Starbucks chief operating officer John Culver is leaving the company after two decades with the coffee chain in a restructuring that will eliminate his role.
His exit comes amid a broader senior management reshuffle at Starbucks. Former CEO Kevin Johnson retired earlier this year, prompting Howard Schultz to return to the helm of the company as interim CEO until a long-term successor is named.
Effective October 3, Culver will step down from his current position and serve as Executive Advisor until leaving the company at the end of the year.
Starbucks said it will eliminate the chief operating officer role because many of Culver’s direct reports are managed by Schultz. Frank Britt, the company’s chief strategy and transformation officer, will oversee the rest, including the global supply chain and technology functions.
John Culver, Starbucks
Source: Starbucks
Since his return, Schultz has promised that bold changes are on the way. Investors will learn more about this strategy at the company’s September 13 Investor Day in Seattle. Cowen analyst Andrew Charles assigned a 50% chance in a note to clients Thursday that the new CEO will be announced at the investor presentation.
“As we speak to the external candidates for the CEO position, we have shared the reinvention plan and our aspirations for the future,” Schultz wrote Thursday in his letter to employees addressing Culver’s departure. “The candidates are extremely excited and positive and everyone is pleased to see that we are investing ahead of the growth curve and reinventing the partner, customer and store experience.”
Starbucks has used his role as chief operating officer as a training ground for future chief executives, and Culver has been viewed as a potential candidate for the top job. However, Schultz said in June that the company was looking externally for the new chief executive officer, who is expected to be announced in the fall.
Culver has been Chief Operating Officer and President of the company’s North America business for a little over a year. Prior to that, he led Starbucks’ international, channel development and global coffee, tea and cocoa divisions. Culver also serves on the boards of directors of Columbia Sportswear and Kimberly-Clark.
“Given the moment we are in with our ongoing reinvention, this is the right decision as we set the course and future path for Starbucks,” Culver wrote in a letter to employees Thursday.