The Kimball International Inc. (Nasdaq: KBAL) board of directors has approved a new “transformation plan” to support the Kimball International Connect strategy, which launched in May. As part of the plan, the company has decided to eliminate the positions of president and chief operating officer.

Don Van Winkle is currently Kimball International’s president and COO. While he will depart from those positions, he will remain interim president and chief operating officer for Kimball brand as Kimball brand works to fill its president role.

The transformation plan includes initiatives to review manufacturing facility portfolio to reduce excess capacity and drive efficiency, invest in training, technology and systems for employees and set long-term goals to support growth.

Per the new plan, Kimball International has set the following three-year targets:

  • Organic revenue: 4 percent to 7 percent CAGR
  • Adjusted EBITDA margin: 150 to 250 basis points improvement (by FY 2022)
  • Adjusted EPS: 10 percent to 15 percent CAGR
  • US GDP growth of ~1.5 percent to 2.5 percent
  • Share repurchase to offset stock compensation dilution

“Following the recent unveiling of our new strategy, Kimball International Connect, today marks the next step of our plan to deliver on our vision and achieve our 3-year financial targets,” commented Kimball International Chief Executive Officer Kristie Juster in a news release. “Through our comprehensive strategic review process, we have identified a clear roadmap to transform our company, guided by our Purpose, as we seek to delight our customers, inspire our employees and deliver value to our shareholders.”

The transformation plan is effective immediately, and the company aims to meet its goals by the end of its fiscal year 2020.