Article

McDonald's CEO Jim Skinner to retire; COO Don Thompson to succeed

Skinner was an architect of chain’s Plan to Win strategy, which included reimaged restaurants and a broader menu.

March 21, 2012 by Alicia Kelso — Editor, QSRWeb.com

McDonald’s Corporation has announced that vice chairman and CEO Jim Skinner will retire after 41 years with the company. His last day is June 30.

The board of directors has elected current president and COO Don Thompson to succeed Skinner as CEO, effective July 1.

Skinner, 67, was named McDonald’s CEO in November 2004. He is one of three architects of the company’s Plan to Win strategy, put into place in 2003 that has focused on “being better, not just bigger.”

The Plan to Win has yielded reimaged restaurants, increased menu variety -- including the launch of the successful McCafe line -- and global initiatives championing balanced, active lifestyles. Since the plan was activated, the company has experienced nearly nine years of increased global comparable sales and a more than 500 percent increase in stock value.

Skinner’s leadership priorities also include long-term sustainable growth, talent management and leadership development.

In 2007, Dow Jones/Marketwatch named Skinner “CEO of the Year,” and in 2008, Skinner was named one of “America’s Best CEOs” by Institutional Investor magazine. Chief Executive magazine named Skinner the "2009 CEO of the Year" and he was recently named one of Barron’s “30 Most Respected CEOs.”

"Jim's stellar leadership has driven unprecedented momentum at McDonald's. This success has benefitted our valued shareholders, as McDonald's compound annual total shareholder return was 21 percent during Jim's tenure as CEO, and market capitalization surpassed $100 billion for the first time in the company's history," said Andy McKenna, chairman of McDonald's board of directors. "Jim has brought to the table exceptional knowledge of McDonald's restaurant operations and a keen sense of business know-how. We salute Jim for his years of service to McDonald's, and will miss his passion, candor and wit.”

A long history with the company

After serving nearly 10 years in the United States Navy, Skinner steadily worked his way up the company ladder. He began his career with McDonald’s as a restaurant manager trainee in Carpentersville, Ill., in 1971, and since then has held numerous leadership positions. Prior to being named CEO, Skinner served as vice chairman of McDonald's Corporation, and had management responsibility for Asia-Pacific, Middle East and Africa (APMEA), and Latin America, in addition to overseeing most corporate staff functions. Since the beginning of 2003, he was accountable for McDonald’s Japan Limited, McDonald’s second-largest market with nearly 4,000 restaurants.

Before becoming vice chairman, he served as president and COO of the McDonald’s Restaurant Group, with operating leadership for all of the company’s global restaurants. Prior to that, Skinner served as president and COO of McDonald's - Europe, Asia, Pacific and Middle East, with management responsibilities for the nearly 12,500 restaurants operating in those geographic sectors.

From 1997 to 2001, Skinner was president of McDonald's Europe, and previously he was EVP and international relationship partner for Central Europe, Middle East, Africa, and India from 1995 to 1997.

Skinner joined McDonald's International management team in 1992 as SVP and relationship partner, overseeing McDonald's development in Central Europe, Middle East, Africa, and India.

He also held numerous positions within the McDonald’s U.S. organization, including director of field operations, market manager, regional vice president and U.S. senior vice president and zone manager.

Skinner has been a member of the board of directors of McDonald's Corporation since 2004. Upon his retirement, he also will resign his position on the board.

“Doing what's right for our customers and our business has driven my passion as CEO of McDonald's. I'm honored to have served and earned the trust of the board, our shareholders, franchisees, suppliers and the men and women of this great company,” Skinner said. “Don Thompson is well prepared for the CEO role, and under his leadership, our company will continue to meet the needs of our 68 million customers around the world every day. With Don at the helm, I am extremely confident in the future of McDonald's."

Don Thompson to take over

McKenna pointed to Thompson’s strategic leadership and global business insight as attributes that led to his promotion.

Thompson, 48, became president and COO of McDonald's in January 2010. In this capacity, he has directed global strategy and operations for more than 33,000 McDonald's restaurants in 119 countries.

He served as president of McDonald's USA from 2006 until 2010. In that role, he was responsible for the strategic direction and positive business results of the nearly 14,000 restaurants in the U.S.

Thompson began his 22-year tenure at McDonald's in 1990 as an electrical engineer. Since then, he has held a variety of leadership positions in the U.S. business and global system. In addition to serving on McDonald's board of directors, Thompson is a member of the board of directors of Exelon Corporation and Northwestern Memorial Hospital. He also is a trustee of his alma mater, Purdue University.

Thompson also has been recognized by several organizations for his leadership in business. In 2007,  Black Enterprise named him Corporate Executive of the Year. In 2008, he received the Corporate Executive Award from the Trumpet foundation. Thompson also received the presidential inspiration award from Alpha Phi Alpha fraternity incorporated in 2009, and was recognized with the Executive Leadership Council’s Achievement Award in 2010.

Thompson also was named one of the five QSR executives to watch in 2010.

He received his B.S. in Electrical Engineering from Purdue University and has since accepted the Purdue University Outstanding Electrical and Computer Engineering Award along with being named a Purdue University Old Master Fellow in 2006. In 2008, he received an honorary doctorate degree from Excelsior College in Albany, New York.

"I'm honored by the board's election," said Thompson. "Jim has been an outstanding leader, mentor and friend. I'm humbled to take the baton as CEO of McDonald's. Our management team is strong and will remain focused on the Plan to Win and on our three global priorities -- optimizing the menu, modernizing the customer experience and broadening our accessibility to even more customers. Our franchisees, suppliers and employees are committed to ensuring that McDonald's is our customers' favorite way and place to eat and drink."

Read more about operations management.

About Alicia Kelso

---

None

Connect with Alicia: