Ask Jill! How restaurant leaders can satisfy both their boss and their team

“How can F&B directors better navigate leading their team while reporting to the owners and investors that are disconnected from day-to-day ops, along with solely caring about maximizing their investment? How do you navigate being stuck in the middle between ownership and investors vs. the other side, your staff?”

This question comes to us from Philip Probert, vice president of partnerships at Craftable. This is such an important and pervasive question, one to which most, if not all, can relate. 

The delicate balance for leadership of protecting both the interests of owners and investors as well as the staff they lead is an ever present and challenging one. They must lead their teams effectively with strong people skills and emotional intelligence, while also reporting what their owners and investors, who are primarily focused on maximizing their financial investments, want to hear. They have a dual responsibility and can often feel stuck in the middle as a result. Strong leaders are true jugglers, a keen and delicate task keeping all proverbial balls in the air to balance the needs and expectations of ownership and simultaneously strategically meeting both the operational realities and morale needs of the staff.

Speaking of ownership, if you want to bridge that gap between the mindset of owners and investors from their staff, creating a common bond of attitude and mutual objectives is a must. 

During one of my times living in Europe, I had the fortune to earn my Culinary & Patisserie Diplomas at Le Cordon Bleu in Paris, and work in Harrod’s Pastry Kitchen in London. If you’ve ever ridden the Tube in London (the British underground transportation system), you’ve heard “Mind the Gap '' when the train car doors open. There is quite a wide gap between the edge of the platform and the train itself, so it means “be careful of” the potential danger of the gap. I believe businesses leadership must also mind the gap, the gap between their thinking of the company’s best interests and the potential mindset of their staff. To not fall into the abyss of employee and customer dissatisfaction, it’s critical to be MINDFUL — actively auditing what it is that their employees feel and want merged with that of the company business goals. 

To navigate the feeling of being stuck in the middle of ownership and investors, as well as the staff, per Phil’s question, first let’s break down the dual roles to clarify the expectations of each. 

Expectations of owners and investors
Let’s face it, owners and investors are primarily concerned with the financial health of the business — their investment. They are looking mostly for a strong ROI. Following suit, these are the key elements they traditionally are most focused on: 

• Profit Margins: First and foremost, they need to ensure that the business is profitable and delivers the expected return on investment.
   
• Operational Efficiency: When it comes to numbers, most leadership focuses on streamlining operations to reduce costs and increase productivity. Running efficiently is crucial to make this happen.
   
• Brand Reputation: What the brand’s culture is known for will be critical in maintaining a positive brand image and word-of-mouth reputation to attract other investors, as well as customers (employees as first-line customers and end-customers). 
   
• Strategic Growth: Scaling and expanding the business footprint is a necessity but can only be done if strategic. To increase market share securely, it must be done with the balance of the operations and the people in mind working from the same set of values.
   

Needs and Expectations of the Staff

While of course all of the above must happen for there to be a business to work within, it is also true that those elements alone mean nothing without a strong and committed workforce to bring it to life. The staff is more focused on the day-to-day operations, yet with expectations of sustainable growth options. Here are some of the fundamental needs of the staff: 

• Fair Compensation: Competitive wages, and of course benefits, are the bare minimum of needs, the given of expectations. While restaurant staff are usually those with a hospitality mindset and want more than just a paycheck, they still need to pay bills and live a reasonable lifestyle from their earnings. Reasonable pay (before tips) and benefits with healthcare coverage goes a long way.
   
• Support and Resources: Adequate tools and resources to perform their duties effectively is just the beginning. Support and resources are the bare minimum to provide its people if employers expect good team productivity and a successful workforce. There needs to be emotional support, broad resources for growth of their people, as people, not just as a clocked-in, faceless employee.
   
• Happiness at Work: Happiness is complex and affected by many factors. I believe it is largely influenced by the feeling of fulfillment, of doing meaningful work. A CIO development report of employee satisfaction shows 55% of respondents said their motivation levels would increase if they were doing meaningful work. And as a side benefit to the employer, an additional 42% said they would be more loyal to their employer. A positive and supportive work environment is a requirement to creating a work environment that will produce happy employees. And of course, happy employees equal happy customers.
   
• Professional Growth: Opportunities for training and career advancement even those that may not be tied to their task-training. Growing up in the industry, in the early formation of the McDonald’s Corporation for the first half of my life, I can honestly say I owe gratitude for those Iife skills learned that I carried into other industries across the globe. In addition to these nuggets we take with us throughout our lives, there is the all-important need to provide professional growth opportunities withinthe company to ensure retention of great people in your ranks.
   

Second, let’s address some strategies to perfect the skill of juggling and meeting the needs of both the owners/investors and staff. 

Building Trust

• First Educate, Engage, then Entrust: If unfamiliar with this concept of building trust to freedom and alignment, it’s because it’s the framework foundational first 3E’s in my E3+1 Recipe to become employer of choice. (To learn more about it, check out this earlier Ask Jill! article where a reader asked to know more about the E3+1 Recipe). As a part of this, organizing regular team-building activities is needed to strengthen relationships and foster a sense of camaraderie.
   
• Open Two-Way Dialogue: Transparent Communication including active listening is a must. Being willing to not only understand but also appreciate that different perspectives is key to finding a resolution, and it will usually result in a better resolution for all, rather than that of just one side. The byproduct of listening and working toward a mutually beneficial outcome is that it will benefit everyone, while developing mutual respect for each other. One way to do this is to involve staff in decision-making processes, especially those that affect their work. This will increase their sense of ownership and commitment.
   
• R² - Recognition and Respect: These are both basic human emotional needs which impact our attitudes and actions. It is priceless, literally. It costs nothing to implement (except some invaluable coaching if your leadership needs support with emotional intelligence in the workplace) but delivering both of them will reap massive long-term rewards.

Balancing Employee Fulfillment and Financial Goals

• Cost Management: Sure, leadership’s job is to manage costs efficiently and wisely. The key is to never compromise the investment for your greatest asset, your people. Don’t cut costs at the expense of the overall welfare of your people, and that of the quality of service delivered to your end-customers.
   
• Professional Development: Incentivize your staff by investing in them as people, not just as cogs-in-the-restaurant-wheel-employees. Perhaps consider performance-based incentives in areas that are beyond those typically expected for career development that focuses on skills aimed at performing a specific task only. Offer activities and opportunities for growth in life-skills beyond the restaurant.
   
• Adaptability: Show resilience in the face of challenges, maintaining a positive and solutions-oriented attitude. Being flexible and willing to adjust strategies as needed to respond to changing circumstances in the business environment will go a long way to achieve the financial goals while showing your staff leadership’s human side, their empathy.

Developing a Strong Company Culture

• Values, Vision, Mission Always First: Clearly define and incorporate your company’s core values, vision and mission into every aspect of your operations and communications internally and externally. By starting with educating all of these values, you will naturally be creating a shared vision for your staff to own and take pride.
   
• Exhibiting Commitment by Example: We always hear of “leading by example” yet, we also often hear people leave their managers not the company. Gallup poll reveals that 75% of workers who voluntarily leave their jobs do so because of their bosses and not the position, the role itself or the company. Employees want managers who are leaders, who will inspire them, who are fair and honest and who will stand up for their team.
   
• Maintaining EI and Professionalism: Emotional Intelligence (EI) may not seem to go hand-in-hand with professionalism but in fact, it’s needed more than ever in the professional environment. Building human empathy into the workplace is the best way to marry the human element into daily work-life. It reminds both the investors and owners that their investments will be nothing without amazing, aligned people to represent their brand, starting with top management all the way to the dishwasher. This is why my final “+1 E” in the E3 +1 Recipe is Empathy!
   

In conclusion, this balance of protecting both the interests of owners and investors as well as the staff may seem like a precarious impossibility, but in fact, we now see how what’s good for one is good for the other when their is a clear mutual sense of purpose. The sense of ownership can be created within the workforce if created intentionally and systematically. Leadership can strategically navigate the dual responsibilities to the investors and owners, along with that of the staff who are also stakeholders in the outcome of their hard work for the business. By creating a strong company culture through leading by example, fostering open communication, investing in your people, and developing trust, it is possible to create employee fulfillment while meeting financial goals. This balanced approach not only ensures the financial health of the business but also creates a positive and productive work environment, driving long-term success in the competitive F&B industry.

Have your culture questions or concerns highlighted in the next Ask Jill! Develop Your Company Culturearticle. Email me your questions and send your thoughts to [email protected].

AUTHOR BIO

Jill Raff is the globally recognized EX2CX Advisor, working with executive leaders who recognize the paradigm shift: the non-negotiable creation of a more humanized culture prioritizing their people. She helps organizations that recognize their people are their greatest asset but need help creating new systems and procedures to develop the culture resulting in higher retention and greater productivity. Companies experience employee and customer lifetime value using her methodology connecting the employee experience (EX) to the customer experience (CX) — EX2CX. 

Jill grew up working with her parents, owner/operators of McDonald's franchises, starting with store No. 150. Her customer service philosophy of Transforming Transactions Into Interactions starting with the employee originated from observing her parent's work and their interactions with legendary founder Ray Kroc. EX and CX is in Jill’s DNA. Based on her diverse background working in multiple industries — and living in 7 countries — Jill developed her Inside-Out Framework based on her “3+1 Recipe” to build a culture creating attraction and retention, often described as “where McDonald’s & Michelin meet.” Contact her at [email protected].