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hey welcome everyone Ken Bergen here
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from foodie coaches with my good friend
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Jimmy Griffith who's our senior senior
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coach and uh we've got the opportunity
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for you to ask questions
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shoot the breeze share some comments and
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if you've got any comments or questions
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please drop them in the comments below
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where you can see us hey Jimmy how you
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going
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I am well thanks Ken I'm well
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um you know I live for this stuff so I'm
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really excited
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nice good yeah we can't see you yet but
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uh we're gonna do that we're going to
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fix that up pretty quickly we just get
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you us both sharing anyway there you are
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okay so everyone not sure how many we
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got you know more nearly 3 000 people in
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this group so there's lots of experience
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lots of people with uh lots of opinions
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and lots of issues lots of wins
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happening
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um Jimmy I always kind of interested in
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the stories you tell not the kind of
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personal stories but you often have some
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sort of some nice successes that you
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share with us about
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um business owners who are doing clever
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things what's something you've noticed
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in the last couple of days that you were
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talking maybe to some members or people
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you've been talking about membership
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well uh first I take umbrage that you
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think my personal story is boring but
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but speaking you know what we're talking
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about today about system procedures and
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really dialing things in I was actually
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just talking to a member this morning
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and we were analyzing uh wage costs and
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wage costs per hour and how to dial this
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in and by breaking that down we really
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found that there was a couple of hours
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dead between service where not only were
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we over staffed but that was also
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bringing the general morale and culture
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down because people were kind of
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um you know everyone kicked down again
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as opposed to staying up yeah
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what we're doing about that is we've
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actually established this is like a
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restaurant or a cafe watch style of
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business the cafe so but you know I
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guess it applies at a restaurant as well
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anytime in between Services basically so
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they have a morning Rush bit of a lull
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and then it kicks into lunch
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and what we're actually doing there is
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we're splitting this shift up into two
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parts and procedurizing the end of shift
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pack down as opposed to the end of day
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pack down
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what it's allowing us to do is ensure
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that in that white period we can go from
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two staff down to one staff but that
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person has everything they need to set
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up ready to go so it's not stressful for
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them
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every time we tried it in the past with
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this member uh
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that one person fell apart because it
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calmed down and then they had all this
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pack up to do plus customers plus all
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these things so by putting this
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procedure in 15-minute procedure
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this person can now handle it by
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themselves and we're saving about an
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hour 45 pointers
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each part of the shift times seven times
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a week or six times a week or something
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like that nice yeah it's an interesting
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one you know that's shift change thing
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and you know the end of every shift you
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know owners sometimes think oh just get
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people to keep producing or something
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like that but you know the plan is
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coming in for landing isn't it it's
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pretty hard to make that Peak production
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time
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and the beauty of this system we've
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created is that
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it puts a really clean Full Stop on that
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person shift because they have a clear
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procedure to follow a clear checklist of
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what needs to be done and it means that
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when the service quietens down they're
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working through the checklist checklist
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is done and if they've had time to
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finish that checklist they're no longer
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needed nice a really clean transition we
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can keep this person at 100 for the full
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time they needed 100 and then once
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they're 100 they're done so I know that
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tracking
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um labor hours against sales activity is
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something you get people doing pretty
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carefully it's one of those things you
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really need to lean in don't you and you
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know
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do it microscopically almost well what
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are some of the other things you've
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found when you've had those discussions
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with people you know to kind of align
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costs with sales
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well we talk about procedures for our
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team we often don't have system
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procedures for ourselves as the business
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owner to actually track these numbers
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and that makes it really difficult
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so we look at an idea of an hourly
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breakdown of costs uh wages for example
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and it seems bigger than Ben Hur
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if we can systemize this and start
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pulling a couple of weeks put an hourly
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breakdown in there and then understand
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what that looks like once we have a
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picture of the problem areas we can
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start focusing on them and then Zoom
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that view out and I'd recommend just
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doing daily after you have the
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microscopic view
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start looking at Daily with parameters
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of what's acceptable what's not and if
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it's not acceptable then zoom in
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microscope on that day
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so yeah because because so many
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operators they're kind of too impatient
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aren't they or maybe they just actually
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don't have the data in the kind of right
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format or easily accessible well how do
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I what do I need to kind of zoom in
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close like you're recommending
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biggest thing that our members struggle
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when we first start working with them
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and it's why we first start working on
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this and clearing that up is data
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overload you know if you look at a p l
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for example over a year there's about 4
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000 cells in there just full of numbers
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and it's overloaded so whenever you're
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looking at a numbers question the first
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question you want to ask yourself is why
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am I looking at it what do I want to
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achieve
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and then what's the simplest format to
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look at that in and look at that and if
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that answer isn't clear enough for you
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then take another layer go a layer
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deeper so this is food cost and you say
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I haven't got anything broken down and I
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don't know where it's coming in what's
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going on
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who cares
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that mindset is going to slow you down
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look at what you have
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see what you need to look better and
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then put that system in place just not
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looking isn't a solution so make it
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simple 5K 5 kpis focus on them and then
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get more detail as you need to get more
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detail okay so what what are some other
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sort of surprises that people have well
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just on on the labor kpi yeah I mean
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usually the biggest expense category for
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most people what are some other kind of
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surprising details or shocking or
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occasionally pleasantly surprising
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details if you've had people discovering
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when you work with them
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um there's a couple of great ones let's
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say one of them is having the right
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people in the right place
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if
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you know that somebody's really good at
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something
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then sure try and develop in other areas
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but keep them where they're strong
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they'll be enjoying it more they'll be
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better at it and they'll be more
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efficient at that job so all of working
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towards your Genius
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and if you can fill your team and
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realize that not everyone's going to be
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amazing at everything but a
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complimentary team
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is greater than some of its parts you
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can have increased Visions across the
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board
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um another big standout that surprises a
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lot of our members when they first
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Implement is that
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more people don't mean more work in fact
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it can be messy I know we've all
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probably had that experience running a
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cafe or a bar or a restaurant or a
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catering job where you think there are
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too many bodies around to get messy
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everybody's doing a half job and
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sometimes we'll find that you know
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removing one person from the kitchen one
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person in the front of the house will
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actually make everything run smoother
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wait times might increase by three or
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four minutes which gives the team time
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to get that extra coffee in or that
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extra glass of wine uh everybody's still
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happy and the service can be
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individualized without that frantic
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learning okay interesting so so the wait
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time is a manageable thing too isn't it
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you know we're sometimes thinking like
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speed faster is the only thing we should
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focus on but you're saying manage it in
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a different way how do we communicate
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that to customers
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foreign
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coaches which is you're not in the
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business of serving food and drink
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you're in the business of creating an
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experience people can have food and
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drink at home they can pick up a sausage
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roll at 7-Eleven if they're that way
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inclined I don't know why they would be
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um
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we're out there for providing experience
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and that experience you know it could be
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fine dining it could be grab and go
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whatever it is but why are they here to
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do that if we're talking about a service
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sense then what's the best experience
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this person going to be why are we
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trying to get our wait time down to
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under six minutes if somebody's out for
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a Sunday breakfast
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they're out to spend some time they want
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a couple of coffees how do we give them
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this experience in such a way that
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they're going to enjoy it the most and
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you know no one was waiting out for
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their food
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a well-timed dining experience with a
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sequence of service in place that seats
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a customer it has their sparkling water
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at the table they've already spent nine
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dollars they have their coffee straight
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away that's 16 plus the nine we're at
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25. then we bring their food out maybe
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with a little starter then we come back
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and you know second round of coffees
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is it going to work out better and it's
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a numbers question to have this person
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this table stay an hour and spend a
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hundred dollars or have two tables in
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half an hour each spending fifty dollars
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each what's going to give up that
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reputation what's easier on the team how
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does this balance out
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yeah interesting so so I mean there's
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this overwhelm too I know you've you've
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talked about a few times to me with
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people when they're starting and you
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know maybe they're making okay money but
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you know as you kind of uncover things
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it's a little bit look like opening the
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door of an extremely messy garage isn't
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it it's like oh my God where where the
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hell do I start how do you approach that
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kind of overwhelm too because because
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for a lot of people it's just shut the
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garage and run away
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oh yeah one of the main reasons that I
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could be able to unlocking their numbers
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is because they know they're not going
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to be good and it stresses them out
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um
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key things to remember your numbers
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don't care they don't have feelings
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they're not out to get you any emotion
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you're attaching to your numbers that's
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coming from you and if that emotion is
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causing you to not look at them you're
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never going to be able to solve them so
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a lot of people they come to me the
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first time and they say my numbers are a
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mess I'm embarrassed I can't do this
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because
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you can clean up a mess that you can see
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you can't start cleaning it up until
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you've sedated and you've looked at it
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so okay that's a good saying yeah you
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just start looking see what's going on
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start pulling through if the nut data
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isn't great
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it's not ideal but it's what we have
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work with what you have and work on
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refining it um
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so labor is kind of number one and then
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the other one is
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that actually before we get into cost of
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goods I I just um wanted to give you a
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response to somebody you know we often
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people there is first kind of issues cut
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cut you know shaving an hour off here an
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hour off there and you've explained some
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logical ways to do that that actually
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kind of energize as well as cost saving
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costs they energize and make everything
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more efficient
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but sometimes it's just essentially a
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bit of a bloody instrument just kind of
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hacking away and I've got a little
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saying you know they cut muscle not fat
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sometimes how do you approach that with
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people when you're talking to them
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one of the most common things your
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account is going to say is your Labor's
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too high and
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as you said cut cut cut people attack it
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and the fact is it's really easy to
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lower your labor costs two people work
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80 hours yourself
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don't pay yourself there you go you've
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just saved 80 hours of wages
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and you're never going to move forward
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in the business because you now have no
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time to drive the ship you're not paying
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yourself you're burning out so the first
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question that I always look at yes if
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you're over staffed reduce your hours
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but you can't put half a person behind a
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coffee machine
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so the better question is what do we
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have to do to afford the staff that we
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need to operate so you've got a base
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level of Staff you can't cut that lower
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or you're not going to provide the
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service you need
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the fastest way to do that nine times
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out of ten
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is to improve your team culture and work
00:12:00
on that customer experience to increase
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the average spend
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if you've got a cafe doing you know
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twenty dollars a spend a thousand covers
00:12:07
a week Million Dollar business you
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increase that average spend by two
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dollars
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yeah because you're not saying we've got
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to go and get another
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um 200 customers a week which we
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certainly like to do but you're saying
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the quickest thing is actually just work
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harder with the people we've already got
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that's the key the people you already
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have I speak to people and they say I'm
00:12:29
going to start opening nights and they
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increase the revenue we're going to
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start over Sundays Minnesota opening
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earlier in the morning and all of those
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plans thought out properly can be great
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but they come with additional costs
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if you increase the spend on the staff
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you've already had no one needs more
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staff and two dollars that you spend
00:12:45
and it means that your Revenue increases
00:12:48
your labor stays the same so the
00:12:50
percentage drops your overheads stay the
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same as the percentage drops and the
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only expense coming out of that increase
00:12:56
in revenue is the food cost
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so just just on the labor thing too
00:13:03
seems like most clearly operators are
00:13:06
now using online rostering any tips on
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for people who are using rostering
00:13:11
systems and you know to cover fine-tune
00:13:14
them
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any
00:13:18
a few years ago right all these systems
00:13:20
came out I'm getting you know statements
00:13:22
10 years ago all these system came out
00:13:23
they were full of glitches they didn't
00:13:25
really work
00:13:26
um they're a bit painful to use and over
00:13:28
time there's been a war of attrition the
00:13:29
ones that are left are all pretty good
00:13:31
so use them they've been developed if
00:13:34
you're spending money on rostering
00:13:36
software and you're just using as a
00:13:37
glorified spreadsheet you're not getting
00:13:38
the full capability out of it use the
00:13:41
information understand you know what
00:13:43
what hours cost you what your total
00:13:45
rosters costing you what that does to
00:13:46
your sales
00:13:48
drag things across make sure it aligns
00:13:50
with your zero or your QuickBooks or
00:13:51
your myob
00:13:53
um save yourself the time and monetize
00:13:55
that time in your head
00:13:56
if this took me an hour to do manually
00:13:58
and this does it in no time at all is
00:14:00
that worth
00:14:01
the expense nine times
00:14:05
if you're nice
00:14:07
tell us about some of the uh kind of
00:14:10
well maybe not horror stories but you
00:14:12
know scary stories you've uncovered with
00:14:14
a few people recently around Costa Goods
00:14:17
food costs beverage costs and things
00:14:19
like that and how are you approaching
00:14:20
them
00:14:22
look I think you know horror stories and
00:14:25
scary stories for me that always comes
00:14:27
down to wastage and portioning and
00:14:29
procedures because that's what's that's
00:14:32
when someone thinks they've done the
00:14:33
work and they can't understand it why
00:14:35
for a lot of people they either haven't
00:14:38
actually done the work to understand
00:14:39
their theoretical costs and their actual
00:14:41
costs and likely because they haven't
00:14:42
been shown for me that's not a Horror
00:14:45
Story it's not scary because if you
00:14:46
haven't been shown something you don't
00:14:48
know how to do it you don't know what
00:14:49
you know and
00:14:51
they're solving problems if you don't
00:14:53
know something learn it that's exactly
00:14:55
what we do
00:14:56
the horror stories for me are when you
00:14:59
know I speak to someone that's switched
00:15:00
on they say my theoretical food cost is
00:15:02
26 everything I know what it is
00:15:04
procedures left right and center but my
00:15:07
p l is saying 45 and I don't know why
00:15:11
that's all we've got to start going
00:15:12
digging and one of our members a while
00:15:14
ago I remember he had that situation and
00:15:16
he couldn't figure it out why
00:15:18
um he mystery shocked himself everything
00:15:19
was coming out portion and all there's
00:15:21
no wastage
00:15:22
and it wasn't for about a month when he
00:15:24
realized any mystery shopped himself at
00:15:26
a busy service that his team when they
00:15:28
were busy
00:15:29
were overloading the food they were
00:15:31
describing handfuls and chucking it on
00:15:33
they weren't trying to steal from him
00:15:34
they weren't trying to stitch him up
00:15:35
they were just busy and they were
00:15:37
getting sloppy
00:15:38
and this was working out to be about a
00:15:40
12 food cost problem for him
00:15:42
wow that's huge I mean that must that
00:15:45
must have doubled a portion sizes did
00:15:47
they or things it was um it was like
00:15:49
wraps yeah and there were people going
00:15:51
out when it was quiet they were going
00:15:53
out perfectly measured and done when
00:15:55
they were when it was busy they were
00:15:56
going out to some scene you know and of
00:15:58
course customers loved it they were
00:16:00
getting a bargain yeah and then they
00:16:02
complained when they got the normal size
00:16:04
next time and how why are you trying to
00:16:06
rip me off
00:16:08
and all it took was for him to do the
00:16:09
legwork identify what the situation was
00:16:11
and the next day everything was prepared
00:16:13
before service in uh sous vide in a Bay
00:16:16
Marine portion control and then the
00:16:18
wraps were built from those uh
00:16:21
controlled portions costing 100 bucks in
00:16:23
packaging to actually portion everything
00:16:25
plus another hour or two in wages and 12
00:16:28
on a business of his scale
00:16:30
I don't have his numbers in front of me
00:16:31
but we're talking a few hundred thousand
00:16:33
dollars wow huge and that's always
00:16:36
amazing you find it it's a great new
00:16:38
story but it's always upsetting when you
00:16:39
realize there was three months where
00:16:41
there's 40 Grand going down the drain
00:16:43
hmm
00:16:46
so I've often just thought about
00:16:49
Hospital people as not very good at
00:16:52
numbers you know they I mean it's
00:16:54
something I guess you learn uh
00:16:56
especially when it's got dollar signs
00:16:57
attached to it but how do you get people
00:16:59
more comfortable with you know scrunch
00:17:02
crunching spreadsheets or tracking down
00:17:05
numbers and
00:17:06
diving into xero or those sorts of
00:17:09
things how much do I do they need to do
00:17:11
how much maybe can they give to someone
00:17:13
else what's what's the story with
00:17:15
financial literacy
00:17:18
great question
00:17:19
um first things first I'd say don't
00:17:21
Outsource tracking your numbers until
00:17:23
you're across them 100 percent
00:17:25
you need to be Hands-On with them you
00:17:27
need to know what you're Outsourcing and
00:17:28
why
00:17:29
uh
00:17:31
secondly no one likes red numbers and
00:17:33
that's where people get upset and they
00:17:35
stop doing it when your numbers are in
00:17:37
the black and you know why and you're
00:17:38
causing it you start liking them a lot
00:17:40
more it becomes a when you look forward
00:17:42
to your weekly numbers because they're
00:17:43
going to show you how much money you
00:17:44
made
00:17:45
that's exciting okay that's interesting
00:17:48
so like red numbers is like red flags
00:17:50
and relationships stay away don't look
00:17:52
at it close that spreadsheet it's a
00:17:55
great analogy you know red flag's your
00:17:57
relationship you've got two options you
00:17:58
can ignore the problem and you're going
00:18:01
to be single pretty soon or you can look
00:18:03
at it see what the problem is work at
00:18:05
fixing it
00:18:06
and you've got a good relationship yeah
00:18:08
yeah
00:18:09
when it comes to the actual Tech the
00:18:11
how-to
00:18:13
really track your numbers properly you
00:18:15
are going to need at least a basic
00:18:16
understanding of Excel and that
00:18:18
terrifies people if they're not good at
00:18:19
numbers because it's all the cells in
00:18:21
the formula and um
00:18:23
forget it all
00:18:24
Google
00:18:26
if you don't know how to do something in
00:18:27
Excel just type in how do I do this in
00:18:29
Excel and there will be an article and a
00:18:31
video explaining exactly 5
00:18:35
000 YouTube videos to show you in detail
00:18:38
yeah I use Excel almost every day and I
00:18:40
Google something in itself almost every
00:18:42
day because you know I I did that once I
00:18:45
know it can be done how do I do it
00:18:46
quickly and that's for tricky things
00:18:48
because I'm pretty sad at the basics but
00:18:50
if you don't know how to add two cells
00:18:51
together
00:18:52
don't say this is too hard just say how
00:18:54
do I add two cells together in Excel
00:18:56
in Google and it will tell you instantly
00:18:59
yeah you're actually uh you know people
00:19:02
talk about you know what does it take to
00:19:03
be a good business owner in hospitality
00:19:05
and you know often it's you know big
00:19:08
smile and customer focus and customer is
00:19:10
you know keying and all that but you're
00:19:13
putting together a bunch of
00:19:16
kind of news skills I think which are
00:19:18
pretty much non-negotiable I'd say
00:19:21
prepared to crunch numbers and
00:19:24
understand them and be patient and
00:19:26
notice things and yeah well what are
00:19:29
some other of these kind of new skills
00:19:31
maybe that people didn't realize that
00:19:33
they needed
00:19:34
I think yeah there's a couple there's
00:19:36
not too many obviously around your
00:19:38
marketing and around your people
00:19:39
management for me the big distinction is
00:19:43
that a lot of people get into this
00:19:45
industry because of the creative side
00:19:46
they love cooking they love people they
00:19:48
love service they love creating that
00:19:50
experience
00:19:52
um
00:19:53
it can't be mutually exclusive of the
00:19:55
analytical side because as a business
00:19:57
owner you owe it to the community you
00:20:01
owe it to your team and you owe it to
00:20:03
yourself to have a profitable business
00:20:04
otherwise that business won't be there
00:20:06
you as the owner will burn out your team
00:20:08
won't have their jobs the community
00:20:10
won't have this thing you created for
00:20:11
them
00:20:12
and
00:20:14
this industry built around service has a
00:20:16
real hang up around making money
00:20:19
um you know I don't want to charge too
00:20:20
much I don't want to do this and it
00:20:22
leaves them squeezed in the Middle with
00:20:24
nothing left and doing 100 hours and not
00:20:26
actually making a profit so one one part
00:20:29
of that big heart quote unquote is you
00:20:32
know I don't want to charge people too
00:20:33
much I don't want to rip them off then
00:20:35
there's another part of it too is I
00:20:36
don't want to put too much pressure on
00:20:38
my staff I don't want to turn them into
00:20:39
McDonald's workers where they're going
00:20:41
to sell fries with that
00:20:43
um yeah it's a lot of
00:20:45
a lot of expectations to be unbusiness
00:20:47
like isn't it yeah and businesses just
00:20:49
don't exist if they don't have that
00:20:51
bottom line or they burn out and that's
00:20:53
what happens and when you see a really
00:20:55
thriving business that everybody loves
00:20:58
chances are the reason it's thriving is
00:20:59
because it's making enough cash that the
00:21:01
owner can focus on keeping it amazing
00:21:03
providing that experience the team are
00:21:05
all happy because they have that culture
00:21:07
built out
00:21:08
um the community knows it's there for
00:21:09
the Long Haul and it's going to be a
00:21:10
consistent product yeah yeah because
00:21:13
that that you've got to have you know
00:21:15
profit is also used for reinvest in
00:21:18
um you know new furniture or some better
00:21:21
Machinery or
00:21:23
a pint Joe because boy we really bash
00:21:26
around our premises don't we you know if
00:21:28
you've got a thousand people
00:21:30
through each week it's like a kid's
00:21:31
bedroom or something absolutely think of
00:21:34
the thing up you know
00:21:35
um I I'm not charging enough for my
00:21:38
meals which means that my customers come
00:21:40
into a venue with falling apart toilets
00:21:43
yeah
00:21:46
what you know what would you would you
00:21:47
rather pay the extra two dollars for
00:21:49
your dinner and know you're going to a
00:21:50
restaurant that's clean and tidy and
00:21:51
beautiful where you're safe to go to the
00:21:54
Loo absolutely yeah they're nice
00:21:58
um so Jimmy what just we're wrapping up
00:22:01
in a few minutes and this everyone is
00:22:04
our first q a and uh really great to get
00:22:07
started with this we'll be doing them
00:22:09
every two weeks Jimmy will be back in a
00:22:10
few weeks time we've got other coaches
00:22:13
and other I guess industry guests and
00:22:15
experts that we're going to have on
00:22:17
um just tell me about when you people
00:22:20
start as foodie coaches members what are
00:22:23
some of the things that you kind of do
00:22:26
early on to kind of get people saving
00:22:29
money making money what's the process to
00:22:31
you know get people getting results
00:22:33
really quickly
00:22:37
key focus when we start working with
00:22:38
members is themselves and making sure
00:22:42
they understand exactly where their time
00:22:43
is going and I'm monetizing it and
00:22:46
reallocating the scrubbing the toilets
00:22:48
the washing the dishes the running and
00:22:51
picking up deliveries into things that
00:22:52
will actually grow the business okay
00:22:54
that's not the answer I expected I
00:22:56
thought you're going to say first we
00:22:57
look at the Ruster and there we're there
00:22:59
but you're actually saying we've got to
00:23:01
actually make the time to yeah do the
00:23:04
important stuff no one can do these
00:23:06
things for you
00:23:07
so you need to be able to do them and
00:23:10
have the confidence to do them and
00:23:11
that's where we help our Members First
00:23:12
up is just saying these are the roles
00:23:15
that you need to be fulfilling your
00:23:16
business that no one else will do for
00:23:17
you so if time is being taken by things
00:23:20
that other people can do for you you
00:23:22
need to reallocate that because no one
00:23:24
can do your numbers for you one can grow
00:23:27
your team culture for you no one can
00:23:28
understand what you need to understand
00:23:29
to be successful and profitable long
00:23:32
term
00:23:33
stop watching the dishes
00:23:35
yeah nice you know the the old time
00:23:39
management thing is a bit of a cliche
00:23:41
and people read the book or watch the
00:23:43
Youtube video or whatever you're giving
00:23:46
a different much more potent I think
00:23:49
approach to this
00:23:51
yeah I like it for me it's money
00:23:54
all comes down on money hmm if your
00:23:58
business is running profitably and
00:23:59
successfully and let's say you're making
00:24:01
100 000 profit a year
00:24:04
on top of the way you're paying yourself
00:24:05
work out that hourly rate and then ask
00:24:08
yourself if you've ever pay someone
00:24:09
that's that to do dishes
00:24:14
it's very very easy to get trapped in
00:24:17
those 20 hour jobs isn't it yes
00:24:21
it's easy I'm good at it I'll do it
00:24:23
better than anybody else and I'll just
00:24:25
do it you don't have time to train
00:24:26
someone else to do it the way it needs
00:24:28
to be done
00:24:30
hey Jimmy really always enjoy getting
00:24:32
your insights and I know you kind of uh
00:24:35
funnel just amazing work you do with
00:24:38
hundreds of people over well if you're a
00:24:40
restaurant and bar owner yourself at one
00:24:42
time so you know the real pressures but
00:24:45
um the code the coaching work you do
00:24:46
with people is pretty incredible anyway
00:24:48
great to get your insights and uh people
00:24:51
drop some comments below this will be
00:24:54
you know you can watch the video again
00:24:55
and if you've got any questions for
00:24:56
follow-up or for Jimmy
00:24:58
um what's the best way for people to
00:25:00
make contact Jimmy for if they want to
00:25:02
have a chat more about you know
00:25:05
getting your assistance
00:25:07
yeah look you know drop a comment below
00:25:09
this
00:25:10
um I'm a member of the hospitality
00:25:12
owners group so you can find me in there
00:25:13
and send me a DM as well uh and yeah
00:25:17
this is what we do we do it all day and
00:25:18
we love doing it so
00:25:21
terrific thanks really appreciate your
00:25:23
time cheers thanks appreciate it
00:25:26
thanks everyone see you next time
00:25:28
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foreign
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