Starbucks announced on Tuesday that Brian Niccol, the current Chairman and CEO of Chipotle, will become the new Chairman and CEO of Starbucks, effective September 9. This change in leadership comes as Starbucks grapples with recent challenges, including sluggish sales in the U.S. and China.
Following the announcement, Starbucks shares saw an 11% increase in premarket trading. Niccol will succeed Laxman Narasimhan, who is stepping down as CEO and from the Starbucks Board immediately. Narasimhan, who was appointed CEO in October 2022, struggled to enhance the company’s performance during his term.
Starbucks Announces Brian Niccol As New CEO
Starbucks has announced a major change in its leadership. Brian Niccol, who is currently the CEO of Chipotle Mexican Grill, will replace Laxman Narasimhan as the chairman and CEO of Starbucks. This change will take place on September 9, 2024.
Until Niccol officially takes over, Rachel Ruggeri, Starbucks’ Chief Financial Officer, will act as the interim CEO. Additionally, Mellody Hobson, who is currently the board chair of Starbucks, will become the lead independent director during this transition.
Starbucks is confident that Niccol will bring positive changes to the company. They believe he will be a strong leader who can guide Starbucks through a period of transformation. In their announcement, Starbucks expressed excitement about Niccol joining the team and contributing to the company’s future.
Brian Niccol is excited about his new role at Starbucks. He said, “I am thrilled to join Starbucks and look forward to working with the team to build on the company’s success.”
Mellody Hobson, the chairperson of Starbucks’ board, thanked Laxman Narasimhan for his work with the company. She noted that despite facing some challenges, Narasimhan worked hard to improve the business and meet the needs of customers and employees. Hobson wished him the best for his future endeavors.
Also Check: Hindenburg-Adani Case
Who is Brian Niccol?
Niccol started working at Chipotle as the Chief Executive Officer (CEO) and a director in March 2018. Two years later, in March 2020, he was promoted to Chairman of the Board at Chipotle.
Before joining Chipotle, Niccol was the CEO of Taco Bell. At Taco Bell, he had several important roles, including being the Chief Marketing and Innovation Officer, and President. His career also includes working at Pizza Hut, which is another brand under Yum! Brands. Niccol began his career in brand management at Procter & Gamble, a major consumer goods company.
In addition to his work at Chipotle, Niccol serves on the board of Walmart Inc. He has also been a board member for KB Home and Harley-Davidson. Niccol received his undergraduate degree from Miami University and completed his MBA (Master of Business Administration) at the University of Chicago Booth School of Business.
Also Check: Gautam Adani to Retire at 70, Reveals Succession Plan
Starbucks Announces Brian Niccol As New CEO FAQs
Q.1. Who is the new CEO of Starbucks?
Ans. Brian Niccol, currently the CEO of Chipotle, will become Starbucks’ new Chairman and CEO on September 9, 2024.
Q.2. What happened to Laxman Narasimhan?
Ans. Laxman Narasimhan is stepping down as CEO and from the Starbucks Board immediately after struggling to improve the company’s performance during his term.
Q.3. Why did Starbucks’ shares increase?
Ans. Starbucks’ shares rose 11% in premarket trading following the announcement of Brian Niccol as the new CEO.
Q.4. Who will lead Starbucks until Niccol takes over?
Ans. Rachel Ruggeri, Starbucks’ Chief Financial Officer, will serve as the interim CEO until Brian Niccol officially starts his role.
Q.5. What is Brian Niccol’s background?
Ans. Brian Niccol previously served as CEO and Chairman of Chipotle and has held leadership roles at Taco Bell and Pizza Hut. He also serves on the board of Walmart Inc.
