Chaney will join Wesfarmers’ board as chairman-elect as of June 1 as the company announced that Dr Bob Every would step down from the position at this year’s AGM in November.

Chaney was Wesfarmers managing director from 1992 until 2005 when he was succeeded by serving MD Richard Goyder.

Chaney is also chairman of National Australia Bank, but has announced he will step down from the NAB position at the company's AGM in December.

Every, who joined the Wesfarmers board in 2006 and became chairman in 2008, said he was glad Michael had agreed to join the board and succeed him as chairman.

“When I was appointed chairman of Wesfarmers, I declared my main objective was to be custodian of the culture,” Every said. “Who better then to succeed me than Michael, who played such a vital role in establishing that culture?

“Michael has had an outstanding career as a CEO and chairman and brings that experience and his expertise to the company as it moves into its next phase.”

Chaney, who was the 101-year-old company’s sixth MD and will become just its 11th chairman, said it was an “honour: to be re-joining Wesfarmers.

“Over the last 10 years, Wesfarmers has grown enormously and very much retains the strong shareholder focus for which it has been well known,” he said.

Goyder said he and the management team were looking forward to continuing to work with Every through to the end of his tenure at Wesfarmers in November.

Wesfarmers’ resources division owns and operates the Curragh coal mine in Queensland’s Bowen Basin, producing metallurgical coal for steel production and thermal coal for domestic power generation.

It also holds a 40% stake in the Bengalla mine in New South Wales, producing thermal coal for power generation in international markets.