Three Familiar Management Problems - Which Do You Want to Overcome?

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Once you expand past three franchise locations, the challenge is formidable.  Sometimes overwhelming - as you spread yourself and great general managers too thin.

Your ability to effectively manage remote locations is key to your success.

To better understand how to remote locations, we conducted a study to reveal the ten problems when managing multiple locations.  (You can download the full report for free).

But, we also provide this overview.

Our two-year study is based on current census data, International Franchise Association stats, franchise trends, management studies, field surveys, and over 100 interviews with managers across a multitude of vertical markets.

Operation Obstacles

1. Managing operations with email. Some managers heavily rely on email as their main communication tool for managing remote locations. Email is good for general dialogue, but it is not an effective solution for managing customer service, sales, repairs, maintenance and other business tasks. Managing all this through email will waste a lot of time searching for the right email threads and topics.

2. Continuous follow-ups. Managers have to often get updates repeatedly from remote locations, to resolve different issues. Keeping track of all the previous communications is a big hassle and slows down the entire process.

3. Finding the right information. The inability to quickly search for and locate information and documents, means efficiency is greatly reduced in an organization.

4. Lack of inspections. With multiple locations, some places are left with little or no direct inspections from the manager. This results in operational failings and quality control issues. An out of touch manager won't have enough knowledge about the level of service and this will quickly affect sales.

Communication Complications

5. Inability to keep everyone in the loop. Making sure every employee is updated and on the same page is a difficult task. With no efficient system, managers are forced to use a combination of email, phone and fax. Though emails can easily be missed, faxes thrown away and phones call left unanswered.

6. Redundant conversations. A centralized system is required for managing and publishing information. Without this kind of set up, valuable time will be wasted repeating the same common questions and answers.

7. Off-topic conversations. Communicating directly to remote locations can become inefficient when too much time is spent talking about non-work issues. Chatting about unrelated topics wastes precious time in an organization.


8. Transferring Knowledge. When new managers and staff are hired, efficiency and productivity drops because of difficulties in getting the right information. Inefficient knowledge transfer leads to brain drain in the organization, while everyone tries to catch up. This costs a lot of time and money.

9. Weak team building.

Without supervision staff members, a trusting relationship is not built between managers and staff. Expectations are not clearly set and the whole team suffers as a result. Conference calls can only do so much in getting your point across without lots of follow-up calls. While centralized gatherings are usually too costly.

10. Lack of follow-up training.

The training procedure for new employees is very costly and ineffective in many companies. A corporate trainer has travel to each location at a great cost, and even worse the impact of the training is reduced due to no follow-ups.

These were some of the main issues that crop up when managing multiple locations. All these points serve to show that an online, scalable and centralized solution is required to minimize lost productivity in a company.

To receive a full copy of the report, just ask us.  Thanks!

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1 Comment

The franchisee who's in a early stage growth mode going from 1- 3 locations almost always hits a barrier at number 3.

It simply as this, it's too hard to be in three places at one time.

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About this Entry

This page contains a single entry by Jason Duncan published on January 16, 2014 11:57 AM.

Why Private Equity Almost Always Overvalue a Restaurant Franchise was the previous entry in this blog.

Are You Listening? Or Just Waiting to Talk? is the next entry in this blog.

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