Recruitment and retention have always been challenging for this industry. But as we continue to navigate labor shortages and recover from an all-time-high quit rate during the throes of the pandemic, those challenges have become exceedingly pronounced.
Simultaneously, younger members of the workforce – specifically millennials and Gen Z – are changing how we approach our jobs in general. Flexibility, balance, impact – all of that is more important than ever. Money is also important, but it’s not the singular driver it used to be.
“My employees aren’t here because they need the money necessarily, but because they love their job. They want to enjoy the job,” Rebekah Avis, a KFC GM in California, said in a recent interview.
And so the general manager – the quarterback or point guard of a restaurant, if you will – has become an even more critical role. These employees are tasked with overseeing the day-to-day complexities of running a restaurant – from the inventory to food safety to the balance sheet – and with also ensuring their employees are happy. The GM has become restaurant companies’ best tool in the recruitment/retention battle and as such, incentives have become commonplace – bonuses, stock options, a broader scope of authority, name it.
This has been an evolution, according to Darren Espy, who has spent his entire career in the quick-service segment and currently oversees the Taco Bell Cantina on the Las Vegas Strip – the busiest Taco Bell in the world.
“When I was a GM in 1991, it was my way or the highway and that’s just how it was,” he said. “Now, it’s important to know your people and develop and trust your people. That is what helps you not lose someone to another restaurant down the street, and that is what helps you work smarter, not harder. This has always been a people business but, especially since Covid, the role of GM has evolved to relate to today’s employee.”
That evolution has included more engagement with team members and, accordingly, more people skills.
“I went to school for business management. I almost wish I would have gotten a minor in psychology,” Espy said. “Now it’s important for me to get to know my team and their background, to understand why they may be running late and maybe try to make their life easier. I’ve had to adjust my management style to be more sensitive so my team knows they can talk to me and that I’ve got their back.”
Paul Hendel, owner of McDonald’s franchisee Hendel Products Group, spent time earlier in his career as a GM, and agrees that things have changed quite a bit in the 30-plus years since.
“The people part of our business is so critical now. Some of the older managers are great managers and know how to run operations and the PnL, but the people part of it – that’s part of your personality, it’s innate. That’s what makes you really stand out in this role, which is the heart of the store,” Hendel said.
Because of this evolution, Joe Hyslop, division vice president at North Italia, said expectations for GMs are higher now than they’ve ever been.
“It used to be more transactional, but now it’s about making guests and employees feel comfortable and welcome and making the staff feel like this is more than just a job, it’s a community,” Hyslop said.
Training and hiring for the job have also changed to keep pace. Karen Ancira, chief people officer at KFC U.S., said the company now focuses more on character developing, “especially in making GMs more resilient, making sure they fill up their own cup for them to be able to pour enough into their teams.”
“Soft skills are playing a massive role now – having a leader that is authentic, that portrays culture in everything they do, say, their behavior, is critical to their success,” Ancira said. “The role has become more important than ever as it’s through our GMs that we’re going to be able to retain our best people and deliver our guest experience. Happy employees equal happy customers and the way to happy employees starts through our GM – through authentic, servant leadership that we’re looking for more in that role.”
Chipotle has also started narrowing in more on soft skills for its GM roles. According to Jevon Allen, who was recently promoted to field leader from GM, the company now provides more resources to help these restaurant leaders understand their people.
“The people piece has always been there, but the emphasis is more important now,” he said.
Contact Alicia Kelso at [email protected]
