BENTONVILLE, Ark. — By selecting Greg Foran to be the new head of Walmart U.S., Walmart president and chief executive officer Doug McMillon underlined the importance of bringing new ideas and a fresh perspective to the retailer’s flagship division, Walmart U.S.

By selecting Greg Foran to be the new head of Walmart U.S., Walmart president and chief executive officer Doug McMillon underlined the importance of bringing new ideas and a fresh perspective to the retailer’s flagship division, Walmart U.S.

Foran is not the first outsider to lead the division: Eduardo Castro-Wright, who exercised responsibility for it as vice chairman, had come from Walmart International, as has Foran. But Foran is a relative newcomer to Walmart, having joined the company in 2011 from Australia’s Woolworths Ltd., where he compiled an impressive record.

"Greg is one of the most talented retailers I’ve ever met," McMillon said at the time of his appointment. "His depth of knowledge and global experience will bring a fresh perspective to our business. His passion for fresh food, experience in general merchandise and commitment to e-commerce will help us serve our customers even more effectively for years to come."

Foran, who hails originally from New Zealand, held several high-level positions at Woolworths, which he left in 2011 after being passed over to succeed the retiring Michael Luscombe as CEO. His last role had been managing director of supermarkets, liquor and petrol, a business generating $40 billion in annual sales. Before that, he had been general manager of Woolworths’ discount store chain, Big W, and had served as managing director of the company’s Dick Smith consumer electronics chain.

According to an Australian press report, Foran had differed sharply with Luscombe over price and margin strategy after rival supermarket operator Coles Group was acquired by Wesfarmers in 2007. Luscombe had insisted on maintaining profit margins, which enabled Coles to regain market share at Woolworths’ ­expense.

Foran, who was hired by McMillon, then head of the international division, reportedly was supported by former Woolworths CEO Roger Corbett, who is a current member of the Walmart board of directors."The biggest retail job in the world is the guy who runs the whole of Walmart, Doug McMillon, and running Walmart U.S. is probably the second-biggest retail job in the world," Corbett said in a published report. "It’s a great achievement, and both Australia and New Zealand can be very proud that one of their men has been appointed to such a senior job."

In February 2012, less than six months after joining Walmart as a senior vice president, Foran was named president of Walmart China, where he is credited with "significant progress" in product assortment, pricing, store operations and compliance. China is a key market for Walmart, and Foran was appointed to its leadership at a time when top management was (and remains) focused on building a platform for profitable growth, which has been challenged by government austerity campaigns and price deflation in some key consumables categories.

In October 2012 Foran announced strategic initiatives to strengthen Walmart’s foundation in China. Last October he unveiled a three-year plan for Walmart China that included opening up to 110 more stores, particularly in the country’s interior, between 2014 and 2016; accelerating the development of Sam’s Club to appeal to the growing number of middle- and upper-income consumers; remodeling stores; and investing in new distribution centers to give all stores access to a chilled distribution network.

Foran’s accomplishments were apparently evaluated highly, because earlier this year he was promoted to CEO of Walmart Asia, replacing Scott Price.

As head of Walmart U.S., though, he faces a very different array of challenges. Sales growth has ground to a near-halt as customer traffic continues to decline, despite a succession of merchandising gambits intended to reignite customer interest.

The division has also been dogged by execution lapses. Media coverage has dwelt on chronic out-of-stocks that apparently stem in part from pressure on store managers to contain labor costs, resulting in haphazard replenishment at the shelf.

However, Foran also takes on responsibility for implementing perhaps the most promising long-range strategy for Walmart U.S., tying together the retailer’s e-commerce capabilities and brick-and-mortar stores to provide customers with the option of omnichannel retailing. To realize former Walmart U.S. president Bill Simon’s vision of enabling customers to buy how they want, when they want and where they want will require a high level of execution and, unavoidably, additional operational complexity. For a retailer that is currently having a hard time keeping shelves properly stocked, that could be a huge challenge.

"Being asked to lead the Walmart U.S. business is a privilege I don’t take lightly," said Foran in a statement. "The needs of our customers are changing dramatically, and we have an enormous opportunity to serve them in new and different ways. We must be fierce advocates for our customers, work meticulously to exceed their expectations and earn their trust every day."

Foran will oversee another major strategic initiative authored by Simon: shifting investment away from Supercenter development to the Neighborhood Market and Walmart Express formats. The performance of the smaller formats thus far has been rewarding for Walmart, but their continued rollout can be expected to cannibalize some sales from Supercenters, and they add some logistical complexity as well.