What: Saks Global transforms buying organisation by merging Saks Fifth Avenue and Neiman Marcus teams under single leadership structure, marking significant milestone in post-merger integration.

Why it is important: This organizational restructuring demonstrates how luxury retail consolidation is fundamentally changing traditional department store operations, with implications for vendor relationships, talent management, and buying practices.

Saks Global's latest organizational transformation establishes a unified commercial team of senior-level merchants and fashion executives overseeing both Saks Fifth Avenue and Neiman Marcus operations. This strategic restructuring includes the appointment of five senior vice presidents of brand partnerships and buying, drawing talent from both retail nameplates to oversee key categories including beauty, shoes, designer ready-to-wear, and menswear. The integration has triggered significant leadership changes, with several high-profile departures including respected merchants Kate Oldham and Louis DiGiacomo. This reorganisation is part of a broader consolidation effort that has reduced the US corporate workforce by 14% since the December 2024 merger, contributing to targeted annual cost savings of USD 500 million. While Bergdorf Goodman maintains separate management, the new structure gives buyers expanded responsibilities and greater market influence. This transformation coincides with significant vendor relationship changes, including a 25% reduction in brand partnerships and new payment terms, reflecting the complex balance between operational efficiency and maintaining strategic partnerships.

IADS Notes: The formation of Saks Global's unified commercial team in April 2025 represents the culmination of a comprehensive transformation that began with the USD 2.7 billion merger in December 2024. Following the initial leadership restructuring under Emily Essner in January 2025, which introduced a technology-driven approach to retail management, the company has progressively dismantled traditional department store hierarchies. This evolution has been marked by significant personnel changes, including the departure of key Neiman Marcus executives in late 2024 and recent exits of influential merchants like Kate Oldham and Louis DiGiacomo. The organisational transformation has been accompanied by aggressive cost-optimisation efforts, with corporate workforce reductions totaling 14% since the merger, contributing to the targeted USD 500 million in annual savings. The impact on vendor relationships has been particularly notable, as evidenced by February 2025's announcement of a 25% reduction in brand partnerships and new 90-day payment terms. While these changes have created immediate challenges in vendor relations, they reflect Saks Global's broader strategy to leverage its enhanced market position and create a more efficient, integrated luxury retail operation.

Saks Global resets the buying team