Transforming Tides Apollo Global's Evolution from Rigorous to Refined Workplace Culture

 

Apollo Global underwent a substantial transformation in its employment landscape, hiring 350 individuals last year, marking nearly a 9% increase. According to Apollo's CFO, Martin Kelly, half of these new hires were based in North America and Europe, 

while the other half joined the team in Mumbai. Looking ahead to 2024, Apollo plans to continue targeted hiring, with a particular focus on Mumbai. Kelly highlighted the firm's commitment to scaling origination, expanding high net worth coverage, and exploring new products and product creation.

During a recent investor call, CEO Marc Rowan emphasized the firm's remarkable growth, boasting a 14x increase since 2008, surpassing the revenue growth rates of major tech giants. While Apollo's expansion has been noteworthy, the firm has evolved over the years. Previously known for a demanding culture, changes have occurred under Rowan's leadership since he assumed the role of CEO in early 2021.

Historically, the firm faced criticism for its intense work environment, including long hours and demanding expectations. However, reports suggest a shift in culture, becoming more cerebral with less micromanaging and increased diversity. 

Rowan's leadership has steered Apollo away from its reputation for aggressiveness. One private equity headhunter notes the transformation, describing Apollo as "no longer a challenging or super-aggressive place to work," attracting individuals characterized as "super-nice" with low egos.

Despite these positive changes, differing opinions persist among associates. While some acknowledge a shift toward a more amiable culture, others, such as a young female associate who shared her experience on Wall Street Oasis, maintain that the hours remain "insane," with 80-hour workweeks and on-call duties during the night being the norm.

Apollo's recent ranking as the fourth-best private capital employer in an Ideal Employer report reflects its ongoing efforts to improve the workplace environment. However, it's worth noting that, according to the same report, Apollo was considered less conducive to well-being compared to its competitors. The firm has yet to respond to requests for comments on these recent developments.

While Apollo's growth has been substantial, its evolution is evident. Three years ago, junior staff at the firm voiced grievances about grueling 20-hour workdays and 3 am demands from dealmakers with a reputation for being less than cordial. In response to concerns, the firm reportedly increased associates' pay by $100,000 to $550,000 annually in 2021, a move prompted by the threat of numerous departures.

A significant driver of Apollo's historically demanding culture was co-founder Josh Harris, who stepped down in mid-2021 to manage his personal investments. Harris had been criticized for his intense approach, including sending emails on Saturday mornings with follow-ups marked by a "?" displaying a penchant for scrutinizing young analysts' financial models. His philosophy, exemplified by remarks like "Some people play golf. Some people play tennis. I work," contributed to the firm's challenging environment.

The tide began to turn when Marc Rowan assumed the role of Apollo CEO in early 2021, coinciding with complaints about excessive workload. Under Rowan's leadership, the firm's culture experienced a shift. 

Reports from Bloomberg in the preceding year described a more cerebral atmosphere at Apollo, with reduced micromanaging and an increased focus on diversity. Confirming this change, an off-the-record statement from a private equity headhunter highlighted Apollo's shift toward being "no longer a challenging or super-aggressive place to work," attracting individuals characterized as "super-nice" with low egos.

However, differing experiences persist among associates. A young female associate, who claimed to work for the fund, shared on Wall Street Oasis that, despite the reported changes, the work hours remained "insane," with 80-hour workweeks and nighttime on-call duties still considered the norm.

In a recent Ideal Employer report, Apollo secured the fourth position among the best private capital employers, reflecting ongoing efforts to improve the workplace environment. 

However, the report also noted that Apollo was perceived as less conducive to well-being compared to rival funds. Despite these observations, Apollo has not provided a response to requests for comments on these recent developments.