Starbucks (SBUX) Chief Executive Brian Niccol told employees the company needed to reorganize itself in order to make leaders more accountable for financial and operational improvements, The Wall Street Journal reported Wednesday.
The company in late February said it was cutting 1,100 corporate positions, or about 7% of the global employee base working outside of company-owned stores.
Niccol told corporate employees the company needed to make the changes because it was not effective at how things got done, according to the report. The CEO also called on corporate workers to take responsibility for improving the company's performance.
"We own whether or not this place grows," Niccol reportedly said in an address to employees.
Starbucks did not immediately respond to a request for comment from MT Newswires.
Shares were edging 0.5% lower in recent trading.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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