A Conversation with Le Cordon Bleu about Talent, Trends, and Entrepreneurship
May 12, 2021
I recently connected with Dr Thomas Kyritsis, Senior Lecturer at Le Cordon Bleu and Director for the Master and Bachelor programmes which the organisation runs together with Birkbeck College, University of London, Our conversation started on the impact of Brexit on education and the UK hospitality industry but quickly moved to other topics. Are industry executives still ‘taking the plunge’ to pursue their own entrepreneurial endeavours? If so, what trends or shifts in consumer behaviour should individuals keep in mind that might shape the industry …?
Restaurant CEO Pay and Performance
December 8, 2020
2020 has been an incredibly tumultuous year within the restaurant industry. Due to the pandemic, the industry has seen closures, bankruptcies, acquisitions, and a complete shift in the way guests interact with restaurants. This year will be a watershed moment for every CEO and very well could determine the future of their businesses and careers.
The New Restaurant CIO
October 25, 2019
Today’s restaurant industry is extremely competitive. More than ever, brands rely on technology to capture market share while, at the same time, speak to their multigenerational customer base. How to best navigate these waters falls on the company’s Chief Information Officer (CIO). Gone are the days when the CIO focused solely on internal infrastructure. Today’s CIO must be focused on customer-facing technologies, e-commerce, social media tech, cybersecurity… all while upgrading legacy POS, inventory, and labour management systems. With this shift in focus comes a shift in strategy when identifying a restaurant brand technology leader for the future.
Hotel Food & Beverage - Where to Invest in Talent?
April 29, 2019
It feels as though hotel food and beverage has received a lot of renewed attention in the industry as of late. Twenty years ago, around the turn of the millennium, we experienced a reinvention of the hotel fine dining model with the introduction of big name ‘celebrity’ chefs into hotels through outsourced, leased and/or licensing deals. One of the most prominent of such deals was that made between Blackstone and Gordon Ramsay at Claridge’s in London, which spawned a decade of followers as hotel ownership succumbed to the old adage that “hotels can’t do F&B” and instead opted to give the space over to someone who supposedly could.
The ‘Hot Seat’ of a Restaurant CEO
March 29, 2019
AETHOS conducted a recent study of the leadership teams at some of the UK’s prevalent fast-casual and casual dining restaurant operators. The study indicates what many have pointed out for a while now – spearheading a restaurant company is a very ‘hot seat’ indeed.
In Conversation With Restaurant-Pro Monique Borst, Non-Executive Board Director and Adviser To F&B Entrepreneurs
February 28, 2019
February saw, for the first time, the Global Restaurant Investment Forum (GRIF) come to Europe. [...] Taking the opportunity to be together in one spot, AETHOS caught up with Monique Borst over a cup of coffee in Amsterdam. Monique is a seasoned industry expert and can draw on more than 20 years of experience in food service and food retail. She has worked with world-recognised brands such as Harrods, Sodexo and the Compass Group, and has held commercial as well as board-level functions. Nowadays, Monique uses her corporate and start-up experience to help restaurant entrepreneurs kick-start and/or expand their business.
Cross-Industry Hiring Decisions: Recruiting Leaders from the (System Chain) Restaurant Industry - Opportunities and Threats for Lodging Operators to Consider
February 25, 2019
Hoteliers have historically considered the Food & Beverage (F&B) department as a loss leader, a ‘must-have’ to appease paying hotel guests. To put it bluntly, money was to be made on the rooms side of the business. Yet, times and attitudes have changed. Clients have become more discerning and thirstier for authentic and local experiences to tease their taste buds whilst hoteliers have recognised that their in-house F&B offering can be a point of differentiation.
The Broken Record Discussion – Boardroom Diversity Within The Restaurant Industry
January 23, 2019
Participating in countless client board meetings, I can say with confidence that gender diversity within the boardroom leads to first-rate ideation and collaboration. In addition, credible studies conducted by the likes of Boston Consulting Group and McKinsey & Company prove out a strong correlation between a board comprised of a larger female presence and superior results in the boardroom. While top governance experts have been promoting greater gender diversity for more than a decade, not much has changed within the restaurant industry. These glum statistics say it all.
2019 Psychometric SWOT – Understanding High-Performing Restaurant Operations Executives
March 15, 2019
The tech era has highlighted the importance of data mining and data wrangling and has made these processes critical when it comes to decision-making and even tactical execution. It is easy to assume that evidenced-based insights and models would only apply to business metrics and issues, but the burgeoning science of Human Resources shows that “big” data can help in “big” ways to positively impact people metrics and issues. The use of legally defensible psychometric assessments in hiring and succession planning offer clear examples of this.
A Review of the Global Restaurant Investment Forum
May 14, 2018
Optimism Prevails as Artificial Intelligence and Process Engineering Provide Untapped Upside Potential. Undoubtedly, though, the restaurant sector across EMEA is facing numerous challenges. These range from higher business rates and landlords wanting to up rents to significant changes in the consumer behaviour, technological advancements altering the business landscape as well as broader socio-political issues. The latter ranges from Brexit in the UK, which continues to put a strain on prices, costs and the supply chain, to continued localisation efforts in some of the Middle Eastern markets, which sees a large expat community leaving. In both these markets and instances, the consequences of the socio-political movements has also had a marked impact on the availability of qualified talent. Moreover, there is of course more competition in the form of new brands. Many of those new concepts, as well as some of the more established players, have sought private equity money to help speed-up their growth plans. Burdened with an already high pressure to perform and deliver returns on investment, some of these organisations are now beginning to falter in the current difficult trading environment. In short then, it is tough out there and trading conditions are not the best either. So, why the optimism?
The CEO Merry-Go-Round Continues: Recent Trends in CEO Compensation
March 10, 2018
Being a CEO in the restaurant industry is tough work; and short lived for many. Nearly 20% of the CEOs in our annual study of pay-for-performance resigned, retired or were pushed out. It would stand to reason that deficient performance would precipitate a CEO’s ouster, but was that really the case?
Tips To Operate With Living Wage In The British Hospitality Sector
July 17, 2017
Mark and I spoke about how a significant number of employees in the UK received their biggest pay rise to date as the National Living Wage leapt to £7.50 an hour on April 6th, 2017. In line with Chancellor Philip Hammond’s Autumn Statement and Spring Budget announcement, more than two million employees over the age of 25 benefited from the 4% increase. Further to this, 21- to 24-year-olds received a rise of 10 pence per hour. This is in a bid to reach the government’s target of £9 per hour by 2020 for over 25s, with further demand to extend this increase to 21- to 24-year-olds. According to Tahola, an industry’s leading business analytics provider, this could result in operators facing an annual increase of £100,912.50. However, it’s not just labour costs that will hit operators; planned increases in employer pension contributions from 1% to 3% could elevate the cost to operators to more than £109,000 by 2020.
CEO Talk: Daniel del Olmo, DineEquity
June 15, 2017
Industry observers will have noted that restaurant organizations worldwide are facing a more crowded market space. With it comes a plethora of old and new challenges. Those that restaurant entrepreneurs and larger corporations have struggled with for decades, and that will continue to be “hot topics” going forward, include, for example, skill shortage, succession planning and retention as well as fierce competition from the “new kids on the block” (i.e. the up-and-coming and sexy start-up brands). “How do we keep our staff?” and “Who is the person best equipped to handle the expansion plans of our business?” are questions discussed at most senior management meetings.
Senior Leadership Succession Planning Within the Restaurant Industry
April 26, 2017
Some would excuse the malaise (in the casual dining industry) because of the soft economy, demographic changes, and even the weather. However, that doesn’t explain the remarkably few success stories who must compete for similar customers and are at the mercy of identical forces as the failing brands. In my view, the casual-dining segment is mired in a management carousel that, for over a decade, has bounced senior management from one company to the next on the basis of little more than their title.
HR Strategies for Growth for Aspiring Restaurant Entrepreneurs
May 7, 2017
The hospitality industry remains one of the backbones of the economy in the Middle East, and the food and beverage (F&B) sector is certainly contributing its fair share. In the past, many regional businesses opted for an internationally recognised concept, but, nowadays, the market has matured and witnessed diversification. The UAE, in particular, has become a foodie destination in its own right and there is a notable appetite – from investors, developers and the consumers – for home-grown concepts. Not surprisingly, new outlets have sprung up (from ‘Cougley,’ to ‘Cocoville,’ to other home-grown start-ups such as Folly, Hikina, Matto Italian Restaurant, Publique or Ruya). The list is endless.
Restaurant CEO Pay for Performance: Accountability is on the Rise
October 29, 2014
David Mansbach, Managing Director at AETHOS Consulting Group and author of the study, reviewed 37 publicly-listed restaurant companies and, using the AETHOS Value Index (AVI), identified those CEOs who excelled at their job and increased value for shareholders but who were underpaid relative to their performance and peers. Also reviewing the Top10 of those CEOs who were overpaid, David Mansbach highlights the importance of greater accountability and transparency at board level when it comes to CEO compensation.
A ‘Hot’ UK Casual Dining Market per Investment Activity - Choosing the Right Partner is Key
January 22, 2016
The news about Boparan Restaurant Holdings (BRH) purchasing the Cinnamon Collection only days after we learned about Equistone Partners Europe Limited acquiring a majority stake in GAUCHO is an indication that the UK restaurant scene continues to be a ‘hot’ one. Private equity firms, investment companies and family offices are keen to increase their exposure to the consumer sector and the ‘hunt’ for fresh, high-growth potential restaurant concepts continues.
Is Your CEO Worth the Salary You Are Paying?
January 14, 2013
This year we analyzed CEO compensation for 53 public restaurant firms. Based on our pay-for-performance model, the top performer was Joel A. Schwartz of Benihana Inc.
U.S. Chain Restaurant CEO/CFO Compensation Study 2007
January 11, 2013
The biennial study addresses trends in total compensation for two of the most senior positions in an organization in the US chain restaurant industry.
Hotel Restaurant Solutions - Turning a Headache into an Opportunity
January 11, 2013
Critical issues to consider when outsourcing a hotel’s restaurant operations to a professional restaurant brand/operator.
Management Over Easy – The Talent Fix for Casual Dining
January 10, 2013
Why does the casual dining sector still employ so-called “leaders,” yet winds up persistently lagging behind relevant metrics for the industry? Dave Manasbach prescribes the perfect recipe to revive this sector in an article for the Restaurant Finance Monitor magazine.