Shake Shack starts search for a new CEO
The longtime chief executive of Shake Shack Inc. is stepping down to spend more time with his family.
The casual-dining chain said that Randy Garutti has decided retire in 2024. Garutti, who joined Shake Shack in 2007 as COO and was appointed CEO in 2011, will continue to lead the company through the search for his successor.
In addition, Garutti will be retained as an advisor through the end of 2024 to ensure a proper transition. The company has launched an external search led by Korn Ferry to identify Garutti’s successor.
Under Garutti’s leadership, Shake Shack has grown from a kiosk in New York City’s Madison Square Park to a public company with more than 500 locations. The company is targeting $1 billion-plus in revenue this year. (Garutti started with Shake Shack’s founding company, Union Square Hospitality Group, in 2000 as general manager for its Tabla and Union Square Café restaurants.)
“Our seasoned leadership team is exceptional and well positioned to deliver on our ambitious plans,” Garutti said. “I have never been more optimistic about Shake Shack's potential and am deeply committed to ensuring a seamless transition.”
The original Shake Shack opened in 2004 in NYC’s Madison Square Park. It has has expanded to over 500 locations system-wide, including over 325 in 33 U.S. States and the District of Columbia, and 180 international locations across London, Hong Kong, Shanghai, Singapore, Mexico City, Istanbul, Dubai, Tokyo, Seoul and more.
“When we launched a hot dog cart out of Eleven Madison Park in 2001, and then three years later, turned it into Shake Shack - a kiosk in Madison Square Park - Randy asked for the ball,” said Danny Meyer, company founder and chairman. “Shake Shack was an overnight hit, but it had not dawned on me that we might grow the business beyond its first park location until Randy urged that we do so with a second Shack, nearly five years later.”
Meyer continued, “I don’t have adequate words to express the gratitude I feel for having Randy as my colleague and partner for all these years. He has built and led a globally-beloved brand whose rich culture has deep roots and he has paved the way for our next CEO to build on a rock-solid foundation.”
Garutti shared the news about his upcoming retirement with his team in A Message from our CEO, Randy Garutti.
“I never quite knew when this day would come, but in my heart, I’ve arrived at the realization that for me, my family and the company, this is the right time. Life plays out in a series of seasons,” he wrote. “ I’ve been lucky enough to experience boundless joy through this season of my life, and I know it’s time for the company to benefit from its next generation of leaders. Our current leadership team is an incredible group and is well positioned to drive the company forward to even greater heights.”