On August 30, Elie Maalouf, president and CEO of HMSHost resigned his position to “pursue new interests outside of the company,” according to a company statement. Maalouf will continue in his current role and responsibilities until new leadership is identified. He will also continue serving on the HMSHost Board of Directors.
In the following interview, Maalouf speaks with Pauline Armbrust about the reasons behind his resignation and what it means for HMSHost.
Armbrust: Why did you decide to make this change at this point in time?
Maalouf: After 14 years with this great company and six as its CEO, it’s time for me to turn the reins over to someone else for the opportunity to work with this great team. It has been very satisfying for me to be a part of HMSHost and Autogrill. Now HMSHost is in a great position to continue expansion, lead innovation, and present the best possible experience for travelers. I will be on the Board of Directors and continue to be involved with HMSHost.
I would like to add that we’ve enjoyed working together with ARN and watching it become the official voice of the industry over the years; ARN has had an overwhelming impact on this industry.
Armbrust: What does your resignation mean for HMSHost?
Maalouf: The company is very well positioned for growth at this time. Our trajectory in North America and Asia is going in the right direction. We have had a very strong year with several contract wins and extensions and we’ve received plenty of industry recognition. We’ve led the industry in terms of bringing the “new localization” (local restaurants and shopping) into airports.
In the last 12-18 months, we have had contract wins in San Francisco, Sacramento, John Wayne, Ft. Myers, Raleigh Durham, Salt Lake City, Las Vegas, Los Angeles and Phoenix, among others. Additionally there are nine new airports in the queue for contract win announcements. We’re also in the second year of our partnership with The Culinary Institute of America (CIA) and we offer CIA student externs the option of studying in several airports with multiple restaurant formats–from quick service to quick casual to fine dining. We are implementing our second round of externships at the Minneapolis-St. Paul, Tampa, and Seattle airports, and will be continuing to Orlando and Charlotte shortly.
We are changing the industry with terrific additions such as Rick Bayless’s Tortas Frontera at O’Hare. The first food truck in an airport will be going into LAX [Los Angeles International] in mid-2012, and we will have 20 local concepts coming to Phoenix in 2012. At the end of this week, at O’Hare’s International Terminal 2 we will introduce our new Urban Garden, which is a real hydroponic garden. We planted herbs and vegetables and will be using these fresh ingredients in our restaurants; it’s the first indoor airport garden in the world. That’s zero kilometer fresh food.
We are also leading the way on the convergence of shopping and dining. In our Z Market, we offer fresh food side by side with traveler necessities. We are the first and exclusive retailer to offer the Kindle e-reader in airports because we recognized the changes in how consumers read news media. We have a mobile app, B4YouBoard, for airport travelers which enables them to browse our menus, order food, pay and have it delivered to their gate. It’s available at JFK and as of Wednesday of this week, it will roll out in Minneapolis-St. Paul and then O’Hare this fall, which will be the start of a broader rollout. I’m very proud of the innovations our terrific team has implemented. They are passionate about their roles and obsessive in bringing outstanding dining and retail experiences to the traveling public, which will continue to move HMSHost into the future.
Armbrust: What will you be doing after you leave HMSHost?
Maalouf: I am very focused on implementing an effective transition and maintaining our momentum before I consider my next role.
Armbrust: What were some of your biggest challenges as CEO of HMSHost?
Maalouf: Of course, the difficult economy in 2008 and 2009 was most challenging, but we stayed focused on maintaining high standards, from customer service to providing a quality dining and retail experience. We continued to invest and that commitment paid off as we continued to succeed coming out of the downturn.
Also, the industry has robust competition but we are pleased with our contract wins, creativity, innovations and the recognition we have received. Additionally, we took on international growth beyond Europe into India and Asia, where there is attractive growth potential, and it has been rewarding to learn and overcome the cultural differences to be successful.
Armbrust: Is there anything you would have done differently?
Maalouf: I have fully enjoyed every day at HMSHost, but I wish I had found a little more time to spend with my wife and three sons. I will have the chance to catch up a bit on that now.
Armbrust: Describe your leadership style and how it has helped to bring success to HMSHost?
Maalouf: I begin with assembling an outstanding team and we work together to identify opportunities, develop a strategy, and discern what travelers and consumers want. Then I empower the team with the resources and capabilities to continue providing great dining and shopping experiences. It has been a very rewarding experience for me to work with our great team and watch them succeed in satisfying the traveler.
Armbrust: What are you most proud of during your years at HMSHost?
Maalouf: I am extremely proud of our track record and our teamwork in growing in North America, Europe, and Asia. I am proud of the trust the airport authorities continue to place in HMSHost and of our wins, renewals, and extensions throughout the years. We receive thousands of traveler comments all year telling us of the great experiences our customers have had in our stores. And of course, I’m proud of having been associated with my 34,000 colleagues who are committed and passionate about providing outstanding food and retail experiences; there is truly a collaborative spirit throughout this organization.
I want to thank Autogrill and CEO Gianmario Tondato da Ruos for allowing me to work with the best team in the industry.
Armbrust: What is HMSHost’s strategy for growth going forward?
Maalouf: North America will remain as our most important market and we will continue bringing innovative, creative, dining and shopping experiences. We also recognize the high passenger growth in international markets and that is why we are moving into Asia and beyond. We expect a strong trajectory going forward. Plus, the strength of Autogrill backing this company makes this growth a very viable strategy.
Armbrust: Any final thoughts?
Maalouf: I have thoroughly enjoyed my career here and being a part of an inspiring team that has had many successes. HMSHost is heading in the right direction and it will be a pleasure to watch its continued growth. We have the best team in the industry and I know the company will continue to be successful as it has been for the past 114 years.
