(Bloomberg) -- Starbucks Corp. has named a new chief operating officer from within its executive ranks, backtracking on earlier plans to eliminate the role to promote a flatter management structure.
The coffee giant is promoting John Culver to the top operations job, it said in a statement, filling a role vacated earlier this year when Roz Brewer left to run Walgreens Boots Alliance Inc. In January, Starbucks said it would be distributing Brewer’s responsibilities to other members of the leadership team instead of hiring a direct replacement.
“I’m going to flatten the organization a bit,” Chief Executive Officer Kevin Johnson told Bloomberg TV at the time.
The company’s decision to reinstate the COO role is intended to help ensure predictable, sustainable long-term growth.
In the months since Brewer’s late February departure, the chain has reported some challenges, including growth that fell short of expectations in the second quarter due to continued virus restrictions and reports of ingredient shortages, including following its splashy Oatly oat-milk rollout across the U.S.
Incoming COO Culver -- currently group president overseeing the international business, among other units -- will also serve as group president for North America.
Michael Conway, who currently oversees international licensed markets, will become group president for international and channel development. Michelle Burns, senior vice president for global coffee and tea, will become an executive vice president as part of the management revamp. The changes are effective June 28.
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