Bob McDonald (businessman)

{{Short description|American businessman and politician (born 1953)}}

{{Distinguish|Bob McDonnell{{!}}Bob McDonnell, the 71st Governor of Virginia}}

{{Infobox officeholder

| name = Bob McDonald

| image = Robert A. McDonald Official Portrait.jpg

| caption = Official portrait, 2014

| office = 8th United States Secretary of Veterans Affairs

| president = Barack Obama

| deputy = Sloan Gibson

| term_start = July 30, 2014

| term_end = January 20, 2017

| predecessor = Eric Shinseki

| successor = David Shulkin

| birth_name = Robert Alan McDonald

| birth_date = {{birth date and age|1953|6|20}}

| birth_place = Gary, Indiana, U.S.

| death_date =

| death_place =

| party = Republican

| spouse = Diane McDonald

| children = 2

| education = {{nowrap|United States Military Academy}} (BS)
University of Utah (MBA)

| allegiance =

| branch = United States Army

| rank = Captain

| serviceyears = 1975–1980

| mawards = Meritorious Service Medal{{cite news|last=Holland|first=Steve|date=June 29, 2014|title=Obama to nominate former P&G CEO Bob McDonald as veterans secretary|url=https://www.reuters.com/article/us-usa-veterans/obama-to-nominate-former-pg-ceo-bob-mcdonald-as-veterans-secretary-idUSKBN0F40W820140629|work=Reuters|access-date=30 April 2021}}

| unit = 82nd Airborne Division

}}

Robert Alan McDonald (born June 20, 1953) is an American businessman and former government official who served as the eighth United States secretary of veterans affairs from 2014 until 2017.{{cite web |url=https://www.usnews.com/news/business/articles/2014/06/29/obama-picks-ex-p-g-head-to-lead-veterans-affairs|title=Obama selects former Procter and Gamble executive Robert McDonald to head Veterans Affairs}}[http://www.periodicalpress.senate.gov Profile], periodicalpress.senate.gov; accessed February 24, 2015. He was previously chairman, president, and CEO of Procter & Gamble.{{cite web|url=http://www.pg.com/en_US/company/purpose_people/executive_team/bob_mcdonald.shtml|title=Bob McDonald Biography|access-date=February 24, 2015|archive-url=https://web.archive.org/web/20130511085540/http://www.pg.com/en_US/company/purpose_people/executive_team/bob_mcdonald.shtml|archive-date=May 11, 2013|url-status=dead|df=mdy-all}}

Early life and education

McDonald was born on June 20, 1953, in Gary, Indiana, and grew up in Chicago.{{cite web|last1=Pace|first1=Julie |title=Obama picks former Procter & Gamble head Robert McDonald to lead Veterans Affairs |url=http://www.dallasnews.com/news/washington/20140629-obama-picks-former-procter-gamble-head-robert-mcdonald-to-lead-veterans-affairs.ece|website=The Dallas Morning News|access-date=August 21, 2014}} He graduated from the United States Military Academy at West Point in 1975 in the top 2% of his class with a Bachelor of Science degree in Engineering.{{cite news |last1=Eilperin |first1=Juliet|title=Bob McDonald, former P&G chief, to be Obama's nominee to lead Veterans Affairs |url=https://www.washingtonpost.com/politics/bob-mcdonald-former-pandg-chief-to-be-obamas-nominee-to-lead-veterans-affairs/2014/06/29/2fddd794-ffab-11e3-b8ff-89afd3fad6bd_story.html |access-date=25 January 2021 |newspaper=The Washington Post |date=29 June 2014}}{{cite web |url=https://horatioalger.org/members/member-detail/robert-a-mcdonald |title=Member Profile: Robert A. McDonald |website=Horatio Alger Association |access-date=25 January 2021}} At West Point he served as the Brigade Adjutant for the Corps of Cadets and was awarded the Silver Medal from the Royal Society for the Encouragement of Arts, Manufacturing and Commerce.{{cite news |last1=Alexander |first1=Antoine |title=Reports: Former P&G chief Robert McDonald to lead Veterans Affairs |url=https://drugstorenews.com/news/reports-former-pg-chief-robert-mcdonald-lead-veterans-affairs |access-date=25 January 2021 |publisher=Drug Store News |date=30 June 2014}} After graduation, he served in the U.S. Army for five years, primarily in the 82nd Airborne Division, attaining the rank of captain, He has completed Jungle, Arctic, and Desert Warfare Training, and has also earned the Ranger Tab, Expert Infantryman Badge, and Senior Parachutist Wings.{{Cite web|url=https://news.va.gov/32586/robert-mcdonald-army-veteran/|title=[Podcast] #4: Bob McDonald – Army Veteran, Secretary of Veterans Affairs - VA News|date=November 11, 2016|website=news.va.gov}}{{Cite web|url=https://eccles.utah.edu/news/were-thankful-for-our-student-and-alumni-veterans/|title=We're thankful for our student and alumni Veterans!|first=Jerry|last=Norton|date=November 11, 2020}} He earned an MBA from the University of Utah in 1978.{{cite news |title=University of Utah grad has ambitious plans as new CEO of P&G |url=https://www.deseret.com/2009/6/11/20322831/university-of-utah-grad-has-ambitious-plans-as-new-ceo-of-p-g |access-date=25 January 2021 |publisher=Desert News (Associated Press) |date=11 June 2009}} Upon leaving the military he received the Meritorious Service Medal.{{cite web|title=Bennet Joins Senate to Confirm New VA Secretary |url=http://www.bennet.senate.gov/newsroom/press/release/bennet-joins-senate-to-confirm-new-va-secretary |publisher=Senate.gov |access-date=August 21, 2014}}

Career

=Procter & Gamble=

McDonald joined Procter & Gamble in 1980{{cite web|url=http://www.pg.com/en_US/company/purpose_people/executive_team/bob_mcdonald.shtml|title=Bob McDonald Biography|access-date=July 19, 2010|archive-url=https://web.archive.org/web/20130511085540/http://www.pg.com/en_US/company/purpose_people/executive_team/bob_mcdonald.shtml|archive-date=May 11, 2013|url-status=dead|df=mdy-all}} and worked in various roles before becoming president and Chief Executive in 2009.{{cite journal|last=Reingold|first=Jennifer|date=February 25, 2013|title=Can P&G's CEO Hang On?|url=http://web.b.ebscohost.com.research.cincinnatilibrary.org/ehpl/detail/detail?vid=4&sid=7869695b-80ca-46f2-ba11-dc53ea1e454f%40sessionmgr101&bdata=#AN=85623405&db=buh|journal=Fortune|volume=167|issue=3|pages=66–75}} He assumed the Chairman of the Board role 2010. As chief executive officer, McDonald oversaw a $10 billion restructuring plan.{{cite news|title=UPDATE 4-P&G posts solid quarter, gives CEO more breathing room|url=https://www.reuters.com/article/procter-results/update-4-pg-posts-solid-quarter-gives-ceo-more-breathing-room-idUKL1N0AU1AQ20130125|website=reuters.com|date=January 25, 2013 |access-date=January 6, 2021}}{{cite web|title=Procter & Gamble to unveil restructuring plan this year|url=https://www.bizjournals.com/dayton/news/2011/09/08/procter-gamble-to-unveil-restructuring.html|website=bizjournal.com|access-date=January 6, 2021}}{{cite web|first=Jim|last=Edwards|title=P&G CEO Bob McDonald Steps Down After Pressure From Bill Ackman, Activist Investor|url=https://www.businessinsider.com/pg-ceo-bob-mcdonald-retires-2013-5|website=businessinsider.com|access-date=January 6, 2021}}

Amid the 2008 economic downturn, investors criticized McDonald for being too attached to P&G traditions, too slow to pursue layoffs and other cuts, and unable to produce new product innovations, particularly compared to his predecessor A.G. Lafley.{{Cite news |url=https://www.nytimes.com/2014/07/01/us/va-nominee-mcdonald-faced-criticism-at-procter-gamble.html|title=V.A. Nominee McDonald Faced Criticism at Procter & Gamble|last=Oppel|first=Richard A. Jr.|date=June 30, 2014|work=The New York Times|access-date=October 23, 2017 |language=en-US|issn=0362-4331}} He resigned from P&G in 2013 following pressure from the company board and activist investors such as Bill Ackman; he was replaced by Lafley, who returned from retirement.{{Cite news |url=https://money.cnn.com/2013/05/24/news/companies/pg-ceo-ackman/index.html|title=Ackman wins, P&G dumps CEO |last=Isidore |first=Chris|work=CNNMoney|access-date=October 23, 2017}}{{Cite web |url=http://old.seattletimes.com/text/2021104460.html|title=Return of P&G's former CEO puts his reputation at stake {{!}} Seattle Times Newspaper|website=old.seattletimes.com|access-date=October 23, 2017}}{{cite news|url=https://www.reuters.com/article/procter-ceo-idUSL2N0E42GZ20130523|title=Robert A. McDonald retiring from P&G|newspaper=Reuters |date=May 23, 2013|access-date=July 1, 2017|archive-date=September 24, 2015|archive-url=https://web.archive.org/web/20150924181504/http://www.reuters.com/article/2013/05/23/procter-ceo-idUSL2N0E42GZ20130523|url-status=live}}

In 2014, McDonald led a community-based task force to help the city of Cincinnati renovate its Museum Center, which succeeded when Hamilton County passed a tax levy to fund the initiative.{{cite web|last1=The Enquirer|title=Bob McDonald ready for next act|url=https://www.cincinnati.com/story/money/2014/06/29/bob-mcdonald-interview/11712755/|website=www.cincinnati.com|publisher=The Enquirer|access-date=June 12, 2019}}{{cite web|last1=The News Record|title=Union terminal levy passes|url=https://www.newsrecord.org/news/union-terminal-levy-passes/article_8027c4a8-64b9-11e4-bcaa-0017a43b2370.html|website=www.newsrecord.org|date=November 5, 2014 |publisher=The News Record|access-date=July 16, 2019}}

=U.S. Secretary of Veterans Affairs=

File:Harry Reid and Robert McDonald.jpg meeting with Veterans Affairs nominee Robert McDonald on July 16, 2014]]

McDonald succeeded Eric Shinseki, who resigned in 2014, due to the Veterans Health Administration scandal of 2014.{{cite news|last1=Nelson|first1=Colleen McCain|last2=Ng|first2=Serena|title=Former Procter & Gamble CEO Tapped as New VA Secretary |url=https://online.wsj.com/articles/former-procter-gamble-ceo-tapped-as-next-va-secretary-1404164346|website=The Wall Street Journal |date=June 30, 2014 |access-date=July 1, 2014}}

In 2014, U.S. President Obama nominated McDonald to the Cabinet position of United States Secretary of Veterans Affairs.[https://obamawhitehouse.archives.gov/the-press-office/2014/07/07/presidential-nomination-sent-senate McDonald nominated as Secretary of Veterans Affairs], whitehouse.gov; accessed February 24, 2015.

Another important decision by McDonald was the creation of the Veterans Experience Office{{cite web|title=How VA became one of the most admired agencies in the federal government|url=https://www.fastcompany.com/90640936/how-va-became-one-of-the-most-admired-agencies-in-the-federal-government|website=fastcompany.com|accessdate=July 7, 2021}} which addressed the critical concern of how Veterans received better service from the VA.

One of McDonald's first acts under the new office was the hiring of Tom Allin in 2015 as the agency's first chief veteran experience officer{{cite web|first=Francis|last=Rose|title=McDonald's VA Web concept reveals real customer service challenge|url=https://federalnewsnetwork.com/all-news/2015/08/mcdonalds-va-web-concept-reveals-real-customer-service-challenge/|website=federalnewsnetwork.com|accessdate=July 6, 2021}} to address the agency's treatment of veterans.

The decision by McDonald to bring private sector experience to VA in the hiring of Allin, and, his realignment the agency under 12 breakthrough priorities{{cite web|first=Frank|last=Konkel|title=VA Secretary Bob McDonald announced 12 "breakthrough priorities" to Congress in early 2016.|url=https://www.nextgov.com/cio-briefing/2016/03/improving-veteran-experience-literally-top-priority-va/126897/|website=nextgov.com|accessdate=July 6, 2021}} created organizational change{{cite web|first=Ryan|last=Buell|title=A Transformation Is Under Way at U.S. Veterans Affairs. We Got an Inside Look.|url=https://hbr.org/2016/12/a-transformation-is-underway-at-u-s-veterans-affairs-we-got-an-inside-look|accessdate=July 6, 2021}} that led to a reduction in disability claim backlogs for the agency, its lowest since 2009.

Obama cited McDonald's business background with P&G and experience revitalizing organizations in his decision.{{Cite web|url=https://obamawhitehouse.archives.gov/the-press-office/2014/06/30/remarks-president-nomination-robert-mcdonald-secretary-veterans-affairs|work=whitehouse.gov|title=Remarks by the President at Nomination of Robert McDonald as Secretary of Veterans Affairs |date=June 30, 2014 |via=National Archives|access-date=March 31, 2016}} McDonald was approved by the United States Senate Committee on Veterans' Affairs and the full Senate by unanimous vote.[http://www.veterans.senate.gov/newsroom/minority-news/committee-unanimously-supports-senate-confirmation-of-va-nominee Senate committee unanimously supports McDonald confirmation as Secretary of Veterans Affairs], veterans.senate.gov; accessed February 24, 2015.

McDonald recruited new medical personnel in the early months of his tenure at VA. As of June 2015, VA had increased onboard staff.{{Cite web|title=VA Making Progress to Improve Service for Veterans|url=http://www.blogs.va.gov/VAntage/wp-content/uploads/2015/06/VA_Progress_FactSheet_June2015.pdf|access-date=2020-09-30}}File:Robert_McDonald_VA_Portrait_Unveiling.jpgMcDonald opposed privatization of the VA. Donald Trump replaced him with David Shulkin, who also opposed privatization, and was also replaced.{{Cite web|url=https://www.msnbc.com/transcripts/rachel-maddow-show/2018-04-26-msna1095311|title=Jackson withdraws from nomination for VA Sec. TRANSCRIPT: 04/26/2018. The Rachel Maddow Show|date=April 27, 2018|website=MSNBC.com}}

In 2015, McDonald admitted he misspoke trying to engage a homeless veteran about his serving in the U.S. Army Special Forces, a conversation that was recorded by a CBS television news crew accompanying him during a nationwide count of homeless veterans. However, he told The Huffington Post, which first broke the story, that "he was not in the special forces".{{cite web|last1=Huffington Post|title=VA Secretary Robert McDonald Falsely Claimed He Served In Special Forces|url=http://www.huffingtonpost.com/2015/02/23/robert-mcdonald-special-forces_n_6739184.html |website=The Huffington Post|date=February 24, 2015 |access-date=February 24, 2015}}

McDonald implemented a new program called MyVA in order to help modernize VA's culture, processes, and capabilities.{{Cite web|url=https://www.pbs.org/newshour/nation/va-announces-myva-plan-largest-reorganization-departments-history|title=VA announces 'MyVA' plan, largest reorganization in department's history|date=November 10, 2014|website=PBS News}} The program expanded Veteran access by focusing on staffing, space, productivity, and VA Community Care while driving down a backlog of disability claims.{{Cite web|url=https://fedscoop.com/mcdonald-makes-good-pledge-restructure-veterans-affairs/|title=McDonald makes good on pledge to restructure Veterans Affairs|first=Dan|last=Verton|date=January 10, 2015}} As a part of MyVA, strategic partnerships and collaborative relationships were created that cut veteran homelessness by half since 2010, and, helped 34 communities and three states to bring a functional end to Veteran homelessness.{{Cite web|url=https://www.reviewjournal.com/local/local-las-vegas/va-chief-pitches-end-to-homelessness-among-vets/|title=VA chief pitches end to homelessness among vets|date=June 3, 2015}} Medical and surgical equipment supply chain reforms also achieved nearly $230 million in cost avoidance the very first year of the program.{{Cite web|url=https://apnews.com/press-release/business-wire/business-veterans-barack-obama-veterans-affairs-board-of-directors-b4c70dfc853f463eac3d34751a4b73bf|title=Quotient Technology Names Robert McDonald to Board of Directors|date=November 26, 2018|website=AP News}}

By the end of Secretary McDonald's tenure, Veterans at all VA Medical Centers had access to same-day services in primary care and mental health care.{{Cite web|url=https://www.healthcareitnews.com/news/va-finally-gets-transparent-veteran-wait-times-clinical-care-quality|title=VA finally gets transparent on veteran wait times, clinical care quality|date=April 13, 2017|website=Healthcare IT News}} In November 2016, nearly 97 percent of Veteran appointments were being completed within 30 days of the clinically indicated or Veteran's preferred date{{Cite web|url=https://www.azcentral.com/story/news/politics/investigations/2015/04/10/one-year-later-va-scandal/25596795/|title=A year later: VA struggles to improve care nationwide|first=Dennis|last=Wagner|website=The Arizona Republic}} and 85 percent were being completed within 7 days.{{Cite web|url=https://www.usatoday.com/story/news/politics/2017/03/03/veterans-affairs-inspector-general-widespread-inaccuracies-wait-times/98693856/|title=Inaccurate VA wait times preclude thousands of vets from getting outside care, probe finds|first=Donovan|last=Slack|website=USA TODAY}} Average wait times for completed appointments were less than 5 days for primary care, about 6 days for specialty care, and under 3 days for mental health care.{{Cite web|url=https://www.courant.com/2016/04/20/new-report-cites-long-wait-times-for-va-primary-care/|title=New Report Cites Long Wait Times For VA Primary Care|first=Hartford|last=Courant|date=April 20, 2016}}

When receiving the 2024 Sylvanus Thayer Award from the West Point Association of Graduates, former President Barack Obama stated that McDonald was "one of the best Secretaries of Veterans Affairs this country has ever had".{{Cite web|url=https://www.youtube.com/watch?v=x7IhZNltMcc|title=Pres Barack Obama Thayer Award Acceptance Speech at West Point Sept. 19, 2024|date=September 19, 2024|via=YouTube}}

Affiliations

McDonald is Chairman of the Board of the West Point Association of Graduates,{{Cite web|url=https://www.westpointaog.org/about/governance/board-of-directors/|title=Board of Directors}} and Chairman of the Board of the Elizabeth Dole Foundation.{{Cite web|url=https://www.elizabethdolefoundation.org/news/bob-mcdonald-elected-board-chairman-of-elizabeth-dole-foundation|title=Bob McDonald elected Board Chairman of Elizabeth Dole Foundation|website=www.elizabethdolefoundation.org}} He currently serves on the Audia Group and Every Cure Board of Advisors.{{Cite web|url=https://www.theglobeandmail.com/investing/markets/stocks/QUOT/pressreleases/7722303/quotient-announces-ceo-transition-plan-significant-governance-enhancements-and-formation-of-strategic-board-committee/|title=Quotient Technology Inc (QUOT-N) Quote - Press Release|via=www.theglobeandmail.com}}{{Cite web|url=https://everycure.org/board-of-directors/robert-a-mcdonald/|title=Robert A. McDonald – Every Cure|website=everycure.org}}

Philanthropy

McDonald and his wife, Diane, founded the McDonald Conference for Leaders of Character.{{cite web|last1=|title=Spotlight on Leaders|url=https://nytimesineducation.com/leadership/spotlight-on-leaders/|access-date=April 3, 2019|website=NY Times Education}}

McDonald donated a statue of General Ulysses S. Grant that was unveiled on April 25, 2019, on The Plain at West Point.{{cite web|last1=RecordOnline|title=West Point unveils statue of Grant|url=https://www.recordonline.com/news/20190425/west-point-unveils-statue-of-grant|website=www.recordonlilne.com|publisher=Times Herald-Record|access-date=April 30, 2019}}

Recognition

In 2010, the University of Utah Alumni Association named McDonald a Distinguished Graduate.

In 2014, McDonald received the Public Service Star from the Republic of Singapore.{{Cite web|url=https://www.mfa.gov.sg/Newsroom/Press-Statements-Transcripts-and-Photos/2014/02/Six-National-Honours-Conferred-for-Significant-Contributions-to-Singapore|title=Six National Honours Conferred for Significant Contributions to Singapore|website=www.mfa.gov.sg}}

The West Point Association of Graduates named McDonald for its Distinguished Graduate Award in 2017.{{Cite web|url=https://www.westpointaog.org/news/2017-distinguished-graduate-award-recipients/|title=2017 Distinguished Graduate Award Recipients|first=Becky|last=Hassler|date=May 23, 2017}}{{Cite web|url=https://www.westpointaog.org/news/bulls-78-mcdonald-75-named-nacd-2024-directors-of-the-year/?lctg=124650505|title=Bulls ’78, McDonald ’75, Named NACD 2024 Directors of the Year|first=Erika|last=Norton|date=October 8, 2024}} In 2021, the American Chamber of Commerce Foundation gave Bob its President's Award for Lifetime Achievement.{{Cite web|url=https://www.uschamberfoundation.org/workforce/hiring-our-heroes-honors-former-veterans-affairs-secretary-robert-mcdonald|title=Hiring Our Heroes Honors Former Veterans Affairs Secretary Robert McDonald|first=Hiring Our|last=Heroes|date=November 19, 2021|website=www.uschamberfoundation.org}} In 2023, the New England Center and Home for Veterans gave McDonald its Distinguished Service to Veterans Award. McDonald was named the Non-Profit Director of The Year by the National Association of Corporate Directors (NACD) in 2024.{{Cite web|url=https://www.nacdonline.org/about/NACD-in-the-news/press-release/nacd-announces-2024-directorship-100-honorees-directors-of-the-year-and-b.-kenneth-west-lifetime-achievement-award-recipients|title=NACD Announces 2024 Directorship 100 Honorees|date=October 7, 2024|website=www.nacdonline.org}}

In July 2020, McDonald was appointed by the George W. Bush Institute as the April and Jay Graham Fellow, where he serves as a member of the Military Service Initiative team.{{cite web|last1=George W. Bush Presidential Center|title=Bush Institute Announces Endowed Fellows to Advance Mission and Broaden Expertise|url=https://www.bushcenter.org/about-the-center/newsroom/press-releases/2020/07/bush-institute-announces-endowed-fellows.html|website=bushcenter.org|access-date=September 22, 2020}} In September 2020, McDonald was selected by presidential nominee Joe Biden to be a member of his transition team's advisory board.{{Cite web|title=Biden expands transition team, adding key campaign allies and top Obama-Biden policy hands|url=https://www.cnn.com/2020/09/05/politics/joe-biden-transition-team/index.html|access-date=2020-09-18|website=CNN|date=September 5, 2020 |language=en}}

In 2007, McDonald received the inaugural Leadership Excellence Award from the U.S. Naval Academy and Harvard Business Review. He served on the Board of Directors of Xerox,{{cite web |title=Robert McDonald, Director since: 2005 |url=https://www.xerox.com/about-xerox/executive-leadership/board-of-directors/robert-mcdonald/enus.html |website=www.xerox.com |language=en}} the McKinsey Advisory Council,{{cite web |title=Bob McDonald - Thayer Development Group |url=https://www.thayerleaderdevelopment.com/people/board/bob-mcdonald |website=www.thayerleaderdevelopment.com}} and the Singapore International Advisory Council of the Economic Development Board.{{cite web |title=International Advisory Council |url=http://www.edb.gov.sg/content/edb/en/about-edb/our-leadership/international-advisory-council.html |website=www.edb.gov.sg}}