Product Marketing….The Customer’s Perception!

Written by Orrick Nepomuceno, VP Business Development

Last week, my wife and I had a wonderful lunch. However, it is likely that we will never return to the restaurant. Although the dish itself – the “product” – was delicious, the entire “Product” was a disaster. The restaurant owner made the classic mistake that there is more to his “Product” than the dish itself. When it comes to Product Marketing, the customer’s perception is reality.

For a couple of weeks, we had noticed a new Thai/American buffet would soon be opening. One night on our way home and without any dinner, we saw that an “Open” light was on in the new restaurant. We drove up and were approached by the owner. “Sorry, we will open in another week and we will offer a Thai and American buffet.” Whoops!

We came back two weeks later, but the greeter had a different message. "Just to let you know, we are no longer a buffet." It turns out the buffet hadn't been "cost effective" and they were now a sit-down Thai restaurant. After less than a week, the business model had changed completely, but the marketing message still promised the old Product.

We decided to stay for lunch anyway (although many who walked in later did not stay). The temperature in the restaurant was frigid, so I ordered hot tea. I was presented with a single cup of barely warm water, tea bag floating on top. The free egg drop soup contained raw vegetables.

The dish we ordered was scrumptious, but every other aspect of the Product was a disaster. The buffet owner (errr...make that Thai restaurant owner) failed to understand three basic marketing and management principals: (1) a Product is much more than the core item, (2) to a customer, client or prospect, perception is reality and (3) a major new business or product requires an initial start-up period to succeed.

When you purchase an item, you are purchasing much more than the item itself. The entire Product is a bundle of attributes that go beyond the tangible item. For example, service aspects (such as warranties, a person to bring you food, delivery, or customer support, etc.) or prestige / image elements (the "image" involved with purchasing an Infinity rather than a Maxima, for example) often come into play.

A Product doesn't have to be a physical item at its core. Products can be service-based, a business, a brand, or an idea. Really, your Product could be anything that can benefit from marketing.

I was floored to hear that after less than one week the restaurant owner had deemed the buffet format a failure. As far as I could tell, he had done nothing to really analyze “why” he was losing money on the buffet or to fix the underlying problems. There were also no apparent efforts to bring people into the restaurant for trial.

No business can be perfect and no business can project a positive image 100% of the time, but new products require people to try them in order to build a following. This requires marketing effort - some ideas the owner could have tried before deeming the buffet a failure.

Orrick Nepomuceno
VP Business Development
Dick Wray Executive Search
orrick@dickwray.com

“Dick Wray Executive Search – Maintaining the same ethical recruiting standards for over 34 years.”

TONY ZIDAR ,has been appointed director of food and beverage for HAMBURGER HAMLET, an 11-unit upscale-casual chain. He was former sous chef of The Ritz Carlton Laguna Niguel. He will replace PAUL JANEWAY, who recently joined IHOP as a development chef. Also, SAM SAMRA, a veteran of California Pizza Kitchen, was named to the newly created position of manager of training and guest services by Hamburger Hamlet.

MICHAEL O ’DONNELL joined the board of fast-casual concept COSI INC., operator and franchisor of 99 units. O’Donnell is president and chief executive of CHAMPPS ENTERTAINMENT INC. His appointment follows the resignation of EDNA MORRIS, who was recently named president of Outback Steakhouse Inc.’s newest restaurant brand, Blue Corral. In addition, TERRY DIAMOND also resigned from Cosi’s board, citing personal reasons. Other directors of Cosi include the former chief financial officer of Tampa, Fla.-based Outback, BOB MERRITT, and chairman and co-chief executive of Fired Up Inc., CREED FORD.

RICHARD COUSINS is the new executive director and chief executive for COMPASS GROUP PLC , the world’s largest contract caterer and facilities management specialist. Formerly chief executive of buildings material company BPB PLC, Cousins will succeed MICHAEL J. BAILEY as chief executive when he steps down June 1 and will also join the firm’s board of directors May 2. When reports last October indicated the company’s fiscal year 2005 earnings would be lower than analysts had estimated, Bailey announced his decision to step down. Currently, Compass is the focus of a congressional investigation in the United States, the result of allegations of corruption and bribery in relation to United Nations contracts it obtained through its Eurest Support Services division.

DAVE & BUSTER ’S, the 46-unit food-and-games chain, has hired STEVE KING, a longtime executive of T.G.I. Friday’s and parent company Carlson Restaurants Worldwide as chief financial officer. He will replace W.C. HAMMETT. Formerly a 22-year veteran of Friday’s and its sister brands, King previously served as president and chief operating officer of international operations for Carlson.

BECKY COPELAND was recently promoted by PICK UP STIX , the Asian-theme restaurant chain owned by CARLSON RESTAURANTS WORLDWIDE, to vice president of human resources. Most recently, Copeland, who has been with Carlson for 18 years, was executive director of HR for the 119-unit Pick Up Stix.

TIM PULIDO has been appointed the new chief executive officer of SHAKEY’S USA. He replaces ex-Pizza Hut visionary Arthur Gunther, who served as interim CEO for the last year 12 months. Previously, Pulido served as president and chief operating officer of a division of Carlson Companies, Inc., Pick Up Stix, a quick casual Asian themed restaurant concept with 100 locations. Gunther, originally retained as a consultant in November 2004, will stay on in a consultancy capacity, supporting Pulido as he redefines Shakey’s 52 year-old brand to meet the needs of today’s families. Pulido will report to William Tilley, Chairman of Shakey’s USA.

A company announcement said that the board of directors at WESTERN SIZZLIN CORP ., operator and franchisor of 150 family steakhouses in 21 states has been reshuffled. Chief executive of The Lion Fund, SARDAR BIGLARI, the limited partnership that owns 16 percent of Western Sizzlin stock, was named chairman and replaces PAUL C. SCHORR III. At that time, Biglari immediately accepted the resignations of Schorr and five other directors on Sizzlin's nine-person board. The company also said that another director will not seek re-election when his term expires at the company's 2006 annual meeting.

RANDY CLIFTON was hired by t he SBARRO quick-service pizza chain as president of its North American franchising operations. The casual-dining veteran, having spent 25 years in the hospitality business, will be responsible for supporting and expanding the 300-unit domestic operation. Clifton was previously senior vice president of franchising for Uno Restaurant Corp., parent of the Uno Chicago Grill full-service chain and he also worked for T.G.I. Friday’s and its sister lodging chain, Radisson.

JEFFREY HILL, chef strategic officer at PAPA MURPHY’S INTERNATIONAL recently resigned for personal reasons. PMI is the parent of the heavily franchised 928-unit Papa Murphy’s Take ’N Bake Pizza chain. MARK STRICKLER, PMI’s senior vice president of marketing, could not comment on any plans to replace Hill, a former Proctor & Gamble Co. executive and packaged products industry consultant.

MARY BENTLEY was hired by the WOMEN’S FOODSERVICE FORUM to serve as its new president. She is a foodservice veteran and longtime participant in the organization. Bently assumes the day-to-day responsibilities that were formerly handled by executive vice president PATTI VENETUCCI. According to the WFF, Venetucci is leaving after one year to accept a “significant role” at one of the association’s “key sponsors.” Formerly executive of General Mills, Bentley’s appointment follows a decision by the WFF in November to shorten the term of the group’s chairwoman to one year. ALICE WHEELWRIGHT of Ecolab Inc. and the person presently in that position will relinquish her association duties at the WFF’s annual convention next month in Dallas.

MARK MUMFORD has been named chief financial officer for P .F. CHANG’S CHINA BISTRO INC., and replaces KRISTINA CASHMAN. Mumford most recently served as chief accounting officer and vice president finance for PetSmart Inc. According to P.F. Chang’s, Mumford will also assume responsibility for investor relations, a role now handled by BERT VIVIAN, P.F. Chang’s president.

DANIEL STEWART was named corporate chef for t he 17-unit ROCKFISH SEAFOOD GRILL chain, partially owned by BRINKER INTERNATIONAL INC. Stewart replaces Kenny Bowers, who opened his own restaurant, Kenny’s Wood Fired Grill, in Dallas and was Rockfish’s executive chef since 1999. Previously, he worked in several Dallas restaurants and other foodservice locations.

Following the resignation of PAUL W. MACPHAIL, catering and facilities management firm CENTERPLATE INC., who specializes in sports arenas, stadiums and convention centers, named JANET L. STEINMAYER its new chief executive. MacPhail left Centerplate, according to the company, to pursue a startup enterprise unrelated to the hospitality industry. Additionally, DAVID M. WILLIAMS, aboard member, was tapped as Centerplate’s new chairman. After joining Centerplate in 1993, Steinmayer was named president in February 2005 and chief operating officer last September. Following the resignations of MacPhail and that of former chairman and chief executive LAWRENCE HONIG, last April, Steinmayer is the company’s third chief executive in a year.

ANNA MARIE BALCH, former RARE HOSPITALITY marketing manager, was named marketing director of SHELLS SEAFOOD RESTAURANTS INC. in Tampa, Florida, parent of the 25-unit casual seafood brand. She succeeds STACEY FLOBERG, who left the company in December.

MAX & ERMA ’S RESTAURANTS INC. was notified that it twice violated the NASDAQ stock exchange’s rules. Over two separate periods in March, they failed to have at least three independent directors on their audit committee. First, at the company annual shareholder meeting on March 14, TIMOTHY ROBINSON failed to be re-elected as a director. Secondly, THOMAS GREEN resigned from the board, leaving only one outside director on the audit committee until replacements were named March 17. Following the second occurrence, a NASDAQ Staff Deficiency Letter was issued on March 27 th, one day after Max & Erma’s had notified the exchange that one of the three independents on the committee, MICHAEL MURPHY, had died. The audit committee will function with two independent directors and they have until next annual meeting, or March 27, 2007, to remedy the situation.

COUNTRY CLUB COFFEE, an office coffee-services business was acquired by ARAMARK REFRESHMENTS SERVICES, a division of contract foodservice and facilities management company Aramark Corp. Country Club’s restaurant and waffle businesses were not included in the deal. Aramark Refreshments’ client base will increase by more than 1,000 additional businesses with the acquisition.

On April 17 th, HOOTERS OF AMERICA, operator and franchisor of 375 casual restaurants, plans to recast its Hooters Air commercial airline as a charter service, serving groups instead of individual travelers. The founder of the airline and cofounder and chairman of HOA, BOB BROOKS, said the airline will move from Myrtle Beach to Winston-Salem, N.C. The motive for refocusing the 3-year-old airline was due to high fuel costs and other expenses according to the company. During a Hooter’s annual franchise convention a year ago, COBY BROOKS , president of Hooters, said that even though Hooters Air was losing money, the company anticipated the operation to turn profitable and was committed to sticking with airline as a way to expose the restaurant brand.

At BRINKER INTERNATIONAL INC ., at least seven positions were eliminated in a reorganization of the operational management of its 1,150-unit CHILI’S GRILL & BAR division. SUZANNE KEEN, spokeswoman for Brinker, said three employees are leaving the company with severance packages and she described the changes as a streamlining of the chain's operations leadership explaining, “We went from four regional vice presidents down to two, and we took our regional director organization and reduced that from 17 regions down to 12”. KEVIN CARROLL was named regional vice president for the eastern United States; TOMMY LEE was named regional vice president for the western states. Keen also said that area directors will be taking on added responsibility and the oversight of more restaurants and, “as a result of this streamlining,” some folks are looking at other opportunities within the organization and other brands.” Separately, the vice president of operations support and a longtime veteran of Brinker, LARRY LINDSEY, will retire by the end of the summer according to the company.

After closing thousands of U.S. restaurants in the 1990’s, LITTLE CAESARS PIZZA announced plans to increase domestic development by opening “hundreds of stores in 2006” and by recruiting “hundreds of franchisees over the next several years.”

In Atlanta, cofounders of the upscale Gorins Homemade sandwich chain, MARK KAPLAN and BOB SOLOMON, have launched TJ’S SUBS, a hot-sandwich and beer concept, in the city’s Midtown and will feature sandwich signatures like Big Man on Campus and Keg Party, as well as Rockin’Pizza Pies served on baked pita crust.

This year NATION ’S RESTAURANT NEWS will hold their Restaurant Leadership Conference in Scottsdale, Ariz. on April 12 th. The winners of this year’s FRANCHISE EXCELLENCE AWARDS, recognizing companies and individuals for superior management and leadership in franchise management areas, will be honored at that time. The award for Leadership in Franchise Management was given to MCALISTER’S CORP.; ERIC HOLM, president and owner of METRO CORRAL PARTNERS INC., a Golden Corral franchisee, was named Franchisee Entrepreneur of the Year; and a Burger King franchisee, HEARTLAND FOOD CORP., was given the title of Franchise Star.

YARD HOUSE USA LLC is looking at private-equity firms as a possible means to more rapid growth. Yard House, the draft beer specialty casual-dining chain, opened its 13 th branch last month and is has plans to debut three more this year. The founder and chief executive of Yard House, STEELE PLATT, wants to avoid franchising and grow the chain with company-owned restaurants.

Shares on the first day of trading for TIM HORTONS INC. opened at $31.95 and climbed to a high of $33 before closing at $28.17. For the initial public offering, shares of the WENDY’S INTERNATIONAL INC.-controlled unit were priced at $23.16, a 20 percent increase from the earlier targets of $18 to $22. Through its offer of 29 million shares of the coffee-and-donut chain, Wendy’s raised $672 million and retains 82 percent to 85 percent of Hortons. Wendy’s said it intends to spin off its remaining stake by the end of the year.

An agreement, still subject to closing conditions and totaling approximately $4.9 million, was made by BOSTON RESTAURANT ASSOCIATES INC ., operator of about 16 restaurants under the Pizzeria Regina and the Polcari’s North End brands, to a per-share buyout offer of 70 cents from private equity firm DOLPHIN DIRECT EQUITY PARTNERS LP and BRAIDOL ACQUISITION CORP., its wholly owned subsidiary. According to regulatory filings, Dolphin and its affiliate DOLPHIN OFFSHORE PARTNERS LP presentlyhold a 46.9-percent stake in Boston Restaurant Associates.

Officials at CHIPOTLE MEXICAN GRILL, of the 500-unit burrito chain, have decided to open units that are one-half to one-third the size of its current standard restaurant upon learning that the system’s 30 smallest outlets had higher sales intake than the 30 largest. Further research indicated that the smaller the restaurant, the higher the profits. Additionally, expansion could speed up if they developed units measuring approximately 1,000 square feet, compared to today’s average size range of 2,300 to 3,000 square feet. Chipotle, which went public this year and is 65-percent owned by MCDONALD’S CORP., plans to open up to 90 new restaurants this year although they did not say how many of the new units are likely to be the smaller size.

A partnership has been formed between SODEXHO INC . and SUVIR SARAN, chef of DEVI, a fine-dining Indian restaurant in New York. Saran, who also is a cooking instructor, was named its international concept and brand development partner by the onsite foodservice giant. According to Sodexho, Saran’s role at the company would include guidance and direction in developing international and healthy foods, focusing on Indian techniques and ingredients. In addition, he will assist Sodexho in developing concepts and collaborate with the company’s chefs to develop a customized version of his cookbook, Indian Home Cooking.

PAPA JOHN’S INTERNATIONAL offered a specialty pizza, 30% larger than a regular pie with the release of the “King Kong” DVD set last month. Any customer who ordered the special pizza received a coupon for the DVD.

A 10-unit Central American development deal was executed between BOJANGLES’ RESTAURANTS INC., operator and franchisor of 353 Bojangles’ Famous Chicken ’n Biscuits and HENRY GURGANUS, apparel executive and a North Carolina native now living in Mexico. This year, MEXICAJUN INVESTMENT GROUP expects to open the first of three units in Puebla, Mexico.

J .P. MORGAN PARTNERS LLC, the private equity division of J.P. Morgan Chase & Co., will become a “significant ownership partner” with QUIZNOS MASTER LLC, the operator and franchisor of more than 4,500 Quiznos Sub locations worldwide according to a statement issued by the company. Quiznos put itself up for sale late last year and reportedly asked for $2 billion in an auction conducted by its financial advisor, Goldman Sachs & Co. Original suitors included private equity firms Thomas H. Lee Partners, Blackstone Group, Madison Dearborn Partners and Apollo Management. A Quiznos spokeswoman said no details on the transaction would be given

New York-based hotel and restaurant operator, IBAC CORP ., said it is negotiating the purchase of eight casual steakhouses in the Northeast from two parties. While declining to identify the restaurants, they compared them to the Lone Star and Outback concepts and indicated that the acquisitions should add $18 million to $21 million to IBAC’s annual revenues, which reportedly totaled $4.3 million in 2005.

In a recent announcement, CBRL GROUP INC ., parent of the Cracker Barrel Old Country Store chain, said it would divest LOGAN’S ROADHOUSE, it’s sister brand, in a public offering expected to take place sometime between May and September. They will also perform a $1.25 billion refinancing in part to finance a Dutch-auction buyback of up to $800 million of CBRL’s common shares. It was unclear whether the moves were prompted by pressure from activist shareholder NELSON PELTZ, the chairman of Arby’s parent Triarc Cos. Inc. who owns 4.9 percent of CBRL’s stock. Also, according to CBRL, the modified Dutch-auction offer to repurchase stock representing nearly 40 percent of its market capitalization would buy back shares at an undetermined price and coincide with the closing of its financing on or before May 15. Because the deal must be available to investors for a period of at least 20 days, CBRL indicated the tender offer likely would begin in April.

Because of the “improper” payments that were made by employees of its South Korean affiliate to government officials there, OUTBACK STEAKHOUSE INC. has informed investors that it could be subject to fines, penalties and “modifications to our business practices”. In a securities filing in March, while not specifying the nature of the payments, the casual-dining giant said that outlays may have violated the U.S. Foreign Corrupt Practices Act and South Korean law. The payments were discovered, according to Outback, during a “customary review,” and then investigated further by counsel retained for that purpose. The outcome of that internal investigation were reported to the U.S. Department of Justice and the Securities and Exchange Commission voluntarily.

Heavily damaged by Hurricane Katrina, New Orleans’ theme park, SIX FLAGS NEW ORLEANS, will not reopen during 2006. In a statement issued by Six Flags, they said “The company will soon finalize its effort with the insurance company, and can hopefully begin restoration efforts shortly thereafter.” On a full time basis, Six Flags employed 55 people about 1,200 seasonally part time.

A recent article in the St. Petersburg , Fla., Times reported that CHECKERS DRIVE-IN RESTAURANTS INC. sued its largest franchisee, Southfield, Mich.-based TITAN HOLDINGS LLC, for alleged breach of contract, trademark infringement, unpaid royalties and other debts. It was also reported that a Checkers shareholder sued the company on allegations that Checkers officers and directors inappropriately accepted a $15-per-share purchase offer from WELLSPRING CAPITAL MANAGEMENT LLC. Titan acquired the 62 drive-thru locations in March 2000 for $10.3 million when then financially struggling Checkers was selling off company-owned drive-thru restaurants to pay down debt. The lawsuits against Checkers claim that Titan owes the company more than $600,000.

RYAN THEODORE, a former New Orleans chef, died last month in a one-car accident in Cat Springs, Texas at age 35. After evacuating New Orleans last August when Hurricane Katrina devastated the Gulf Coast, Theodore was head chef at CAROL’S AT CAT SPRING restaurant near Sealy, Texas. Theodore had been executive chef at Sweet Lorraine’s and the Bourbon Orleans Hotel in New Orleans K and was known as “Chef Theo”.

Because their would-be buyer had not confirmed it had the necessary financing for an acquisition, ROADHOUSE GRILL INC., operator and franchisor of 72 casual steakhouses in 10 states, said it terminated an agreement it had to be acquired by San Diego-based STEAKHOUSE PARTNERS INC. The agreement called for SPI to acquire Roadhouse through a subsidiary called RGI ACQUISITION CORP., with the Roadhouse name surviving. According to Roadhouse, SPI had until February 17 to obtain financing, but did not indicate it had met that condition. Meanwhile, Roadhouse will continue exploring strategic options through Chicago-based investment banker J.H. Chapman.

According to published reports, TOM JAMES , chief marketing officer for PIZZA HUT, resigned and has been replaced with vice president of development BILL OGLE. His leaving comes on the heels of flat same-store sales in 2005.

A deal was made between MAGGIE MOO ’S INTERNATIONAL, the 180-unit premium ice-cream chain and Bethesda, Md.-based travel concessionaire HMS HOST to develop locations for the frozen treat franchise at a number of airport and travel plaza locations throughout the United States. One unit is currently open at Fort Myers International Airport in Fort Myers, Fla., and two others currently are in development for the Jacksonville, Fla., and Charlotte, N.C., international airports. Last year, HMS Host, a subsidiary of AUTOGRILL SPA, its $4 billion-a-year, Milan, Italy-based parent, reported annual sales in excess of $2 billion.

Last month, LONE STAR STEAKHOUSE & SALOON INC . closed 30 under-performing namesake restaurants with an operating loss of $4.6 million on sales of $32.9 million in fiscal 2005 in anticipation of resuming a positive cash flow for the company, which reported decreased revenues and operating income for the fourth quarter. The company said that the restaurants would be sold during the next 12 months for $15 million to $20 million.

A proxy statement was filed by WENDY’S INTERNATIONAL INC. with securities regulators indicating that chairman and chief executive JACK SCHUESSLER was paid a salary of $1 million and no bonus for 2005, the same as in 2004. Schuessler received restricted stock awards valued at $3.7 million for fiscal 2005, down from $5.7 million for fiscal 2004. Wendy’s chief financial officer, KERRII ANDERSON, received a salary of $479,433 last year and no bonus, up from $439,519 with no bonus in 2004.

BLUE CORAL SEAFOOD & SPIRITS , a new “high-end” seafood concept, will be launched by OUTBACK STEAKHOUSE INC. this summer at the Fashion Island upscale mall in Newport Beach, Calif., and named former Red Lobster president EDNA MORRIS president of the new brand. Reportedly, Blue Coral is a joint venture between Outback and PAUL FLEMING, restaurant chain developer who previously devised the P.F. Chang’s China Bistro chain, and owns 25 percent of the new concept.

JAMBA JUICE CO . has agreed to a $265 million buyout by a Fort Lauderdale, Fla.-based investment firm, SERVICES ACQUISITION CORP. INTERNATIONAL, or SVI, headed by former Blockbuster Inc. chief executive STEVEN BERRARD in a deal its leader said would stimulate expansion of the 532-unit smoothie chain. Jamb Juice shareholders, under terms of the agreement, would receive the merger price in cash, excluding unspecified debt and transaction costs. SVI will fund the deal with a private placement of common stock, which Jamb Juice said is expected to raise $198 million, and a portion of the nearly $127 million SVI raised after going public last year. Once the merger is complete, SVI plans to change its name to Jamb Inc. The San Francisco-based chain’s president and chief executive, PAUL CLAYTON will continue in that capacity and the board of directors of Jamb Juice will have representatives of both entities.

Struggling contract caterer and facilities manager, COMPASS GROUP PLC, is being sued in New York by SUPREME FOODSERVICE, a Swiss-based competitor, over allegations that Compass’s EUREST SUPPORT SERVICES division, or ESS, fraudulently won contracts to feed peacekeeping forces for the United Nations. With claims that ESS and New York-based subcontractor IHC Corp. engaged in fraud and bribery to win the contracts to feed U.N. peacekeepers in Africa, the state court lawsuit against London-based Compass is asking for approximately $125 million. In addition, three former ESS employees who were fired last year, PETER HARRIS, ANDREW SEIWERT and DOUG KER, are named in the complaint. Several former U.N. and IHC officials and two other Compass executives, STEVE KEMP and LEN SWAIN, are also being cited in the complaint as well.

YUM! BRANDS INC . said ANDRALL PEARSON, board member and founding chairman and chief executive, died March 11 from a sudden heart attack at his home at age 80 years old. In 1997, Pearson presided over Yum’s founding as Trion Global Restaurant and served as chairman and chief executive until 2000, when he was succeeded by the Louisville, Ky.-based company’s current leader, David Novak. Previously, Pearson served as president of PepsiCo and was a tenured professor at Harvard Business School.

Giving senior note holders control of the company, ROMACORP INC., owner and franchisor of 228 TONY ROMA’S restaurants, has restructured under Chapter 11 bankruptcy protection. Last November 6, Romancer and affiliates filed for a consensual Chapter 11 in the U.S. Bankruptcy Court in Dallas citing high-interest debt, increasing food and labor costs and expenses for restaurant remodeling. Last month, the bankruptcy judge’s plan confirmation allows senior note holders with claims of $58.12 million to recoup at least 90 percent in Romancer stock. Owed $13.6 million on a revolving line of credit, GE CAPITAL FRANCHISE FINANCE CORP., would be paid in full with an exit loan or would have its claims reinstated. Also, other secured claimants would be paid in full or would have their collateral released. Unsecured creditors would recover 20 cents on the dollar or a pro-rata share of stock, with a cash payout capped at $1 million. The majority shareholder was SENTINEL CAPITAL PARTNERS of New York.

With plans to build a new $100 million headquarters complex in southern Orange County, Fla., on a 57-acre parcel at John Young Parkway and Martin Andersen Beach line Expressway, DARDEN RESTAURANTS INC. will nearly double the 350,000 square feet of space in its current offices in Orlando. Grossing $5.3 billion from the Red Lobster, Olive Garden, Smokey Bones, Bahamas Breeze and Seasons 52 chains last year, Darden divulged its plan for the campus of up to 600,000 square feet, including 100,000 square feet of retail space and a 200-room hotel, at a press conference last month. Officials have indicated that the company, whose headquarters currently houses approximately 1,100 people, could receive up to $12.3 million in government incentives, tax rebates and road improvements, in part from its pledge to create up to 900 new jobs.

A 16-year-old Taco Bell employee in Plainfield, Ind., SHAWN KEOWN, , was awarded $68,250 to settle a lawsuit alleging he was sexually harassed by a female trainer for the chain. Filed by the U.S. EQUAL EMPLOYMENT OPPORTUNITY COMMISSION against TACO BELLCORP. S.D., the suit alleged that the youth was subjected to “graphic and pervasive sexual comments and innuendos” for nearly a year and a half. Taco Bell, the Irvine, Calif., division of YUM! BRANDS INC., denied any liability in a consent decree requiring the retraining of the area coach and unit personnel.

According to a filing with regulators, the activist fund, TRIAN FUND MANAGEMENT LP, which is run by NELSON PELTZ and won strategic concessions from WENDY’S INTERNATIONAL INC., agreed, along with its investing partners and managed funds, not to acquire more than a combined 10 percent of the restaurant company’s outstanding shares before June 30, 2007. The standstill agreement also requires that the investors cannot submit any shareholder proposals or solicit proxies during that time and each investing party also is limited to a separate 7.49-percent stake unless it had garnered prior written consent from Wendy’s. The agreement includes Train, its activist partner SANDELL ASSET MANAGEMENT and its managed funds known as TRIAN PARTNERS. Also last month, Train and Wendy’s announced an agreement to carry out a strategic plan for Wendy’s that includes a complete spin-off of Wendy’s Tim Hortons chain by year-end and a potential sale of its Baja Fresh Mexican Grill chain. That agreement will provide for the seating of three Train nominees on Wendy’s board.

A group of investors based in London, SMARTFIRST LTD have purchased the PERFECT PIZZA brand in the United Kingdom for $13 million from PAPA JOHN’S INTERNATIONAL, the 2,917-unit pizza chain operator. Included in the divestiture was the sale of all franchise rights and leases related to 110 franchised Perfect Pizza units as well as a distribution facility. Papa John’s, the third-largest pizza chain in the United States, said it would continue to franchise and operate in the United Kingdom, where it has 89 units, including 86 restaurants owned by franchisees with plans to open as many as 20 additional stores in the United Kingdom this year.

Dallas-based PARALLEL INVESTMENT PARTNERS has acquired a majority stake in the seven-unit MARMALADE CAFE AND CATERING CO. from partners BOBBY BURNS, BONNIE BURNS and SELWYN YOSSLOWITZ thus signaling a potential shift toward localized, boutique operators from the recent trend of private equity buyouts of multistage chains. Yosslowitz indicated Parallel’s typical strategy is to invest $5 million to $20 million in deals valued between $15 million to $75 million. He added that the chain’s management would remain unchanged, but would be able to tap the deal’s recapitalization to open units throughout Southern California at the rate of two to three per year.

With the intention of measuring the effectiveness of the chain’s radio advertising, WENDY’S INTERNATIONAL INC. signed a multi-year contract to use ARBITRON’s Portable People Meter, or PPM. However, Arbitron said that it does not have a specific timetable for rolling out the PPM and has not decided in which markets it will make them available.

A non-binding letter of intent was signed by RED ROBIN GOURMET BURGERS INC., operator and franchisor of more than 300 casual-dining restaurants, to acquire 13 franchised Red Robins in Washington state for about $42 million and the acquisition is expected to close in the third quarter this year. Red Robin said the 13 units are owned by various entities affiliated with GREAT WESTERN DINING, which manages the restaurants and generate $55 million in revenue in 2005.

Food industry veteran DARYL G. BREWSTER was hired by KRISPY KREME DOUGHNUTS INC. to serve as president and chief executive officer for the operator and franchisor of 320 doughnut shops. He will also serve on Krispy Kreme’s board of directors. Prior to this appointment, Brewster was president of KRAFT INC.’s $6 billion North America snacks and cereals sector. After the struggling Winston-Salem-based company ousted former chief SCOTT A. LIVENGOOD among accounting investigations and falling sales, STEPHEN F. COOPER served as interim CEO since January 2005. Brewster will now replace Cooper who is chairman of New York-based turnaround firm, KROLL ZOLFO COOPER LLC, and according to the company will remain at Krispy Kreme as the company’s chief restructuring officer for a transitional period. Additionally, STEVEN G. PANAGOS, Cooper’s partner and a managing director at Kroll Zolfo Cooper who has served as Krispy Kreme’s president and chief operating officer, will also remain at Krispy Kreme as director of restructuring for the transitional period

A new undertaking by NOLAN BUSHNELL, Chuck E. Cheese’s founder, raised $1.5 million in a stock placement to fund the planned opening this summer in Woodland Hills, Calif. of his current company’s prototype, uWink Bistro. Bushnell conceived the restaurant and digital-entertainment concept. The private placement by UWINK INC included 5 million shares of common stock priced at 30 cents per share. Additionally, investors will also receive warrants to purchase an additional 2.5 million shares at 34.5 cents per share.

With 790 restaurants and delivery outlets, NPC INTERNATIONAL INC., the Pizza Hut system’s largest franchisee, agreed to be purchased by MERRILL LYNCH GLOBAL PRIVATE EQUITY, the private equity arm of New York-based investment bank MERRILL LYNCH & CO. INC. other than to say NPC and its founder and chairman, O. GENE BICKNELL, will sell 100 percent of the Kansas-based company’s equity to Merrill Lynch, no other terms were disclosed. According to NPC’s statement, pending financing and regulatory approval, the transaction, with approval from PIZZA HUT INC., a subsidiary of Louisville, Ky.-based YUM! BRANDS INC., is expected to close this spring. According to TROY COOK, chief financial officer, upon completion of the transaction, Bicknell, who founded NPC in 1962, will be “stepping aside” and chief executive JIM SCHWARTZ will take on a dual role by adding the chairman’s duties.

Three 5-year-old franchised locations that closed last month in Clearwater, St. Petersburg and Tampa will be reopened by ATLANTA BREAD COMPANY, operator and franchisor of 165 bakery-cafes in 28 states. JENNIFER MADISON, spokeswoman, said the company sent staff to Tampa Bay, taking over the suddenly shuttered units, reopen them as company locations as quickly as possible and will ultimately refranchise them.

An agreement was made by NATHAN ’S FAMOUS INC., franchisor of 364 Nathan’s, Miami Subs and Kenny Rogers Roasters outlets, to pay $1.25 million to acquire the trademark and intellectual property of the ARTHUR TREACHER’S fish and-chips restaurant system from a subsidiary of TRUFOODS SYSTEMS of Lake Success, N.Y, PAT FRANCHISE SYSTEMS. Nathan’s will become the sole franchisor of the quick-service seafood chain in 42 states and internationally according to the terms of the deal. Nathan’s president and chief operating officer, WAYNE NORBITZ, said the agreement stipulates that TruFoods must act in accordance with with an annual development schedule in Virginia, Maryland, northern New York State and Washington, D.C., or it will forfeit its rights as the franchisor in those areas.

Last month, in Brisbane, Australia, a 57-year-old woman was charged with contaminating the salad bars at two SIZZLER restaurants there with rat poison pellets. JACQUELINE FORBES had alerted employees at the two restaurants that green pellets, later identified as poison, were floating in a serve-yourself soup tureen. She was charged with two counts of contaminating food and four counts of intending to cause bodily harm according to media reports. SIZZLER AUSTRALASIA officials shut down the salad bars at the company’s 28 restaurants nationwide to improve food security procedures.PACIFIC EQUITY PARTNERS, which also owns SIZZLER USA, owns Sizzler Australasia.

Even though it has plans to sell its United Kingdom-based PERFECT PIZZA chain within the next 12 months, PAPA JOHN’S INTERNATIONAL, operator and franchisor of 2,962 Papa John’s Pizza outlets has not yet identified potential buyers. The 112-unit overseas division was classified by the company as a discontinued operation and they logged a $1.1 million impairment charge.

Last month the Dallas Morning News reported that a principal in the private-equity group that recently purchased 94 percent of Fox & Hound Restaurants, NEWCASTLE PARTNERS, decided to oppose the going-private buyout of the Dallas-based DAVE & BUSTER’S chain by WELLSPRING CAPITAL MANAGEMENT LLC, another New York-based private-equity firm. With 5 percent ownership of Dave & Buster’s stock, it planned to file a notice of intent to dissent from member shareholders’ approval of Wellspring’s stock tender offer and disclosed its plan the same day that at least two-thirds of Dave & Buster’s shareholders voted in favor of a merger with an affiliate of Wellspring, which on Dec. 8 had offered $18.05 per share for the operator of 46 restaurant and entertainment complexes. Totaling approximately $375 million, the offer was disapprove of by some as too low, and CLAIRE PARTNERS , ashareholder, sued Dave & Buster’s Jan. 20 for breach of fiduciary duty, despite the fact that the complaint was settled in February for undisclosed terms.

The purchase of DUNKIN’ BRANDS INC. from French distiller PERNOD RICARD SA was completed by private equity firms BAIN CAPITAL PARTNERS LLC, THE CARLYLE GROUP and THOMAS H. LEE PARTNERS LP for $2.425 billion in cash. Chief executive of Dunkin’ Brands, JON LUTHER, was appointed chairman of the board of directors as part of the new management structure. WILL KUSSELL, Dunkin’ Brands chief operating officer, also will serve on the new board together with one representative from each of the private equity firms.

A new look was unveiled by BENIHANA INC ., operator of 73 teppanyaki and sushi units in 24 states, for its 41-year-old Benihana brand. According to the architect, WD PARTNERS of Columbus, Ohio, the new-design restaurant referred to as the “next Benihana” will be retrofitted into existing units for between $500,000 and $2 million per location. The “extreme makeover” will be adopted companywide according to Miami-based Benihana and the first newly constructed unit sporting the updated look would open in May in Miramar, Fla. JOEL SCHWARTZ, Benihana president and chief executive said the redesign introduces “a contemporary Japanese look and feel” that “puts the customer at the center of the experience”.

Last month, a healthy-foods kiosk from LETTUCE ENTERTAIN YOU ENTERPRISES and COOKING LIGHT magazine debuted in an upscale food court in Chicago. Dishes at the Cooking Light@foodlife kiosk are made from Cooking Light recipes and range from tossed-to-order salads to seafood to lean versions of such standards as meatloaf, lasagna and sloppy joes. Three flat panel TVs show the nutritional breakdowns of the dishes which sell for $3.95 to $6.95.

Multi-concept operator, STAR BUFFETS INC., a 14-unit franchisee in Salt Lake City, acquired its fourth K-BOB’S steakhouse and has an option to acquire and run a fifth K-Bob’s under a deal struck a year ago with the brand’s Albuquerque, N.M.-based franchisor. In exchange for the options on five restaurants within New Mexico and Texas, as well as development rights for markets elsewhere, Star Buffets lent K-BOB’S USA INC. $1.5 million.

This spring, the SMITH & WOLLENSKY RESTAURANT GROUP says it would open a new concept called QUALITY MEATS on the site of the former Manhattan Ocean Club. SWRG chairman-chief executive ALAN STILLMAN and his son MICHAEL will lead the project. CRAIG KOKETSU, the chef, who cooked at the luxury seafood restaurant until it closed Jan. 1 after more than 20 years in business, will offer a menu of rustic New American fare at Quality Meats.

Several new restaurants are expected to be opened this year by TRADER VIC’s, a 70-plus-year-old forerunner of upscale theme and fusion restaurants that aims to mentally transport customers to the tropics, ending a long streak of contraction or sluggish expansion. Within the year, as many as eight openings are planned for Trader Vic’s. The chain is seeking to revive interest in such European-inflected signature creations as crab Rangoon and Bongo Bongo soup.

Today, one of the hottest trends in dining is the upscale steak house chain serving expensive meat and offering amenities like personal wine lockers for regular guests. These restaurants, posting strong sales figures, cater to patrons who are paying $60 and more for a meal. With the changing current economy, high-end steak purveyors no longer depend just on expense-account clientele. RUTH’S CHRIS STEAK HOUSE INC. and MORTON’S RESTAURANT GROUP INC. are the two biggest players in the premium steakhouse category but multi-concept operators including OUTBACK STEAKHOUSE INC., RARE HOSPITALITY INTERNATIONAL INC., LONE STAR STEAKHOUSE & SALOON INC., SMITH & WOLLENSKY RESTAURANT GROUP INC. and O’CHARLEY’S INC. are also competing in food, wine and service categories. A sudden economic bump, a slide into recession or an increase in the prime beef market, however, could quickly upset profit margins and change ambitious expansion plans.

With the uncertainty surrounding avian flu, European restaurants serving mainly chicken are taking added precautions. KFC, a unit of YUM BRANDS, has put up posters intended to assure customers that the food is safe although the bird flu virus is killed when chicken is cooked. According to KFC, it said, “We have procedures in place to ensure that chicken with avian flu cannot enter our supply chain. In addition, we have communications plans in place should it become necessary to remind consumers of the World Health Organization statement that eating properly cooked chicken is safe.” With regards to the bird flu situation, PETER H. OAKES, who follows the restaurant trade at Piper Jaffray in New York said, “Obviously it’s something to watch” as the restaurant industry takes a wait and see policy.

Over the years, the hospitality industry has evolved to new heights of service, professionalism and sophistication. Hospitality is a strong, well-respected economic force that shows no signs of slowing down and continues to grow. While the United States Department of Labor’s Bureau of Labor Statistics (BLS) reported that leisure and hospitality figures were at an all time high of nearly 12.5 million in 2004, Career Voyages, an online career advisement company, projects a need for nearly 1.5 million new employees in the hospitality industry through 2012. According to statistics from BLS, accommodation/food service represents the highest growth sector within the entire hospitality industry and Hospitality managers can earn an average salary of $40,000 which can easily climb into six-figures at luxury resorts as well as the corporate arena.

With consumers often pressed for time in today’s fast paced environment, restaurant developers are taking note. Convenience is the key and fast-casual restaurants are filling in the void between fast-food and full-service restaurants in terms of quality, price, service and atmosphere. Also, these fast-casual restaurants are often viewed as having fresher, healthier food options and better ambiance than fast-food restaurants. HUDSON RIEHLE, senior vice president for research with the National Restaurant Association says, "Another feature typical of fast-casual outlets is entertainment value, as many have employees prepare meals in a display kitchen while the customer is watching, and the decor and atmosphere are often trendy and incorporate original art and the restaurant's mission and philosophy". An exhibition-style kitchen where customers can watch meals cooked-to-order in woks is featured at PEI WEI ASIAN DINER. Additional, the National Restaurant Association looks to takeout, delivery and drive-through to propel growth in the fast-casual segment.

Same-store sales for the four weeks ended March 24 at CBRLGROUP INC., operator of 537 Cracker Barrel Old Country Store restaurants and gift shops, fell 2.1 percent at the chain's restaurants and dropped 12.9 percent at its gift shops.

A 3-percent-lower operating income of $3.3 million for the second quarter was posted by LUBY’S INC., operator of 128 cafeteria-style restaurants, while net earnings jumped 25.5 percent, as a result of lower interest expense.

For the 16-week fourth quarter ended Jan. 2, CHECKERS DRIVE-IN RESTAURANTS INC., operator and franchisor of 804 fast-food outlets, reported net income of $2.4 million compared with $6.2 million a year earlier. Revenues of 53.9 million were reduced by $2.3 million by closures related to last year's hurricanes.

At the end of the first quarter, MAX & ERMA ’S RESTAURANTS INC., operator of 78 casual-dining eateries, posted a net loss of $32,000 compared with a profit of $654,000 the year before.

Despite 4.3-percent higher same-store sales, RUBIO’S RESTAURANTS INC., operator and franchisor of more than 150 RUBIO’S FRESH MEXICAN GRILL restaurants, posted an operating loss for the fourth quarter on lower restaurant-level cash-flow margins, charges for settling a class-action lawsuit and costs associated with the departure of its chief executive, SHERI MIKSA last December.

Because of stronger-than-expected same-store sales and unit growth for the remainder of the year, DARDEN RESTAURANTS INC. reported a strong third quarter and revised upward its full-year sales and earnings guidance. For its third quarter ended Feb. 26, the operator of 1,368 restaurants earned $105.3 million on sales of $1.47 billion, up from results from the same period a year earlier of $92.6 million in net income on sales of $1.38 billion.

A 14-percent increase in its second-quarter profit from a year earlier was reported by SONIC CORP., operator and franchisor of 3,089 Sonic Drive-Ins, on revenues that rose 12 percent to $148.9 million.

In 2005, FRIENDLY ICE CREAM CORP .’s net loss deepened to $27.3 million, or $3.49 a share, after a net shortfall of $3.4 million, or 45 cents a share, a year earlier. A $22.2 million non-cash tax expense during the fourth quarter, stemming from an increase in the company's deferred tax valuation allowance, was included in the results.

The board of YUM! BRANDS INC., parent of the Taco Bell, KFC and Pizza Huts chains, has allocated an additional $500 million for the repurchase of stock, bringing the total amount for the buyback to $1 billion.

A fourth-quarter net loss of $6 million was posted by COSÌ INC ., operator and franchisor of 99 fast-casual sandwich and salad restaurants compared with a loss of $6.6 million in the prior year’s fourth quarter. Although same-store sales grew 4.1 percent, revenues remained flat at $28.6 million.

For the fourth quarter, CHIPOTLE MEXICAN GRILL INC., operator and franchisor of 500 fast-casual restaurants, posted a $4.3 million net profit, versus a quarterly loss of $3.7 million a year earlier. In January, Chipotle went public with MCDONALD’S CORP. retaining a nearly 70-percent stake.

In an announcement last month, DOMINO ’S PIZZA INC., operator or franchisor of 8,079 pizza delivery locations, said they repurchased and retired about 5.6 million shares of its common stock from investment funds associated with its largest shareholder, BAIN CAPITAL LLC, for $145 million, or $25.78 per share.

A fiscal 2005 operating loss of $6.9 was posted by AFC ENTERPRISES INC., operator and franchisor of 1,830 Popeyes Chicken & Biscuits restaurants, although net income for the year ended Dec. 25 was $149.6 million, including an after-tax gain of $158 million from the sale of Church’s Chicken at the beginning of 2005. In another matter, AFC Enterprises Inc. said that FREEMAN SPOGLI & CO., an investment firm whose affiliates have owned shares of AFC for 10 years, plans to sell its stake in the company.

For its fourth quarter ended Jan. 1, newly public MORTON’S RESTAURANT GROUP INC., owner and operator of 69 Morton’s Steakhouses and four Bertolini’s Authentic Trattoria restaurants, posted a net loss of $700,000 after logging a $6.6 million charge for separation payments to ALLEN J. BERNSTEIN, former chairman, president and chief executive. Morton’s earned $3.8 million in the prior fourth quarter.

For the four weeks ended March 1, BRINKER INTERNATIONAL INC., operator and franchisor of 1,546 restaurants, reported a 1.1-percent year-over year increase in same-store sales at its four largest chains.

Global comparable-restaurant sales at MCDONALD’S CORP. rose 4.7 percent in February, compared with year-earlier results, marking the company’s 34 th straight month of positive worldwide same-store sale results. Helping to generate a 3.6-percent increase in U.S. same-store sales for the month were the chain’s new Spicy Chicken Sandwich, breakfast items and extended hours.

For the four weeks ended Feb. 27, CKE RESTAURANTS INC., operator and franchisor of 3,046 restaurants under the CARL’S JR. and HARDEE’S brands, reported a 7.3-percent increase from a year ago in its blended same-store sales, reflecting comparable-store gains of 10.2 percent at Carl’s Jr. and 4.3 percent at Hardee’s. Also, CKE operates or franchises 101 LA SALSA FRESH MEXICAN GRILL restaurants and for the latest four-week period, Corporate La Salsas posted $3.5 million in revenue.

For the four weeks ended Feb. 26, STARBUCKS CORP., operator and licensor of nearly 11,000 coffeehouses, said same-store sales rose 8 percent for company-owned stores.

A 2.4-percent systemwide same-store sales dip was reported by OUTBACK STEAKHOUSE INC. for its namesake chain for the four weeks ended Feb. 25, versus a year earlier. According to the company, severe winter weather accounted for 1 percent to 2 percent of the decline

The operator and franchisor of 128 barbecue restaurants, FAMOUS DAVE’S OF AMERICA INC., posted a 2.8-percent increase in fourth-quarter earnings on revenues that fell 3.1 percent to $24.5 million. For the 13-week quarter ended Jan. 1, Famous Dave’s net income was $725,000 compared with $705,000 for the year-earlier period, which consisted of 14 weeks.

PAPA JOHN ’S INTERNATIONAL reported a 52.5-percent jump in fourth-quarter net income to $14.4 million on a 2-percent rise in revenues to $248.4 million. For the quarter, domestic systemwide same-store sales increased 6.4 percent and also reported a 4.6 percent same-store sales gain for the four weeks ended Feb. 19.

For the second quarter ended Feb. 28, systemwide same store sales at SONIC CORP., operator and franchisor of more than 3,000 drive-in restaurants, rose at a rate that surpassed the company’s long-term target of 2 percent to 4 percent.

Take Time to Do It Right

By: Bettie Biehn

So, how much time did you spend compiling and writing your last resume? If you said several hours or more, my sense is that you most probably did it right. If you, however, tweaked your last resume (even though it was 10 years old), simply adding your current position, you may have done yourself a disservice.

Prior columns have discussed putting your “good stuff” up front, being truthful, proofing over and over again, formatting properly for your industry and position, and proper length of your resume, among others. It might be good to backtrack a bit and review the importance of doing your resume right…..the first time. And the first time is every time you rewrite/edit/tweak it.

Your resume is your entrée into a new position. It is the document that gets you an invitation to come into an employer’s office for an interview. Without a resume that honestly speaks to your skills, experience, and talents, it is unlikely that you will get that invitation. This is assuming, however, that you do not have a personal link to the company and the position, e.g. being best friends with the daughter/son/cousin/niece of the company president./COO/CFO. If you have that kind of connection, by all means, go for it! All is fair in love, war, and job searches.

Many of us put off redoing our resumes because the task seems too daunting….or maybe even too boring. Sometimes writing about our work and what we’ve achieved is not nearly as much fun as a football game, TV show, movie or concert. But we need to put short-term pleasure behind long term career advancement, and buckle down for a few hours with our resumes.

When your resume has your full attention, be sure to look at it from all angles:

- what is it that I really want to do next?

- what skills and experience that I have relate to this next career that I want?

- what is the best way to phrase what I’ve done and format the resume?

- is everything that I’ve put on the resume relevant to this industry/position?

- what is this company looking for, and how can I present myself in the best light?

- would I want to hire me if I were a hiring manager?

It’s tough to be objective when you’re writing your resume, so when you’ve completed a good first draft, have a colleague or objective friend read it over. Not so much for typos or grammar (although that type of proofreader is helpful), but for readability, comprehension, clarity in conveying your skills and how they relate to the position(s)’ needs. And try to accept any constructive suggestions in the way they’re intended, i.e. to help you help yourself.

Remember, your resume is your best shot at getting your foot in the door. If you can’t do that, you don’t have a shot at getting that job. And it may be the job you really want. So spend some time crafting a resume that not only shows your best stuff, but also makes you proud.

Bettie Biehn, a career human resources (HR) professional, is founder and president of Career Change Central, LLC, a premier resume writing and career coaching business. Bettie is also a freelance writer, and her published magazine articles address key HR issues. Contact Bettie at bbiehn@careerchangecentral.com, and visit her website, www.careerchangecentral.com .

Dick Wray Executive Search is pleased to report that the demand for our service is strong.

The following list is a sampling of our current engagements.

1. CEO, QSR, Mid South
2. CEO, West Coast Start Up
3. COO, Casual Dining, West Coast
4. COO, QSR, South
5. Sr. VP Marketing, West Coast
6. VP Business Development, Southeast
7. VP Development, New England/West Coast
8. VP HR, Full Service Concept, West Coast
9. Director of Franchise Development, Northeast & Southeast
10. Director of Operations, Various
    

Referrals are the lifeblood of our business. If you know of anyone who may be interested in one of these situations, we would be happy to review their credentials.

Hat Trick

By: Tucker W. "Bill" Main • FCSI, CSP

To some people, success comes naturally. It's as if they're born predestined. In sports, it's people like these who achieve hat tricks -- a series of outstanding feats (usually three) accomplished by a single player. The idea originated in cricket. When a player did something great, they were given a new hat.

In many ways, it's like this in business. When you do something well, you're usually given another hat -- to wear or juggle. An achievement, yes, but also a challenge. Awhile back, I read an article about John D. Rockefeller. He had identified a trio of barriers to the growth of a business -- any business. And, in response to his observations, he identified three habits (all of which he practiced himself) to help avoid stumbling on these barriers to success. I've dubbed them the Rockefeller Hat Trick.

While one's natural tendencies do play a role in a person's success, it doesn't hurt to be aware of some of the pitfalls and the habits we can cultivate to improve our chance to succeeding.

Rockefeller's Three Barriers

Leadership

Can you delegate? Can you build a team? Do you have a vision for your company's future? And most importantly, can you develop other leaders?

Systems and Structures

Do your systems for human resources, operations, accounting, and marketing give you relevant data? Can you make decisions in a timely manner? Have you clearly identified who is accountable for gathering, factoring and reporting this key information to you and others?

Market Dynamics

Do you account for changes in the economy and in your market area in order to keep your operation on the cutting edge? When was the last time you did a Comparative Market Analysis of your competition? Purchased psychographic and/or demographic profiles of your market area? Conducted a customer focus group?

The Rockefeller Hat Trick -- Three Habits for Achieving Success

Priorities

Have you identified and communicated your top priorities for the next year or next quarter to your employees? Do you have a critical path with action steps and due dates assigned to specific people? Are the priorities for the front of the house aligned with the priorities for the back of the house?

Data

Do you have sufficient data on a regular basis to know how well your business is running and how close you are to meeting your goals? Do you have weekly flash reports by noon on Monday? If not, why not? Does everyone on your team have at least one key daily or weekly metric that drives his or her performance? What gets measured gets done.

Rhythm

Do you have regular, periodic management meetings that keep priorities in alignment and drive accountability? Are your meetings well run and productive?

I've put together some additional insights on success from Patrick Lencioni's book, The 5 Temptations of a CEO. E-mail me at askbill@billmain.com for a copy, and then share these great pointers with everyone in your organization in the hopes of growing a great team of leaders.

Tucker W. "Bill" Main, Chairman and CEO of Bill Main & Associates, is a nationally-recognized author, foodservice consultant and professional speaker. His leadership and strategic management expertise have helped the success and profitability of hundreds of clients nationwide.

ANDREW COSSLETT , chief executive of the INTERCONTINENTAL HOTELS GROUP, recently said in an interview with Reuters that his company would like to add an economy brand to their portfolio and they are open to an acquisition as well as the possibility of launching a chain positioned below their limited HOLIDAY INN EXPRESS. The company owns brand including INTERCONTINENTAL and HOLIDAY INN. Cosslet said that the British-based group, with responsibility for running approximately 3,600 hotels with another 880 in the works, is aggressively pushing for growth in China and they are talking with potential partners for a presence in Macau, the Asian gambling mecca.

Some hotels are looking for more ways to make money even while many are posting record occupancies. With the rebound in the travel industry in 2002 and 2003, many luxury hotels continue to add enticements for their guests turning to their public spaces as ways to entice their guests to linger in those spaces, spending more money. At the PENINUSULA CHICAGO, a chocolate bar offers unlimited cappuccino and desserts for under $30. It is so popular that the CONRAD HOTEL located within six blocks borrowed the idea and hired the Peninsula hotel manager who created it. In New Orleans, the RENAISSANCEARTS HOTEL offers an interactive “artist of the month” program in which the featured artist conducts a wine tasting once a week, pairing the flavor, notes and hues of the wine to their artwork. In Miami, the FOUR SEASONS HOTEL shows movies each Thursday night on its rooftop and Fellini films and other Italian classics are screened on the first Sunday of each month at the BAGLIONI HOTEL LONDON. Attracting business and leisure travelers, the oceanfront RITZ-CARLTON on Miami Beach keeps many guests indoors with offers of daily food presentations.