rysta, 4th Quarter, n)i)i) Savings? * \ Clip these coupons Jjjjjife. j^fc. for great holiday savings / v jJmi^ jyu&, j«^ rJCMt»Jl for 13.69 y ~.i 1 nil tp> *i •«»' \. ftl ,ooK on the , of thii bagj # , S ling C * ^ •• "*2**!^^? * ' .•''v+hmfifcf. "*/>. *'jf?> •V;-s- .V ,m -A &«$; • 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 for hourly 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 Atlanta 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 Alabama method of consistently delivering the Mississippi 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 Florida, Georgia, 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 Tennessee, Kentucky Franchise Operations Department, that he has gained to this new depart­ and Arkansas, has not yet been named.