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The chief executive of the UK's Domino's Pizza chain who suggested the United Kingdom might have hit pizza saturation while broadening the franchise into chicken products has been replaced after disagreements with its directors.

Executive Change

Andrew Rennie is exiting after a brief tenure in charge, and will be replaced on an interim basis by the organization's operations head, Nicola Frampton, while the pizza giant searches for a new leader.

The outgoing executive, who served at Domino's for over 20 years, had attempted to redirect Britain's biggest pizza takeaway chain towards fried chicken, commenting earlier this month there was not “huge potential” left in the pizza sector in the UK. He said poultry was the most rapidly expanding protein in the international market.

Governance Friction

Sources suggest that there was disagreement between the CEO and the directors over his approach and business vision, although the company's release said he was leaving “through mutual consent”.

New Product Launch

In the autumn, the chain unveiled its chicken-focused brand – which Rennie described as a “bold new chapter” for the organization – and is trialling it in over 200 locations in the north-west of England and Northern Ireland.

While the company is still going to roll it out across its extensive network next year as planned, it considers fried chicken as a supplement for its core pizza business.

Leadership Statement

The Domino's chair, the company chair, stated: “Directors think that there are a series of prospects to drive further growth and profitability in our primary operations. We are focused on identifying the right chief executive to oversee the careful implementation of that development approach.”

Industry Challenges

Earlier this month, the pizza delivery giant, which has a substantial customer base in the British Isles, said orders declined by one and a half percent in the Q3. In August, it alerted that the quick-service industry had “become tougher” as it attributed reduced spending in the run-up to the budget and increasing labor expenses for below-target performance and a significant fall in half-year profits.

Rival chains are also struggling. Another major chain revealed the closing of dozens of outlets a month ago, after the firm behind its British operations faced financial collapse.

Health Efforts

Trying to keep up with consumer trends towards balanced diets, Domino's has rolled out reduced-calorie products, such as its thin-crust range of pizzas below 400 kcals as well as meat-free and allergy-friendly options. A family-sized pepperoni has 2,311 kcals. A large cheese and tomato pizza has 2,171, while a small has under 1,000 calories.

Acting Leadership

The interim chief has been with the company since the recent past, and had a background at the gaming group a well-known operator. It is understood that she prefers not to take on the chief executive role long-term.

She commented: “The company has a several current expansion and efficiency programs that we will be concentrating on executing at a rapid rate.”

She added these involved additional efforts on the company's logistics network and product development, and its loyalty scheme.

The pizza chain is also without a permanent finance director until the spring, when Andy Andrea comes aboard from the beverage producer a well-known firm. Until then, Snow acts as temporary CFO.