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The boss of the UK's Domino's Pizza chain who proposed the United Kingdom might have hit peak pizza while expanding the franchise into fried chicken has been removed after disagreements with its board.

Leadership Change

Rennie is leaving after only 24 months in leadership, and will be replaced on an temporary basis by the company's operations head, Frampton, while Domino's seeks a permanent CEO.

Rennie, who was with the company for over 20 years, had aimed to shift the UK's biggest pizza delivery company towards chicken offerings, commenting recently there was not “massive growth” left in the pizza sector in the UK. He said poultry was the quickest rising menu item in the international market.

Governance Friction

Reports indicate that there was tension between the CEO and the governance team over his approach and direction, although the company's announcement said he was stepping down “by mutual agreement”.

Recent Brand Launch

In the autumn, Domino's unveiled its Chick 'N' Dip offering – which the former chief described as a “major strategic shift” for the group – and is piloting it in select stores in the North West region and the province.

While the firm is still going to roll it out across its almost 1,400 stores in the coming year as intended, it views chicken products as an addition to its core pizza business.

Leadership Statement

Bull, the Domino's chair, commented: “Directors think that there are a number of opportunities to boost expansion and performance improvement in our primary operations. We are prioritizing identifying the suitable leader to lead the disciplined execution of that growth strategy.”

Industry Challenges

Earlier this month, the pizza delivery giant, which has 13 million customers in the British Isles, said transactions dipped by one and a half percent in the third quarter. In the summer, it cautioned that the takeaway market had “intensified” as it blamed economic uncertainty in the period before the budget and higher payroll outlays for below-target performance and a 15% drop in interim earnings.

Rival chains are also facing challenges. Another major chain announced the closure of 68 restaurants a last month, after the firm behind its British operations faced financial collapse.

Wellness Efforts

Responding to customer preferences towards healthier eating, the company has launched light items, such as its thin-crust range of bakes below 400 calories as well as vegan and allergy-friendly pizzas. A family-sized pepperoni has over 2,300 kcal. A big margherita has 2,171 kcal, while a individual has under 1,000 calories.

Acting Leadership

The interim chief has been with Domino's since the recent past, and had a background at the betting firm a well-known operator. It is understood that she prefers not to take on the CEO position on a full-time basis.

She said: “Our team has a multiple ongoing growth and performance initiatives that we will be concentrating on implementing at speed.”

She said these included ongoing development on the company's logistics network and new item creation, and its loyalty scheme.

Domino's is also lacking a full-time chief financial officer until the spring, when a new appointee joins from the drinks company a well-known firm. Until then, Richard Snow serves as temporary CFO.