New Delhi: In a rare turnaround, Starbucks replaced its Indian-origin CEO Laxman Narasimhan with Brian Niccol, currently CEO at Mexican food chain Chipotle, effective immediately. Narasimhan will also step down from the company’s board. The change at the top comes at a time when the coffee chain has reported a guidance cut for the third straight quarter.
“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,” said Starbucks board chair Mellody Hobson, according to an official statement.
Niccol will join the company on September 9, 2024. Starbucks CFO Rachel Ruggeri will step in as CEO in the interim period. He served as the CEO of Taco Bell prior to joining Chipotle in 2018. Starbucks said it expects Niccol to be a transformative leader for the company, its people and customers around the world. “Brian is a culture carrier who brings a wealth of experience and a proven track record of driving innovation and growth,” Hobson said about the incoming Starbucks CEO.
All about Laxman Narasimhan
Laxman Narasimhan joined the elite list of Indian-origin CEOs when he took over the top job at Starbucks from veteran Howard Shultz in 2022. He joined Starbucks from health and nutrition giant Reckitt. He also had a 4-year stint at PepsiCo.
He started his career with consultancy giant McKinsey. Narasimhan is a mechanical engineer by training and completed his MBA from the Wharton School. He also holds an MA in Global Studies from the University of Pennsylvania. Narasimhan, who relocated to the US from the UK for this role, was personally chosen by Schultz as his successor.
His ouster from Starbucks may have followed the purchase of a higher stake in the coffee chain by activist investors Elliott Investment Management and Starboard Value.
Coffee chain operator Starbucks replaced Indian origin CEO Laxman Narasimhan wit immediate effect. He will be succeeded by Mexican food chain Chipotle’s CEO hires Brian Niccol, it said in a statement. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
