Dunelm boss Browett makes abrupt exit over ‘uneasy fit’

DUNELM has delivered a shock to shareholders after abruptly parting ways with John Browett, its chief executive, following what is understood to be a clash of leadership styles.

In a confused statement to the market, Dunelm initially said that the veteran retailer was leaving the company for “personal reasons” before adding that the firm’s board believed “the next phase of growth requires different leadership”.

Insiders told The Daily Telegraph that there was an “uneasy fit between John and the rest of the company’s culture” and it was recently decided that his “leadership style was not the best fit for Dunelm”. “Dunelm is very people and customer-focused,” they added.

Despite being a listed business Dunelm continues to be a majorityowned family company. Will Adderley, deputy chairman, owns 26.8pc of the business while Bill Adderley, his father and the firm’s founder, owns 23.3pc of the shares. Despite the former Mr Adderley’s involvement as a shareholder and a director, it is understood that there was a unanimous board decision to part ways with Mr Browett.

Dunelm shares sank by 24.5p, or 4.1pc, to 573.5p yesterday on the back of the boardroom upheaval.

Mr Browett’s severance package is still being finalised and the former chief executive, who has left with immediate effect, did not respond to a request for comment.

His swift exit from Dunelm after two years at the helm could be the third time he has abruptly left a business following a clash of personalities.

The former Dixons boss was fired from electronics giant Apple in 2013 after just seven months as its retail head. He blamed the move on not fitting in with the way the rest of the Silicon Valley management team ran the business.

“It was one of those shocking things where you’re rejected from an organisation for fit rather than competency,” Mr Browett has said of his short tenure. He later left British fashion retailer Monsoon after locking horns with Peter Simon, its founder and owner, over a cost-cutting strategy.

Mr Browett’s departure from Dunelm comes a month after the home furnishings retailer warned that its profits would be slightly lower than expected due to sluggish trading over the Easter weekend. However, sales in the 13 weeks to July 1 rose by 17.7pc to £240m as it was boosted by the acquisition of online retailer Worldstores.