Kevin Johnson (executive)

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Kevin Johnson
Born
ResidenceBellevue, Washington
NationalityAmerican
Alma materNew Mexico State University
OccupationBusiness executive
Years active1986 - present
TitlePresident and CEO, Starbucks Coffee Company
TermApril 3, 2017 - present
PredecessorHoward Schultz
Board member ofStarbucks
WebsiteStarbucks

Kevin R. Johnson is an American businessman. He is chief executive officer (CEO) of Starbucks Coffee Company.[1] Beginning his career as a software engineer, he joined IBM as a systems engineer, in 1986,[2] then Microsoft, in 1992, eventually in worldwide sales and as president of its platforms and services unit.[3] Johnson was one of six executives, including Steve Ballmer and Bill Gates, who determined Microsoft's strategy.[4] He was CEO of Juniper Networks, from September 2008[5][6] to January 2014.[7][3] In 2009, Johnson joined the board of directors of Starbucks. In 2015, he was appointed chief operating officer (COO) and president of Starbucks,[8] becoming its CEO on April 3, 2017.[1]

Early life and education[edit]

Born in Gig Harbor, Washington,[9] Washington, Johnson was raised in Los Alamos, New Mexico, along with his siblings. His mother, Carol, was a pediatric nurse at the Children's Clinic of Los Alamos, while his father Jim worked at Los Alamos National Laboratory[8] as a theoretical physicist.[10] Johnson graduated from Los Alamos High School, in 1978[8] and later that year began attending New Mexico State University (NMSU), graduating in 1981, with a B.A. in business administration.[11] In May 2017,[11] he received an honorary Doctor of Letters from NMSU.[12]

Career[edit]

Johnson began his career as a software engineer at IBM, then worked in various roles at Microsoft, Juniper, and then Starbucks.

In 2008, Johnson was appointed by George W. Bush to the National Security Telecommunications Advisory Committee (NSTAC),[13] where he served under Bush and Barack Obama.[8] As chairman of the cybersecurity committee, Johnson was tasked with proposing methods to deal with a cyber security attack.[14]

Johnson has served as an advisor to Catalyst, an organization dedicated to women's career advancement;[10] is a founding board member of the nonprofit organization NPower; and supports Youth Eastside Services,[10][15][12] and the No Child Sleeps Outside campaign.[15]

IBM and Microsoft[edit]

Johnson began his career as a software engineer and became a systems engineer at IBM,[16] in 1986, working in the company's systems integration and consulting business unit. At IBM he also worked as a software developer in the petroleum and financial services industries.[17] Johnson joined Microsoft in 1992, working in global technical support[15][2] and, later, sales and marketing.[4][3] In 2001,[18] he led the rollout of Microsoft wireless internet in Starbucks stores,[19] which is when he met and began working with Starbucks founder Howard Schultz.[18] In 2003, Johnson was appointed group vice president of Microsoft's worldwide sales, marketing and services group.[3] As head of worldwide sales, the company's top sales post, he "re-engineered field sales and realigned subsidiary operations" in around 80 countries.[4]

On September 30, 2005 he was appointed co-president of Microsoft's newly created[17] Platforms division,[4] assuming sole responsibility after co-president Jim Allchin retired in 2006.[3] giving Johnson responsibility over Windows Live, Windows operating systems, online advertising, search functions,[20] servers, tools, and MSN online.[21] Johnson oversaw $20 billion out of Microsoft's $56 billion in revenue,[22] spearheading its "revamped online search and advertising strategy," regarded as crucial to competing with Google's online search tools.[17] In 2006, Fortune named Johnson fourth on a list of "Rising Stars" in the technology industry.[23]

On the Senior Leadership Team, Johnson became one of six executives along with Steve Ballmer and Bill Gates who oversaw strategy for Microsoft.[4] Overseeing the release of Windows Vista in 2006 and 2007, in 2007 Johnson led Microsoft's acquisition of the online advertising company aQuantive for $6 billion.[20] In 2008, he was a key figure in negotiations between Yahoo and Microsoft,[20] with Microsoft ultimately withdrawing an acquisition offer. He resigned from Microsoft in July 2008,[3] with Ballmer lauding his contributions.[20]

Juniper CEO[edit]

In September 2008, Johnson became CEO of Juniper Networks, in Sunnyvale, California.[24][6][25][5] In a statement announcing Johnson's departure from Microsoft to serve as CEO of Juniper, Steve Ballmer, CEO, Microsoft, praised Johnson's contribution to the company.[20] In July 2013, Juniper Networks announced that Johnson would step down as CEO and planned to retire. He continued to serve as CEO while a search for a new CEO was conducted.[26] In January 2014, Johnson was succeeded as Juniper CEO by Shaygan Kheradpir.[27]

Starbucks COO[edit]

Johnson became president and COO of Starbucks in March 2015, remaining on its board.[8][11] He had oversight of global operations, including the supply chain and technology supporting 21,000 stores in 66 countries.[10] He also oversaw online platforms[28] and worked with Schultz on a five-year strategic plan for the company, released in December 2016.[29]

Starbucks CEO[edit]

In December 2016 it was announced that Howard Schultz would step down as CEO of Starbucks, and in April 2017 that he had personally recruited Johnson to be his successor.[30] On April 3, 2017,[10] Johnson became the fourth CEO in Starbucks history,[18] also remaining president.[31] By 2018, he had implemented a number of changes, including the rollout of mobile ordering and pickup, and a global distribution deal with Nestle.[32][33] For $7.15 billion, Nestle agreed to market Starbucks products outside of Starbucks stores in countries such as the US and China,[33] as well as use Starbucks coffee in Nespresso and Nescafe products.[34]

Under Johnson, Starbucks acquired 100 percent of its East China joint venture for $1.3 billion. He also closed Teavana stores and the e-commerce unit, and sold Tazo to Unilever for $384 million.[32] Analyst commentary on his first year was mixed. While he received criticism for weak sales in the United States, he was praised by CNBC for growth in China[28] and well-received by Bloomberg and The New York Times.[32] Media also credited Johnson with a 15 percent stock value increase between 2017 and November 2018,[9] noted as "not far from an all-time high."[35]

In 2017, advocates petitioned Johnson to include baristas in Starbucks paid parental leave policy,[36][37] and Johnson announced an expanded policy in 2018.[28]

In May 2018, two black men, who had not purchased items, were arrested for trespassing in a Philadelphia Starbucks, resulting in public protests and accusations of racial profiling.[38][39][40] Describing the incident as "reprehensible"[40] and apologizing personally on Good Morning America, Johnson met with the victims[41] and the Philadelphia police commissioner to arrange a settlement.[39] Johnson was "widely praised" then for also closing all United States stores for racial-bias training.[35][39][41][42][43] and mandating anti-bias training for management[40][41] and new hires.[32]

In 2018, Johnson opened the Tryer Center, a Seattle research laboratory, to test new product and equipment ideas.[44] Under Johnson, in 2018 and 2019, the company began developing biodegradable lids, straws, and cups,[45] and partnered with UberEATS and Alibaba to deliver in the United States and China.[46] The Financial Times reported, in 2018, that "colleagues credit [Johnson's] tech background with helping Starbucks outpace other retailers in mobile ordering and payments."[33] He was named one of Seattle’s Most Influential People of 2018 by Seattle Magazine for partnering Starbucks and Mary's Place, along with other initiatives to support homeless families.[40]

In January 2019, it was reported that Johnson was scaling down several of Schultz's initiatives from two years prior, including testing of Starbucks Reserve Roastery cafes. According to The Wall Street Journal, that "discipline" had also resulted in slowed store growth in the United States, and that Johnson was "working to improve customer service, pushing the company to develop more innovative beverages and expanding its reach in China."[9] Under Johnson, Starbucks shares had risen 79 percent by August 2019, and Johnson pledged to return $25 billion to shareholders by 2020.[47]

Personal life[edit]

Johnson and his wife, June, have two sons[15][8] and reside in Medina[15] and Bellevue, Washington.[19] Around 2012 Johnson[48] temporarily retired from business to focus on health[12] and "things that are joyful."[19] Johnson is active in basketball, boating, golfing, skiing,[18] and hiking.[15] A sports fan, Johnson cites writings by basketball coach John Wooden as a personal influence.[19]

See also[edit]

References[edit]

  1. ^ a b "How Starbucks Can Guarantee Its CEO Transition Succeeds". Fast Company. April 3, 2017. Retrieved 2017-04-11.
  2. ^ a b "Kevin Johnson". Linkedin. Retrieved 12 November 2019.
  3. ^ a b c d e f "Kevin Johnson to leave Microsoft for Juniper". CNET NEWS. July 23, 2008. Retrieved 2009-02-03.[dead link]
  4. ^ a b c d e Gilbert, Alorie (21 September 2005). "Sizing up Microsoft's new Windows chief". CNET. Retrieved 12 November 2019.
  5. ^ a b Lai, Eric (2008-07-23). "Update: Windows and online chief to leave Microsoft in wake of Yahoo tussle". Computerworld. Archived from the original on 2008-07-31. Retrieved 2009-02-03.
  6. ^ a b "Juniper CEO: Timing right to step aside". Network World. 2008-07-25. Archived from the original on 2009-01-24. Retrieved 2009-02-03.
  7. ^ "Juniper Networks Names Kevin Johnson Chief Executive Officer". Juniper.net. July 24, 2008. Retrieved 2009-02-03.
  8. ^ a b c d e f O'Neill, Marie (10 November 2019). "Los Alamos High School Graduate Kevin Johnson Becomes CEO Of Starbucks". LA Daily Post. Retrieved 10 November 2019.
  9. ^ a b c Jargon, Julie (3 April 2017). "New Starbucks CEO Sees Growth in Suburbs, Midwest and Lunch, The Wall Street Journal". Retrieved 10 November 2019.
  10. ^ a b c d e "Tech Leader Kevin Johnson Begins New Role as Starbucks President and COO". 2 March 2015. Retrieved 10 November 2019.
  11. ^ a b c "Starbucks CEO Kevin Johnson to receive honorary degree". komonews.com. KOMO News. 11 May 2017. Retrieved 10 November 2019.
  12. ^ a b c Stolder, Steve (May 15, 2017). "Kevin Johnson Returns to New Mexico State to Receive Honorary Doctorate". Starbucks. Retrieved 14 November 2019.
  13. ^ "Committee Member Biography The President's National Security Telecommunications Advisory Committee" (PDF). Department of Homeland Security. March 25, 2010. Retrieved 13 November 2019.
  14. ^ Noyes, Andrew (May 22, 2009). "Experts make push for cybersecurity coordination center". Nextgov.com. Atlantic Media Co. Retrieved 13 November 2019.
  15. ^ a b c d e f Tu, Janet (April 3, 2017). "New Starbucks CEO aims to build company that will last a century". The Seattle Times. Retrieved 14 November 2019.
  16. ^ Ward, Marguerite (2017-04-03). "3 ways CEO Kevin Johnson's leadership style could shape Starbucks". CNBC. Retrieved 2018-11-09.
  17. ^ a b c Fried, Ina (24 July 2008). "Kevin Johnson to leave Microsoft for Juniper". CBS. CNET. Retrieved 16 November 2019.
  18. ^ a b c d Garnick, Coral (29 January 2017). "Starbucks expands parental leave in fight to recruit and retain workers". Puget Sound Business Journal. Retrieved 10 November 2019.
  19. ^ a b c d "A Conversation with New Starbucks CEO Kevin Johnson". Starbucks. April 3, 2017. Retrieved 14 November 2019.
  20. ^ a b c d e "Top online, Windows exec to depart Microsoft". msnbc.com. 2008-07-24. Retrieved 2018-11-09.
  21. ^ "Microsoft Announces Major Reorganization". The New York Times. Associated Press. September 20, 2005. Retrieved 20 November 2019.
  22. ^ Holen, Endre (June 2010). "My transition story". McKinsey Quarterly. Retrieved 20 November 2019.
  23. ^ Colvin, Geoffrey (January 25, 2006). "The war for top talent". Fortune. Retrieved 20 November 2019.
  24. ^ "Microsoft Windows Exec Kevin Johnson Jumps To Juniper". InformationWeek. 2008-07-24. Archived from the original on 2011-06-13. Retrieved 2009-02-03.
  25. ^ Sutton, Mark (2008-07-25). "Kevin Johnson signed as new Juniper CEO". ITP.Net. Retrieved 2009-02-03.
  26. ^ Bent, Kristin. "Juniper CEO Johnson Out Amid Q2 Earnings". CRN. Retrieved 2018-11-09.
  27. ^ "Juniper Networks gets new CEO". San Jose Mercury News. Retrieved 2014-02-20.
  28. ^ a b c Whitten, Sarah (2018-03-30). "One year into Starbucks' top job, CEO Kevin Johnson still has a lot to prove". CNBC. Retrieved 2018-03-30.
  29. ^ Taylor, Kate (2017-04-03). "Starbucks' new CEO tells us he'll never be Howard Schultz halehluijah- and that's great news for the brand". Business Insider. Business Insider. Retrieved 2017-04-11.
  30. ^ McGrath, Maggie (2016-12-01). "Howard Schultz Stepping Down As Starbucks CEO". Forbes. Retrieved 2017-04-11.
  31. ^ "New Starbucks CEO aims to build company that will last a century". The Seattle Times. 3 April 2017. Retrieved 11 November 2019.
  32. ^ a b c d Gelles, David (17 June 2019). "The C.E.O. of Starbucks Isn't Leaving. Only Howard Schultz Is". The New York Times. Retrieved 11 November 2019.
  33. ^ a b c Edgecliffe-Johnson, Andrew (9 December 2018). "Starbucks' Kevin Johnson: taking on a founder's brand". The Financial Times. Retrieved 11 November 2019.
  34. ^ "Starbucks and Nestlé Form Global Coffee Alliance to Elevate and Expand Consumer Packaged Goods". Starbucks. 7 May 2018. Retrieved 11 November 2019.
  35. ^ a b LaMonica, Paul R. (30 November 2018). "Starbucks is doing better than ever after Howard Schultz". CNN Business. Retrieved 11 November 2019.
  36. ^ Boushey, Heather; Bethell, Katie (4 April 2017). "Everyone should have a shot at paid family leave"". CNN. Retrieved 10 November 2019.
  37. ^ Garnick, Coral (29 January 2017). "Starbucks expands parental leave in fight to recruit and retain workers". Puget Sound Business Journal. Retrieved 10 November 2019.
  38. ^ Emily, Stewart. "Two black men were arrested in a Philadelphia Starbucks for doing nothing". Vox. Retrieved October 9, 2018.
  39. ^ a b c Gourguechon, Prudy. "The Psychology Of Apology: How Did Starbucks' CEO Kevin Johnson Do?". Retrieved 29 May 2018.
  40. ^ a b c d Stoonic, Niki. "Seattle's Most Influential People 2018: Starbucks CEO, Kevin Johnson". Seattle Magazine (November 2018). Retrieved 11 November 2019.
  41. ^ a b c Meyer, Ziati (April 27, 2018). "Starbucks CEO vows to learn from 'mistake' in racial incident". USA Today. Retrieved 19 November 2019.
  42. ^ Olsen (April 18, 2018). "Starbucks to close stores for an afternoon for bias training,". Los Angeles Monitor. Retrieved 19 November 2019.
  43. ^ Pitts, Loenard (April 20, 2018). "A standing ovation for the Starbucks CEO who confronted the truth about racism in America". Miami Herald. Retrieved 19 November 2019.
  44. ^ La Roche, Julia. "How tech-savvy Kevin Johnson is creating 'the next generation' of Starbucks". Yahoo! finance. Retrieved 19 November 2019.
  45. ^ Winer-Bronner, Danielle (9 July 2018). "Starbucks is eliminating plastic straws from all stores". The Financial Times. Retrieved 11 November 2019.
  46. ^ Lucas, Amelia. "Starbucks ramps up US delivery with UberEats as Chinese delivery booms". CNBC. Retrieved 11 November 2019.
  47. ^ Cannivet, Michael (29 August 2019). "Starbucks' Big Stock Buyback Limits Future Upside". Forbes. Retrieved 12 November 2019.
  48. ^ "The Health Scare That Revitalized Starbucks CEO Kevin Johnson". Fastcompany.com. Fast Company. January 15, 2018. Retrieved 14 November 2019.