Starbucks’ now-past CEO, Laxman Narasimhan, is stepping down from his position only a little over a year into the job due to the large coffee business recently struggling with weak demand and disgruntled investors under his leadership according to cbc.ca. It was reported that there was a 3% drop in global sales. In the absence of Narasimhan, the CFO of Starbucks will be stepping in until September 9, 2024, when the newly hired CEO takes office.
It was reported on cnbc.com that “Narasimhan’s departure is effective immediately. Starbucks’ CFO Rachel Ruggeri will step in as interim chief executive until Sept. 9, when Niccol officially assumes the top job.” With global sales dropping the way they are, Starbucks needs a strong leader who will keep the company afloat.
Brian Niccol seems to be just the man fit for this job, due to him increasing the stock prices at Chipotle by nearly 800%. Stories.starbucks.com states, “Niccol currently serves as chairman and CEO of Chipotle … Niccol has transformed Chipotle. His focus on people and culture, brand, menu innovation, operational excellence, and digital transformation have set new standards in the industry and driven significant growth and value creation.”
When Niccol joins the company next month, he will not be required to relocate to the headquarters in Seattle. He will instead be located at his home in Newport Beach, California. This means that the upcoming CEO of Starbucks will have to commute to the head office 1,000 miles away on a corporate jet. However, it is also noted that he will have a remote office set up for him in Newport Beach along with an assistant of his choosing.
But why is he worth going through all of this trouble? According to finance.yahoo.com, “…Niccol isn’t some lazy fat CEO trying to score one more lavish paycheck from a struggling company. This guy is in the prime of his career and has the track record to suggest he could deliver huge for Starbucks in under three years.”
It looks like the successful businessman, Brian Niccol, will be able to get the job done.
