In This Story
Starbucks (SBUX+0.74%) says it does not have plans to replace ithe chief executive officer for its North American division, Michael Conway, who announced his retirement from the coffee chain after serving only eight months in the position.
Conway, who has been with the company for a total of 11 years, declared his intention to retire in late November on Sept. 12, according to the company’s latest Securities and Exchange Commission filing.
Rather than searching for Conway’s replacement, Starbucks said that Sara Trilling, the president of the company’s North American division, will lead its operations across the region. Trilling has been with Starbucks since 2002 and previously served as its north division’s senior vice president, where she oversaw 3,500 stores, according to the Wall Street Journal.
This comes as Starbucks’ newly-appointed chief executive officer, Brian Niccol, who joined the coffee giant this month, revealed his plans to get the brand back on track in part by putting more emphasis on the chain’s U.S. operations. Trilling will be reporting directly to Niccol.
Following Conway’s retirement, the company will move to get rid of the North American CEO role and create a chief brand officer position, for which the company is actively recruiting. That hire will oversee various store concepts, marketing, product development, product, digital and customer insights, and its creative unit.
The coffee chain’s decision to shake up its executive structure is effective in boosting its long-term profitability and decision-making strategy, per the Wall Street Journal (NWS0.00%).
Starbucks has faced declining sales over the past year, which has been largely driven by the lessened demand for its high-priced beverages, as well as public boycotts for its stance over the Israel-Hamas war.