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Characteristics and Behavior of Top Chain-Restaurant CEOs

Characteristics and Behavior of Top Chain-Restaurant CEOs

Abstract

This study reveals the function and characteristics of a restaurant CEO. Based on 85 CEOs' responses, including 37 from the quick-service segment and 25 from the midscale (family) segment, the CEOs exhibited some fairly consistent attributes and traits: a reliance on a reasonably short-term planning horizon, an entrepreneurial rather than "rational" or hierarchical management style, and an operationsor field-management-based perspective of the critical skills necessary for success. When asked what are the most important issues facing them, they most frequently mentioned hiring quality people, rising to the challenge of greater competition, meeting government mandates, and identifying changing consumer needs. When they focused on the competitive nature of the restaurant business, they enlisted such terms as market saturation, risk aversion by their boards of directors and owners, and the changing market environment. Only three out of four thought that they would be as successful in the future given the changes they foresee in the critical skills required of restaurant CEOs.
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