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Dear Loyal Followers:

Hooray! It’s May the Lusty Month of May! For those of you non baby-boomers ask a boomer about the quote. (It is from the 1960 Tony Award Winning Show Camelot). Since it is May, that can mean only one thing: The Big Show is only a few days away. (Beginning May 19 in fact.) If you have not made your reservations yet, better do it now. Pre show numbers look good; and since we have had three straight days of sun, it may even be warm here in the Windy City. The Show is also one of (if not the best) opportunity to meet with candidates to propel your company to the next level. For years, I and my American Recruiters Associates have worked with our clients to set up important face-to-face meetings during the show. To set up an appointment with our top flight candidates, call me or my Associates to schedule your slots. They do fill fast; therefore, sooner rather than later is the key.

Speaking of Keys, I want to share a few tips I recently gleaned from a Forbes article concerning leadership. Here are the top three Leadership skills you need: Communication, Motivation and Delegation. These don’t seem new; however, the ways to apply these skills has changed over time and if you would like better insight, let American Recruiters assist you and your team. We can discuss these and other topics while you make your interview appointments. Enjoy the latest edition or our Global Foodservice News as you make your reservations to be in Chicago. See you Soon!!

Craig Wilson

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Middleby Acquires Josper S.A.

The Middleby Corporation announced the acquisition of Josper S.A., a leading manufacturer of charcoal grill and oven cooking equipment for commercial foodservice and residential applications. Based in Pineda de Mar, Spain, near Barcelona, Josper has approximately $20 million USD in annual revenues. “Josper is a recognized leader in the specialty charcoal cooking category. Charcoal cooking is a growing trend in the U.S. and markets globally due to the flavor profile and versatility of the equipment,” said Selim Bassoul, CEO of The Middleby Corporation. “Josper has led the way in this category introducing market-leading innovations allowing for faster grilling times and a superior, natural grilled taste. We are excited about the continued growth potential of Josper, which should be enhanced through leveraging Middleby’s longstanding customer relationships and global infrastructure.” – Source: The Middleby Corporation.

Middleby Acquires JoeTap, Nitro Brew Coffee Systems

The Middleby Corporation announced the acquisition of JoeTap, a subsidiary of A.C. Beverage, Inc. The company is a leading innovator of on-demand nitro and cold brew coffee dispensing equipment for the commercial foodservice industry. “JoeTap is a recognized leader in the nitro brew category, a market that is quickly gaining momentum. This acquisition extends our portfolio of beverage solutions and enables Middleby to provide customers with a solution as they capitalize on the nitro brew trend,” said Selim Bassoul, CEO of The Middleby Corporation. “JoeTap has a patented nitrogen infusion process that will be incorporated into innovative designs providing a smaller footprint and greater operator flexibility. We believe there is strong growth potential as we integrate the JoeTap solution with other Middleby beverage solutions and introduce JoeTap to Middleby’s broadened base of existing customers.” – Source: The Middleby Corporation.

In-N-Out Goes Down Under in Latest Trademark Suit

California institution In-N-Out Burger is going down under in its latest attempt to protect its world-known trademarks. In the latest challenge, the Irvine, Calif.-based operator has accused an Australian burger brand with trademark infringement. The fast-food burger joint Down N’ Out, with two locations in Sydney, bills itself as selling “American style burgers, done right.” The restaurants are owned by Hashtag Burgers. The Australian company could not be immediately reached for comment.

In its claim, In-N-Out said Hashtag is clearly mimicking its name, logo and menu. The restaurants sell fresh burgers, fried potato chips and fried chicken. The latter is not on the In-N-Out menu. On the Down N’ Out website, the menu describes a Tiger Style burger made with a mustard-grilled patty and caramelized onions — the same prep as In-N-Out’s iconic trademarked Animal Style burger. The Australian restaurants also serve a “Double” burger made with Wagyu beef. In-N-Out does not operate any international restaurants. In its 2017 complaint, the family-run chain said In-N-Out has brand equity overseas. The company said it routinely does pop-up events outside the U.S. The pop-up events typically last one day and draw hundreds of people. In-N-Out said it has sold its burgers at pop-up events in Australia dating back to 2012. In-N-Out was founded by Harry and Esther Snyder in 1948, in Southern California, and currently has approximately 330 locations. The brand has generated a cult-like following over the years for its fresh burgers, fries and shakes. – Source: NRN.

Texas Roadhouse Stayed True to its Roots and Built One of the World’s Best Restaurant Chains

Kent Taylor stuffed the proposal into an envelope and scootered his way to Ross Perot’s Bermuda vacation home. The billionaire and former presidential candidate was staying in a home tucked behind a gated community, but Taylor, the founder and CEO of Texas Roadhouse, has never been one to reverse course in the face of resistance. He told the guard his package needed a signature, and soon he was knocking on Perot’s door, looking for his restaurant’s next investor. “I laid the proposal on the front door and never heard from them,” Taylor says. Perot wasn’t the first, and definitely not the last, to overlook Taylor’s vision for Texas Roadhouse, a chain he founded in 1993 and has since scaled to 527 units with revenues north of $2 billion. There was the time he chased NBA legend Larry Bird through the airport in Louisville, Kentucky, only to watch Bird hop in a car and speed away. “He thought I was some lunatic or something,” Taylor says. Or the day he brought ribs and beer to the offices of country music megastar Garth Brooks. “They took the beer and the ribs,” Taylor recalls, “but I never heard back from them.” Even today, many of Taylor’s operational beliefs aren’t exactly industry standard. As Travis Doster, the company’s senior director of communications, explains: “If you said today to a bunch of investors that I want to open a concept, and we’re not going to do national advertising. We’re not going to open for lunch. We’re going to cut all of our steaks-in-house, and we’re going to serve 22 million in free bread and free peanuts, they’d say, ‘no thank you.’” And just like those who doubted Taylor when Texas Roadhouse was in its infancy, they would be very mistaken. The chain posted same-store sales growth of 5.8 percent this past quarter at company-operated units (4.7 percent at 70 domestic franchised), making it 32 consecutive quarters of positive comparable restaurant sales growth. Guest counts rose 3.5 percent for the year and traffic climbed 4.7 percent in Q4, year-over-year.

If you’ve followed the casual-dining headlines in recent months, beside these numbers sounding like fabled results, you know trends come in buzz-worthy waves. Off-premise and delivery? Taylor once told a call full of investors that he encourages competitors “to do as much delivery as they can so they can deliver lukewarm food to their people that order it.” Limited-time offers? Texas Roadhouse’s museum, which showcases its history, has menus on display that look remarkably similar to what’s been dished out today. In fact, Texas Roadhouse’s No. 1 selling item, its 6-ounce sirloin, has been its top-ticket draw for 25 straight years—since day one if you’re counting. When asked about the last big menu change, Doster pauses before answering. “We added a steakhouse filet salad,” he says. “That was one of the more recent ones. That’s been four or five years.” This isn’t about a stubborn nature. Taylor and Texas Roadhouse simply know what works and are not interested in rocking a boat that isn’t sinking. “We focus on what we can control, and you know, a lot of people seem to not understand that,” Taylor says.

To fathom where this comes from, it’s worth rewinding back to the beginning. Taylor worked at casual-dining icon Bennigan’s from 1983–1989, before heading over to KFC. At both stops, Taylor earned a reputation for being a bit of a rule breaker. He liked to experiment with recipes and stray from the blueprint, devising made-from-scratch items he thought customers would enjoy. At KFC, Taylor even sold bottled water and crafted a chicken sandwich before these things were anywhere close to mainstream. “He thought he was doing a great job,” Doster says, “because guests were loving it. But then his bosses came to see him.” It was clear Taylor had the makings of a bridled entrepreneur eager to break out. But it’s this background, Taylor says, which shapes so many of Texas Roadhouse’s current practices. He knows how the flow works at the fry stations, the salad stations, the broiler stations. Taylor doesn’t have a background in finance or marketing. He’s a straight restaurant lifer who knows the ins-and-outs of how food comes together and goes out the window, as he says. “A lot of times I believe decisions are made that don’t really take into consideration how the restaurant actually operates,” Taylor says. Taylor also carried Texas Roadhouse to the summit by surviving the gauntlet of early restaurant ownership. Three of the first five locations failed. The biggest issue was real estate. Texas Roadhouse opened initially in conversion buildings, including an old Western Sizzler, across the map in a way you couldn’t connect the dots unless you felt like drawing abstract art. There was a Cincinnati, Ohio, store. One in Sarasota and Clearwater, Florida—those to balance the original Clarksville, Indiana, location. In 1996, Taylor tossed aside the playbook and decided to build a prototype with George Lask. This unit, which opened in Texas Roadhouse’s home base of Louisville, Kentucky, still looks like the stores built today. Take away the kitchen upgrades and Texas Roadhouse’s bar remodel—a move to open the concept and allow sightlines throughout—and it’s pretty much a replica. In addition, back in those days, Texas Roadhouse had to prove it could carry the branding of a region where subpar beef will get you excommunicated from the religion of The Lone Star State. Taylor knew he had the culinary know-how and dedication to quality, but consumers can be a fickle breed when it comes to image. His solution: Despite being in Louisville, Taylor secured a PO box in Dallas and put the Texas address on all his comment cards. “I have no idea why I did that,” he says, laughing. “I could make some stuff up but I don’t remember. It worked.” Texas Roadhouse looks pretty much the same as it has since Kent Taylor redesigned the prototype in 1996. Ever since reimagining the prototype, Texas Roadhouse’s growth sizzled. The concept serves an average of 6,000 guests per week and stores are pushing $5 million in average-unit volume. This traffic is one reason Taylor says Texas Roadhouse doesn’t view delivery through the same lens as some of its peers.

“We’re on a wait typically seven days a week, so I do not need delivery to fill in the gap, because we’re already very busy,” he says. And Texas Roadhouse has been a model of financial stability. For five-year compounded-annual growth rate, totaled revenues are up 2.1 percent. Operating income 11 percent to $186.2 million. Net income increased 13.1 percent to $131.5 million. AUVs have climbed 3.9 percent. In fact, across the board, from diluted earnings per share (13.1 percent) to average restaurant gross square feet (0.4 percent) to average sales per square foot (3.8 percent), there isn’t a negative drop to be found. The overall experience plays a leading role in this success, Taylor says. Hand-cut steaks. Warm plates. Cold salad bowls. Friendly service (line dancing), and other factors are so uniform across Texas Roadhouse’s system that it boggles some competitors and even investors. This past quarter’s industry-fronting results didn’t even shift the needle much on the stock market since Texas Roadhouse is nothing if it’s not consistent. How the brand keeps this quality and performance legendary, as its tagline claims, is another day one detail. Texas Roadhouse’s operators put up $25,000 (the first forked up $30,000 because Taylor was low on startup cash) and get 10 percent of the store’s profits. This partnership model, Taylor says, separates Texas Roadhouse from its competitors who don’t offer a similar deal. There’s nothing complicated here as far as why it works, and why it’s been successful for nearly three decades. “Every other concept shows you how to run a restaurant. Texas Roadhouse shows you how to own one,” Doster says. “If you think about it, Kent wanted to serve food he was proud of. Well, the men and women running our restaurants, they have that same mentality,” he adds. “They want the restaurant clean. They want to serve food they’re proud of. They can create their own paycheck in a sense the more successful they are.”

Texas Roadhouse won’t shift on its principles. Each unit hires 170–200 people, making it a very high labor operation. In this past fiscal year, labor as a percentage of restaurant sales was 135 basis points higher than the prior-year period and total labor dollars per store week grew 9.5 percent, and the company is expecting mid-single-digit labor inflation in 2018.  Doster says Texas Roadhouse is looking at some ways to ease the burden, but, for the most part, it’s just a side effect of their success. And working at Texas Roadhouse is definitely an experience unlike many others in the restaurant game. For example, line dancing started in Ashland, Kentucky, and has morphed into one of the chain’s signature traits. Texas Roadhouse even hosts a line-dancing competition each year for its restaurants, where the winners come to Louisville and receive rock-star treatment. It’s the same with meat cutters. Every year, the brand’s top meat cutter takes home a $20,000 bonus. “So all of this stuff just kind of bubbles up and I think that’s one of the things that’s attractive about working with us,” Doster says. “Kent always says happy employees make happy guests make happy accountants.” Texas Roadhouse has never had to shed the stodgy, velvet booth image so many steakhouses grapple with. Taylor understood the importance of ambiance from the outset. Texas Roadhouse sets the tone with music and a family-first atmosphere where guests can come, be loud, laugh, and never worry about stealing a glare from the pretentious couple cutting through steaks and silence at the nearby corner booth. It’s another reason Taylor doesn’t want the typical guest ordering steaks to their couch. Texas Roadhouse isn’t eager to dilute its brand or misrepresent itself. “You can’t package the service element and the atmosphere element into a bag that delivers to your door,” Taylor says. “The folks that are talking about delivery have potentially given up on having full restaurants inside.”

Texas Roadhouse, which went public in 2004, opened seven company restaurants in the fourth quarter and two international franchise units. For the year, the brand debuted 27 company stores, four Bubba’s 33s, and five franchised restaurants, including four international. It is on target to open about 30 company restaurants in 2018, including up to seven Bubba’s 33s. The brand is looking at as many as six new international locations this year, including its first unit in Mexico. Looking ahead, the international aspect is one that excites Taylor. He says they’ve gone about it slower than some since they’re only interested in markets capable of hosting 10-plus Texas Roadhouses. And Bubba’s 33, of which there are 20 corporate stores, Taylor says the company is ready to inject superior service and food into the sports-bar arena. But regardless of which initiative you focus on, Taylor will approach the task with the same care as those days when he had more ambition than cash in his pockets. And, hey, if you’re interested in joining the ride, chances are he’s still carrying a proposal or two around. – Source: FSRmagazine.

Dunkin’ Sees p.m. Potential in Simplified Menu

Dunkin’ Donuts completed the conversion of a simplified menu in 100% of its U.S. units in the first quarter ended March 31. The menu change should increase afternoon sales and make value campaigns more effective, said David L. Hoffman, president of Dunkin’ Donuts U.S. and Canada. “This massive undertaking resulted in a 10% reduction of required menu items as well as the elimination of another 23 optional products, most of which were slow moving, complex and off strategy,” he said in an April 26 earnings call. Dunkin’ Donuts expects to see an impact to comparable store sales of about 100 basis points in the coming months, which would be similar to results in test markets, he said.  “We continue to believe that over the long run, the simplified menu is an investment in a better environment for our people by taking complexity out of the restaurants,” Mr. Hoffman said. “This, in turn, will enable the crew to deliver a better guest experience, improve order accuracy, drive franchisee profitability and, ultimately, increase restaurant-level margins.”

Dunkin’ Donuts U.S. continues to see erosion in the p.m. daypart, he said. “It’s a different need state than the a.m.,” Mr. Hoffman said. “It’s a different occasion for the consumer. We still believe that we will absolutely win on the consumer that’s looking for a pit stop: get in, get out, get on their way at Dunkin’. That’s what we’re built on. “Simplification eliminated a lot of complexity, and a lot of that complexity came from the slow-moving p.m. food items … However, going forward, we created room for growth with simplification.” He also associated the menu simplification with Dunkin’ Go2s, a national value menu featuring three breakfast sandwiches at $2, $3 and $5 price points. “Now that we have the simplification scale, again, I’ll say it’s no coincidence that we introduced our $2, $3, $5 value campaign in April, and that’s because simplification was all about creating room for growth, not just on some of these other initiatives like value but also for menu innovation and what we want to do around p.m.,” he said. Canton-based Dunkin’ Brands Group, Inc., the parent company of Dunkin’ Donuts and Baskin-Robbins, reported net income of $50.2 million, or 58c per share on the common stock, in the first quarter, which was up 13% from $44.3 million, or 48c per share, in the previous year’s first quarter. Revenues of $301.3 million were up 1.7% from $296.4 million. “These results were delivered against a tough backdrop, which included the national roll-out of menu simplification, continuing intense competitive activity as well as adverse weather,” said Nigel Travis, chairman and chief executive officer of Dunkin’ Brands Group. Dunkin’ Donuts U.S. reported revenues of $139.9 million, which were up 2.8% from $136 million in the previous year’s first quarter. Segment profit of $105.1 million was up 3.3% from $101.7 million. Comparable store sales declined 0.5% as a decline in traffic offset an increase in average ticket. The introduction of Girl Scout cookie-inspired coffee flavors and afternoon break value offers drove sales. Dunkin’ Donuts International posted first-quarter revenues of $5.4 million, up 11% from $4.8 million. Segment profit of $3.2 million was up 125% from $1.4 million. Baskin-Robbins U.S. recorded first-quarter revenues of $10.5 million, down 0.6% from $10.6 million. Segment profit of $7.2 million was down 2% from $7.4 million. Comparable store sales declined 1%. “Average ticket was up for the quarter, but traffic declined largely as a result of the cold, wet weather across the country,” Mr. Travis said. “Weather accounted for approximately 300 basis points of negative impact.” Baskin-Robbins International reported first-quarter revenues of $25.9 million, down 1.5% from $26.3 million. Segment profit of $7.4 million was down 9% from $8.2 million. – Source: Food Business News.

Fast Food Sandwich Chain Subway Expects to Close About 500 Stores

The company has 44,000 locations globally — more than any other retailer. The National Retail Federation put its US store count at nearly 27,000 as of 2016, compared to 17,500 for Yum Brands, which runs Pizza Hut, Taco Bell and KFC, and the 14,000 locations for McDonald’s). The company said Wednesday it expects stores to close after it rolls out a revitalization plan, announced last summer, that will require franchise owners to invest more in their operations. All Subway stores are franchise owned, rather than owned by the company. The plans to revamp locations include adding self-service kiosks, more comfortable seating and Wi-Fi and USB charging ports. In February, Subway also announced plans for a loyalty program to win back customers and stem slumping sales. Subway’s stores count shrinks for the first time in company’s history. Store closings are new for Subway. It had a net loss of more than 350 US stores in 2016, the first year in the company’s history that it trimmed rather than increased its number of stores. The privately held company has yet to disclose its 2017 store count, but there were reports of hundreds of store closings. “Looking out over the next decade, we anticipate having a slightly smaller, but more profitable footprint in North America and a significantly larger footprint in the rest of the world,” the company said. Many of Subway’s locations are smaller compared to other fast food rivals. That’s one of the reasons there are so many of them — it’s much less expensive for a franchisee to open a Subway storefront rather than one for McDonald’s or Burger King. – Source: CNN Money.

Restaurant in McDonald’s new Chicago Headquarters will Feature Food from its Menus Around the World

Globe-trotting fans of the Golden Arches may find some of their favorites in the new McDonald’s opening Wednesday in Chicago’s booming Fulton Market district. McSpicy Chicken Sandwich from Hong Kong, anyone? The new location will feature a rotating menu of food served in McDonald’s restaurants around the world.

The 6,000-square-foot restaurant is on the ground floor of the global fast food chain’s new nine-story corporate headquarters, still under construction. Spokesman Robert Gibbs said the company would begin moving its 2,000 or so workers from its longtime Oak Brook campus over the next few weeks. The Fulton Market McDonald’s is one of the company’s modernized “experience of the future” locations with ordering kiosks, table service and curbside pickup. What it lacks: a drive-through or much parking to speak of in the rapidly changing business district. But McDonald’s enthusiasts and curious passers-by likely will visit the location anyway, drawn by the global offerings not sold in any other U.S. locations.

The first menu rotation will include the Mighty Angus Burger from Canada, the McSpicy Chicken Sandwich from Hong Kong, Cheese & Bacon Loaded Fries from Australia, two varieties of salads served in France and the McFlurry Prestigio dessert served in Brazil. The new restaurant will also feature a “Latin American-style dessert center” and McCafe coffee drinks typically served in Australia. “This is a unique challenge for us because of that global menu aspect that we’re not tremendously familiar with — and really no owner/operator is. Typically, if you live in these countries, that’s your menu,” Nick Karavites, franchise owner/operator of the new location, said at a media event. That’s also what adds to the buzz. “It wasn’t an issue getting employees at all,” Karavites said. The global menu will rotate every couple of months or so. Most standard U.S. McDonald’s fare will also be served. Along with the former Rock ’n’ Roll McDonald’s in River North — currently undergoing a major remodeling and also owned by Karavites — the Fulton Market location gives the chain another unique location in downtown Chicago. The River North location is expected to open later this summer. Both will have sleeker, more modern designs that break from the company’s past, part of McDonald’s strategy to grow sales and guide the business into the future. “Everything that we have done to modernize the brand over the past several years is exhibited in this restaurant,” Gibbs said. It’s unlikely McDonald’s will extend the global offerings to any other U.S. locations, Gibbs said. Bonnie Riggs, a restaurant analyst with research firm NPD Group, said she sees no downside in McDonald’s bringing global food to this particular location. “The uniqueness of what they’re doing I would say is very appealing to consumers,” Riggs said. What once was an industrial meatpacking district west of the Loop has become a hive of new development in recent years, with a slew of trendy restaurants moving in along with companies like Google and McDonald’s. Outside the new McDonald’s on Tuesday, construction workers toiled amid clouds of dust. Some of McDonald’s new neighbors said they welcomed the addition. At Capriotti’s Sandwich Shop, several construction workers hunched over subs. Manager Aquiel Farrington said she wasn’t worried about the new McDonald’s restaurant siphoning away business. “I don’t think it’s going to hurt us at all,” Farrington said. “We’re different enough.” Christina Berardi, manager of Anthropologie, the women’s clothing store across the street from McDonald’s, said she expects to see an uptick in sales once McDonald’s employees begin settling into their new office. “I know our employees are happy,” Berardi said. “It’s like a fancy McDonald’s.” – Source: The Chicago Tribune.

6 Tips to Turn Servers into Service Stars

Restaurateurs always look to enhance guests’ dining experiences and boost sales. Here, service expert Bob Brown, a speaker at our Restaurant Revenue Growth Conference, offers six tips on turning servers into service stars and increasing customer engagement:

  1. Know the products you’re selling. This is the foundation for increased sales and engagement. Many restaurants don’t provide servers with detailed information about menu items. A great server needs to know why an item is interesting, how it’s prepared and plated, and whether there are allergens to be concerned about. This allows them to be completely knowledgeable and act as advisors or consultants. That makes for better dining experiences. If servers are uninformed about menu items, they can’t explain their benefits to customers.
  2. Avoid yes/no questions. Too often, servers ask only yes or no questions: would you like a drink, can I interest you in a starter, would you like a soup or salad, or are you ready to order? All of those questions typically lead to ‘no’ answers and decreased engagement. Those yes/no questions can result in leaving money on the table.
  3. Be a greeting expert. Make sure your servers don’t just greet guests by saying hello, giving their names and asking if they’d like a drink. It’s also important to size up how they’re dressed, what they’re carrying and what the mood is like. That will quickly provide positive or negative cues about the experience desired. The verbal and nonverbal responses to what your server suggests will guide the selling style.
  4. Emphasize front-end beverage sales. Restaurateurs leave money on the table by not training servers to suggest front-end beverages, like bottled water, cocktails or beer, when appropriate. They should also be able to talk about wine, your wine list and suggest wine to the guest.
  5. Give a menu tour. Highlight some signature items or information about your chef. A guided tour of the menu increases interest and often results in the guest giving verbal or nonverbal feedback about what they like or dislike. When that happens, the server can tune into the guest and help them find what they want.
  6. End the meal with the grand finale. Have your server group together desserts, liqueurs or cordials, cognacs, dessert wines and specialty coffees. Again, make sure the server avoids the yes/no questions, like ‘Can I interest you in dessert?’ More times than not, the answer will be no; the guest is too full, out of money, out of shape, whatever. “The big question to ask yourself is did your guests feel cared for? Was your server and restaurant interested in finding out what  they wanted? In a way, the diners are shoppers. They are shopping for great food and beverages. You have to have a great sales person to make that happen,” Brown says. The National Restaurant Association.

This Strategy Helps Restaurants Reduce Turnover and Boost Service

The restaurant industry accounts for a whopping 10 percent of the entire U. S. workforce. With its 14.7 million employees nationwide, the sector is projected to add another 1.6 million jobs within the next 10 years, according to National Restaurant Association. Yet, while the forecast is promising, the industry remains more vulnerable to high turnover rates than many of its counterparts. And with national unemployment rate at around 4.1 percent, it’s worth considering how restaurant operators can better address the perennial challenge of attracting and retaining a solid workforce.

“With unemployment being so low, the competition to hire and retain top talent is as aggressive as it’s ever been,” says David Eha, director of national accounts for Restaurant Technologies, a foodservice industry leader in kitchen automation services. “People have been talking a great deal about how guest experience is the next competitive battleground, and companies recognize they can’t win at this game if they’re constantly turning over employees.” In other words, restaurants will not succeed in delivering an optimal guest experience if their workers are on the prowl for better opportunities.

Reducing the risk of injury in the workplace is one of the most important ways employers can instill a sense of loyalty in their staff, not to mention reduce the potential for costly workers’ compensation claims. An oil management system can reduce the risk of back injuries and burns, while non-slip shoes can prevent slips and falls. A strong fire safety program can help ensure staff is prepared while minimizing danger.

Of course, there are a number of other simple and cost-effective ways restaurant operators can keep their teams satisfied, including employee recognition and involvement in operational decisions. Whether wait staff are recognized through an “employee of the month” program or line cooks are honored at franchisee conferences. “Nothing makes an employee feel more valued than soliciting their input or ideas on ways to make the business more efficient,” Eha says. “Empowering employees to create a more efficient workplace doesn’t just positively impact the bottom line, it eliminates non-value-added tasks employees dread and allows them to focus on more important jobs tasks, letting them become more creative in their work. This can ultimately lead to better satisfaction and reduced turnover.”

Additionally, restaurant operators can reduce turnover by incentivizing employees through awards, such as gift cards or cash prizes. Some companies award employees for longevity, encouraging them to stay by offering added vacation time, one-time bonuses, or even automatic raises after specified durations. Lastly, Eha encourages employers to invest in their team’s future. “Pay for classes, seminars, or online education opportunities,” he says. “These investments will improve their skills—which of course will improve your business—and it shows a commitment to their future with the company.” Ultimately, such investments represent a relatively small price to pay given that turnover can cost employers as much as $5,800 per person in recruitment, selection, and training, according to Cornell University’s Center for Hospitality Research. With the industry’s projected growth and increased competition for labor over the next decade, restaurant operators would be wise to take the long view in terms of investing in their workforce, as the old industry adage will become even more salient: if you hire great people and take care of them, they will take care of the customer. – Source: FSRmagazine/Sponsored by Restaurant Technologies Inc.

NYC Bill Would Require Anti-Harassment Training

New York City restaurants and other businesses with 15 or more employees would be required to conduct annual anti-sexual harassment training for all workers, including supervisors and managers, in a bill that is awaiting Mayor Bill De Blasio’s signature. The “Stop Sexual Harassment in NYC Act,” a package of 11 bills aimed at addressing workplace issues in the wake of the #MeToo and #TimesUp movements, was passed by the New York City Council April 11. A representative in the office of council member Laurie Cumbo, the majority leader who introduced the stop sexual harassment act, said she was unsure on the timetable for Mayor Bill De Blasio’s signature. New York City restaurateurs will also have to meet obligations in the recently passed New York State budget, which included a requirement that employers provide anti-sexual harassment training and called on the state’s labor department and division on human rights to develop a model training program. “We’re extremely supportive of anti-sexual harassment training,” said Andrew Rigie, executive director of the NYC Hospitality Alliance, in an email, “but we now have questions and concerns about how the city and state plan to reconcile the two separate training requirements they’ve each passed.”

The New York City anti-sexual harassment act calls on the municipality’s commission on human rights to create an online interactive training module for access by employers to help them meet the mandate. “An employee who has received anti-sexual harassment training at one employer within the required training cycle shall not be required to receive additional anti-sexual harassment training at another employer until the next cycle,” the backers said. The training must be conducted annually for employees who work 80 or more hours per year on a full or part-time basis in New York City and within 90 days of initial hire.  Employers must obtain from each worker a signed acknowledgment that he or she attended the training, which may be electronic.

Once the bill is signed by the mayor, it will take effect on April 1, 2019. “The bills confirm that New York City is looking to be a leader as jurisdictions everywhere grapple with combatting sexual harassment in the workplace,” said lawyers for employment law firm Fisher Phillips. “Once signed into law, the Stop Sexual Harassment Act will significantly expand the obligations of New York City employers to prevent sexual harassment.” Fisher Phillips lawyers said in an alert that New York City employers need to be prepared for the expected approval of the harassment laws. “You should take stock of your current harassment policies to ensure compliance with existing laws and assess what steps will be necessary to comply with the new legislation,” they advised.

Jennifer Sandberg and Joe Shelton, lawyers in the Atlanta office of Fisher Phillips, late last year offered a five-step plan to help businesses address growing harassment concerns. “The time is now to examine your organizational culture to ensure that you are not only providing a workplace free of harassment, but also a workplace culture that does not embolden your employees from carrying out unprofessional and hurtful behavior,” Sandberg and Shelton said. They recommended that employers: 1) Make sure policies match modern standards. 2) Disseminate policies in a thoughtful way. 3) Train managers to address issues and avoid common mistakes. 4) Investigate any issues promptly. 5) Enforce standards consistently. “These are challenging times for employers,” Sandberg and Shelton wrote. “You are being asked to reexamine your organizational culture to ensure you are providing a safe and professional working environment for everyone in your service, and it’s not always easy to take an honest look at what has been created. However, going through this exercise will make your organization even stronger.” – Source: NRN.

Salad E. Coli Scare to End in Weeks with California Resuming Output

The concerns over the recent U.S. outbreak of E. coli involving romaine lettuce may last no more than a few weeks, as the area of Arizona where the offending produce is believed to have come from is now out of production and California farms are taking over. Federal officials are still trying to trace the exact origins of the outbreak that sickened more than 50 people and hospitalized 31, including five who developed kidney failure. All that’s known so far is that the tainted lettuce came from near Yuma, Arizona. The Yuma region is the U.S.’s dominant leafy-green supplier from about November through March, said Roland Fumasi, a fruit and vegetables analyst for Rabobank International in Fresno, California. During that period, the key California growing regions are too cool or wet for lettuce production, but Arizona winters provide ideal conditions, he said. The last legs of Yuma-area production shut down about a week ago, according to Trevor Suslow, an extension specialist for vegetables at the University of California, Davis. California’s Salinas Valley is now in full swing. Until federal officials know exactly where the offending produce came from and when its production ceased, careful consumers should stay away from romaine until about the middle of May, said Jean Halloran, director of food policy initiatives at Consumers Union, the advocacy arm of Consumer Reports. By then, all Arizona-grown romaine will have wilted and expired on its own. Even though restaurants and retailers that received shipments from Yuma have been notified and asked to pull those products, that doesn’t provide enough certainty, she said. Romaine is the second-most popular leafy green in America. Iceberg is still the most consumed, accounting for about 55 percent of lettuce demand, according to Rabobank’s Fumasi. Romaine comes in at about 30 percent, while other leaf lettuce is around 15 percent. – Source: Bloomberg News.

Starbucks Marketing Vet Named Chief Brand Officer at Noodles & Co.

Chas Hermann has been named chief brand officer of Noodles & Co., a fast-casual restaurant chain that specializes in globally-inspired, pasta-based dishes. In his new role, Mr. Hermann will develop and execute the company’s marketing, menu and culinary strategy. Mr. Hermann was most recently principal at Chas Hermann Consulting, where he partnered with the leadership teams of such brands as Del Taco and Papa Murphy’s Pizza to aid in their business strategies. Before that, he was senior vice-president of marketing, operations and supply chain for The Coffee Bean & Tea Leaf, senior vice-president of retail marketing at Commerce Bank and vice-president of marketing for Starbucks. Earlier in his career, Mr. Hermann held marketing, merchandising and financial leadership positions at Universal Studios, The Walt Disney Co. and Paramount Pictures. “I am delighted to welcome Chas Hermann to the Noodles team,” said Dave Boennighausen, chief executive officer at Noodles & Co. “His vast experience and track record leading brand strategy across a wide variety of different growth companies coupled with his alignment to our strong core values will be a great asset as we continue to execute on our strategy to become one of the leaders in the fast-casual restaurant landscape.” – Source: Food Business News.

Papa John’s Promotes Smith to CFO

Joe Smith has been promoted to chief financial officer of Papa John’s International, Inc. Mr. Smith most recently was senior vice-president of global sales and development for the pizza chain. Mr. Smith joined Papa John’s in 2000 as senior director of corporate budgeting and finance. He was promoted to vice-president of corporate finance in 2005, and in 2010 he took over the role of vice-president of global sales and development. He was named senior vice-president in 2016. “Joe has had an integral role in the growth of Papa John’s during his 18 years with the company, including 10 years in finance and 8 years in our global development departments,” said Steve Ritchie, president and chief executive officer. “His knowledge and experience position him well to serve as our new c.f.o., particularly given the work underway to evaluate and invest in new opportunities for value creation. I look forward to working with Joe in his new role.” John Schnatter, founder and chairman of Papa John’s, added, “Joe has demonstrated strong finance skills and integrity in his many years with Papa John’s, and his promotion is well deserved. His extensive knowledge of our company and industry make him the ideal person to lead our finance team.” Steve Coke, who has been serving as interim principal financial and accounting officer, will continue as vice-president of investor relations and strategy. – Source: Food Business News.

Zaxby’s Names Joel Bulger as Marketing Chief

Zaxby’s Franchising LLC has named industry veteran Joel Bulger to the new position of chief marketing officer, the company announced. The Athens, Ga.-based chicken brand said Bulger, who most recently served as CMO at Lake Forest, Calif.-based Johnny Rockets Group Inc., will lead marketing, digital and social platforms and other advertising and partnerships. “We took our time finding the ideal candidate,” said Zach McLeroy, Zaxby’s CEO and co-founder, in a statement. “After an extensive search, we are confident that Joel is the right person to help take Zaxby’s branding and marketing to the next level.” Prior to Johnny Rockets, Bulger held senior marketing leadership positions with such restaurant brands as Wendy’s, Church’s Chicken, Moe’s Southwest Grill and Darden Restaurants Inc. “I’m excited to join the Zaxby’s family,” Bulger said. “Even when I lived on the west coast, I remained a fan. It’s an amazing brand with a history of quality, culture and growth.” Zaxby’s has more than 900 locations in 17 states. –Source: NRN.
Kolache Factory Promotes Dawn Nielsen to COO

The Kolache Factory, a quick-service bakery concept, has promoted Dawn Nielsen to chief operating officer, the company said. Nielsen, daughter of Kolache Factory founders John and Jerri Banks, most recently served as a vice president at the Katy, Texas-based company, which has 58 locations in eight states. “I am so proud of what my parents built,” Nielsen (left) said in a statement. “It’s not easy to go into the restaurant industry with a totally new concept and make it. They blazed a path and I am excited and honored to move it forward and continue building on their amazing legacy with an aggressive nationwide franchise expansion.” The Banks family opened the first Kolache Factory in Houston in 1982, serving the regionally popular Czech pastries filled with an assortment of fruits, meats, Polish sausages, eggs and cheeses. Nielsen began working in the family’s first Kolache Factory at the age of nine, and she was instrumental in marketing and advertising the brand as it began franchising in 2000. She was named vice president after the death of her mother 10 years ago. “Dawn has literally grown up with the Kolache Factory and has continually added the knowledge and skills necessary to help grow the brand,” said John Banks, company president. “She has already brought great things to the family franchise, and I am excited to see where we can take this company together in the future.” The Kolache Factory has 27 company-owned stores and 31 franchised units. Three more units are scheduled to open this year. – Source: NRN.

José Andrés Debuts Sustainable Seafood Restaurant in the Bahamas

José Andrés is moving full steam ahead with his plan to change the world, and his latest restaurant project is evidence that he may start focusing on the environment: The chef recently announced the debut of his all-new restaurant on Paradise Island in the Bahamas called Fish by José Andrés, and the menu will highlight “sustainable Bahamian fishing practices.” Fish by José Andrés is located in The Cove, a luxury resort on Paradise Island. The signature dish will be a “simply prepared, fried local lionfish.” Lionfish are an invasive species that has been multiplying at an alarming rate in the Bahamas, where it has been doing irreparable harm to the coral reefs. Andrés—who is a practiced fisherman himself—hopes that overfishing the lionfish will allow the coral reefs to once again flourish, and may also help the local fish populations recover. The lionfish will even be caught with spears, rather than traditional equipment, which can cause further damage to the already fragile ecosystem. Part of the proceeds from this dish will also benefit the Blue Project Foundation, the resort’s non-profit, which is dedicated to preserving the Bahamas’ marine life. “Anyone who knows me knows how much I love the ocean – whether it’s enjoying the freshest delicacies of the local waters or going diving,” Andrés said in a statement. “Fish tells the story of this beautiful, mysterious thing we call the sea, through food… Our Bahamian team is as committed as I am to supporting sustainable fishing practices and the protection of the Bahamian coral reefs.”  The restaurant will also serve scorched conch, hog snapper, and seared scallops. The restaurant features a raw seafood bar, as well as a so-called “fire stage”—two outdoor ovens, where the chefs prepare jerk chicken and grilled oysters. With Andrés at the helm, it’s no surprise that his latest enterprise is so much more than a restaurant—it’s a place where great food and social justice converge. – Source: Food & Wine online.

CraftWorks Restaurants & Breweries, Inc. Joins Dinova Marketplace

Dinova, Inc., the only innovative proprietary marketplace exclusively focused on connecting business diners to restaurants nationwide, announced that CraftWorks Restaurants & Breweries, Inc. has joined its business dining marketplace. CraftWorks is the nation’s leading operator of brewery and craft beer-focused casual dining restaurants. Their brands include Gordon Biersch Brewery Restaurants, Rock Bottom Restaurant & Brewery, Big River Grille & Brewing Works, Chophouse & Brewery, Bluewater Grille, A1A Ale Works, Ragtime Tavern Seafood & Grill, Seven Bridges Grille & Brewery, and Sing Sing—all of which serve up fresh handcrafted beer and unique, flavorful menus. The 65 lively and hospitable CraftWorks locations in the Dinova marketplace are well positioned to meet a variety of business dining needs. From one-on-one working lunches to large group gatherings, Craftworks specializes in making each guest experience memorable. “Dinova is one of our most strategic affiliate partners, given it reaches millions of corporate card holders who are known to have higher check averages given the high index of business entertaining,” says Jaime A. Vasquez, Vice President of Marketing and Group Sales. “Dinova’s network of blue chip Fortune 500 companies provides us an additional channel to help drive our Group Sales business for corporate events.” ”Craftworks has been a pioneer in craft brewery, propelling the trend that is so prevalent today,” says Vic Macchio Founder, Executive Chairman, and Chief Strategy Officer at Dinova “Their inclusion in our marketplace fits perfectly with the rise of the millennial workforce growing throughout corporate America, and offers yet another ideal option for the Dinova diners of today and tomorrow.” Dinova continues to add new and exciting restaurant concepts to its more than 14,000 locations nationwide. The addition of the CraftWorks portfolio of brands is just one indicator of the substantial growth Dinova will achieve in 2018. – Source: FSRMagazine.

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