A few weeks after November’s election, General Mills COO Dana McNabb will become CEO of the Fortune 500 company that’s been buffeted by inflation and a tough sales environment for consumer-packaged goods.

The Minnesota corporation, known for generations for making Cheerios cereal, on Wednesday announced an internal leadership transition. McNabb, 50, a 27-year veteran of General Mills, becomes CEO on Jan. 1, while veteran CEO Jeff Harmening remains with the company as the board’s executive chair.

McNabb will be the first woman to serve as CEO of General Mills, which began as a flour business in 1866 and formally was named General Mills in 1928 following a merger.

Since June 1, McNabb has served as COO with responsibility for all four General Mills operating segments and key operating functions. On July 1, the Golden Valley-based company reported fiscal 2026 net sales of $18.4 billion, which were down 5% from a year earlier. For the fiscal year, the operating profit was down 73% to $886 million.

“Returning the company to profitable growth is the priority, and we know how we’ll get there,” McNabb said in a Wednesday written statement. “By building industry-leading, digitally enabled demand generation, and modernizing our supply chain, we will fundamentally improve how we operate. This is a company with the brands and the people to win—my job is to make sure we do.”

Some of the best-known General Mills’ food brands include Betty Crocker, Pillsbury, Nature Valley, and Old El Paso. Blue Buffalo pet food also is part of the General Mills family of brands.

To boost consumer sales, General Mills cut prices in the past year or so on two-thirds of its North America retail grocery portfolio.

“The company is shifting its focus in fiscal 2027 to product innovation and renovation news centered on the benefits that matter most to today’s consumers, including better-for-you benefits like protein and fiber, bold flavors, fun, and indulgence, as well as the continued trend in pet humanization,” the company said in a Sept. 23 quarterly earnings release.

For the first quarter in fiscal 2027, General Mills reported that net sales of $4.4 billion were down by 3%. It attributed that decline to the U.S. yogurt divestiture and noted that organic sales were flat.

In the Sept. 23 release, Harmening, current CEO and chairman, characterized the first quarter as an “encouraging start” to fiscal 2027. Beyond efforts to build revenue through “stronger product innovation and renovation,” Harmening made a nod to ongoing cost-cutting efforts. “We are also executing with discipline in a volatile environment,” he said.

Harmening addressed the ambitious cost-reduction goals on July 1 when General Mills reported results for the full 2026 fiscal year. “We are laser focused on increasing our efficiency to help offset elevated inflation, fund our growth investments, and generate stronger earnings and cash flow,” he said in a written statement. “We’re targeting $3 billion in cumulative cost savings by fiscal 2030.”

Internal promotion, tough environment

McNabb’s transition to the CEO position is a smooth one because she has had time to learn about all the company’s business segments. It was four months ago when the company announced that she was being promoted to chief operating officer and would be joining the board of directors.

The board announced Wednesday that McNabb had been unanimously chosen to become CEO.

“Following a robust, multi-year succession planning process, the board is confident that Dana is the right executive to lead the company through its next chapter of growth and value creation,” Maria Henry, the board’s lead independent director, said in a Wednesday statement.

“Dana has made significant contributions as a key member of the executive leadership of the company over the past few years, and across the business globally throughout her career,” Henry said. “She has a strong track record of success, and a deep understanding of our consumers, our brands, our company, and our industry. Dana is an outstanding leader with a clear strategic vision that she will translate into tangible outcomes for our shareholders, employees, and the communities we serve.”

McNabb inherits the business strategy that Harmening has been implementing, which involves increasing sales to cost-conscious and beleaguered American consumers while also reducing business costs. General Mills operates North America retail, pet and food services businesses, as well as an international business. General Mills brands are sold in more than 100 countries.

McNabb on Wednesday lauded Harmening for modernizing General Mills. “He laid new groundwork for our digital and technology capabilities, revamped our portfolio for growth and challenged us to work and operate in ways that better match today’s world,” McNabb said in a statement. “We are a more resilient company today thanks to his leadership and foresight.”

Among Fortune 500 companies, men hold the vast majority of CEO positions. In Minnesota, four women currently are CEOs of Fortune 500 companies: Corie Barry at Best Buy, Beth Ford at Land O’Lakes, Terry Rasmussen at Thrivent, and Gunjan Kedia at U.S. Bancorp. Barry will hand the CEO baton to Jason Bonfig on Oct. 31.