PART 1 – THE PROBLEM AND ITS BACKGROUND
Introduction
Any company needs a system of control and measurement. This is all the more true in the food industry, wherein the expected output is not only about taste or profitability, but also on several factors that could cause a multitude of praise or problems such as quality of service, effective controls, innovative product mix, brand image, etc (Profitable Tips For All Restaurant Owner, by Kevin Moll). Although the restaurant operations group, central office, administrative support, and upper management are all expected to be calibrated and to work in harmony, this type of business requires a funnel point, or local management whose role to act remotely on behalf of, but in full calibration with, upper management in terms of policy implementation, achieving store targets, local marketing, and other operational tasks. This funnel point is the Restaurant Manager (Ninemeier, Jack D.; Hayes, David K. (2006). Restaurant Operations Management: Principles and Practices. Upper Saddle River, N.J: Pearson Prentice Hal).
In recent years, it has been a recurring problem of the Shakey’s Philippines operations team that some of the Restaurants have not been meeting its target Quality, Service, Cleanliness, and Hospitality (QSCH) Score and Profitability Goals (Based on the 2012 Audit Scores). Although several initiatives have been rolled out to coach each employee’s performance, the consistency of the store’s QSCH scores and the achievement of target profitability have been directly linked with the performance of the respective Restaurant Manager (Store QSCH Score is included in Restaurant Manager’s total Performance Appraisal rate).
Although coaching initiatives and continuous improvement programs have been launched and maintained, the problem resurfaces when attrition happens. Whether the attrition is expected or unexpected,