Target has announced two major initiatives this morning, both with the potential to change the retailer’s immediate future significantly.
Bob DeRodes will join the company as executive vice president and chief information officer (CIO). Target also released its plans to incorporate MasterCard’s Chip-and-PIN technology across its REDcard portfolio.
Introducing MasterCard’s Chip-and-PIN Solution
"Target and MasterCard are taking an important step forward in providing consumers with a secure shopping experience, and the latest in payments technology,” said Chris McWilton, president, North American Markets for MasterCard. “Our focus, together with Target, is on safety and security."
Beginning in 2015, all Target-branded credit and debit cards will be enabled with MasterCard’s Chip-and-PIN solution. Additionally, the retailer will have the new payment terminals necessary to accept the cards in all 1,797 U.S. stores by this September 2014, and will be able to start accepting Chip-and-PIN Card Payments by early next year.
"Target has long been an advocate for the widespread adoption of chip-and-PIN card technology,” said John Mulligan, executive vice president, chief financial officer for Target. “As we aggressively move forward to bring enhanced technology to Target, we believe it is critical that we provide our REDcard guests with the most secure payment product available. This new initiative satisfies that goal."
Incorporating a New CIO
Bob DeRhodes comes to Target with 40 years experience and a background as a senior information technology advisor for the Center for CIO Leadership, the U.S. Department of Homeland Security, the U.S. Secretary of Defense, and the U.S. Department of Justice. He will oversee Target’s operations and technology teams as well as have responsibility for the ongoing data security enhancement efforts and the development of Target’s long-term information technology and digital roadmap.
"Establishing a clear path forward for Target following the data breach has been my top priority. I believe Target has a tremendous opportunity to take the lessons learned from this incident and enhance our overall approach to data security and information technology. Bob’s history of leading transformational change positions him well to lead our continued breach responses and guide our long-term digital strategy,” said Gregg Steinhafel, Target chairman, president and chief executive officer.