• Since most people on FohBoh seem to be motivated by numbers:

    Which costs more to replace? A customer or an employee?

    According to the U.S. Department of Labor, it costs one-third of a new hire's annual salary to replace them. Direct costs include advertising, sign on bonuses, headhunter fees and overtime. Indirect costs include recruitment, selection and training and decreased productivity while current employees pick up the slack.

    Avg turnover costs, $8.00 an hour employee, using only the lowest 10 of 15 estimates,
    $5, 505 .80

    source: Sasha Corporation

    Cost of gaining a new customer?
  • My favorite quote; "Listen to your employees, listen to your customers and be innovative in your response."

    From my experience in the industry, and as a customer, if a restaurant doesn't do one, they don't do the other.
  • Rather than start a new Discussion I am going to try and continue by adding a new question this week and hope you that have posted to the last one if interested will post to this one.

    How come with all of the unemployment in the country today companies and mangers still say it is very hard to find people who real want to work and do a great job?
    • I think that the initial balloon in unemployment, employers had to focus on retaining their best people with hopes of coming out of this in a stronger position. As time went on there has been additional fallout from employees cashing in on early retirement offers as well as employees who have been stung when their once happy place to work has closed, leaving them in a tough spot. Some of these employees have been there and done that and are choosing to leave the hospitality business completely.

      At the end of the day, this remains a demanding business and it is more so as companies focus on getting more done with less. Employers are less likely to hire warm bodies that don't seem to show enthusiasm/passion about what they are doing.

      The stress of the economy is making this a very difficult situation for all parties concerned.
      • Great comment thanks I think there is some good insight here.
  • Depends on the situation! all people need to be respecfull! I won't allow a customer or a employee to be disrespected for any reason. after all things happen and all party's need to be professional
    • Thanks everyone for taking the time to respond to my question. It is interesting to note the feeling of most of us is that it sounds good to say the customer comes first. But in reality it is the employee that comes first. I do not know who said it originally but

      "The way you treat your employees will determine the way your employees treat your customers."

      Pleas take a look at my new discussion question which I will post on Sunday night. I think you will all find it of interest. If you like the idea of a question of the week please forward to me and I will build a library and start posting one every Sunday.
  • You can't build Guest Loyalty without Team Member Loyalty. Your Employees come first.
  • I am going to buck the trend of these comments by saying simply that without the customer, there's no business. No business, no jobs to fill.

    Hiring the right employees and training them well to deliver outstanding service (FOH) and great food (BOH) is a wise business retention strategy and a customer focused strategy.

    You have to get the customer in the door in the first place. They must buy into the dream/concept. If that's from focused marketing or word of mouth, that's customer centric.
  • The employee without a doubt. They are the heart and soul of your of your store. you take care of them and they will take care of your guest and then you get taken care of. Training, direction and support is the key to success. You will not be able to please everybody all the time but if you take care of your staff they will please more than the orther guys.
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