McDonald's CEO resigns to fight cancer
McDonald's (MCD) has taken yet another body blow to its battered but resilient executive suite. The fast-food giant's cancer-plagued CEO stepped down Monday, less than one year after the previous CEO was killed by a heart attack.
November 21, 2004
McDonald's (MCD) has taken yet another body blow to its battered but resilient executive suite. The fast-food giant's cancer-plagued CEO stepped down Monday, less than one year after the previous CEO was killed by a heart attack. Chief Executive Charlie Bell, 44, resigned to focus on his battle with cancer and was replaced by Jim Skinner, 60, who had been vice chairman. Skinner began his career at McDonald's 33 years ago as a restaurant trainee. The board of directors also elected Mike Roberts, who had been CEO of McDonald's USA, to the post of president and chief operating officer. Neither Bell nor Skinner was available for comment late Monday. Andrew McKenna, chairman of the board of directors, issued a statement praising Bell as a "remarkable leader" and calling Skinner an "outstanding leader who will continue the strategic focus" established by Bell and the former CEO he replaced, Jim Cantalupo. Walt Riker, a McDonald's spokesman, declined to comment on Bell's whereabouts Monday "out of respect to Charlie's privacy." Bell has missed a significant amount of time at work while undergoing cancer treatment. The executive changeovers at McDonald's have taken place as the company has undergone a virtual image and business renaissance. Its sales are up and so is its stock price. The question remains: Can this continue? "It goes to the core of what kind of company you are," says Lynn Kettleson, vice president of RDW Group, a crisis management specialist. "It's all about bench strength — and it appears they have it." At McDonald's, success isn't measured by the notoriety of its CEO, but by the acceptance of its latest product line, notes Paul Barron, senior partner at BMG Consulting, a restaurant and retail specialist. "If you asked almost any consumer who the number-one executive at McDonald's was, they couldn't tell you." McDonald's has quietly been preparing for the changeover for weeks. The move is not expected to rattle Wall Street. But yet another change at the top will be hard for many within the company. Even while battling cancer, Bell remained his outgoing and humorous self. Skinner, who personifies stability, is more reserved but has a dry and quick wit. "This is like changing the quarterback in the middle of a big football game," Kettleson says. "Skinner's job will be to communicate assurance — and to stay the course."
