Why Half of Your New Hires Could Leave in Less Than a Year

Why Half of Your New Hires Could Leave in Less Than a Year

by | Feb 13, 2017 | Business Toolkit, Management

Some hospitality businesses are beginning to notice a trend. Of all new hires made within the previous twelve months, only half of them are choosing to stay on at their jobs. Most who leave do so before the one-year mark, which adds to the pressure being placed upon businesses. To understand why an online staff management company studied their 2016 employee retention report.

More than thirty thousand employees from almost two thousand small businesses were surveyed. The data clarified the challenges that numerous establishments face in regards to keeping and losing staff.

Hospitality businesses were compared with those in construction and manufacturing, healthcare, and retail. Healthcare retained employees the longest, with the average tenure lasting fifteen months. Retail and construction and manufacturing tied for second with twelve months each, while hospitality only reached an average of eight months.

Employees are in need of incentives to encourage them to maintain a high level of efficiency.

Regardless of the industry, all employees experience “life cycles” throughout the course of the job. The first few weeks – and sometimes months – are spent settling in and learning the required tasks. It is during this time that business owners invest in the worker’s development and training. As the employee learns and grows, he or she gradually becomes more proficient and reaches peak productivity. Employers like to see new hires reach this point as quickly as possible.

However, employees are in need of incentives to encourage them to maintain that level of efficiency. When this does not happen, they begin to disengage from their job. Eventually, they become bored and dissatisfied with their role in the establishment, and many choose to seek employment elsewhere.

Businesses with low staff retention rates see a very short period of peak employee productivity.

Businesses with low staff retention rates see a very short period of peak employee productivity. The business owner spends the time and money for hiring and training, yet within a matter of months, workers disengage and begin to consider leaving the job.

What does this mean for these businesses? Ultimately, it all translates into higher overheads, diminished customer service, lower employee morale, and less focus placed on the business itself. All of these factors can be detrimental to the establishment’s success and future growth.

It can be tough to place a strict figure on hiring and training new workers. Consequently, the true cost of low employee retention is often difficult to identify. Studies in the United States estimate that the cost of replacing a worker who earns $8 per hour sits at nearly $10,000. Additionally, that narrow window of peak job engagement can damage the overall productivity of the business. Too much time is spent managing new hires and recruitment, and disengaged workers can have a negative effect on customer service and loyalty.

One of the main reasons behind high turnover rates in the hospitality sector may have to do with the age of new hires.

One of the main reasons behind high turnover rates in the hospitality sector may have to do with the age of new hires. There is a prominent reliance on the employment of younger workers, many of whom are trying to fit in their work between studying and classes. Several establishments also hire seasonally, which causes a fluctuation in new hires at certain times throughout the year. In hindsight, it really is no wonder why there is such an alarming drain on employees.

So how can hospitality establishments improve employee retention?

  • Do not use the trend as an excuse. While this particular sector is known for high turnover and low retention, simply accepting it as fact puts the business at risk and impedes growth.
  • Look at how it is done in other industries. Most sectors look for employee commitment and skills, not necessarily youthful faces. Some retail businesses actually prefer older workers because they are viewed as more mature and therefore more likely to consistently deliver better customer service. They also tend to be more loyal to their employers than their younger counterparts.
  • Change the overall mindset. Retention should be viewed as a strategic investment for the continued growth of an establishment.
  • Consider offering recognition and rewards to employees. All workers want to be acknowledged that they are doing well at their job. In doing so, it will boost morale and motivate employees to keep performing at their best.
  • Consider promoting the best talent. Most workers want to advance through the ranks rather than return to the same routine tasks for the rest of their lives. Promotions give them the opportunity to develop and can mean the difference between a career and “just a job.”

At the end of the day, a number of new hires will leave early on no matter what. The key is to focus on retaining those that are more likely to stay and optimizing hiring practices so that you’re attracting long-term employees.

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New Ruling on Tips in Colorado

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The Life and Times of The Modern Day Chef

The Life and Times of The Modern Day Chef

by | Feb 10, 2017 | Career

Becoming a chef was, and can still be, almost as simple as moving from Point A to Point B. Sure, the going was slow and it was a lot of hard work, but it was fairly straightforward nonetheless. So without further ado, we outline the current life-cycle of the chef.

SPOILER: This isn’t the only option – less traditional paths described below!

Step 1: Culinary School

For a lot of us, this is the part where we realize we aren’t even close to the level of equipped that we thought we were. Not even a little bit. Usually, this manifests itself in the way that you stick out like a sore thumb.

You somehow manage to have the biggest chip on your shoulder while simultaneously having the least amount of preparedness. You bring messiness and dull blades to whatever job you can land, and you figure that those who refuse to hire you will regret it when MasterChef finally calls back.

Your life’s purpose now is to do the most menial work in existence.

Step 2: Prep or Pantry Cook

At last, a job in a real-life kitchen! It takes about half a shift for you to realize that you will not be creating documentary-worthy creations here. Instead, your life purpose now is to do the most menial work in existence and to somehow still manage to mess it up in a very public way.

Thus, no one will like you and any opportunities to remedy the situation by showing an ounce of talent will be foiled by your nerves and lack of experience. Don’t worry – it’s not actually that bad!

Step 3: Line Cook

Whether by divine intervention or perhaps just random chance, you finally are able to edge your way into the line cook’s spot.

Cons: Everyone still hates you and blames you for everything.

Pros: You at least now get the family meal.

In many ways, though, it’s the same song, second verse. Your fantasies of the job had you believing that it would be a platform for you to shine; you would spend hours comparing different tools and reading up on the latest trends. Instead, you make more mistakes than actual cuisine.

Step 4: Stage

There is, perhaps, nothing that you have romanticized more than staging. Like all that came before it, there is not a lot that you accurately assumed about it. You may be in a destination location (and rocking it), but you certainly don’t have the time or money to enjoy it.

Instead, you get as close you’ll ever be to slave labor. You move, for months, through a fog of exhaustion as you work, work, work. Despite this, though, you do learn a lot. Not nearly as much as you claim when you return, but you do learn.

Step 5: Sous Chef

After the first week, you have loads more respect for Tony, your predecessor, who you originally thought was a slacker, but now realize actually just had a ton of stuff to do.

You’re the middle-man. Not like everyone else, but also not The Chef. They need you to run the kitchen, but you can’t quite make it happen by yourself yet. Your clipboard is an extension of your hand, but when you do use your hands to actually cook you realize that while you’re berated less often, it’s much more intense when you do slip-up! The money isn’t great, but now you’re salaried and have benefits and actually feel like an adult.

Step 6: Chef de Cuisine

This is it. The culmination of it all. It’s all yours: the kitchen, the menu, the training, and the responsibility. Right about now you realize that cooking isn’t predominately a means of expression,

It’s all yours: the kitchen, the menu, the training, and the responsibility. Right about now you realize that cooking isn’t predominately a means of expression. Instead you get a high from crafting a meal that connects with your guests. Your life is stable in a way that it hasn’t been previously. You have made connections with others in the culinary world, you are drinking less and working out more, and you’re invested in helping others who are less-experienced.

Your life is stable in a way that it hasn’t been previously. You have made connections with others in the culinary world, you are drinking less and working out more, and you’re invested in helping others who are less-experienced.

Step 7: Opening a restaurant

You’re an ambitious one and couldn’t settle for just the kitchen, you had to have it all, the entire restaurant.

You thought you knew what tired was, but this is something else entirely. This makes you think fondly of the early, easy days when you were being yelled at for such inconsequential things as carrots being peeled too slowly, and burning the orzo at the bottom of the pan.

That is until one of the young prep cooks asks you about your stage, and you’re able to pass on some of what you did learn. And the fact that you have gone almost a month without a day off, pays off: you get a spot on the line as a dinner service meat cook. Plus, the endless parade of construction, meetings, and organizing result in a packed dining room opening week. Well, that and the heaven-sent good review that came just in time.

Today’s chefs walk a wide-ranging variety of paths.

Step… none: Choose your own adventure

Let us be so bold as to say that if you’re lucky enough to walk the aforementioned path, you’re lucky enough. However as we said at the beginning, today’s chefs walk a wide-ranging variety of paths.

Take the Food Network’s Guy Fieri for example, he came to the auditions for The Next Food Network Star in support of a friend, was talked into auditioning, and now his frosted tips are known the world over. While an extreme example for sure, it still is one that could only exist in this current climate where home cooks can become instant stars, and you can be known as a celebrity chef without more than a brief dalliance working in an actual restaurant.

Some possible additional possibilities include:

The TV Chef. Your life mainly consists of PR hustle, Food & Wine events, and navigating investments and endorsement deals.

The Burnout. Just as bad as it sounds, at this point the years of work have taken a serious toll. You’re not accomplishing anything beyond that pack of Marlboros in your chest pocket.

The Comeback. Some manage to lift out of the burnout stage, but usually only for brief stints. The fame you once had gifts you with momentary opportunities, but you’re a little out of practice, which makes things even worse for your already lacking PR presence.

The Food Truck. Food trucks are trendier than ever. They’re the alternative for people who know what’s “happening” since they aren’t spending every spare second prepping their station or planning the menu at their semi-stable job.

The Private Chef. The main downside here is the glares you’re going to get from restaurant chefs at the Farmer’s Market, but the upsides include a hefty paycheck, car allowances, and paid travel.

The Child Prodigy. This kid throws everything we’ve written so far out the window, and trades years of work for good genes and wealthy folks. Cue the collective eye roll of the entire culinary community.

The Corporate Hotel Chef. While it took a lot of cooking to land this gig, now that you’re in it, you’re doing very little in the kitchen. Instead, you’re a spreadsheet master. You use your sizable bonus and comfortable salary as a comfort when you’re annoyed its time for yet another banquet.

So, there you have it. There is no one way, or right way, to become a chef. The path is yours to walk!

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Need Extra Cash? Pick a Side Job That Complements Your Strengths

Need Extra Cash? Pick a Side Job That Complements Your Strengths

by | Feb 1, 2017 | Career

So, you’ve managed to land a position that will give you experience in the restaurant industry. Congrats! Of course starting out, you’re not going to get rich on the salary, but at least you’re getting a start on your resume. So, how can you make a little extra cash, get some broader experience and perhaps develop related skills that will make you stand out? Something that will give you an edge, maybe even expand your career options? Pick up a side job that complements your skills and career goals; here are few ideas to get you started.

Social Media Marketing

Many restaurateurs don’t make the time or have the skill for social media marketing, but no one should underestimate its power in promoting a restaurant and growing a loyal clientele. People like the immediacy of a relationship that social media allows, and there is no better way to get into the food conversation, gain some recognition and stay in customers’ minds on a daily basis.

Do you have a camera and a computer? Develop some basic social media skills, and then offer a package to restaurant owners starting with the one for whom you work. A good starting package includes a manageable number of posts per week on popular social media networks like Facebook, Twitter and Instagram. You can also include others like Google+ and Yelp.

This kind of social media setup is easy to maintain.

There are several tools out there with which you can schedule posts in advance and post to multiple social media networks simultaneously. Good ones to check out are Hootsuite and IFTTT.

This kind of social media setup is easy to maintain. All you have to do is let the right people know how important it is for them to engage with social media and show them you have the skills to do it for them. Start your client search with the place you work now, and make them shine!

Blogging

It’s a big deal in the content marketing world these days with 76% of U.S. businesses using it and 77% of those saying they will increase their content marketing in the coming year. Not everyone has writing skills or likes to write, but if you do, you’re in luck!

Help them connect to their customers in a personal and thoughtful way.

You can use your skill and familiarity with the industry to blog on behalf of restaurants in order to establish them in their industry and community and to keep them in the minds of their customers. Write for individual restaurant clients or operate your own restaurant blog library from which restaurant owners can draw for a fee. Help them connect to their customers in a personal and thoughtful way.

Promotional Models/Brand Ambassadors

Do you like to talk with people? Are you reliable, outgoing and energetic? As a brand ambassador, you’ll have an opportunity to really use and develop those people skills! Usually, brand ambassadors work through agencies that pair them up with companies needing representatives for their brand at an event. The agency provides training based on the company’s instructions.

A promotional model is a specialized version of a brand ambassador. Suppose a company requests all red heads 15-20 years old to represent them. If you fill the bill and are called up, you’ll probably make a little more money because you’re harder to find!

As either a brand ambassador or a promotional model, though, you’ll get to meet people and polish up your persuasion arts, always a good thing.

Develop some unique skills through side hustles that will make you indispensable.

So if you’re headed for the stars in the restaurant industry but need to make some extra money now, develop some unique skills through side hustles that will make you indispensable in your current environment right here on earth. And who knows? If things change, as they often do, you might just find another whole universe of stars in one of these side hustles. 

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Training Hacks: Employee Evaluations and Training Program Adjustments

Training Hacks: Employee Evaluations and Training Program Adjustments

by | Jan 30, 2017 | Business Toolkit, IndiTips, Management

You’ve made great hires and developed and implemented a training program, but just because the trainees are working shifts doesn’t mean that training is over. The last phase of a successful training program is measuring the performance of your employee(s). It’s also an integral building block of any prosperous business.

Using employee evaluations

Employee performance depends on a number of things, from punctuality to quality of work to how well they fit with the team. The best way to put all factors together is by using employee evaluations.

Plus, feedback is important, especially in the service and hospitality industry. It’s how we know we’ve done a good job and made someone happy. Employees ask for it from every patron that crosses our threshold, so it’s natural for them to expect it from their managers, too.

When conducting the evaluation, you’ll want the employee to understand that you’re there to help them.

Conducting employee evaluations and following up on them periodically throughout the year is the most effective way to monitor your employee’s progress and give feedback. Based on the size of your establishment, we recommend you conduct employee evaluations at least once or twice a year, if not more.

When conducting the evaluation, you’ll want the employee to understand that you’re there to help them, not to criticize them. Make this conversation as comfortable and collaborative as possible. This shouldn’t be a one-sided discussion where you point out their mistakes and then send them on their way. They, as well as you, have put a lot of time and effort into training and development.

A great way to frame the conversation is by goal setting. Both you and the employee can participate by identifying goals, which will help you and your employee better focus on development. This will also provide a benchmark to refer to during the next evaluation. Goal setting can be tricky, but by using S.M.A.R.T. Goals, you’ll ensure that they are appropriate and achievable.

If you’re providing daily feedback, an employee shouldn’t be surprised by anything when it’s time for their evaluation.

It may come as no surprise to you when we tell you that evaluations are also the best way to determine how to reward an employee. We’re talking raises here, in case you haven’t guessed yet.

Pro-Tip: For legal and logical reasons, you should always keep records of conversations you have with an employee regarding their performance.

Cracks in the system and how to fix them

The hospitality industry is unlike any other. Managers and owners work closely with their employees on a daily basis. Because of this, you’re able to provide your employees constant feedback and immediately correct any bad behaviors or procedures. The trainers that you’ve enlisted (see Training Hacks: Part Two) should also be following suit.

If there are cracks in your training system, you should be able to spot and address them right away and adjust accordingly. In fact, optimizing your training process based on outcomes is a great way to ensure that cracks are few and far between.

Also, if you’re providing daily feedback, an employee shouldn’t be surprised by anything when it’s time for their evaluation.

As always, taking the high road during an employee termination is the only way to go.

If you do have to let someone go…

Unfortunately, there are times when no matter how hard you try to help an employee excel, they just can’t seem to improve their job performance. Or they just don’t care to improve.

Once again, this is another area where the employee evaluation can and should be used.

If you’ve taken the time to work with an employee, to set goals with them, to monitor their progress, to provide constructive feedback, and to retrain them if necessary and things are still not improving… then it’s time to have the difficult conversation with them.

Here are some tips for the meeting:

  • As always, taking the high road during an employee termination is the only way to go. Never lose your temper (even though they may lose theirs).
  • Try to get to the reason for the meeting as quickly as possible. Don’t try to ease into it. It’s going to be uncomfortable no matter what.
  • Never resort to arguing. Simply state you’ve made the decision to end the working relationship and let them know HR will provide them with any written proof or documentation necessary.

A training program is meant to develop as the business develops.

Moving forward

Despite what many think, a training program is meant to develop as the business develops. It’s not supposed to stay static. You may change your menu by adding or subtracting new items. New procedures may arise. Or, you may change equipment in the front or back of the house.

All of these (and more) are reasons to make adjustments to your program.

Just remember to revisit training periodically. Pay attention to your business. Work alongside your employees on everyday tasks once in awhile. Participate in training as much as possible. This will help you understand where your business stands and what you need to do to tweak training to get the best from everyone.

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Culinary School: Worth the Cash or Not So Much

Culinary School: Worth the Cash or Not So Much

by | Jan 25, 2017 | Career

Becoming a chef definitely has its perks! The work is fast-paced and it’s not sedentary, so you won’t suffer the devastating health effects of planting yourself in front of a computer all day. It’s prestige work that people admire and respect as they enjoy the fruits of your artisanal labor.

However, getting to that point is hard work. In fact, less than half the people who enter culinary schools actually graduate (although CIA, Culinary Institute of America, a premium non-profit institution, claims a 78% graduation rate). Another eye-opening stat – some estimate that at least 50% of culinary school graduates who go to work in restaurants are no longer cooking after five years. So is it worth it to go to culinary school or are you just as likely to succeed if you opt out?

First thing’s first

Before considering culinary school, you’ll probably need to think long and hard about whether becoming a restaurant chef is right for you. Most people who dream of becoming a chef or owning a restaurant or other eatery don’t realize the demanding physical labor involved. Forget about the gym — hefting around those soup pots filled with gallons of soup or hauling 100 lb. bags of beans not only builds muscles but can damage a few. If you’re a girl…you’re not exempt. You’re on your feet all the time, and that’s no improvement over sitting all the time.

A culinary arts degree will barely boost your salary over what you’d make by just working your way up through the ranks.

Hope that your kitchen is air-conditioned, because the health department doesn’t want any unscreened windows or doors open, and kitchens get pretty hot with the ovens going on a sweltering summer day. Expect cuts and burns. Forget about a social life with the long hours, including the typical 12-hour shift. And time and a half? Not necessarily.

Reasons against culinary school

Still want in? Great, then you should know that any kitchen classy enough for you to learn from a true mentor will probably also relegate you to lower level positions, such as working on the line, for at least some time whether or not you go to culinary school. And a culinary arts degree will barely boost your salary over what you’d make by just working your way up through the ranks from dishwasher or apprenticing yourself as they do in Europe.

These are just some of the reasons many decide against culinary school. You don’t need it to become a chef. It’s expensive: “The average tuition cost at 10 of the country’s popular culinary arts programs is three times the amount of tuition at standard four-year public universities.” Consider how long it will take you to pay back $50,000 or more for a two-year program if you’re just making $10/hour and need a little money left over to live on.

Good teachers are good teachers…and it’s nice to learn from them in a less stressful environment than a commercial kitchen.

Reasons for culinary school

So with the seemingly few perks and the steep bill, why would you opt for that training? Executive chefs responsible for hiring as well as other seasoned food workers point out these reasons to consider a culinary degree program:

  • Good teachers are good teachers…and it’s nice to learn from them in a less stressful environment than a commercial kitchen.
  • School is a good transition to a commercial kitchen, often a brutal environment.
  • As with top flight schools in any walk of life, it’s a good place to make connections.
  • There are more uses for a degree in culinary arts than working as a chef in a commercial kitchen.
  • Some executive chefs look first, although not exclusively, at culinary arts school graduates.
  • With a basic vocabulary and foundational skills, you may get off to a quicker start in the restaurant business than if you try to enter without that.

Many graduates of culinary arts schools value their education for a variety of reasons (see the comments) and make sufficient money to pay off their school debt. Virtually everyone in the business, students and professionals, recommends working in a commercial kitchen for a period of time, for little or even no pay, even doing dishes, before deciding if a passion for cooking merits the substantial investment in culinary school. Many recommend on-the-job training as an alternative to school, moving up from dishwashing to higher level tasks, learning skills as you go from willing mentors along the way, books, videos and lots and lots of practice.

You’ll need that passion and positive attitude to carry you through the tough times.

Finally, it comes down to passion, attitude and willingness to work hard. Very hard. You’ll need that passion and positive attitude to carry you through the tough times when the work seems overwhelming or when the rewards seem not sufficient to balance it. But if it’s what you really want, and you persevere, maximizing your learning and skill-building opportunities in any way you can think to do it, including culinary school, you just might become that chef who loves what s/he does and thrives on it.

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