Jessica Alba's Honest Company Shaking Up Management
The Honest Company, co-founded by actress Jessica Alba, is overhauling its management team in a shake-up that could result in a CEO change, sources told Recode. The company’s board of directors has been in talks with top executives from other consumer packaged goods companies to discuss roles on its management team and board. Some of those interviewed reportedly said they would only be interested in joining the company as CEO — a move the board would consider for the right person, sources said. It’s not clear if a decision is imminent or if a CEO change will be made. However, The Honest Company's current CEO Brian Lee told Recode, “I’m CEO and I’ll continue to be CEO.”
Total Retail’s Take: It’s been a bit of a turbulent year for The Honest Company. The maker of environmentally friendly baby and beauty products hired bankers to explore an IPO but eventually put those plans on hold. Also, The Honest Company held acquisition talks with Unilever, however, Unilever acquired passed on the company in favor of a deal with Seventh Generation. Lee was apparently blindsided by this, and now The Honest Company is looking to restructure and bring in people more experienced in developing and marketing products to be sold in physical retail stores in addition to an e-commerce site.