Thursday, January 6, 2011

4 Squares of Development

I'm a Restaurant Guy...

and I understand that my number one job according to the public is FOOD. But as an operator with a desire for long term success I need to be just as good at people as I am with Food.

Understanding where your associates and managers are in their development can help you schedule them, give them position and even promote. I put this together for operators who really need a solid direction to go with their associates.

Please spend the bulk of your time developing the bulk of your associates. I hope this helps.

B60%  20%A
HIGH    
 Find Position   
 Develop/Train
 Position
  Reward/Promote
    
    
Company
Standards
      
      
 Progressive
Discipline
  Develop/Train
Standards
 
    
LOW    
    
    
C20%  60%B
LOWHIGH
Job Skill/Ability



A's--(20% of Associates) demonstrate Both Ability and high level of skill in their
current position and uphold the Highest in Company Standards.

** These associates we want to Reward and potentially develop and promote further.
B's--(60%) These Associates either favor Ability OR company standards (not both). Some may always be on time but not your best cook. Others may be a good server but cannot seem to get his/her uniform together before coming to work.

**This is where the bulk of Employee management is done. We should seek out
a position that fits their skill level better or  begin having conversations about
 steering  them into company ideals.
C's--(20%) These associates in my opinion do not contribute to overall success of
the restaurant. This is an opportunity to use Progressive Discipline/Encouragement 
to cause associates to take stock  in their current role.

**If this group is to develop you will need to have a hand in it.

This job aid is also helpful in interviewing and selection of new hires.
We should ask ourselves questions like, What box are they in currently? Where can
this Associate go in our organization?

When Associate Ability and availability meet company standards then long term
success is inevitable.

Saturday, December 18, 2010

Leadership is Emotional

I am a Restaurant Guy...

and in our business leadership is essential to becoming a successful operator.

I read recently in a book a sentence that made me think. The author said "Leadership is Emotional." down deep I probably knew this, but I have spent so much time reading books and attending seminars and observing great leaders trying to be better leader. In all the technical knowledge that I have acquired I some how forgot this basic piece of emotion.

Our associates and peers feed off the emotion that we as leaders emit daily. The associates look for a few different things in the chaos of restaurant daily life.

1. Trust--The associates must be able to trust in the Manager on Duty and the organization to provide them with "being there in the time of need." They will literally fight for the restaurant against all odds if they know you have their back. Trust is the fuel that can carry the restaurant to higher sales and greater profitability. Without trust the associates revert to protection. This means that they cannot push the business because they think it will break.

2. Caring--Restaurant associates are some of the most giving, sacrificial people. They are generally big hearted and want to aid and assist any one in need. From their leaders they need to feel listened to and cared about. This type of emotional attachment has led to several miss placed relationship issues in our business for years and is not the appropriate way to care for associates. The part that is needed is to genuinely Care. Most times we cannot fix issues in the associates lives, but being a safe confidant or even good advise giver can gain connections and bonds with associates that will serve you for a long time.

3. Being a part of something bigger-- Most people react to the team dynamic and support global goals and standards of excellence. Leadership's job is to lead emotionally with Vision and Celebration of Achievements. The failure of several operators is to minimize the effect of the associates on the business. The truth is we get to be a part of something bigger because they achieve great results for us. Outline the picture and let them color it in.

Achieving an emotional connection will result in a more successful and profitable operation. We cannot let up on high standards and it is not about being friends. It is about knowing your associates and giving them the tools to run the operation. I have learned that Accountants and Servers do not look for or expect the same things out of their jobs, bosses, or lives. So please do not forget the emotional component of leadership in the Restaurant Industry.

Monday, December 13, 2010

The Holiday Season

I'm a Restaurant Guy...

and it is The Holiday Season. This presents several challenges for Restaurant Operators.

1. Family and Friends usually have events during days that we need to work. Working while everyone else is off is our job description. Restaurants always fill up on holidays and weekends. Family pressures can rise but work with your team to meet important family events. It is all about scheduling.

2. Employees have time off needs too. Staffing is critical during busy times and there are never enough employees to go around with endless parties and children's holiday shows. Employees, during this time of year, have a tendency to flake out on shifts or just choose to be absent. I would like to encourage you to remain firm on absentee policies. When we allow some employees to get away with not being there in our time of need, it is the most unfair to those who do come to work.

3. Customers are not jolly in December. I know it 'tis the season to be jolly, but our guests do not always have that opinion. There are several special parties and meetings that will take place in your restaurants with high expectations. Customer satisfaction surveys usually take a dive during December due to customer perception of service. To put it clearly, You must give better service in this month than usual. Being in the Christmas spirit in the Restaurant should equate to attention to detail in the entire dining experience. To some people the holidays are just not jolly and several are depressed and in a pretty crappy mood. It is our Job to step up our game and rally the troops to deliver excellence and ensure that Every Guest Leaves Jolly!

I would like to wish you all a very Happy Holidays!!!

Jesus remains my reason for the season!

Friday, December 3, 2010

Happy New Year

I'm a Restaurant Guy....

and I'm already thinking about 2011. You may think I am a little premature in celebrating the new year with all of the Christmas season still in front of me and Thanksgiving was just last week right? Well the truth is that next years plans are being finalized as we speak in most of our organizations.

As in store operators sometimes (especially during busy seasons) we tend to deal with our business day by day or even from a reactionary standpoint. This is a luxury that should not ever be afforded in this business. Even as the customers continue to pile through the door we must think future at all times! For Upper level managers (CEO's, Directors of Operation) they must plan for the upcoming year before it ever gets here.. Yes, that is right they have planned your sales trends, marketing strategies, and budgets already for 2011.

As a General Manger or Store Manager we cannot afford to think less than 90 days out. We should always be preparing for the upcoming quarter. What are we going to invest our budget into? How much sales does it take to make our budget? What was budgetary short fall and how can we recoup that for Company in the next quarter? This also means in Q4 we HAVE to think about Q1 of 2011.

So, Let's look at current trends.
The past 2 years have been a horrible time for Our Industry and America.
The food Service Industry actually began to show positive numbers in Q3 of 2010
The companies we work for will do major reinvesting in 2011
They will not finance growth but pay from bottom lines
We will invest in maintenance and construction.
Some people will have even received merit increases.
People are still eating out versus cooking at home.

Looking at these trends we can expect that:
 1) There will be no negative sales projections in the industry at all.
 2) Minimum of 5% (as high as 12%) sales growth expectation for every restaurant in America.
 3) There will be a minimum of 2% expectation of controllable profit industry wide.
 4) There will be about a 3% re-investment into the operation.
 5) There will be less Discount offers or new programs to drive traffic.

As operators we have to be looking at these numbers and expectations and planning now for a way to make this happen. (For those of you who are challenged a bit by this, please read "The Impossible Scenario" posting) We must take this time and evaluate our Business and prepare for the upcoming year. My brother was a boy scout so the motto "Be Prepared" was used often around our house. I didn't have to be a Boy Scout to take advantage of the saying and apply it to my business.

Plan your work and work your plan! Do not plan for negative results or you will have a self-fulfilling prophecy. Plan a Super 2011 and deliver the results needed. If you start thinking and planning now you can Make it happen.

Happy New Year!!! (just a little early)

Monday, November 29, 2010

On Vacation

I'm a restaurant guy...

and I'm on vacation. It is vitally important that operators take time away from their restaurant for a vacation at least twice a year. The ownership level needed to properly operate in this business usually requires sacrifice by family and friends as well as yourself. So, I support a twice a year break for a week for a few reasons.

1. Your Family needs you and you need them. Kiss your spouse, love your kids and go somewhere that is not your house. Get out of your element and do not look back. You should stay in your means but I do not recommend a stay-cation. Go to your in laws, great aunts, etc, for cheap or go big if you have it . Just get away. Don't go away mad, just go away.

2. When the cat is away the mice will play. I do not believe that I have ever been on vacation and at least one person in my restaurant has not lost their job. Sometimes we are the glue that holds things together and not being there can show weaknesses in the fabric of the team. This is a very fast way to test competency and intentions of several others in your restaurant. I always come back knowing a little more about the establishment and with open eyes.

3.The stars in your store can shine brighter when the Sun is not shining.Your absence will allow those up and comers an opportunity to show others what they bring to the table. Those who step up in your absence can really take your restaurant to new levels. You will be surprised for sure and new staff leaders will truly make a difference when you return. Seek them out and train them your way of doing things.

It is totally impossible in this day and age of communication to completely disconnect. I want to urge you to not react and understand that everything can truly wait until you return. Make a single contact to speak directly to if necessary. This requires you naming a leader before you leave. Wyatt Earp said "There is nothing worse than a leaderless mob." He was right then and now.

Finally, Enjoy your vacation and try not to control it. Be a follower for once. It is a new view and will change your life. Have Fun and come back refreshed.

Thursday, November 4, 2010

Tipping is not a city in China!!

I'm a restaurant guy.

When I was growing up my mother was a waitress and somehow was able to provide for our family on the generosity of customers and their tips. I do not think I understood the full impact of tipping and server salary until I entered into management. That was probably when I realized that the highest wage my Mother had been paid was at an all time high of $2.13.

As my wife is now a Server (20 yrs later) and makes that same hourly rate, I will tell you that serving in a Restaurant is still a way of making money and a good job. I am by no means promoting that minimum be raised as in my opinion the customer will then pay twice for service as is evident in California where all prices of menu items are about 50% higher than in my state that does not require we pay servers $7.25. And they still want a tip, too. This type of government action only weakens an already struggling full service restaurant industry.

We are a Cash Industry. If you have ever had a job that paid cash in the form of tips then you can understand how addictive that is to people. Feeling cash everyday in your hand and getting instant feedback in the form of money on how well you do your job can be very gratifying. The people who are servers and salespeople enjoy this type of interaction. Cash is King.

It's like gambling in Vegas. Getting a big tip is like winning the lottery, it is awesome. Getting stiffed on a large tab feels like you let it all ride on black and red hit. It sucks.

Money is typically perverted in a servers mind because more is coming the next day or shift. Servers come to me everyday and talk to me about a high bill that did not tip well. They usually feeling that it is unfair and are really feeling dejected by the customer. They feel the customer should tip them more or that I should do something about it as an operator. I usually tell them to come to me next time someone leaves them a $20.00 tip on a $50.00 tab and tell me about how unfair it is. They usually don't come to me with that.

For Servers, Tipping is a game of averages. You have to take the highs with the lows. I recommend keeping a journal of how much money you make daily and reminding yourself of your jobs actual worth on occasion. There will always be a better section or better place to make money, but I will tell you the customers pay your bills and treat them right, let them rely on you and they will never fail you.

The thinking that a section with more tables will make more money is not the long term answer. It is impossible to provide WOW! service in a full service restaurant on more than 4 tables when busy. You will miss something if not several somethings. We have to think about future of the restaurant so we can make money next year too. We cannot run them off with mediocre service today.

For Operators, set yourself a goal of making all of your servers at least $450-$600 a week. When you schedule do not be swayed by the mumblings and grumblings of those unsatisfactory servers who are struggling; but provide ALL with opportunity to supply for their families. Trust me, there are servers who are great at budgeting their money and those who aren't. We cannot schedule for those who aren't.

The main issue with being a cash industry, is that most cash greedy people do not understand managing money. They struggle daily and especially in times of crisis. Do not block someone from picking up shifts to cover their rent but provide for them a solid structure and schedule to avoid problem in future.

For Customers, Please tip your server!! The restaurant industry will not raise their wage unless made to. This is not because we are cruel, just it would strain labor budgets and we would have to raise prices. Some of these servers tip out bussers or hosts as well and that is based on percentages of their sales. So if your bill is high, think about that when tipping.

So as you can see There is a lot that goes into and out of that tip left on the table. We need to respect it from all angles. Restaurants are a numbers game. The more customers you have the more successful you are. If we are engaged in retaining our customers and growing new ones, Tips and Profits take care of themselves.

Tuesday, November 2, 2010

The Impossible Scenario

I'm a Restaurant Guy.

I remember a call I received from a manager one time asking me how he was gonna juggle an unethical requests from his boss and the duty to the profitability line. He had been asked to call and lie to the truck delivery company and say that he was missing product from an unattended food drop because their food cost needed help and if he didn't get food cost in line then that could mean his job. He was really torn and sought out advice.

Today we will talk about the advice.

But first let's name it...
THE IMPOSSIBLE SCENARIO

A Great manager is a master at the impossible scenario. This example is extreme and has a very simple answer but this was not the only time this manager ran into this dilema and frankly we deal with this about 30 times a month as we daily do the 'right thing' for our restaurants.

Some critical requests that make up our job description:

Boss: "You need to hire more staff" versus "Your Labor is way too high, get it down!"

Boss: "You have to have a impactful table visit with every guest" versus "You must be on line and make sure every plate is quality standard."

Boss: "Never run out of plates or glasses." versus "You can't spend anymore money for the rest of the month."

These are just a few examples. Impossible scenarios are what we all about. How can I be on line and out front? How can I train a proper staff on such a low labor budget? Often managers just give up and resign to the fact that you can't make everyone happy and chose a path. This type of reaction to the impossible scenario will not bring you success.

I am saying "YES, you must find a way to do it all. that is what we are paid to do."

We  have to rise to the challenge and seek out a way to make most of it happen. We cannot pick one thing and drop another. That is not how this industry works. The only way to combat this is with systems and guidelines. You must implement your standard (a very high one) into the minds and hearts of all associates and do NOT give up on your standard no matter what scenario you are presented with.

You get out of your associates what you expect from them. If you expect them to plate that food right every time then they will do it even if you only check in with them every 15 minutes. Never let down on high standards in front or back of house and this will become their culture.

Sometimes you need to show improvement not complete fixes. Getting better servers is more than a one week or even a one month process. There are just not enough qualified people to fill the slots as fast as needed sometimes. You also cannot effectively train more than two associates in a week in a working restaurant. It just can't happen. So don't make double work; make a plan. In that plan include training dollars and communicate that to your boss. You can't give up! You have to move forward all the time.

Profitability is probably the most advanced scenario. Balancing restaurant operation and a Profit and Loss Statement is a challenge sometimes. I suggest you be prepared. You have a budget monthly for small wares and maintenance. You should not use these budgets only as crisis's arise but proactively put some dishes in your shed or fix those booths two at a time before they all get ratty and you have to kill you budget by getting them all done at once. Problems arise in a restaurant, that is what happens. Be prepared. Make lists of needed items and judiciously spend according to need.

Again, This is about actions you can take to remedy the impossible scenario. This is not about Prioritizing and Making Choices. This is about finding a way to do it all. Think about what is being asked of you, Plan for success, and Do it. Think, Plan, Do. Even when it looks impossible.

Ethical decisions such as the initial scenario I wrote about are actually easier than controlling your Profit & Loss Statement. The only guideline I will give you is: You CANNOT break the law. Health Codes are law, Company Standards are law, Code of Conduct are law, 10 Commandments are law. I have been asked on occasion to lie or misrepresent or let something go. I always throw it up against the wall of 'what is he gonna tell his boss?' That is what I asked this manager on that particular day. "Do you think he is gonna call his Area Manager and tell him you refused to lie to the Truck company, so he's gonna write you up? How do you think that termination hearing goes? Get your food cost in line by management not cheating."

Being a master of the Impossible Scenario will show improvement in Decision making to all those who follow you and gain their trust. Even Bosses, Peers and Associates.