Warren Thompson

Warren M. Thompson is founder, president, and chairman of Thompson Hospitality Corporation, one of the largest contract food service and facilities management companies in the United States, with a portfolio of more than 65 restaurants across 17 different brands. Thompson, a first-generation college graduate, continues to support education and local communities through his company’s scholarships, sponsorships, and charitable donations, which have totaled more than $8 million since 2019.

VEDP: Tell us a bit about Warren Thompson. What do you want readers to know about you?
 
Warren Thompson: I’m a Virginian, born and bred. I was raised in a small town called Windsor in the southeast part of the state, went to undergrad at Hampden-Sydney College, then grad school at the University of Virginia. Virginia has been my home all of my life, for the most part. I did live in Maryland shortly, and New Jersey for a brief time, but moved back to Virginia in 1989 in my last assignment with Marriott. I was allowed to pick anywhere on the East Coast to locate an office running Marriott’s East Coast airport restaurants. I chose Reston, Va., because the vibrance of a planned community, I thought, would be just a great place to live and work.

VEDP: You’ve always had an entrepreneurial spirit, even as a teenager. What motivates you in your career?
 
Thompson: I was so fortunate to have a strong family upbringing. My father and I were business partners early on, and best friends. My mother was always there to support. But my father told me this story many times as a kid about my great-great-grandfather, Cleve Thompson, who was born a slave, lived about 30 years as a slave, then became a free person. He used the skills he learned in slavery to start a blacksmith business and was very successful. People from around the region would bring their horses to him for work, and my father would tell me that if he could do it coming out of slavery, then I would not have any excuse for not being able to start a business.
 
I had the same blueprint. I was going to, after grad school, work for Marriott. At the age of 30, I was going to leave and start my own company. So, when I went to Marriott, I told them I would give them seven years. I actually gave them nine, then structured a deal to buy their 31 Big Boy restaurants, and that’s how we started Thompson Hospitality.
 
VEDP: Your parents were both educators. What example did they provide for you?
 
Thompson: We had segregated schools until I was in the fifth grade. Both my parents taught in that school. My father taught algebra and math, and my mother taught home economics. My older brother was two and a half years older, and all four of us would get in a car every morning and go to school together. I was in first grade and he was in third grade. So, there couldn’t have been a better foundation supporting education than the whole family going to the same school. At the end of the day, I would go to my father’s class, where he might tutor kids in math, or my mother’s class, where she might tutor someone in cooking or home economics.
 
I got exposed to cooking and food at a very early age, and math, and I became pretty good at both. Then, on the weekends, we raised hogs. We would work on the hogs or the vegetables on Saturdays, and on Sunday, we’d all go to church together. It was a seven-day-a-week family doing things together. I think that gave me the foundation for what I do today, as a company and with my family.

My parents didn’t give me a silver spoon, but something far better. They taught me the principles of hard work, the importance of education and family, and giving back to the community. So, I feel that I was very, very wealthy in those areas that really make a difference.

A row of forks, knives, and spoons are displayed in front a green bar

VEDP: You mentioned that you went to segregated schools up through fifth grade. You’re the great-great-grandson of an enslaved person. How has your family and personal history informed your perspective?
 
Thompson: I didn’t know him, but I knew all my great-grandparents. I knew my great-grandfather, whose father was born into slavery. It’s not that long ago, and I hope we don’t forget it because what I lived through growing up in the South, I see some of that coming back. Just the other day, I heard that one of our bartenders was confronted by a customer and told, “You're the only N-word that I’ve ever gotten along with, and I’m in the KKK.” That stuff used to happen back in the ’60s, and it’s happening now. I thought we had gotten beyond that as a country but, unfortunately, we’re going through a very difficult time again. I hope we can get through it sooner than later.
 
VEDP: What is your approach to diversity in business?
 
Thompson: We have, I think, the most diverse company in the industry, but we’ve never had a meeting about it, never written a plan, or had a diversity club or anything. Our principle has always been to hire the best person. If you’re in a diverse geographic area and you hire the best person, you’re going to have a diverse workforce. It’s when you allow blinders to come on that you end up with a population not reflective of the community. So, it’s impossible to have a headquarters in Reston, Va., and not be diverse if you’re going after the best available people.
 
It’s impossible to have contracts in places like Chicago or New York or the Tidewater area of Virginia and not have a diverse workforce if you’re hiring the best. We talk about casting our net wide, and when we do so, we catch a very diverse workforce. When you look at our executive team or one level below, it’s reflective of the communities we serve, plain and simple.
 
VEDP: You talk about giving back. How, specifically, do you like to do that?
 
Thompson: Early on, we decided to get into the contract food service business. We were supposed to do it in Year Five, according to the plan, but it actually happened in the first year because some restaurants started to fail. That’s when we started to really push scholarship programs, giving back to the schools we partnered with. We now give back about $5 million a year in financial support to HBCUs, mostly in scholarships.
 
We’re providing financial resources so some students can complete their education when they may not have been able to without that funding. We’re actively involved and engaged with the schools we support. I speak at them, and our other executives will speak to young people who want to get into business or own their own businesses.
 
We believe in giving back strongly to the community and forcing our competition to do so as well. If I don’t win an account, the competitor who did win will have to step up and do the right thing from a financial perspective by putting money back into some of these schools that were being taken advantage of 25–30 years ago.

Three napkins displayed in a column pattern

VEDP: Can you give some of the history of Thompson Hospitality?
 
Thompson: We started the company in 1992. I left Marriott after nine years and purchased the 31 Big Boy restaurants in the Washington market. The Shoney’s brand started to tank shortly after we did the deal, so we moved up the business plan from getting into contract food service in Year Five to starting at the end of the first year.
 
We began selling unprofitable restaurants to pay down our debt and, over the course of about 10 years, got out of the restaurant business and moved to contracts. We structured a deal with the Compass Group to create a strategic partnership, which added the strength of a big player. Today, we operate under three divisions — the joint venture division with Compass, a division of contracts that we operate separately, and our retail restaurant group. Today, that retail group has approximately 70 restaurants that are all Thompson-owned and operated brands. We operate national brands on college campuses and in our corporate accounts that refranchise our license. I get excited every morning to wake up and check the numbers.
 
VEDP: What led you to the restaurant field in the first place?
 
Thompson: It started when I was about 12 years old sitting with my parents one night in Shoney’s restaurant in Portsmouth. Growing up in rural Virginia, I was exposed to people working at the shipyard, the meat packing plant, or farmers, and none of those jobs seemed very attractive. But sitting in that restaurant, watching families come in and have a good time and pay for their food, I said to my parents, “I’d love to do this one day, own a restaurant.” They said, “Well, you can do anything you want, as long as you’re willing to work hard.”
 
From that point on, my focus was on how I could become a restaurant owner. I followed my brother to Hampden-Sydney College. I majored in economics, which was the only thing close to business the school offered as a liberal arts college. Then I argued my way directly into the business school at the University of Virginia. I convinced them to forego the two-year requirement because I had enough businesses as a kid. I raised hogs in the hog business my father and I had together. I bought him out in my last couple of years before college because he got too busy with his day job. Then, my father and I also had a produce business where we’d buy peaches and apples in the mountains of Virginia and take them down to the Tidewater area.
 
After that I had an internship with Dick Marriott. He would bring in about 12 MBAs each summer. At the end of the summer, he’d make an offer to one person to come back in his fast-track program in restaurant operations. He would have the person start at the bottom as an assistant manager and track up to vice president’s level. That’s how I got into Marriott’s fast-track program.

It was a perfect opportunity for me, exactly what I wanted to do. So, when I graduated from business school, I started at a fast-food restaurant, Roy Rogers, learning the business — as assistant manager and then general manager. I had about 14 different jobs during the nine years I spent at Marriott. When I left, I did the leveraged buyout of their Big Boy restaurants because Marriott had decided to exit the restaurant business. They knew me, so they were willing to loan me about $14 million to buy the restaurants, and that’s how Thompson Hospitality started 33 years ago.

We believe in giving back strongly to the community and forcing our competition to do so as well. If I don’t win an account, the competitor who did win will have to step up and do the right thing from a financial perspective by putting money back into some of these schools that were being taken advantage of 25–30 years ago.

Warren Thompson

President and Chairman, Thompson Hospitality Corporation

VEDP: What experience do you want people to have at your restaurants?
 
Thompson: The guiding principles in our company are to do the right thing, do the best you can, and treat others the way you’d like to be treated. We ask all our hourly associates and management to live by those principles. We always say not to serve a plate of food that you would not be willing to eat yourself or serve your family. When people come to our restaurants, I realize they’re from all walks of life. Multimillionaires come in and buying a plate of food is nothing for them. But there are people who have saved up for special occasions. It’s their birthday or graduation, and they’re coming to us to splurge. We owe it to all our customers to make sure their experience is memorable. Even if it’s just a slice of pizza, I want that customer to leave saying that was the best slice of pizza they’ve ever had.
 
We use third-party delivery. You might see the delivery guy turn the box sideways, knowing that pizza inside is going to run down by the time it gets to our customer and not be picture-perfect. Those things upset us as a company, but the industry has changed and a lot of your product is delivered by a third party. We try to manage that by working with our third-party delivery companies to adhere to our standards, but we’re willing to exit the relationship if we cannot get them to deliver the way we want it done. That’s a long way to say that the customer experience is very personal, something we owe the customer above and beyond just a good product.
 
VEDP: How do you define the distinction between a corporate person and an entrepreneur?
 
Thompson: I spend a lot of time interviewing key people in the company, and I’ll ask that question. Most think I want a corporate person, since we’re considered a fairly large company now. But I’m looking for that entrepreneur, which we define as a person willing to take calculated risks to improve their chances of reward and opportunity.
 
I want someone who’s going to question the norm, who’s willing to break the mold, willing to say, “There’s a better way to do this, and it’ll benefit our customers and our bottom line.” I don’t want people to just say, “Well, corporate decided to use this particular vendor, so we don’t have a choice.” I want them to constantly question what we’re doing and how can we do it better.
 
At Marriott, I hired a bunch of people who were younger than me, and we called ourselves “The Renegades.” We decided to put national brands in airports — Pizza Hut, Taco Bell, Burger King. My boss at the time told me I was crazy, and I was going to get fired because it would never work. But at that point in life, I said, “I want to break the mold. I want to question the norm. I want to do something different. I want to prepare to be an entrepreneur because that’s where I’m headed.”
 
It worked. It changed the airport industry. So, I want people like that now in Thompson Hospitality who are going to question what we do, how we do it, and come up with a better way of doing it. You don’t get that from corporate people, but from entrepreneurial-driven associates.
 
VEDP: You live in Fairfax County. What’s your ideal weekend there?
 
Thompson: I’m into boating, so it’s great that we’re less than 30 minutes from The Wharf, the D.C. waterfront. We spend a lot of time down there on weekends during the summer, going out. We love to fish. I have a 4-and-a-half-year-old daughter, so most of my time now is spent doing what she tells me to do. She told me the other day that she’s the boss, she owns the company, and I work for her. That pretty much says it all. We watch a lot of “Bluey,” and we spend a lot of time learning numbers. I enjoy seeing her soak up things like a sponge.
 
We visit the restaurants a lot on weekends and she’ll do table touches. She’ll go around and ask customers what they think of the food and if things are good. So, a lot of family time, and I’m very fortunate at my age to have a young child.

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