Indian-Origin CEO fired from Starbucks, Known for Never Working Past 6 pm

In a surprising move, Starbucks announced the immediate departure of its Indian-origin CEO, Laxman Narasimhan, after less than a year in the role. Narasimhan, who took over as chief executive in March 2023, has been replaced by Brian Niccol, the current CEO of Chipotle Mexican Grill. Along with stepping down as CEO, Narasimhan has also resigned from Starbucks’ board of directors.

Narasimhan’s career has spanned nearly three decades, with notable leadership roles in global corporations. Born in Pune, India, in 1967, he holds multiple degrees, including mechanical engineering and finance, from prestigious institutions such as the University of Pune and the University of Pennsylvania. Narasimhan spent nearly two decades at McKinsey & Company, advising businesses in various sectors, followed by a successful tenure at PepsiCo, where he held several key positions. Before joining Starbucks, he served as the CEO of Reckitt, where he focused on expanding the company’s e-commerce footprint and supporting its workforce during the COVID-19 pandemic.

During his brief tenure at Starbucks, Narasimhan emphasized work-life balance, famously stated in an interview with *Fortune* that he “almost never” worked past 6 pm. This stance, which resonated with many on social media, has sparked speculation that he may have been “fired.” However, Starbucks has not provided details on his sudden departure.

Starbucks praised Narasimhan for driving innovation in the brand’s supply chains and improving store operations despite challenging market conditions. Mellody Hobson, Starbucks board chair, expressed gratitude for his contributions, stating, “Laxman has been laser-focused on improving the business to meet the needs of our customers and partners. We wish him the very best and know he will continue to do great things in the future.”

The leadership change at Starbucks comes as the company faces declining sales and increasing pressure from activist investors. The coffee giant has reported two consecutive quarters of declining comparable sales, with weakened consumer sentiment and difficult market conditions in China impacting its financial performance. The company’s stock price fell by 20% before the announcement of Narasimhan’s exit.

Brian Niccol, credited with driving growth and profitability at Chipotle since 2018, has been appointed as the new CEO. Investors and industry experts are watching closely to see how Niccol’s leadership will influence Starbucks’ trajectory as it navigates this critical period of transition.