deep understanding of our business and has demonstrated his ability to manage large, complex business units in most of our global markets. Miles is well respected both within our Co-operative and by our key global customers and wider stakeholders.

“Our CEO role requires intellect, energy and commitment. Miles brings that in spades.”

Spierings and Hurrell will work together to ensure a smooth transition of leadership through to 1 September 2018.

Last week, Fonterra also dropped last season’s forecast farmgate milk price by 5c to $6.70, and said it was unlikely to pay a final dividend due to pressure on its earnings.

Top image: Miles Hurrell, Fonterra's interim CEO.