Leadership - Management

Leadership Cameo: Julia Stewart, CEO IHOP

By Peter Langlois

I recently interviewed Julia Stewart about the strategic direction of IHOP, and why Julia and her company are investing in The Elliot Leadership Institute and its initiatives.

PL: I remember when you were with over at Taco Bell, which places a great emphasis on marketing and media advertising. How important do you, as a CEO, view the marketing function for IHOP?

JS: I held many positions at Taco Bell but never had the opportunity to lead the marketing function. In spite of that I did, and still do, view marketing as the lifeblood of the organization. It is marketing that forms the impressions and feelings that customers have of the brand. They are the group that creates a relationship with the consumer. It is then the operators’ role to reinforce those feelings or cement that relationship. Both groups have to work closely together as one cannot be successful without the other.

PL: It seems to me IHOP is unique in the relative high number of franchise stores in the system. What is the ratio of company/franchise stores today, and where are you heading? Why?

JS: IHOP has always been a franchise-oriented company. Today 99.5% of our restaurants are franchised. Traditionally, this number has almost always been above 90%. We will continue to be a franchise company and expect to only operate company restaurants in our test market of Cincinnati, Ohio. We believe that we have expertise in franchising and are able to provide support services that are second to none. We know that if we take care of our customer (the franchisee) he or she will take care of the restaurant guest. That makes us all more successful.

PL: You've made a big commitment to the initiatives being undertaken by The Elliot Leadership Institute. I also know you've been heavily involved in other organizations such as The Women's Foodservice Forum. What are your expectations from investing in ELI--why are you doing this?

JS: I believe that the Elliott Leadership Institute is unique and is making a difference. Like any other investment we make, we will look for a return on that investment. They are offering innovative services that are not available elsewhere in our industry. They are helping us develop today’s leaders and those that will lead us tomorrow.

Bio:

Julia A. Stewart

Julia Stewart, a 34-year veteran of the foodservice industry, serves as President, Chief Executive Officer, Chief Operating Officer and Director of IHOP Corp. Ms. Stewart has implemented significant shifts in strategy as she leads the efforts to revitalize the brand and realize IHOP's vision to become number one in family dining. Under her management, IHOP has successfully transitioned to an operations, marketing and training focused company that has generated industry-leading sales performance.

Prior to joining IHOP Corp. in December 2001, Ms. Stewart served as President of the domestic division of Applebee's International, Inc. Prior to joining Applebee's, Ms. Stewart held several key executive positions with Taco Bell Corporation, a division of Yum! Brands, Inc. Positions held Included National Vice President of Franchise and License and Western Region Vice President of Operations. Prior to Taco Bell, she held various key marketing positions with leading restaurant companies including Stuart Anderson's Black Angus/Cattle Company Restaurants, Spoons Grill & Bar, Burger King Corp., and Carl's Jr. Restaurants.

Named one of Top Fifty Women in foodservice by Nation's Restaurant News, Ms. Stewart has also held leadership positions within the foodservice industry including past president and founding member of the Women's Foodservice Forum, Executive Board Member of the California Restaurant Association, and President of the National Restaurant Association's Marketing Executives Group. Ms. Stewart is also the recipient of prestigious industry awards including the Silver Plate, Golden Chain, and the Commitment to People award.

Ms. Stewart serves on the Board of Directors of Avery Dennison, Town Hall Los Angeles, and the Women's Franchise and Distribution Forum. Additionally, Ms. Stewart is a member of The Elliott Institute's Leadership Council, a member of the UCLA Anderson School of Management Board of Visitors, and serves as a trustee of the California Science Center Foundation.