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A boss of the UK's Domino's Pizza chain who indicated the UK might have reached maximum pizza demand while broadening the company into poultry items has been removed after disagreements with its board.

Leadership Shake-Up

Andrew Rennie is exiting after just two years in leadership, and will be succeeded on an temporary basis by the company's operations head, Frampton, while the pizza giant searches for a permanent CEO.

Rennie, who was with the company for over 20 years, had aimed to pivot the UK's largest pizza delivery company towards poultry-based products, stating in a recent interview there was not “huge potential” left in the pizza sector in the UK. He noted poultry was the most rapidly expanding food category in the globe.

Governance Tensions

Sources suggest that there was disagreement between Rennie and the governance team over his focus and management style, although Domino's announcement said he was stepping down “as a joint decision”.

New Product Launch

In September, the chain unveiled its chicken-focused brand – which Rennie described as a “significant new phase” for the company – and is trialling it in 210 outlets in the North West region and the province.

While the business is still intending to launch it across its extensive network in the coming year as scheduled, it regards fried chicken as complementary to its core pizza business.

Board Comment

The Domino's chair, the Domino's chairman, said: “The board believes that there are a number of opportunities to drive further growth and profitability in our primary operations. We are focused on identifying the right chief executive to lead the systematic rollout of that development approach.”

Industry Difficulties

In the latest update, Domino's, which has millions of users in the British Isles, said transactions declined by one and a half percent in the Q3. In the summer, it cautioned that the quick-service industry had “intensified” as it blamed reduced spending in the lead-up to the budget and rising wage costs for weaker-than-expected sales and a 15% drop in half-year profits.

Competitors are also facing challenges. Another major chain announced the shutting of 68 restaurants a recently, after the company behind its UK venues entered insolvency.

Health Efforts

Responding to consumer trends towards healthier eating, Domino's has launched light items, such as its thin-crust selection of pizzas below 400 kcals as well as vegan and wheat-free options. A large pepperoni pizza has over 2,300 kcal. A big margherita has over 2,100, while a personal has 909 calories.

Acting Leadership

The interim chief has been with the company since the recent past, and had a background at the betting firm William Hill. It is believed that she does not want to occupy the top job on a full-time basis.

She commented: “Our team has a number of current development and efficiency programs that we will be dedicated to implementing at a rapid rate.”

She added these involved additional efforts on the organization's logistics network and menu innovation, and its loyalty scheme.

The pizza chain is also lacking a permanent CFO until 16 March, when Andy Andrea comes aboard from the Irish cider and beer maker a well-known firm. For now, Snow is interim finance chief.