Red Lobster is banking on a brand new 35-year-old CEO to show its struggling company around.
The beleaguered fish chain last month announced the hiring of former PF Chang CEO Damola Adamolekun as a part of the reorganization plan; and the sale to a lender group led by asset manager Fortress Investment Group. After receiving approval from a U.S. bankruptcy judge last week to proceed with its proposal, the Orlando, Florida-based company is now awaiting discharge from Chapter 11 bankruptcy proceedings.
Red Lobster’s recent troubles stem from poor business decisions, including expanding its infamous Endless Shrimp promotion from an annual special to a day by day deal. The $20 all-you-can-eat menu, designed to lure customers back to the tables, was popular with diners but proved costly. The maneuver resulted in an $11 million loss, and the corporate’s restructuring team identified that the deal directly contributed to its bankruptcy filing in May.
The chain is now enlisting the leadership skills of 35-year-old Adamolekun, the previous Wall Street expert who led PF Chang’s operated it for about three years in the course of the turbulent COVID-19 pandemic, updating the menu and introducing takeout offerings.
Commercial success isn’t any stranger to Adamolekun. The Harvard Business School graduate’s resume includes banking giants Goldman Sachs, private equity firm Paulson & Co. and asset management firm TPG Capital.
With his destination now under the ocean, Adamolekun intends to “revitalize the brand by making it the best place to work for our employees and enhancing the experience for our guests,” said a Press release broadcasts his appointment.
He also made sure he got a taste of the industry’s murky waters before taking his latest job. In May, Adamolekun began visiting Red Lobster locations across the U.S., discreetly sampling menu classics — particularly the crab legs — and talking to longtime customers to learn more in regards to the chain’s pitfalls, in response to the Wall Street Journal.
Red Lobster fans “just want quality food in a comfortable setting and a connection to the brand’s history,” Adamolekun told the publication. “That’s the first step.”
The young CEO is able to face an expected 70 million dollar investment of Fortress to enhance the restaurants. He will almost definitely not take many breaks either, having previously said Assets he doesn’t imagine in work-life balance.
“My life is my work. My work is my life,” he said in an interview in 2023 about his day by day routine as CEO of PF Chang. Unlike most employees, his workday began promptly at 4 a.m.
The on a regular basis lifetime of a CEO
Running a worldwide restaurant chain during turbulent economic times is a 24/7 job, and for Adamolekun, it truly is.
“Even on a Saturday, I’m at my pool, but I’m still checking emails and answering things,” he said. said“It’s fine with me and doesn’t stress me out.”
He picked up this habit early in his profession as an analyst at Goldman Sachs.
“I thought it was great,” he said. “I had no concerns about going there on a Saturday, I thought it was cool.”
Adamolekun told Assets He has never been one to separate his work and private life. He says “it all blends together,” but admits that is not for everybody.
“I’m not saying people shouldn’t separate work and personal life, but I’ve never really done that,” he said.
As CEO of PF Chang’s, Adamolekun said he encourages his employees to construct in “buffers” in the course of the week, corresponding to taking a day without work on Tuesday or Wednesday, since weekends are typically the busiest time at restaurants.
The restaurant business is a 24-hour business that typically requires long hours and late nights, but Adamolekun’s days start sooner than most.
While working on the Asian-inspired restaurant chain, Adamolekun began his mornings “very early” at 4 a.m. before setting off on a 13-kilometer run.
“It’s a great way to start the day,” he said. “You feel better all day, smarter, more alert and more energetic. So I try not to miss it.”
After showering and preparing for the workday, Adamolekun checked his email for the day past’s data before making the 20-minute commute to PF Chang’s headquarters in Scottsdale, Arizona.
After arriving promptly at 7 a.m., Adamolekun was often greeted on the office by other early risers from his senior management team, including his CFO and his operations manager. The executives often stopped by one another’s offices to share the day past’s performance and observations.
Adamolekun’s first meetings of the day began at 8 a.m., and his schedule included a combination of conversations with other teams in the corporate, direct reports, investors and external partners. Between Zooms and in-person chats, Adamolekun prioritized answering emails that required his approval, “so that whoever is waiting for me can do what they need to do.”
The constant receipt of latest messages in his inbox was a full-time job: “To be honest, I answer a lot of my emails later in the day because the days are just pretty stressful.”
Even after he left his office at around 6 p.m., Adamolekun was still answering emails. But the workday wasn’t all the time over. As the pinnacle of a restaurant chain, the managing director often attended business lunches after work.
“But when I don’t have anything like that, I usually try to relax and take it easy, especially during the week,” he said.
An avid sports fan, he often relaxed by watching a sports game on television, reading books or smoking a cigar on his patio.
“I used to have [Phoenix] “Suns season tickets,” he said. “I used to go to games for that, but then I moved. I live far away now, it’s too far – it’s about an hour – so I gave them away.”
Adamolekun said his after-work activities were “not too exciting” given his incredibly early wake-up time.
“Early to bed, early to rise, that’s my routine.”
