Woolworths non-executive director and World Cup cricket organiser Ralph Waters has been elevated to the chairman’s job after the surprise resignation of James Strong.

Mr Water’s promotion to the top job comes 20 months after he joined the supermarket giant’s board.

Mr Strong, 68, plans to step down from his post at Woolworths’ annual general meeting in Adelaide in November, paving the way for Mr Waters to take over immediately.

“Ralph is an eminently qualified successor and brings a wide range of leadership experience to the role,” Mr Strong said in a statement on Friday.

“It has been a privilege to have chaired this proudly Australian company for the past eleven-and-a-half years and I am delighted to be passing the role to someone of the calibre of Ralph.”

Mr Strong has been on the Woolworths board for 12 years and served as chairman for more than 11 years.

Mr Waters, who joined the Woolworths board in January 2011, is chairman of New Zealand company Fletcher Building as well as a director of NZ dairy group Fonterra Co-operative and the Australian-based rail, ports and stevedoring outfit Asciano.

He and Mr Strong, who was Qantas’ chief executive between 1993 and 2001, are also on the organising committee of the ICC Cricket World Cup 2015.

However Mr Water’s appointment appears to have received the tick of approval from investors and industry observers.

The Australian Shareholders Association (ASA) welcomed Mr Waters’ appointment.

“The fact that he is an incumbent director shows that Woolworths has a good succession plan in place,” ASA president Vas Kolesnikoff said.

“But having said that, boards don’t run the company, management does.

“It’s their job to ensure the right processes and procedures are in place.”

City Index analyst Peter Esho said Mr Waters would have his work cut out for him as Woolworths’ new home improvement stores Masters take on the hardware giant Bunnings.

“At first glance he doesn’t appear to have the global experience that a Jack Nasser of BHP does, but then again Woolworths is largely a local company,” he said.

“I think the new chairman will have to navigate the board as it as faces serious questions around its home improvement venture and divestment of its property book.”

During Mr Strong’s tenure as Woolworths chairman the company’s share price has more than tripled and annual sales more than doubled to $57 billion.

Mr Strong currently sits on the board of outdoor clothing and equipment company Kathmandu and is heavily involved in sport and the arts.