CPG Companies Are Appointing Chief Growth Officers -- Should CMOs Be Worried?
The Forbes article "CPG Companies Are Appointing Chief Growth Officers -- Should CMOs Be Worried?" features Russell Reynolds Associates research on the increasing trend of consumer packaged goods companies designating a Chief Growth Officer. The article is excerpted below.
In a new study published by executive recruiting firm Russell Reynolds, the increasing trend in consumer packaged goods (CPG) companies to designate chief growth officers (CGO) was explored. The rationale according to the authors is to better align the key corporate functions needed to improve revenue and engage consumers in industries challenged by slow growing product categories. Chief growth officers are expected to lead business transformation initiatives, allocate resources more effectively, sponsor new innovations, build capabilities for the future and break down organizational silos. Given these responsibilities, the CGO is also seen as a developmental role for future CEOs.
“Today’s business model has to catch up with market needs and realities. We are bringing key functions together and leading both an operational and cultural shift” said Clive Sirkin, the newly appointed CGO at Kellogg Company and one of executives interviewed for the study.
The roles most often assigned to the chief growth officer are marketing, innovation, consumer insights, and research and development. In some companies, the sales, corporate strategy and M&A functions also roll into the CGO’s domain.
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