Starbucks CEO Laxman Narasimhan said the ‘diverse expertise’ of the Bimbo, YouTube and T-Mobile leaders will be integral in guiding Starbucks’ long-term goals.
Founder Howard Schultz initially introduced the Triple Shot Reinvention with Two Pumps strategy at the company’s Investor Day in September 2022. Schultz has subsequently stepped down as CEO and from the Board of Directors but holds a lifelong chairman emeritus position with the Seattle-based coffee chain.
Triple Shot Reinvention with Two Pumps focusses on three priorities: elevating the Starbucks brand; strengthening the company’s digital capabilities; and becoming truly global; customised with the ‘two pumps’ of unlocking efficiency and reinvigorating partner culture.
The strategy builds on the company’s significant business momentum over the past year, while laying out a roadmap for how it will deliver long term, sustainable growth.
Starbucks is pushing for a store count of more than 16,300 in the US in 2024 – a 4% new store growth – with aspirations to reach 20,000 over the long term. The company also aims to expand its global store footprint to 55,000 by 2030 – an average of eight new stores a day.
Operations and employee experience
Operationally, Starbucks is seeking to generate $3bn in savings over the next three years through margin expansion and earnings growth and has pledged to ‘reinvigorate’ employee culture across pay, conditions and training.
This is where the deep expertise of Servitje will come into play.
Daniel Javier Servitje Montull brings more than 20 years of global operations experience and insight into corporate business development, having served as CEO of Grupo Bimbo since 1997 and as chairman since 2013.
The global leader in the baking industry and an important player in snacks, Bimbo drives annual sales of $22.3bn with over 217 plants and more than 148,000 associates across 34 countries across the world. Bimbo’s 100+ brands include Bimbo, Sara Lee, Entenmann’s, Thomas’ English muffins and Takis tortilla chips.
Grupo Bimbo recognised as one of Time Magazine's World’s Best Companies and one of the World's Most Ethical Companies by Ethisphere Institute.
Servitje himself has received a slew of accolades, from International Executive of the Year by the Executives Club of Chicago to the Leadership for the Americas Award for Corporate Social Responsibility from the Inter-American Dialogue and the leader with the best reputation in Mexico, among others.
Servitje has also been appointed to serve on Starbucks’ Environmental, Partner and Community Impact Committee.
Consumer tech and media streaming
These capabilities are also pinpointed as key assets as Starbucks seeks to double its 75 million Starbucks Reward members within the next five years.
Enter Mohan and Sievert.
CEO of YouTube and a director on the Board of 23andMe, Mohan brings to the table his experience as chief product officer, responsible for all YouTube products, user experience and trust and safety. YouTube is used by over two billion people across the globe to watch and share video, access information, build community, and shape culture.
Sievert has been CEO, president and director of T-Mobile US since 2020. Under his leadership, T-Mobile has embarked on an expansive, multiyear growth strategy that builds on its longstanding leadership in value and customer experience while rapidly building the nation’s leading 5G network for its more than 117 million subscribers and more than 70,000 employees – driving annual revenues exceeding $80bn.
Mohan and Sievert will be appointed to serve on one or more of Starbucks’ committees at a later date.
“We are excited to welcome Daniel, Neal and Mike as new independent directors to the Starbucks board,” said Starbucks chair Mellody Hobson.
“These additions, combined with Laxman’s inspiring and strategic vision, complement our existing skills and experiences, and we are confident they will provide valuable perspectives as we continue to execute our strategy, drive growth and build long-term shareholder value for Starbucks.”
Servitje, Mohan and Sievert join eight other members on the Starbucks Board of Directors, including Hobson, Narasimhan, Richard Allison, Andy Campion, Beth Ford, Jørgen Vig Knudstorp, Satya Nadella and Wei Zhang.
