Nakumatt’s icon calls it a day

Thiagarajan Ramamurthy, the long-serving head of Nakumatt Supermarket, has stepped aside as operations director of Kenya’s leading retail chain.

Six other senior managers have quit in the last one month, in a quietly executed restructuring meant to consolidate the owners’ hold on the company.

“Following Mr Ramamurthy’s tendering of an early retirement letter,” the company said in a statement last evening, “the management board has with regret accepted his resignation.”

Mr Atul Shah, the erstwhile media-shy managing director, has lately been on the forefront with TRM, as Ramamurthy is popularly known, taking the back-seat after the supermarket suffered huge losses to fire and government-backed demolitions.

This heralds a new chapter for Nakumatt in an increasingly competitive retail market, with analysts speculating that his exit could shake the retailer.

“He was an impressive and innovative guy who raised Nakumatt to the top in five years,” said Mr David Abbott, a management consultant based in Nairobi.

“If they get someone with similar expertise and who understands the retail market in Kenya, Uganda and Rwanda, his absence won’t be detrimental,” he said.

TRM has been the face of Nakumatt, handling its public affairs and executing strategy.

The last time he spoke for supermarket was last year when its Downtown branch was burned, just months after its Thika Road outlet was demolished to pave the way for road expansion.

Resource person

During his five-year tenure at Nakumatt, Mr Ramamurthy has been a key resource person within the top management team and has spearheaded various transformational programmes, including expansion.

“We recognise the invaluable support and professional direction accorded to Nakumatt Holdings in his role as operations director, particularly during the fast paced branch expansion phase,” Mr Shah said.

Mr Abbott said successful organisations do not depend on a single individual.

“Obviously, TRM played a key role,” he added, “and so they will look for someone who will take Nakumatt to the next level.”

Managers who have left include the branch manager of Nakumatt Mega, Mr Moses Nditika, his assistant Stephen Junior and Rwandan branch manager Joseph Ndung’u.

Others are procurement head Isaac Oyiengo, operations manager Geoffrey Ngaina and financial controller Charles Kariuki. Lifestyle branch head Adan Ramata had been moved to Rwanda earlier.

Mr Atul said the board was head-hunting for a suitable replacement.

The loss of two branches was a major setback for Nakumatt, which grew from a tiny Nakuru family outfit in 1987 to a regional giant.

It forced it to postpone listing at the NSE.

It has been searching for a strategic investor to inject fresh capital, with Mauritius investors said to be interested.

Retail business has been growing rapidly with supermarkets raking in huge profits.