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• Franchise OPS Oepartment Formed 0n the (lock • Help Desk Offers Techno-Support ..a section specially for hourly employee! Star Service Hits Hospitality Home Run by Naser Fazlullah, Memphis An Example of Excellence North District Supervisor Subernia Jasper is an example of having a successful restaurant is She had determination and always excellence. She is a GM who is good leadership. At MFS-8 followed through. She trained and competitive by Subernia has developed a tremendous TEAM. Her nature and strives provided that team is not only leading MFS-8, but towards excellence. leadership. She is also leading the district. cares deeply for her There are advan­ 4*. There are certain criteria Krystal people and for the tages to operating a 9 restaurants are judged by; two of restaurant in a poor success of the those criteria are budgeted sales and socioeconomic restaurant and is Standards Assessment scores. MFS- environment. A committed to being 8, with Subemia's leadership, couple of those the best. She took obtained a 92% year-to-date Stan­ advantages are the leadership in a dards average and also exceeded ability to easily hire a restaurant that at budgeted sales to be one of the best crew and close one time was restaurants in the company. proximity to the considered one of Our President James F. Exum Jr. customer base. Subernia Jasper the company's said, "The secret to moving up is: However, we know underperforming there is no secret. Either you are that having employees and potential restaurants and going forward or backward; which customers are only a part of the turned it into one of the best way you choose to go is up to you." formula for a successful restaurant. performing restaurants in the company. She accomplished this Subernia Jasper is a prime example of The most important factor to by working hard and being smart. those who choose to go forward towards EXCELLENCE. Correction In the ]\i quarter v\<\(\ issue ofthe Gazer, JoAnn Rue was incorrectly identified. Joann is the assistant manager at the Huntsville #4 Krystal; Cathy Pendleton is the GM. his Issue An Example of Excellence by [laser fazlullah 1 Managing the Pennies and Letting the Dollars Get Away by James F. Exum Jr. I New Division focuses Attention on franchise Operations 4 "My View ofthe franchise Operations Department" by Jim Richards 5 Krystal Readies for Holiday Sales Upswing b Krystal Has HEART Krystal Gazer magazine is published by 1 Calh-877-KRY-HELP 8 The Krystal Company for employees and franchisees. General Managers, District Supervisors Compete for Krystal ofthe Year Awards 1 Finding four Wings: Eagle Course Graduates Gain Personal, Professional Insight to Please address all correspondence to: Restaurants Fill the Cups to Win Big in 3rd Quarter 11 MeetfourHewVPofHR Krystal Gazer Editor i? Training and Communications Department Crewmembers, Managers Hit Hospitality Home Run with All-Star Service 14 The Krystal Building Kel-San Meaning Korner 17 One Union Square 3rd Quarter I^ Standards Assessment Scores 18 Chattanooga, TN 37402 ©n the Cl0Ck...a section specially forhourl y employees 20-14 Deborah Luehrs Editor/Designer Words from the WEB 15 Krystal fans Bite Into Burger Eating Contests lb Newly Assigned at Krystal... 18 Grand Opening Celebrations 18 On the Road to Success Managing the Pennies and Letting the Dollars Get Away by James F. Exum Jr., president Managing the pennies and letting the dollars get use in this fight. In the General Manager example above, it away.. .this is an age-old adage that describes a common is the responsibility of the DS to help the GM understand problem in our system today. Consider the General that the process of working on food Manager whose focus is on reducing food cost by cost is not simply reacting to the next demanding thing you see. The process begins with a credits from plan that is based on waste and the the bread cost of that waste. Why would any purveyor professional manager spend his or her while at the time reducing waste with a potential same time weekly savings of $ 100 when there are throwing away opportunities to reduce waste with grill after grill of potential savings of $1,000? Of course Krystals and they both need to be addressed in a Sunrisers simply timely manner. The DS must be because no effort involved in this process. This is part of is made at produc­ planning in the restaurant. tion forecasting. Too often the DS's involvement is limited to Consider the simply saying, "Your food cost is two points higher than District Supervisor everyone else—get it down!" This kind of management who makes a point has no place in our company. This kind of management is of complaining not interested in teaching and helping. Professional about the amount management, at all levels, solves problems by teaching of linen used in a others to solve problems. That is what is needed in our day while on that same company. day 20 labor hours are wasted due to poor scheduling and Professional leadership focuses themselves and their control. Consider the franchisee that negotiates for nine people on priorities. The setting of proper priorities is key months a lower price on a piece of ^^^^^^^^^^ to a properly land to build a new restaurant and functioning therefore delays the opening. The "With the intense competition we face business. profitability lost during the delay With the would have more than covered the today, we are locked into a battle for intense competi­ additional cost of the land. But now tion we face the franchisee is nine months behind pennies of profit. It is imperative that today, we are plan and the lost opportunity is locked into a incalculable. These are just a few we PLAN to be profitable" battle for pennies examples of how our system loses of profit. It is large profits while chasing small —James F. Exum Jr. imperative that profits. This is a common problem in ^^^^^^^^_ ____^_^______^^_^^^_ we PLAN to be our industry. We must be on guard profitable! It will against this at all times and at all levels. not happen by accident. It takes awareness and effort to Prioritization of cost-saving opportunities is one tool to take the pennies to the bank. Make sure you are taking all you can. I New Division Focuses Attention on Franchise Operations August at Krystal marked the take over responsibility for franchise focused assistance to franchisees announcement of a new Franchise territories, including reviewing fran­ opening new Krystal restaurants in the Operations Department focused on chise restaurants on a quarterly basis. areas of planning, schedulingand assisting the Krystal franchisee The people who assume the FAD training. To establish and maintain a community in its pursuit of achieving positions will have current business steady and constant stream of not just operational compliance, but experience, including knowledge of communication between franchise operational excellence. The Krystal Company's growth in the comingyears will be largely responsible to an influx of franchise owners and The Franchise Operations Team restaurants, and the creation of the new department is an effort to meet the needs ofthe growing franchise community. Also, because Krystal customers see no difference between company and franchise restaurants, •^^H i^MHH•^^• B MM the success of the Krystal brand Steve Smith B Fall 1999 Tommy Hogue Fall J 999 Spring 2000 demands a solid, symbiotic relation­ Central Franchise H North Franchise Franchise Trainin Franchise Training Area Director S Area Director Supervisor Supervisor Supervisor ship between Krystal corporate and its y£ Nashville At Large At Large At Large franchisees. The Franchise Operations Department will enhance that relation­ ship by creating a more targeted and Lower method of consistently delivering the resources, information and tools to the franchise community. P&Ls. Due to the creation of the FAD trainers, operations staff and franchi­ The new department will officially positions, Krystal's present directors of sees, the Franchise Training Supervisor become operational on Jan. 1, 2000, area operations will no longer be positions will report directly to the although plans are continuing in responsible for visitingand evaluating Director of Franchise Operations. preparation for that date. An experi­ the franchise stores after Jan. 1. enced and knowledgeable staff is Tommy Hogue, former DAO in the already forming, to be led by Jim Steve Smith, former Jackson, Miss., Huntsville, Ala., market, has assumed Richards, the current North Region DAO with more than 12 years' experi­ the position of Manager of Franchise directorofoperations. Jim will assume ence with Krystal, has been named Training. The remainingtraining the new position of Director of Central Franchise Area Directorto be positions will be filled in Fall 1999 and Franchise Operations to be headquar­ based in Atlanta. Steve will be respon­ Spring 2000. tered in Chattanooga. "The Northern sible for franchise restaurants in The goals of the department are Region has greatly improved under , , middle and lower clear, neverwaveringfromtheend Jim's two years with the company," said Alabama and Mississippi. A North result: growth of the franchisee sector James F. Exum Jr., Krystal president and Franchise Area Director, based in and ultimately, the Krystal brand as a chief operating officer. "I knowthat Jim Nashville and responsible for franchise whole. With the creation of the will bring the knowledge and insight restaurants in , Franchise Operations Department, that he has gained to this new depart­ and Arkansas, has not yet been named. "The Krystal Company will now have ment to aid both the franchise In addition to the FADs, franchisees the structure in place to grow both community and The Krystal Company." will benefit from the creation of three company and f ranchised restaurants into the next millennium," lames said. Two Franchise Area Directors—one Franchise Training Supervisor posi­ based in Nashville, one in Atlanta—will tions. These positions will offer strong, "My view ofthe Franchise Operations Department" By Director of Franchise Operations Jim Richards In light of the announcement of the formation of the new must be followed to the letter. We must take pride in our Franchise Operations Depart­ restaurant's appearance, inside and out. The list goes on ment, I want to share with you and on. some of the goals and objec­ If these issues are not addressed correctly, the cus­ tives I have for the department tomer, our precious customer, is in peril. He or she may be under my leadership. dissatisfied and never return. We cannot allow this to My goals and objectives have happen. been and are now the same for company restaurants as The Krystal brand can only grow if all its links are strong. well as franchise restaurants. I want sales-oriented, We must have all Krystal restaurants operating at or above profitable units; I want a large top line as well as a large the minimum acceptable standard. The new Franchise bottom line. But, this business requires more than is seen Operations Department is committed to its partnership from the surface. with the franchise community to attain these goals. Will it My folks tell me that I am hard to please. They are be without pain or disagreement? The answer is no. But it correct. I enjoy striving for perfection. I believe having high will be for the good of the system. We all want profitable standards is absolutely mandatory for our industry. growth, and we have been charged and challenged with Customers are too precious to abuse and lose. We abuse this statement. We must work together to reach our customers every day with slow service, dirty restaurants, objective. incorrect orders, etc....the list goes on and on. These The Franchise Operations Department will be your problems are not unique to Krystal Company restaurants; source for problemsolving. One of our major areas of they occur each and every day in corporate and franchise focus is franchise support, in whatever area that support restaurants alike. may be. We will be there when you need us. To achieve operational excellence and financial suc­ I have written much. It is a great challenge. It is a cess, we must view our restaurants as customers do. There challenge I have accepted, and I need your support to are multitudes of issues at play. It's all about bringing the achieve success. I want this department to be viewed by customer back to your restaurant, day in, day out. Fast you, the franchisee, as your right arm. Al of us look service is not a luxury—it is a necessity. Everyone must forward to working with you to meet our mutually benefi­ recognize the importance of the customer. All procedures cial goals. See you in your restaurants. Spicy Chik POP a bold flavor profile and bold point of . purchase. i Pictured at left, Jim Ketcham, district manager for New Capital Dimensions 1 (franchisee Rich Sertoli), Krystal General 2 Manager Ann James and A&( Advertising's Capers Hammond take a look at the new signage for Spicy Chik at Athens #2 on Prince Avenue in Athens, Ga. Krystal Readies for Holiday Sales Upswing Chik, Sackful Lead Marketing Effort

As we enter the holiday season, Krystal is gearing up to seize its share of the holiday sales upswing. The sales period between Thanksgiving and Christmas is one of the largest—if not the largest—of the year. Marketing in full swing for Chik, as new television commercials, radio plans are aggressive during this time, as quick service spots and outdoor advertisinghit the market to entice restaurants compete for a larger slice of the consumer's customers into the restaurant. On site, restaurant displays dollar. This year, Krystal is promoting two items with the like banners, register toppers, menu board photos and hopes of drawing in more customers and increasing average window posters will promote the Chik and the Sackful. On- check totals, both which add up to larger bottom lines. premise advertisements will also promote the Sunriser during The first step is understanding why the potential for . increased sales is present in the first place, said Nancy In addition to these items, special holiday to-go bags and Hoover, manager of Advertising and Promotion. There are trayliners offer customers coupons for special savings on four main reasons. "There's more traffic present, because menu favorites like Krystals, Sunrisers and Chiks. The people are out shopping for the holidays," Nancy said. "They coupons entice customers to return to their neighborhood also have more money during this time due to things like Krystal for another meal—which adds up to more money in holiday bonuses." And traffic patterns change, bringing the restaurant's cash registers. shoppers into different areas of town—some by restaurants While advertising and promotions are an important part of they don't usually frequent. And lastly, people are busier capturing sales during the holidays, one of the most impor­ than usual preparingforThanksgiving, Christmas, Hanukkah tant issues can only be done by the restaurant's first line— and Kwanzaa events with their friends and family, which its sales associates. "Suggestive selling is so important means they are more likely to eat out. "People are spending during this time," Nancy said. "For example, if you suggestive time shopping instead of cooking this time of year," Nancy sell cheese on a Sackful, that's a $ 1.56 sales increase.. .just said. "It's easier to stop by the restaurant for a bite or grab by adding cheese to one order!" something to go on the way home." Suggestive selling is crucial to raising average check totals, This year Krystal will promote the Chik, the latest unique a major goal for all Krystal restaurants not only during the item to hit the menu board, and the Krystal Sackful, repack­ holidays, but year-round. But restaurants should really aged with a holiday theme. Advertising and promotion will be emphasize suggestive selling and upselling during this sales period, as it may be a little easier. "There is a lot more money in the customer's hands during the holidays, and it's expendable income," said Rick Appell, director of Field Marketing. "We need to sell more things to each customer while they are there. They are already in the mindset to spend," he said. Suggestive selling items like cheese, upselling on and encouraging add-on items such as desserts are all ways to make each check total swell. But the other issue is getting more customers into the restaurant in the first place. The Krystal Chik has proven to draw in new customers—mostly women who enjoy the chicken alternative to the Krystal . These types of sales are called "incremental"—actual increases over and

See HOLIDAYS, Page 7 Krystal employee, proudly wearing Krystal U HEART specially-doignedT-ihirtsfortheevent, raised more money than any otherteam Employees Top Donation Charts for Heart Walk forthe 8th annual American Heart Walk on Sept. n in Chattanooga, Tenn. Krystal Krystal employees in Chattanooga, Tenn., raised more than $10,000 for employees helped raise$io,oo7forthe heart-related illness education and American Heart Association, a research during the 8th annual nonprofitorganization which American Heart Walk on Sept. 11. will usethefunds to fight heart The final tally was $10,007, enough diseaseandstroke—thefirst to put Krystal at the top of the list of Thanks to the donors this year. More than 95 employees who andthird leading causes ofdeath employees, their friends and family organized the walk for in Tennessee. the company: Corporate members turned out for the event. Top left: Walkers take in the Leader Wilma Elliott, and This year, Krystal Chairman and Team Captains Angela natural beauty of downtown CEO Phil Sanford is co-chairman of McLaughlin, Rosemary the Chattanooga American Heart Chattanooga as they raise Heard, Nancy Hoover Association's American Heart Walk. money foraworthy cause. and Jenny Fitzsimmons "This is a great accomplishment by of the home office, and Bottom left: Wilma Elliott, you for a very worthy cause. And, Chattanooga DAO corporate leaderfor Krystal, without a doubt, our Chik biscuits George Mares. were the most popular item after the warms up before the event. Walk," Phil said in a memo to employees.

HOLIDAYS from Page 6 above regular customers and promo­ include: • Certificates of Bravery tional draws. "They are the customers • Thanksgiving Coloring Sheets Children receive the certificate we haven't reached before," Rick said. including a free Krystal coupon after a Krystal distributes coloring sheets Aggressive field marketing efforts visit to the pediatrician, dentist or complete with a coupon for a free Krystal are planned for the holidays as well to other doctor. While there is a "feel hamburger to day care providers and maximize visibility and draw in new and good" quality to all of these strategies, teachers in our geographical area. "We old customers alike. Anew "Krystal get tons of thank-you's from this," Rick again, they increase visibility and try to Squeezeburger"—a soft, squishy said. "And children can't drive them­ capture more sales. hamburger-shaped desktop toy that selves to our restaurant, right? Someone Once these strategies are implemented some people squeeze to relieve has to drive them. Sales from the in a market, it's up to the local restau­ stress—will be placed in special Krystal parent's orders help us gain incremental rants to get involved, Rick said. "We hamburger boxes with one coupon sales." can get it started, but then it's up to printed on each end. Field marketing those local Krystals to interact with the staff are organizing efforts to have the • Krystal Bookmarks Squeezeburgers distributed at various schools, community groups, etc. types of community events, like high Three different bookmarks—offering a Consumers then begin to think of the school sporting events, festivals and free Pup, Corn Pup or Krystal—are restaurant as their 'neighborhood parades. Besides being a fun, break­ donated to elementary schools and Krystal.'" through branding method, the libraries. Like the coloring sheets, the And those types of relationships are Squeezeburger coupon boxes will drive bookmarks target a very specific what build sales, not only at the traffic into the restaurants. consumer group while offering some holidays, but year round, he said. visibility for Krystal menu items that Other field marketing strategies normally don't receive much hype. Help Desk offers restaurants (all 1-877-KRY-HELP: solution-oriented support Clearing our voicemail boxes can be a rewarding task— especially if there seems to be a never-ending stream of messages on your extension. So can you imagine receiving up to 160 voicemails a day, all asking for your help? As the technical support center for all company and franchise restaurants, home office staff and field person­ nel, the Krystal Help Desk fields dozens of calls each day. The Help Desk call log covers a wide range of topics: RSS, time clocks, kitchen monitors, cash registers and more. The call to the Help Desk is usually the first step in solving the problem, no matter which type. "If you don't know who to call, you need to call us," said Donna Poindexter, Help Desk supervisor. The process is as follows: when an issue is called into the Help Desk by restaurant management, a member of the Help Desk staff retrieves the message and enters it Carole Cornelius, a member ofthe Help Desk team since its creation in i<)88, logs a call into the into the HEAT logging and tracking system. The descrip­ HEAT system. Logging in calls placed to the Help Desk is the first step in solving the issue. tion of the problem from the voicemail is transferred into HEAT, along with restaurant and contact information. Then, the members of the Help Desk begin to process the S Support Just a Phone Away calls in order, pulling up the information in HEAT to With the implementation of the new KRIS system in become familiar with the issue, then contacting the all company restaurants, calls to the Help Desk are on restaurant for resolution. the rise as both the desk's staff and restaurant personnel learn the new hardware and software Assistance ranges from quick fixes to more complex programs. solutions. Many times the Help Desk can offer information to correct the problem; other times, the issue is forwarded The Help Desk recently began fielding calls on the to the company "expert" on the specific issue. Some­ new KRIS system, which includes a new back office times, outside vendors are contacted to repair or replace computer system, kitchen monitors and point-of-sale equipment, or to offer their own technical knowledge. (cash register) equipment. "We aren't experts on the new system yet," said Donna Poindexter, Help Desk No matter what the answer is, the Help Desk stays in supervisor. "We're all going through a learning curve the loop until the end. "We keep the call [status] open together." until we're sure that it is fixed," said Carole Cornelius, a member of the Help Desk team. Restaurant management should remember that District Supervisors are the first point of contact for Once a call is resolved, the resolution is logged into issues related to KRIS. The Help Desk gets involved as HEAT. From that information restaurant "histories" can be a "second-tier" of support if the issue is still unre­ generated, which list all calls from a particular restaurant solved. Once a call to the desk is made, the problem and are used to track ongoing or unresolved problems. may be answered on the spot, or may be referred to a While each day brings a new set of technical issues— KRIS expert at the home office. Other calls are routed and a new list of calls to be returned—the Help Desk staff to the help desks of Radiant Systems, maker of the tries to return each call within one hour. Depending on the new Lighthouse back office system, or to Xerox, phone "traffic," the timeframe may increase or decrease; Krystal's printer and fax machine vendor. for example, during slower times calls are answered as they ring into the Help Desk, with no voicemail needed. The desk officially goes "live" with KRIS on Dec. 1. That's when a KRIS lab in the Help Desk office will be The Help Desk is available for assistance from 6 a.m. to installed to replicate and solve problems communi­ 6 p.m., Monday through Friday, by calling 877-579-4357 cated by the field. (877-KRY-HELP). Plans are under way to add staff to the KRIS TIP: GMs with the new US Robotics modem should check to team and expand coverage into the weekend for a few be sure four lights are lighted on the modem each morning. 1/ not, try hours on Saturday and Sunday. to connect the KNer. 1/ that doesn't work, contact the Help Desk. General Managers, District Supervisors Compete for Krystal ofthe Tear Awards As 1999 draws to a close, work and human resources results (see achieve overall rankings. begins to name the top-performing graphic) will determine the winners. Winners will be determined in General February after all Managers and year-end informa­ District By the Numbers: Selection Criteria tion is available. Supervisors in On March 7 and 8, the company the winners of the who will receive j (3 ^^Hi3 KOTY awards, the 1999 along with Krystal's Krystal of the Regional Directors, Year Awards. DAOs and DSs, will join key staff The five top Antua l Service (heck Percent Percent Employee GMs in the Standards Complaint Sales (ash members for a company and Assessment Ratio per Increase Operating (Low Krystal of the Year the top DS in Percent 10,000 Ovenqw Profit Turnover Meeting and each region will 40% Transaaions Budget 20% Percent) Banquet. Events receive big 10% 20% will include cash prizes, for the district supervisor award, human resources results will be measured by management retention instead of employee retention. business meetings, with $1,750 workshops, awarded to each winning GM and executive speeches and an evening $2,200 to each winning DS. Criteria Competing restaurants will be ranked banquet honoring the KOTY award based on 1999 operational, financial in each category or subcategory to winners.

lltl|/ UUIV VV ). There are a few things you should remember before calling the Krystal Help Desk. Following the tips below will ensure the Help Desk has the tools they need to help you fix your technical issue. Be Specific. Don't just leave a mes­ Give it All. Be sure to give ALL the sage that says "Please call me." information you have, even if Give a detailed description of your something doesn't seem relevant. problem; many times the Help Desk It will save time in the end. can begin working on your prob­ lem from this information, even Provide the Whoand Where. State before they call you back. your FULL restaurant number and your name. For example, if you Be Honest. If you've made a mis­ leave "Krystal #3," the Help Desk take or done something incorrectly, must spend valuable time tracking let the Help Desk know. This helps you down. Which Krystal #3? In save time and find a solution to Memphis? Atlanta? Knoxville? your problem fast. KNX-03 is better. City and state also help. Krystal (ares Write it Down. Don't try to remem­ Ever wonder what happens to the food left over from testing and research at Krystal's home office? The Quality Assurance ber error messages from the com­ Listen. The Help Desk may ask you and Product Development Department donates it to puter in your head; write them specific questions and give you Chattanooga's Community Kitchen, which offers meals and down. The Help Desk will need the specific instructions. Pay close at­ other services to the city's needy. Above, Krystal employee Mr. information. tention so you can do your part to Ken Pope proudly displays a certificate from the nonprofit solve the problem. organization as he poses by Krystal's donation. 1 Finding Your Wings Eagle Course Graduates Gain Personal, Professional Insight Nineteen of Krystal's top General naturally gravitate Managers and District Supervisors toward a teamwork shared a week of learning, ideas, hard spirit," said work and some fun during the latest Standards Assessor Eagle Course Oct. 31-Nov. 5. Kevin Taylor, one of The Eagle Course, which debuted in the course partici­ April, is Krystal's latest management pants. "We had to development training program. It is give presentations, Krystal President and COO James F. Exum Jr. discusses time management techniques with the class. targeted to company and franchise too, which gave us managers seeking to expand their an opportunity to Once students complete the course responsibilities with the company and get up in front of our peers. Some of and graduate to the level of "Eagle to develop their leadership skills. us had done that type of thing before; Manager," the challenge is to take the some of us hadn't. But it's a support­ Class participants find themselves information learned back to their ive group...a chance to learn from positions in the field. Sharing the new challenged throughout the week-long each other." program with long days, ideas and practices with a manage­ interactive projects, The course covers a variety of ment team and crew and generating presentations from subjects like financial management, excitement about the changes is Krystal staff, skills time management, leadership and crucial for successful implementation. development activities more. Participants also delve into "I'm going to use the information," and even homework understanding their own manage­ said Subernia Jasper, general manager each night. The students ment style and the styles of their of Memphis #8 in Memphis, Tenn. "I hear from many of Krystal's peers. A test determines each told them, 99 (on Standards], here I top executives, including Chairman participant's style of decisionmaking, come! I'll use the information I've and CEO Phil Sanford, President and then explains how you should gotten and make sure to include my COO James F. Exum Jr., and South approach that style. employees, so they have a positive Region Director of Operations Marian The information gained from those attitude about it, too." Reed. But along with the hard work, types of exercises focuses on deeper With a renewed sense of purpose the class develops a sense of team­ issues and root causes. "There are so and a head full of ideas, the "eaglets" work and camaraderie, forming many AHA's!' involved in those more graduated into Eagle Managers, each relationships with peers in a setting complex issues," Kevin said. "It's receiving a plaque, certificate, shirt, much different than the daily grind. things we normally don't think about lapel pin and name badge designating "In a classroom setting, you tend to because we're putting out fires." them as graduates. Welcome Krystal's Newest Eagle Managers: Julie Burton, ORL-07 Jim Ketcham, district manager, Chris Dillard, Tampa New Capital Dimensions (Rich Sertoli, franchisee) Timothy Edge, MAl-01 Roy Maines, Nashville Roudolphe Germain, ATL-27 David McGhee, BIR-n Mark Giere, ORL-08 Sonja McKinney, standards Heidi Hagan, MAC-07 Cynthia Mitchell, ATL-22 Marion Harrell, KMX-12 Julian W. Roberts, ATL-31 Joseph Hernandez, Marietta Kevin Taylor, standards Michael Hutcherson, NSH-02 Angela Trawick, PEN-02 Kimball # i GM Lisa Mitt studies a financial chart during class. Subernia Jasper, MfS-08 Lisa Witt, KIM-01 10 Restaurants Fill the Cups to Win Big in }rd Qtr The results are in! The restaurants below were named champs in the 3rd quarter Fill the Cups North Regional Winner, Memphis #] on Summer Avenue in Memphis, Tenn. Above, Memphis North District incentive contest, Fill the Cups. Each of Supervisor Naser fazlullah and General Manager Carissa Naquin (second at left) with the restaurant team, proudly these restaurants sold the largest percentage displaying their Blockbuster debit cards. of College Rivalry Cups from their total sales Aug. 16-Sept. 12 in either their district, area or South Region Winner: ORL-07 region. South Region Area Winners: South? (cont.) District winners received $ 100 towards an employee South i SAV-04 Jacksonville North JAX-ii) pizza party. Hourly employees at winning area restaurants South 2 (OL-oc earned a $50 Blockbuster Video debit card, and hourly South] JAX-21 Jacksonville East JAX-12 employees at the winning regional restaurants received South 5 AIIG-oj Souths $65 Blockbuster cards. Winning general managers and South 6 ATL-02 district supervisors at the regional level received cash Atlanta North B ATL-38 South j AT1-42 awards. South8 (Regional Winner) Atlanta EastB ATL-05 Congratulations to all the winners who used their suggestive selling savvy to win! South 6 South Region Distria Winners: Atlanta West CAR-oi North Region Winner: MFS-03 sourni Atlanta South ATL-28 North Region Area Winners: Warner Robins MAC-07 North 1 CHN-05 North 4 Macon MAC-02 South 7 North 1 PEN-01 Murfreesboro MUF-02 Rome ATL-50 North 3 KNX-12 Nashville Central NSH-20 South 2 Marietta MAR-20, North 4 NSH-OB Columbus North COL-07 North 5 CTN-oi North 5 Montgomery MNT-02 South 8 North 6 (Regional Winner) Nashville South I07 Tampa LKD-oi North 7 SCA-01 Bowling Green [-02 South? Ocala OCA-01 North 8 GAD oi Valdosta VAL-02 North Region District Winners: North 6 North 1 Memphis West MFS-10 DLT-01 Memphis East MFS-16 The Perfect Chattanooga East ATH-01 Krystal Chattanooga North cnN-11 North] Chattanooga West CHN-03 Rodney Curry (at left), a production Florence DCA-01 North 2 leader at the Millington #2 Krystal Jackson West JCM-03 on North Highway 51 in Millington, Mobile A MBL-02 N0lth8 Tenn., recently received a Pride Jackson East PMS-01 Birmingham South Excellence pin from Standards North? Birmingham North Assessor Kevin Taylor. Rodney's 100 Knoxville North percent compliance with Krystal Knoxville South procedures earned him the award.

11 Memphis Librarians Thank Krystal for Bookmarks JO VI Krystal bookmarks offering *10 iitirgj children a free Pup, Chili Pup or Krystal are a wonderful way to introduce Krystal to the commu­ nity—and generate traffic into the restaurant. Recently, the Memphis, Tenn., area received the following letter from local Shadowlawn Library employees, proving the bookmarks help get Krystal noticed: Krystal Customers Support Knoxville's Needy "Thank you so much for your kind When Knoxville area Krystal customers stop by for a bite, they can gesture of bookmarks and certificates. We help provide a meal to the needy, too. truly appreciate your efforts to help Collection canisters at Knoxville area Krystal restaurants are encour­ encourage students to read. These aging customers to donate their spare change in support of the Love bookmarks will definitely be given out, Kitchen, Inc. The local nonprofit organization provides meals to the starting next week. elderly and homeless of Knoxville. With caring parents like yourselves, our According to Steve Caldwell, Knoxville director of area operations, students will have a very bright future." — the partnership was natural. "Krystal and the Love Kitchen are both Bless You, Sue Wheeler, assistant, and caring citizens of this community. And, we're both in food service, Linda Hopkins, librarian. though in very different ways. I'm pleased that we're able to let more people know about the Love Kitchen's work and give them an opportu­ nity to contribute to it." Memphis Krystals Sponsor The Love Kitchen is the shared dream of twin sisters Helen Ashe and SYS Homecoming Event Ellen Turner who wanted to create a program which would serve the needy of Knoxville. Today the organization serves breakfast every Wednesday in East Knoxville. On Thursdays, more than 2,000 meals— more than three fourths of them delivered to homebound recipients— are prepared and delivered by a team of 20 volunteers. In addition to the weekly meals, The Love Kitchen provides clothing and emergency food packages to elderly and homeless persons.

Stack 'Em High Ifs not how many Krystals you can eat, ifs how many Krystal boxes you can stack! Krystal fans got the chance to win the "Stack'Em High" contest at "Midnight Madness," the first | practice for the University of Tennessee at Knoxville men's and Krystal restaurants in the Memphis, Tenn., area recently I women's basketball teams. Four sponsored the Shelby Youth Sports Homecoming event, teams of two had qo seconds to stack complete with a live radio remote, cakewalk and dance as many Krystal boxes as they could. contest. Children received Krystal footballs, key chains, hats At left, Knoxville DS Dottie Berry and koozies as prizes. More than 1550 people attended as supervises the leaden (whose stack Krystal staff served Corn Pups, Krystals, Chili, cotton candy and I eventually fell!) as UT mascot SNO-Cones. "Much ofthe thanks must go to the Marketing I "Smokery" cheers them on. Winners Department and ASC Advertising, as they have been the received Krystal prize packages, backbone of our marketing success," said David Voyles, valued at $25. Memphis DAO. 12 Meet Tour New VP of HR Roger Rendin Places People at the Heart of Krystal's Success

Roger Rendin fell in love with try, where it's easy to begin to treat Krystal—fast. people as commodities. Krystal As the new Vice President of doesn't do that. They offer lots of Human Resources, he's only been recognition and understand that it on the job since Nov. 1. But during takes good, happy employees to get the interview process with company satisfied, happy customers," he said. executives, he found Krystal's core Roger says Krystal's emphasis on values—with people at the center— people mirrors his own belief system. made working here an opportunity As the former Vice President of Krystal's new VP of HR Roger Rendin says he thinks it's a he couldn't refuse. Human Resources for Pep Boys, a "bonus" that his new position led him to Chattanooga. "The "After I met with Phil and Fred, I national automobile parts and people are really friendly, and it's beautiful here," he said. was excited about where the services company, he understands the crucial component quality people Roger said. "But you have to embrace company is going and the atmo­ diversity and prepare.. .not just sphere they have created," Roger play in business day in, day out. And his previous 14 years of employment accept the change, but welcome the said. "I learned how they see people opportunity." in direct relationship to the success in Human Resources for of the business. A lot of companies gives him expertise concerning the And once employees are in place, say 'People are very important to personnel and training needs of the Roger believes a hands-off manage­ us,' but not many seem to back that quick service industry. ment style is important to maximiz­ up. When I heard [Krystal's] philoso­ But don't misunderstand; Roger ing productivity from each team phy, however, I knew they would also takes a business perspective to member. "If you entrust people with walk the walk, not just talk the talk. every aspect of Human Resources, a task, it's my experience that 80 percent of the time, they will "We are in a high turnover indus­ with a critical eye on its contributions to the bottom line. "I consider myself overdeliver," he said. "If you a business partner of the company," micromanage, you don't get as he said. "Its financial success is productive performance." directly tied to the HR function. I In his first month at Krystal, Roger have a large financial responsibility to continues to learn more about the have the programs and policies in company and began working on the place to help make success happen." issues mentioned above. So, what To ensure that success occurs, will the headlines read after a year on Roger plans to face several HR the job? "As a businessman, I hope challenges head on. The biggest the headlines read that Krystal has issues will be related to the grown—we have more restaurants, company's plans for aggressive higher volume, we're making more growth over the next five years, with a money. But in terms of HR, I hope push to find large quantities of quality people say it's become an even employees in a time when unemploy­ better place to work.. .that we've ment rates are slim. "The workforce in become an employment 'magnet,' America is undergoing radical and people run to us, not away from change," Roger said. "It's hard to other things." source people, much less quality Personally, Roger's headline is people." But those challenges also simple. "I hope it would say he was uncover positive opportunities, like an honest and just manager, and that the influx of more women, immigrants I helped a number of people grow and other minorities into the personally and professionally. I've workforce. "I believe successful been very successful if people can companies are diverse companies," say that." 1} Crewmembers, Managers Hit Hospitality Krystal customers across the Southeast are receiving counterparts. "It's great. Everybody wants the All-Star pin "WOW" hospitality and service thanks to the efforts of All- and hat," said David Voyles, DAO in Memphis, Tenn. "I Star crewmembers and managers. hear them say, "How do I get one of those?'" The rollout of the new All-Star Customer Service training But there's more to passing the training course than program is in full swing, and with results like improved receiving a hat and pin, and unless the program holds service times, lowered customer complaints and rising employees to a high standard, the meaning of All-Star customer compliments, graduates of the program are service will erode. While the training sessions should be proving the old Krystal stereotype of lacklus­ upbeat and encourage employees to ter service is a thing of the past. succeed, David urges restaurant manage­ ment to "hold the line" with "I think our ServeCheck [customer crewmembers who can't achieve the complaint] reports have gone way expectations of the program. "It is down—I see a big difference in going to have no meaning the [amount of] rude em­ unless you can have the ployee ones," said George courage to fail some Mares, Director of Area * people," he said. Operations in "Doing so lets Chattanooga, people know the Tenn. "And I've program has gotten more some teeth to it, #6 and makes the ServeChecks ALL people who do [compliments] succeed feel like * * than ever they've earned before. But something." we're not just training on STAR Both David hospitality; and George say also speed of they have had service SERVICE to strip hats issues. and pins from a Employees few employees who have who have not gone through All- continually per­ Star training are * * formed to the level realizing how important expected by the All-Star that is as well," he said. program. "The badge and the hat don't mean anything if the But customers aren't the only person can't follow through," David ones impacted by the program. said. "There can't be any exceptions." Changes are being noticed in Krystal crew, too. "The biggest impact is the attitude of employees, Toni Doster, regional training consultant and one of the which does impact the customer," George said. "Things creators of the Al-Star program, agrees. "We're trying to like team spirit, unity and a sense of teamwork." Employ­ set a higher standard for our customers. If we pass along ees seem to love the one-on-one instruction and the anyone who doesn't hold that standard, we've done a upbeat, positive atmosphere of the training session— disservice to the program, the employee, and ultimately, especially the recognition they feel when they pass the the customer. We make it clear to all the trainers that they course. are putting their seal of approval on each team member that passes, so they should truly believe that that person But there's a sense of peer pressure associated with the has achieved the Al-Star level of service before they pass program as well, as crewmembers not yet included in the them on. The damage is done when a customer comes in training envy the attention and rewards of their All-Star

14 Home Run with All-Star Service and sees that hat and pin; they now expect fantastic training is complete, all certified team members, trainers service. If they don't receive it, we haven't protected the and Subject Matter Experts receive lapel pins, hats and standard we've set for i^__^—^^^__ ^^^^^^_^^^^^^_ name badges designating Krystal." them as offering All-Star service to customers. The program has been It's great. Everybody wants the All-Star pin rolled out in nine cities so Initial training rollouts at far, with six more scheduled and hat. I hear them say, 'How do I get one one training restaurant in soon. Participants—crew each DAO market are under and trainers—pass through of those?'" way to get managers up to five training stations to earn speed on how to conduct the their All-Star Service certifi­ — David Voyles, Memphis DAO training. Then, Krystal's cation in the areas of Training Department will greeting and suggestive supply the materials needed selling, front counter assembly steps, drive-thru order filler to teach the course, so district supervisors may conduct assemble steps, drive-thru cashier/presenter, and handling the seminars for their own districts. customer complaints/service beyond expectation. After All-Star service is getting noticed! Read on.

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15 John Spallone (on right) recently received his 10-year Krystal service award from Director of Krystal Aviation Terry McDowell. John is Line Supervisor at Krystal Aviation. Under the Big Top The Tennessee Valley Fair, Sept. 10-11at the Chilhowee Park Fairgrounds in Knoxville, Tenn., hosts a variety of events for the young and old alike. This year Krystal sponsored the Kids Day Circus, offering daily interactive A 30-Year Partnership entertainment for the young-and young at heart. Above, three wee members ofthe audience don ballerina costumes and dance for the crowd. Krystal and its chemical supplier have enjoyed a 30- year business relationship, with clean and sanitary restaurants the end goal. Starting with this issue, Krystal's Kel-San representatives will offer quarterly articles on issues important to cleanliness and sanitation. The Kel-San Kleaning Korner (see next page) will appear in each issue of the Gazer. Tom Jones As an introduction to the following column, below is a brief history of Krystal's relationship with our current chemical supplier. Krystal has enjoyed a relationship with its supplier of cleaning products for more than 30 years. In 1969, Krystal began purchasing cleaning supplies from IDG Chemical Co. John "Dag" Gray was the KNX-02 Shows Team Spirit owner of JDG Chemical Co. and in 1971, at Krystal's request, he The new KP-2000 Krystal, M #2 on Cumberland Avenue in Knoxville, formed a service company, Tennessee Southern Maintenance. Tenn. Tenn., found a way to show their team spirit recently. The restaurant's Southern still performs a variety of services for Krystal. ceiling was transformed into a sea of orange and white squares, the colors of the University of Tennessee at Knoxville's football team, the Vols. 60 team! In 1983, to meet the needs of a growing customer base, Dag merged JDG with Southern Products Co. (So-Pro), a large Chatta­ nooga-based supplier of cleaning chemicals and products. In February 1998, So Pro was purchased by Kel-San, a large chemical and manufacturing company in Knoxville, Tenn. During these 30 years the company names have changed, but Dag remained as Krystal's chemical supplier contact. Dag and his associate, Tom Jones, are now sales agents for Kel-San and Krystal's direct contacts. Tom is also Dag's partner in Tenn. Southern. As Dag approaches retirement, Tom Jones and their administrative assistant, Judy Bentsen, are available to handle Krystal's Krystal kid's toys and coupons-and friendly waves from Krystal personalities needs. If you have questions about chemicals Krystal Hamburger and Krystal Sunriser-were in hot demand as the or cleaning supplies, give them a call at (423) Knoxville Zoo celebrated its annual loo at the Zoo" children's event Oct. 624-0066/800-624-7237 (Kel-San), or at (423) 28. Krystal helps sponsor the event each year. Representing Krystal were 622-1961 (Tenn. Southern Maintenance). Tom Knoxville DAO Steve Caldwell, DS Dottie Berry, and Local Marketing or Judy will be happy to assist you! Coordinator Amy Rae Dunn. 16 el-San Meaning Korner by Tom Jones, Krystal's Kel-San Representative ] Compartment Sink Blend (enter

Krystal's sink blend center mixes water and either Sun • Use room temperature water (Ideally 7 5° F). Do not use hot Up dish detergent or Quat Rinse Sanitizer at the proper water. strength, then directs it into the proper sink compart­ • Alow foam to settle and dip the test strip paper in a still, ment. This simplifies and speeds up the process of clear batch of sanitizing solution. setting up the dish sinks with the proper strength of • Hold the test strip paper in sanitizing solution for 10 cleaning and sanitizing solutions. It can also be used to seconds. fill the window/utility and sanitizer spray bottles and the • Remove test paper, shake off solution and immediately window washing bucket. compare to color chart on dispensing tube. The unit, however, is not completely maintenance free. Deviations from the above conditions such as using hot There may be times when the unit does not dispense the water, dipping the quat strip test tape in agitating or correct amount of detergent or sanitizing solution. moving water or varying the immersion time of the quat We (your representatives from Kel-San) have been strip test tape could cause erroneous readings. participating in your monthly General Manager's meet­ ings. Part of our agenda during these meetings is to review Krystal's comprehensive cleaning program, with an emphasis on the sink blend center. During the meeting, New Items Available Through Kel-San we demonstrate how to troubleshoot and repair the unit should a problem arise. Below are a few new items approved by Krystal and If you have not been involved in one of these meetings available through Kel-San. and are having a problem with the sink blend center, call your DS immediately. Your DAO may have parts available Smokers' Outpost to repair the unit. If you need further assistance, please Answers the need for an aesthetically pleasing receptacle call Kel-San at 800-624-7237 and ask for Judy Bentsen. that can hold abundant quantities of cigarette butts and She can help walk you through the procedures needed to discourage other litter and waste. find and correct the problem, or, if needed, she can send the proper replacement items to repair the unit. Sink Mats 28" x 64" superior anti-fatigue mat that helps prevent Sanitizing Solution: accidents. The surface has elevated friction bars for trac­ tion in wet, slippery areas. Safety orange beveled borders How to properly dispense and check solution on all four sides provide extra visibility. It is imperative that the proper strength of sanitizing Ice Machine Mats solution be used in the sanitizing sink. Local Health 28" x 40" superior anti-fatigue mat that helps prevent Departments view this with a very critical eye. Below are accidents. The surface has elevated friction bars for trac­ the correct procedures for checking the sanitizer solution tion in wet, slippery areas. Safety orange beveled borders and using the Quat Strip Test Tapes available from Kel- on all four sides provide extra visibility. San. We now have a peel and stick label that can be placed above the three-compartment sink which outlines the procedures below. Labels were recently shipped to franchise restaurants and are being installed at company Call Kel-San to inquire about pricing and shipping at restaurants. Call us if you need a replacement. 800-624-7237 (ask for Judy Bentsen).

1] ]ti Quarter 1^9 Standards Assessment Scores Rest ID Percent RestID Percent RestID Percent RestID Percent MFS008 97.03 BGK002 88.76 CHN014 86.12 ORL003 83.67 CBTOOl 96.36 COL005 88.55 AUGF02 86.09 AUG004 83.64 MCMOOl 95.46 DLT001 88.53 ATL038 86.04 ATLF11 83.54 CHN013 95.24 ATLF14 88.46 CDL001 85.98 KNX008 83.54 AUG006 94.97 ALB002 88.43 ALBF01 85.94 HTB002 83.42 CTNOOl 94.59 ATL021 88.41 SAVF02 85.79 ATL043 83.41 ATL039 94.48 KNX013 88.38 MFS009 85.69 ATL022 83.37 MFS014 94.44 NSH013 88.35 JAXF03 85.69 ATLF05 83.35 HTV003 94.26 NSHF01 88.32 ATH002 85.66 HTV001 83.35 MFS007 93.96 MAC003 88.30 AUB003 85.62 JCMF05 83.33 MBLF04 93.95 BIRF05 88.25 AUG002 85.51 ATL046 83.25 CHN006 93.68 ORL010 88.23 WRG003 85.45 DAY004 83.18 KNX002 93.36 COL007 88.09 DLT002 85.40 MAC008 83.18 FAYOOl 93.10 ATL001 88.05 SAV006 85.39 MFSF06 83.17 KIMOOl 92.78 MNT001 88.05 BIRF01 85.38 BIRO 12 83.14 KNX009 92.76 NSH003 87.93 TIF001 85.37 AUGF01 83.07 CAROOl 92.50 KNXF01 87.90 ATLF02 85.36 MFSF05 83.03 KNX0I4 92.47 BIRF02 87.87 JAX021 85.34 JCM003 83.00 ORL007 92.40 BGK001 87.84 NSH004 85.33 ATL053 82.91 CHN003 92.30 MFS005 87.74 TMPF01 85.32 ALB001 82.91 PENOOl 92.13 KNX001 87.58 MUF001 85.32 KNX010 82.77 SCAOOl 92.01 KNX015 87.51 COL001 85.26 WRG001 82.74 ATNOOl 92.01 SAV005 87.51 COLF01 85.19 MACF02 82.67 LWGOOl 91.60 ATLF09 87.49 MFS011 85.11 NSHF04 82.66 ORTOOl 91.45 KNX005 87.47 NSHF06 85.08 PMS001 82.64 ATL047 91.32 RGA001 87.29 NSHF03 85.07 NSH001 82.62 KNX012 91.26 AUG005 87.26 NSH005 85.04 CBT002 82.56 JCM0O7 91.11 LEXF01 87.25 CTV001 85.01 NSH016 82.52 NSHOIO 91.07 BKJF01 87.22 ATL031 84.87 ATL023 82.49 MALOOl 90.99 CHN005 87.11 JAXF05 84.85 ATLF07 82.42 CHNFOl 90.83 NTN001 87.05 ROS002 84.82 CHN017 82.40 ATL049 90.80 ATL020 86.93 SAV004 84.77 KNXF02 82.35 SAV002 90.66 SAVF01 86.93 JCMF01 84.68 ATL048 82.27 AUGOOl 90.57 MFS016 86.84 LEXF03 84.59 CHN002 82.21 MFS003 90.54 SAV003 86.75 MFS012 84.58 ATL042 82.19 NSHF08 90.26 DCA001 86.71 ATL008 84.52 JAX010 82.16 BJR002 90.12 ATL027 86.68 MACF01 84.48 COL002 82.04 MBLF03 90.06 NSH022 86.67 MBL005 84.45 COL006 82.02 NSHF02 90.03 KNX004 86.60 HTV005 84.43 LEXF05 81.92 MACF02 90.00 MNT004 86.53 MNT005 84.38 NSHF09 81.50 MAC007 89.98 ATL032 86.39 BIRF04 84.34 MAC004 81.49 WRG002 89.64 ATL026 86.31 BCF002 84.33 CHN0I1 81.47 MBL002 89.28 MNT002 86.31 VAL001 84.33 JCM004 81.44 HTVFOl 89.27 PEN003 86.31 TUS002 84.29 CAL001 81.44 MNT003 89.11 DAY001 86.30 ATL009 84.24 PANF01 81.29 PEN002 88.88 TMP001 86.27 BKJF03 84.20 KNXF05 81.27 ATL053 88.86 HTV002 86.24 PHC001 83.92 MFSF03 81.25 ATL037 88.85 JCM006 86.22 DOAF01 83.89 LEXF06 81.24 MAC006 88.84 GPMF03 86.12 SAVF03 83.88 ATLF15 81.20 CHN009 88.82 MAC009 86.12 KNX011 83.73 MBLF01 81.07

18 Congratulations to the RestID Percent RestID Percent VAL002 81.03 JCMF07 75.60 employees of all Krystal HTVF04 80.85 ATL034 75.58 CHN008 80.83 CHN016 75.49 JAX001 80.67 AUB002 75.45 company and franchise HTV004 80.67 MBLF02 75.45 FOLOOl 80.65 CTN002 75.38 JAXF02 80.65 TALF01 75.24 restaurants making the JAX019 80.60 MFS0I5 75.24 NSH021 80.59 AXLF01 75.00 grade in 3rd quarter. "Gold ATL005 80.36 KNXF07 75.00 JCMF03 80.34 JCM005 74.68 KNXF06 80.32 BKJF02 74.67 level" (

11 €>n the Clock Expect Smiles, Suggestive Selling During 4th Quarter Incentive Contest

The 4th quarter employee incen­ Winners will be selected Say tive contest, "Say Cheese, Please," is at the district, area and bound to leave its winners smiling. regional levels. District The contest begins Monday, Nov. winners receive $ 100 22 and ends Sunday, Dec. 12. In that towards an employee period, restaurants will compete to party; area winners sell the highest percentage of cheese receive $40 Wal- slices sold per transaction (excluding Mart debit cards Sunrisers). Eligible transactions and disposable include all "Add Cheese" keystrokes, cameras for each pieasei Cheese Krystals and combo cheese employee. sales. Hourly employ­ So the heat is on employees to ees at the two suggestive sell cheese on Krystal winning regional menu items like Krystals, Chiks, restaurants win $65 breakfast and more. Wal-Mart debit cards Crewmembers in service positions will and disposable cameras receive "Say Cheese, Please!" buttons Winning regional general to wear to let customers in on the managers receive a $500 Wal-Mart contest. debit card, and their district supervi­ sors win $750 Wal-Mart cards. And General Managers can catch their crew in action with disposable So get ready to smile for the cameras shipped to each restaurant cameras—and suggestive sell more specially for the contest. slices of Krystal cheese! Celebrating Success f he management and crew of Memphis #8 in Memphis, Tenn., recently celebrated their success achieved during the (leanl (lean! (lean! md quarter incentive contest. The restaurant beat out 15 eligible restaurants in the Memphis area to win, only missing first place in the North region by .10% with a store of ^.94%. "Memphis #8 is a 51-year-old (-unit design, which shows that facility age has little bearing on general, everyday diligent cleaning programs," said David Voyles, Memphis DAO. The crew had a great time at Piccadilly. Pictured with the crew of Memphis #8 are David Voyles, his wife Lisa, Haser Fazlullah (Memphis-North DS), and Subernia Jasper, general manager. Congratulations to all!

20 ..a section specially for hourly employees?

Operational Efficiency Pays Off

Standards Day The team at Memphis #14 on Missouri Road in West Memphis, Arkansas, was prepared for success on Standards day. The team's daily efforts earned them a j* quarter score of 94.44. Pictured are: - Martha Sims ' (°nnietol( •Shannon Durham 'Cassandra Tucker • Jimmy Washington '6ert ManV m*Harris 1 Collins Standards Assessor Michael Jordan awarded QIC Specialist Martha Sims a Pride For 3rd quarter Standards Assessment results by restaurant, see pages 18-19. Excellence pin for her 100% adherence to grill procedures. Sims helped earn a 94.44 Standards score at Memphis #14 that day (see picture at right). Memphis QIC Makes Headlines Recently a Q.S.C. per) and just wanted do well at her job. I Specialist at the dinner to be quick. was very impressed Bartlett Krystal Let me say that by her attitude and Restaurant on Stage the girl who works just had to brag on Road in Bartlett, the drive-thru on her a little bit. Tenn. (Faye Foods, Sunday nights I just wish I had Inc. franchise), around 8:30 has this her name so I could made headlines in customer service tell her manager. I'll the Bartlett Express stuff figured out. just have to take newspaper with her this column up there customer service She was very this Sunday." savvy. Read this peppy and upbeat. excerpt from Heck, she actually For a Good Cause... sounded like she Managing Editor Editor's note: Recently Knoxville area Krystal restaurants pitched in to "bail out" the wanted to take my Clay Morgan's Clay Morgan might General Manager of Knoxville #11 on Kingston Pike in Knoxville, Tenn. column: order. not know her name, Jay Steele was "arrested" on behalf of the March of Dimes' Jail and Bail Sometimes, it but we do\ "I went to fundraiser in September. Many ofthe local Krystal restaurants, DAO Steve Krystal's drive-thru seems that it is Kudos to Krystal Caldwell, all area district supervisors and Local Marketing Coordinator Amy the other night. I difficult to find Ambryster for a job was hungry, tired, someone who wants well donel Rae Dunn helped Jay raise $350 for the March of Dimes before he was to do a good job. mad about my wrist "released" from his cell. This girl at Krystal (he had injured his obviously wanted to Congratulations to Jay for participating in such a worthwhile cause! wrist at the newspa­

21 V i ©n the Clock Birmingham Service Associate turns The Gilt of Gab: humor into clever customer service

When you stop at Birmingham #6's drive-thru, be according to Clarence—pulls new and current customers prepared for a greeting that's as unique as the burgers. alike into the restaurant, all asking Jason to serve up a Jason Cornelius, sales associate at Birmingham #6 on routine with their orders. Employees of a nearby company Center Point Highway, proves daily that talk is anything routinely order from Krystal, and now fight over which one but cheap. His gets to pick up their burgers original and and hear Jason in action. humorous style "So many people get used to the same old routine... While Jason's brand of of greeting hospitality works well for him customers has how about, for once, we give our customers and has proven profitable for not only given the restaurant, Clarence guests a something they don't expect?" advises that it isn't for every­ momentary one. There is a fine line chuckle—it —Jason Cornelius, BIR #6 Sales Associate between unique service and keeps them crossing the line with custom­ coming back ers, and Jason is careful to for more. never offend or overstep the bounds of courteous and prompt service. But other On Jason's watch as drive-thru cashier, customers may employees can find other ways to make customers know hear a song about Krystal sung to the tune of the Beverly they are special too, he said. "I tell my other employees, Hillbillies or a deep, radio-personality voice booming 'Find your own reason for doing this job; you've got to "Thank you for choosing everybody's FAVORITE party make your own way," Clarence said. place on the planet to eat.. .KRYSTAL! Please order when you're ready." Or one of Jason's perfected accents may As a college student working to pay his tuition, Jason waft through the loudspeaker, like his German "Zank you has worked for several restaurant chains, but now has a for choozing Kreestal..." loyalty to Krystal. "This is an exceptional group to work Jason explained why he turned to humor in his position with and I'm proud to be here. I've been offered a number on the drive-thru during a recent phone interview. "As a of jobs—some with higher pay—but I won't go. I like this, customer myself, I get tired of going places to eat where I like the people, and I feel like part of the team." people don't care and there is no enthusiasm. I'm upping As far as Jason is concerned, turning customers into the tempo a little bit. By delivering an elaborate and loyal patrons is all in a day's work. Although he only works humorous greeting, Krystal lodges into the minds of part time—12 hours a week—he concerns himself with customers and they keep coming back. So not only will Krystal's bottom line like any diligent CEO would. "If I'm the food be memorable, but the service is as well." going to be here, I need to represent Krystal the best way I But not everyone thought Jason's brand of can. So many humor was appropriate for the workplace—at people get used first. "When he first starting doing it, I didn't to the same old think it was professional," said Birmingham #6 "I tell my other employees, Tind routine... how General Manager Clarence Edwards. "But then I about, for once, stopped and listened, and saw how the cus­ your own reason for doing this job; we give our tomers reacted. They love it," he said. customers you've got to make your own way."' something they In fact, the out-of-the-ordinary greetings not don't expect? only struck a cord with customers; they've —Clarence Edwards, BIR #6 GM Then they tell made a splash in the community as well. their friends and Recently a customer at the drive-thru heard family; the more Jason's greeting and promptly called one of people we get in Birmingham's leading pop radio stations on a here the better. We want to bankrupt everyone else and cell phone. The DJ spoke with Jason and recorded his be number one. That's what it's all about." voices. Now Jason's "spiel" is heard on the radio just about every day. The publicity—"free advertising," Keep talking, Jason. n ,a section specially for hourly employees Win $100 and a Krystal T-Shirt! Make CENTS out of Suggestive Selling with the 4th Quarter Gazer Contest So, can upselling here or an add-on sale there really make a difference? Test your math skills below to see just how quickly suggestive selling can add up...if you're right, you may win $100 and a Krystal T-shirt! Send in this page with your completed quiz to Krystal's Training and Communications Department, c/o Gazer Editor, One Union Square, Chattanooga, TN 37402. We'll draw from all the correct responses to pick a winner and announce the winning name in the next issue of the Gazer. All restaurant employees up to Q.S.C. Specialists are eligible to win. If you suggestive sell cheese on a 12 Krystal Sackful, how If you took 80 breakfast orders and suggestively sold much more did you add to the check total? Hint: Cheese hash browns ($.59) to half of them, what would your costs $.13 on each Krystal. suggestive sell total be? a) $1.49 b) $1.56 c)$1.43 a) $47.20 b) $23.60 c) $62.00

If a customer orders two Krystals, a small fry and a small Your goal is to suggestive sell a total of $19.50 worth of Coke (totaling $2.92) and you upsell them to a 4 Krystal cheese ($.13 each slice) today. How many slices do you Combo Meal (totaling $3.69), what's the difference in have to sell? price before tax? a) 200 b) 150 c) 160 a) $.77 b) $6.61 c) $.23 A customer orders a small soft drink ($.95). You upsell You successfully sold a Lemon Pie (priced at $1.09) as an them to a large drink ($1.19). What's the difference in add-on item to 5 orders a day, and so did 200 other price? Krystal restaurants. How much is the add-on sales total? a) $.24 b) $2.14 c) $.36 a) $5.45 b) $218.00 c) $1,090.00

TOUR NAME:. RESTAURANT NUMBER:. TOUR TITLE: (OnWlllllity IntCraCtiOn (rilCial tO SUCCeSS by David Voyles, Memphis Director of Area Operations In a time where customers have more and more choices every day, I have found that the most valuable tool to build and gain new customers is to get out in your surrounding communities, meet your present and future customers and convince them you want their business. We sponsor the Shelby Youth Sports football league. I have several old US Range grills that I have converted to propane to make them portable that we use at all of the local marketing events we support. On any given game we sponsor, we come into contact with 500-1200 existing or potential customers and serve them all a fresh, hot Krystal. The feedback has been overwhelming. The biggest surprise that we have found is that right here in our own communi­ ties where we have had Krystal for over 30 years, I still have people come up to me and state that at our last game was the first Krystal they ever ate, and they had to buy them three times this week: 'I'm hooked on those little burgers.' I have heard all of the stories about shrinking customer base and competition, but believe me they are out there in your communities just waiting to meet you and give your business a try for the first time, or for the second time if the first visit was not up to par. It does take a lot of personal time and energy to plan and get involved with local groups, but the rewards are well worth it. SALES, PROFITS and CUSTOMER COUNTS are all reflected in every effort you make. V, i I =©n the Clock .1 lection specially for hourly employed

Kudos to Lovell Road Team .:..;' • •--.".. "You have an excellent drive-thru staff at Lovell Road in Knoxville, especially Donna and Amanda. I can always count on Huntsville #4 Service Associate Wins Employee ofthe Year Award them for a big smile Anthony Lewis, service associate at the Huntsville #4 Krystal on Whitesburg Drive in Huntsville, Ala., recently won the Employee of the Year Award for an employee in a service position from the Huntsville Area Committee on Employment of People with Disabilities. The Huntsville Times newspaper featured Anthony, who has a developmental disability, for winning the award. In the article, and a cheerful hello. General Manager (athy Pendleton said, "He's such a pleasant young man and he takes pride in his job. More customers know Anthony than anyone." Anthony cleans tables, collects trays and empties garbage among other duties at the restaurant. Above, They're great. Tell Anthony proudly poses with his Employee ofthe Tear award with (athy. Q.S.C. Specialist Abigail Rodriguez Wins them." jrd Quarter Gazer contest Congratulations to Abigail Rodriguez, QSC. Specialist at the Atlanta #1 — Comment placed through Krystal on Buford Highway in Doraville, 6a. Abigail correctly answered the hospitality questions selected from the All-Star Service program to Krystal's website from win. At left, Abigail receives her $100 check from District Supervisor Dean in Knoxville, Tenn. Mark Patterson. She also received a certificate and a Krystal T-shirt. Halloween Hayride Memphis area Krystal restaurants recently treated local ghosts and goblins to two evenings full of food and fun during the 3rd annual Memphis Krystal Hayride. Children decked out for Halloween on the nights of Oct. 30 and 31 were treated to Chili Pups before the hayride, then they were of on a ride around town. A stop at Krystal franchisee Faye Stiles' restaurant in Bartlett, Tenn., ended the evening with free Icees and treat bags full of goodies for everyone. But participants went home with more than candy. Krystal showered the Halloweeners with Krystal keychains, pencils, pens, hats, koozies, frisbeesan d more. And the top 20 best dressed kids won $5 Krystal gift certificates, "fly thanks goes to Alice [Ailey] in Marketing, Danna [Bailey] at ASC Advertising, and DSs Alfred Harris and Naser fazlullah for helping me make this a successful event," said Memphis DAO David Voyles. U Words from the WEB When you've got to have a Krystal, you've got to have a Krystal! But what if you live somewhere outside ofthe square burger domain? A contest on Krystal's website recently generated some interesting comments about the pains people go through to curb their Krystal craving... here are excerpts from their entries.

"My girlfriend's parents often visit relatives in Tennessee. Every time they come back, they tell of these odd- "I am a military wife that used to live in (larksville, Tenn. The Army has sent us now to Maryland— looking burgers you eat by the bag. They say they are the best tasting burgers around but I had never a.k.a. "the land of no Krystals." My husband returned to Tennessee to do some work at fort Campbell for heard of them. On their way back to , they picked up several and packed them in the RV refrigerator. the Army. My one request was for him to bring me home a sack of Krystals. My sweet hubby did just that Now, reheated Krystals are not the best representation of your product, but they still melted in my mouth. and New back to Maryland with that precious cargo! I met him at the airport and devoured ] sitting right They tasted so good, I have planned my next vacation route in line ofthe nearest restaurant. I guess I will there in that terminal!!!!" Norma in Gunpowder, MD have to have a few of my friends invest in a franchise. Nope to see you soon." Kyle in Dallas, Texas "I grew up in Albany, Ga. On weekends, my parents and ] older sisters would go to Krystal on Oglethorpe "I have enjoyed Krystals for a very long time. When I was growing up we lived in Memphis, Tennessee. He Blvd., buy bags of Krystal burgers, fries, and shakes, and drive to (heehaw Park to have a Krystal picnic. ate at the Krystal all the time. We moved to Texas in iqft only to find there was no Krystal here. I look When I was 18,1 worked as the area clerk for Krystal in Albany. There are no Krystal restaurants in forward to every time I visit family in Tennessee so I can go to the Krystal. I never forget to take an ice Arizona, where I now live, but recently I found Krystals in the frozen food section at Super K-Mart—and chest with me, because I always bring back dozens of Krystals. We freeze them and heat and eat whenever bought all 11 boxes they had in stock!!!" Terry in tahuarita, AZ we want. When we run out we are in big trouble. So whoever in the family is going that way will bring back Krystals for the rest of us. I would love to have a Krystal in Huntsville or Lufkin Texas. It would save me a "I'm 47 years old and I love Krystals with cheese (that's the good part) now the sad part—I live in the lot of money on gas." Robin in Livingston, Texas Florida Keys. We have paradise here, but we DON'T HAVE KRYSTAL. Last weekend my mom and I went to St. Augustine. We have always enjoyed visiting Krystal restaurants on our vacations, so when we located the "I love Krystal. I grew up in Chattanooga and I always remember my parents stopping at the Brainerd and one on USi in St Augustine we had to stop. We had such a great time we went back the next day. Now I'm Belvoir restaurant. We would eat in the car of back and drive out through the Pioneer bank parking lot. back in the Keys and wish there was a Krystal nearby. WHEN WILL THERE BE A KRYSTAL IN PARADISE!!!!!!" Or we would stop in and take home a sackful. My brother and I would keep sticking the empty boxes inside Marti in Tavernier.FL each other seeing who could make the tightest little compact box until they split at the seams. The burgers were always hot and fresh. The smell would drive us nuts all the way home. Someone would always break "It may be one of missing what you can't see. We moved to the west coast several years ago and have on into the bag and start early. As I grew up I always went back to the Krystal. I could always amaze my occasion had friends and family back east mail, Fedex and even air ship Krystal Cheeseburgers to us in friends and family with the amount of Krystals I could eat. I ate n once. Now that I live out ofthe California and Washington. I am sending this for my wife who goes through crazy cravings for them. I was South, I really miss the Krystal. We still have our UT football season tickets and we always go to at least one returning from a conference in Atlanta and on my way to the airport I stopped in the Krystal in Jonesboro, football game a year. This year we will be back for the Notre Dame game. Everyone knows as soon as we Ga., and bought 24 Cheese Krystals. I mentioned to the salesrep why I was buying 24 (K's at

U KRYSTAL FANS BITE INTO BURGER EATING CONTESTS GA TECH KRYSTAL CHALLENGE— Oct. 8,1999: | Twenty-seven teams try to chew theit way to victory as hundreds of spectators watch. The Krystal eating contest was part of GA Tech's homecoming celebration the day before the homecoming game.

KNX #16 GRAND Aug. 14, m A Krystal Challenge is a great way to kick off a new restaurant opening.Jt gets the community involved, raises awareness of the restaurant and gives teams a chance to raise money for their favorite charity. At left, three contestants try to swallow one more burger before the buzzer. lb Krystal fanatics everywhere are taking part in Krystal eating contests. The Krystal Challenge —used to generate awareness ofthe brand, encourage participation in grand opening celebrations and partner Krystal with other community-sponsored events—encourages good-natured competition between teams competing for their favorite charities.

outside the University of Georgia

1, Newly Assigned at Krystal... Directors of Area Operations Area Managers Home Office (continued) • Johnny Danley, South 5, Atlanta • Doug Gantt, Ocala • Jamie Schmidt, Director of Franchise Development • Jeff Krause, North 2, Jackson/ Mobile Home Office • Steve Smith, Franchise Area Director: Atlanta District Supervisors • Roger Rendin, VP of Human Resources • James Stockdale, MIS • Freddie Zirbel, Florence • Jim Richards, Director of Franchise • Ginger Reed, Maintenance • Ronnie Grady, Dalton Operations Coordinator * Gail Cunningham, Chattanooga • Gary Greve, Director of Real Estate • Larry Ward, Rome Standards Assessment • Chris Johnson, Knoxville • Joe Fee MT (p\fi\\ryt\i\nt,

The Montgomery #6 Krystal on Zelda Road in Montgomery, Ala., celebrated its grand opening Oct. <\. At left, Krystal employees, city dignitaries and education leaders cut the "cash ribbon" to officially open the restaurant. At right, DAO Barry Sutherland, PYA Monarch's Kevin fgan, South Region Director of Operations Marian Reed, DS Chris Baker and Krystal Chik pose with the winners ofthe Krystal Challenge, who designated the TMCA as the recipient of their $500 prize. Company Openings... Franchise Openings... 10/18: ATL-54 on Indian Trails-Lilburn 10/25: John H. McPherson, Jr. 10/6: Happy Stores, Inc. Road in Norcross, 6a GVMF-04 on Highway 82 West in MBLF-07 on Highway 98 East i 10/25: Greenwood, MS. in.rla. MBL-08 on Schillinger Road South 10/25: in Mobile, Ala. MBL-oS on Schillinger Road South 10/18: White OakEnterprises, LLC. 10/19: Mountainview Enterprises, in Mobile, Ala. 11/01: KNX-06 on Clinton Highway in NSHT-10 on Madison Street in Inc. Knoxville, Tenn. Shelbyvillejenn. KNXF-09 on Highway 92 West in 10/25: Williamsburg, Ky. MNT-06 on Zelda Road in Montgomery, Ala. 28