Myer rocked as top executive quits and the 125-year-old department store's share price plunges - as its plan for a robot revolution hits a snag

Published: 05:08, 13 July 2026 | Updated: 05:12, 13 July 2026  A plan to revolutionise Myer with an army of robots has hit a snag, with the 125-year-old department store revealing on Monday the resignation of its chief supply chain officer Darren Wedding after just 15 months in the role. Executive chairwoman Olivia Wirth handpicked Wedding in 2025 to salvage its fledgling multimillion-dollar National Distribution Centre (NDC) at Ravenhall in Melbourne’s west. The distribution hub was launched in 2024, with 200 robots programmed to handle the packaging and delivery of online purchases. However, in September 2024, Wirth warned investors that the centre was facing major operational issues and 12 months later she was still repeating the same message. The problem appears to centre around the computer system, which is apparently not working in tandem with the robots, resulting in major issues with processing online orders - a significant problem for the iconic business, which operates 56 department stores around the country.  According to an Australian Financial Review report, the issues have persisted, despite the company engaging external management consultants - costing it an estimated $48 million, with its share price collapsing over 75 per cent since its 2024 high. Myer's share price slipped 5 per cent to just 28 cents a share on Monday morning after Wedding's resignation was publicly revealed. Retail marketing expert, Professor Gary Mortimer of Queensland University of Technology told the Daily Mail that changing consumer habits were posing a challenge to the well-established models of legacy retailers such as Myer and David Jones. Changing consumer habits are posing a challenge to the well-established models of legacy retailers such as Myer (above) and David Jones, retail expert Professor Gary Mortimer said Myer's executive chairwoman Olivia Wirth had handpicked Darren Wedding to salvage its distribution centre plans - but he has now left the business due to personal reasons Myer's share price dipped as markets opened on Monday (above, lower right)  'The significant growth in online shopping we saw during the (Covid-19) pandemic, has continued,' Prof Mortimer said.  'Stores like Myer and David Jones have been operating for over one hundred years, and their traditional models are that you go to a store and have an amazing experience with great customer service and great global brands. 'It's also cheaper for a customer to come to a physical store, select their own products, try on their own clothes, transact their own products and take them away.' The distribution centre issue has increased Myer's costs because the company needs to hire staff to handle distributions during peak seasons, including Black Friday sales and the Christmas period. 'As soon as you have to employ people to pick, pack, and transport products to people's homes, businesses start to face increasing costs ... particularly when it's 25 per cent of your revenue,' Prof Mortimer said. In a statement, Myer confirmed that Chief Financial Officer Kathy Karabatsas had taken over the supply chain network, with operator Toll Group and a Third-Party Logistics Provider (3PL) to provide contingency. 'Darren left the business for personal reasons, and we thank him for all his work on helping us reach the proof-of-concept phase for the National Distribution Centre', it said.  Myer's National Distribution Centre has been plagued by automation issues Myer's former chief supply chain officer Darren Wedding has exited after just over a year in the job 'At our half year results in March we said the proof of concept would be up and running ahead of this year’s peak with Toll and a 3PL operator providing contingency, as was the case during the peak period in 2025. 'Given the scale and complexity of the project and the challenges under previous management at this site, we're undertaking more extensive design and testing on our proof of concept to ensure the project's full potential can be realised.  'Remediation of the NDC remains a key focus of the business.' Myer reportedly has no plans to hire a new chief supply chain officer. However, with its online sales already up 5.6 per cent for FY26, Prof Mortimer believes finding a replacement to oversee distributions is imperative. He also pointed to Woolworths and Coles as the gold standard of how retailers could meet online demand.  'Coles and Woolworths have invested millions of dollars into distribution,' he said. 'Online food and grocery shopping was at less than 2 per cent before the pandemic - but that's now closer to 16 per cent.  'It's a massive rate of growth and you can imagine the complexities involved, and you can also imagine that you'd be able to (distribute groceries) faster than a dress at Myer.'