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Explainers

Pune To Starbucks HQ: A Look At New CEO Laxman Narasimhan's Journey

Narasimhan joins a list of people of India-origin who have made their mark as CEO of well-known multinational companies.

By - Sourit Sanyal | 2 Sept 2022 2:43 PM IST

On September 1, Starbucks announced Indian-origin Laxman Narasimhan as the new chief executive officer (CEO) of the American multinational coffee chain, who will succeed Howard Schultz. The Indian-American business executive previously served as the CEO of Reckitt Benckiser. 

With this, Laxman joins a list of people of India-origin who are at the helm of well known multinational companies. 

As Laxman's tenure is set to begin on October 1, here's a look at his journey.

How It All Began 

According to information available on the World Economic Forum website, Narasimhan's journey began in the city of Pune, Maharashtra. Born on April 15, 1967, Laxman was raised in the city as he attended the College of Engineering Pune

He later went abroad to pursue his higher studies, starting with an MA degree in German and International Studies from the Lauder Institute of the University of Pennsylvania. 

This was followed by an MBA in Finance, this time from the reputed Wharton School of the University of Pennsylvania, according to the website. 

Laxman served as the director and location manager of McKinsey & Company in New Delhi. He worked at McKinsey for 19 years until resigning in 2012. 

Time At PepsiCo

Narasimhan later joined PepsiCo in 2013 and primarily managed the company's operations in Europe, Latin America and Sub-Saharan Africa. 

He also served as the senior vice president and CFO of PepsiCo Americans Foods. became the chief executive officer of PepsiCo Latin America.

Laxman ended his stint with PepsiCo as the company's global chief commercial officer. He later joined Reckitt Benckiser as their new CEO in 2019

CEO Of Reckitt Benckiser

During their faltering growth in 2019, Reckitt Benckiser picked Laxman Narasimhan as the company's new CEO. 

The company is renowned for products like Nurofen tablets, Lizol disinfectant, Dettol and Durex condoms. 

Laxman joined the board on July 16, 2019 before replacing Rakesh Kapoor as the new CEO of Reckitt on September 1.

During his time as Reckitt CEO, Laxman was part of several plans for the company's strategy, execution and foundation capabilities. 

Prior to his move to Starbucks, Laxman Narasimhan ended his stint as the Reckitt CEO, announcing his resignation from the top post on September 1, 2022.

He will be replaced by Nicandro Durante as the interim CEO before the Board selects the future leadership on September 30, once Laxman relinquishes office. Reckitt's shares fell by 4%.

A veteran in the FMCG industry, Laxman Narasimhan will be reportedly shifting to the Starbucks global headquarters at Seattle, USA, shifting from London, UK after ending his stint at Reckitt on September 30. 

The Starbucks Move 

Starbucks announced Laxman Narasimhan as the new upcoming CEO on September 1. Laxman would be joining the coffee giants from October 1.

But according to a Reuters report, he would be learning about the company's "Reinvention" plan with Starbucks' interim CEO Howard Schultz. Laxman will later take charge as the CEO of the coffee corporate from April 2023. 

Schultz took the temporary CEO duties for the third time after the retirement of then-CEO Kevin Johnson.

As part of the "Reinvention" plan, Starbucks aims to focus on paying better salaries for baristas, improving customer experience and employee welfare. Along with this, re-imagination of stores is also a part of the plan. 

The coffee giants are undergoing a turbulent period. Workers have been demanding better benefits and wages in unions during a time of rising inflation.  

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