The Next CEO
From Business Week 1/11/99:
Lloyd Ward: Front-Load Lion
Not long ago, conventional wisdom in the appliance business was that the U.S. was a mature market with little room for growth. Thankfully for No. 3 Maytag Corp., LLOYD WARD doesn't much listen to conventional wisdom. Since becoming head of Maytag's appliances division in 1996, he has astounded the skeptics with his revival of the once-moribund unit.
Front-loading washing machines may not be as sexy as E-commerce or the latest wireless gizmo, but consider this: When Ward took over the division--Maytag's biggest, with more than 50% of revenues--the company was bleeding red ink. But by early this year, sales and profits were skyrocketing. And Maytag's shares have followed suit.
Named president of the $4 billion company last February, Ward, 49, is considered a shoo-in to succeed CEO Leonard Hadley, who plans to retire in July. That makes Ward just one of a handful of African-American executives who are now within reach of the corner office. A consummate salesman, Ward hit pay dirt in '98 by positioning Maytag's pricey $1,100 Neptune model as the green machine of washers and driers. It didn't hurt that Ward convinced both Best Buy and Sears, Roebuck & Co., which sells fully one-third of all appliances, to heavily promote the big front loaders as environmentally correct.
Ward's secret weapon is that he gets people excited over just about any kind of product. Before coming to Maytag, he had already proved his marketing mettle by building hefty margins as president of PepsiCo's $1.3 billion Frito-Lay Midwestern operation.
Within Maytag, Ward has also forged a reputation as a team builder who excels at revving up the troops. A former Michigan State basketball star, Ward is already getting ready to play team captain at Maytag: He's revamping the marketing strategy at Maytag International, Hoover, and other divisions. Count on Ward to keep driving the ball down court in '99.
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