- Effective October 23, Walgreens Boots Alliance has appointed Tim Wentworth, a seasoned healthcare executive, as the company’s new chief executive.
- Wentworth previously served as the CEO of Express Scripts, the largest pharmacy benefits management company in the nation, which was acquired by Cigna in 2018.
- Walgreens’ board has expressed their intention to hire an executive with extensive experience in healthcare to lead the company’s new services.
Tim Wentworth, previous CEO of Express Scripts.
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Tim Wentworth, a veteran healthcare executive, has been chosen as the new chief executive of Walgreens Boots Alliance.
Before retiring in 2021, Wentworth served as the head of health services for Cigna, after leading Express Scripts.
Wentworth stated to CNBC, “What convinced me to come back was the opportunity to lead this renowned brand and company during an unstable period. It’s a massive platform… they interact with approximately 10 million individuals daily.”
Wentworth will assume his position on October 23, two months after Rose Brewer stepped down as CEO. During this time, the company is confronted with various challenges in transitioning to a provider of healthcare services beyond traditional pharmacy operations.
Under Brewer’s leadership, Walgreens acquired a majority stake in primary care provider VillageMD, as well as specialty pharmacy provider Shields Health and homecare provider CareCentrix. However, attempts to integrate and expand these businesses have impacted Walgreens’ earnings.
This change transpires as pharmacy revenues decline due to decreased demand for COVID vaccines and over-the-counter tests. In June, the company’s third-quarter profit fell short of Wall Street expectations for the first time in three years.
Walgreens’ board has stated their intention to hire a healthcare executive with extensive experience to oversee all new services.
Wentworth conveyed, “I came to Express Scripts from one of the great efficiency companies – I mean, we were created to eliminate waste in healthcare and we analyzed everything from that perspective. We implemented that mindset into our own cost structure. We must start there, and there is no doubt that it is important in every aspect of this company.”
Stefano Pessina, executive chairman of Walgreens, expressed confidence in Wentworth’s ability to lead the next phase of growth. Pessina stated, “He is an accomplished and respected leader with deep expertise in the payer and pharmacy sectors, as well as supply chain, IT, and human resources. He is the right person to lead WBA in becoming a customer-centric healthcare company.”
The core pharmacy business of the company is also facing challenges. This week, non-union workers in several cities protested against understaffing at pharmacies, which they claim jeopardizes patient safety.
Wentworth acknowledged that pharmacies swiftly responded during the COVID pandemic by becoming significant providers of vaccines and information to patients.
She said, “When you’re in a business that needs to quickly respond to an unprecedented situation, you don’t get everything right. And I have no doubt that Walgreens’ leadership is observing their employees and listening to them. As a leader, there is nothing that motivates me more than ensuring that every employee feels supported in that mission.”
Walgreens is scheduled to announce its fourth-quarter earnings on Thursday.
Source: www.cnbc.com
