In a surprising leadership shake-up, Starbucks announced on Tuesday that Laxman Narasimhan, who took over as CEO less than a year ago, will be stepping down. Brian Niccol, the current CEO of Chipotle Mexican Grill, has been named as Narasimhan’s successor and will officially assume his new role on September 9, 2024.
Until Niccol steps into the position, Starbucks’ Chief Financial Officer, Rachel Ruggeri, will serve as interim CEO. Mellody Hobson, the current Chairperson of Starbucks’ Board, will take on the role of Lead Independent Director during this transition period.
In a press release, Starbucks expressed confidence in Niccol’s leadership abilities, stating, “Our board believes he will be a transformative leader for our company, our people, and everyone we serve around the world.”
Niccol also shared his enthusiasm for the new role, saying, “I am excited to join Starbucks and grateful for the opportunity to help steward this incredible company, alongside hundreds of thousands of devoted partners.”
Mellody Hobson extended her gratitude to Narasimhan, acknowledging his contributions to the company. “On behalf of the board, I want to sincerely thank Laxman for his contributions to Starbucks, and his dedication to our people and brand,” she said. “In the face of some challenging headwinds, Laxman has been laser-focused on improving the business to meet the needs of our customers and partners. We all wish him the very best and know he will do great things in the future.”
Brian Niccol has an impressive track record in the restaurant industry. He joined Chipotle in March 2018 as Chief Executive Officer and was later appointed Chairman of the Board in March 2020. Before his tenure at Chipotle, Niccol served as CEO of Taco Bell, where he held various roles, including Chief Marketing and Innovation Officer, and President. His career also includes leadership positions at Pizza Hut, another division of Yum! Brands, and he began his career in brand management at Procter & Gamble.
In addition to his new role at Starbucks, Niccol currently serves on the board of Walmart Inc. and has previously been a board member for KB Home and Harley-Davidson. He holds an undergraduate degree from Miami University and an MBA from the University of Chicago Booth School of Business.
This leadership transition marks a significant moment for Starbucks as it continues to navigate the evolving global marketplace and strives to maintain its position as a leading coffeehouse chain.
