Shake Shack has announced that Randy Garutti, the company’s chief executive officer for more than two decades, will retire in 2024 upon the selection of his successor.
He will continue to lead the company as its CEO and as an executive board member through that time. The company intends to retain Garutti as an advisor following his CEO service through the end of 2024 to ensure a proper transition.
The board has now launched an external search led by Korn Ferry to identify a successor. The search committee will be led by chairman Danny Meyer and independent directors Chuck Chapman, Jeff Lawrence, Lori George, and Josh Silverman.
Regarding his departure Garutti said: “It has been my honour to lead the talented Shake Shack team from our humble beginnings as a hot dog cart in Madison Square Park in New York City to the public company we are today. Together, we have achieved more than anyone dreamed, delighting communities across 18 countries, 33 states and more than 500 Shacks, while targeting to surpass $1bn (£795m) in revenue this year.
“I am most proud of the growth opportunities we created for our team members at every level and our shared commitment to uplift and take care of each other, our guests, our communities, our suppliers, and our shareholders.”
Garutti continued: “I will continue to lead Shake Shack through the search for a new CEO. Our seasoned leadership team is exceptional and well positioned to deliver on our ambitious plans. I have never been more optimistic about Shake Shack’s potential and am deeply committed to ensuring a seamless transition.”
Danny Meyer, the company’s founder and chairman, said: “I have had the privilege and pleasure of working with Randy since he first joined Union Square Hospitality Group 24 years ago as our youngest ever general manager for Tabla and Union Square Cafe, and next as director of operations for all of USHG’s acclaimed fine dining restaurants. 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.
“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. Now, nearly 20 years and over 500 Shacks later, Randy has more than earned the richly-deserved opportunity to think about his next act.”
