A Three Step Tool To Take Your Franchisee To Success
Franchisee Engagements
The end of the year is very near. This means the new year and new plans for your Franchisees. It is highly imperative that you arrange a meeting with your Franchisee before the end of the year to discuss actions and how to implement them in the coming year. The last year and a half has been extremely challenging for all, the Franchise and the Franchisee. It is imperative to understand what did not work and how to change those issues. Also, what did work well and how to continue improvements on those issues.
You will need to boost your Franchisee and set them up for success in this upcoming year. Within this article you will gain our recommendations when it comes to preparing for the coming year. We will discuss how you need to improve on the results of your Brand, how to gain in depth insights into your Franchisees routines and to improve on the processes thus far, so that the coming year shows success also.
By bringing these key items to the forefront, together you can boost the performance of the Franchisee, guarantee the Franchisee compliance, develop further Franchisee satisfaction and boost the drive for their alignment and the engagement necessary for success. This series includes three steps that you need to focus on. In order to successfully obtain the goals set forth, the Franchisor and the Franchisee must start the new year on the same page. You must be reading the same plans and understanding the same way.
In order for this to happen, it is critical that you speak with each Franchisee before the end of the year. This session will be in regards to budgets, goals and even more. There are two ways that you will ensure that each Franchisee is set up for success in the New Year.
- This is where the Executive Management begins their tasks. They must make the time to sit with each Franchisee. This does not take much time, but it will bring about a better ROI. Making a phone call shows that you are engaged with your Franchisee. It will show your commitment as to how they are handling a comeback from this wicked year. It shows that you are interested in what they are concerned about.
What you gain from a simple phone call is going to enable you to build on successes going forward and is going to be important when it comes to the budgeting process. This is not the phone call to inform them of what YOU are doing for them. This is the time when you listen to your Franchisee, listen to their hopes, their dreams, what they think worked and what did not work in their minds. You will listen to how they feel they are doing in their operations of the Franchise. These calls are usually dealt with by the Franchise Business Consultants. This time it is you, the Executive Management showing concern, showing the interest and discussing all the matters with them.
The question may be, what are you gaining from this phone call? You will walk away with an understanding of the SWOT within this Franchisee. This enables you to determine the actions that need to be focused on. This will enable you to develop the budget for the coming year, while the FBCs, COO and even the VP of Operations will all have the basis for coaching needs for the Franchisee. Outside companies could be utilized to perform these tasks, if your budget has the strength this can be done. Either way, you will gain the insights you need to determine if the Franchisee is selling the Brand, or selling themselves on your account. You may also gain insight as to if the Franchisee is considering selling the business so that you and your team can minimize any adverse impacts that may happen.
- To reiterate, the majority of persons jumping into business have done so without a business plan or a marketing plan. By the end of each day, what is important is the Franchise satisfaction, recruiting and the retention. The Franchisee profitability relies on these factors.
- You will come to see that each franchisee performs at different levels. The reasons may vary, but consider the majority of possibilities to be any of the following. The location, their strengths, the weaknesses, how long they have been doing business and the store type. In actuality, none of this should be of concern. What you are setting forth is a plan that all franchisees will follow. Whether it is a planning stage, sales plan, \marketing plan or the overhead plan, this process is one that each franchisee will adhere to. You can develop a solid KPI for each franchisee. You can help them boost by training them to follow trends, identify each step they are performing, what they are not doing and what to change in order to perform better.
This is why it is highly recommended to have a process playbook in action. This playbook will be given to each Franchisee. They will then be able to see their KPI and if they are still aligned with your goals. The KPIs will be used to assist in the development of margin plans, marketing plans and sales plans, as well as the budgets.
The entire point of having the playbook in motion is for the Franchisee and you to mutually agree upon what priorities are, and what order they must be in. You will all see where the franchisee needs to make changes to obtain better performance. You will have each franchisee explain what they want to change and how they intend to go about doing so. Once mutual agreement has been found, the franchisee must acknowledge and agree to each of the steps set forth. This step must be completed before the budget can be set forth and finalized. If those steps are not explained in detail, the cost of each may not be covered within the budget. This is where some issues begin.
This playbook can be utilized for every franchisee type. The industry they are in, the sizes of the business in order to create and develop the engagement you need from the franchisee, and the franchisee from the franchise. The playbook will be necessary throughout the budgeting process and beyond.
To reiterate, as you are preparing for a new year with your Franchisees, in order to help them succeed in their business, which will then help you succeed. The key is to provide improved visibility for your Brand. This will be done by having personal meetings or telephone chats with each of those franchisees. This time is meant to learn where the franchisee feels there are areas to work on, what needs to be changed or what they feel can be improved on. Then, and only then will you understand if the franchisee is on the same playbook as the Franchise. This allows you to align the goals so they match. The Brand cannot be risked due to lack of diligence on the part of the Franchise. When the Franchisee sees that you are involved with them, that you are interested in how they are doing, they will be more open to following what is needed.
Before the Franchisee began with the business, these plans were laid out. The purpose of the Brand, the method of the Brand and what is expected, both from the Franchisee and the Franchisor. When the Franchisee understands that you are offering the assistance agreed upon, this will help to reset the focus on the original expected Brand results. When the Franchisee sees that you are geared for growth, they will catch the same inspiration. However, in order for that to happen, you need to ensure that the business plan, corporate management, marketing, culture and systems for your Brand are all in place, in order to lead your Franchisees into growth and success.
When you listen to the Franchisee, allow them to hear from current franchisees, this will set them on a path forward. The current franchisees that you set up to speak with other franchisees just beginning should be the trusted franchisees, they must be confident and reliable. The franchisees who have followed the playbook, asked for clarification when needed are those that will benefit the Brand as you want done.
