2. INDEX
SR.
No.
PARTICULARS PAGE No.
1 Letter from Compass.... 5
2 Health and Safety Exercise. 6
3 Introduction to MAP 7
4 People MAP....... 8
5 MAP 4. 9
6 Introduction 10
7 Post it Exercise 13
8 MAP 4 in the business. 14
9 Decision Card Exercise. 16
10 Action Cycle - Labour Scheduling &
Productivity Exercise
22
SR.
No.
PARTICULARS PAGE
No.
11 Action plan.. 31
12 MAP 3 32
13 Introduction 33
14 Post it Exercise. 37
15 MAP 3 in the business. 38
16 Decision Card Exercise 39
17 Action Cycle Food Cost exercise.. 44
18 Action plan. 54
19 MAP 1 55
20 Introduction 56
3. SR.
NO.
PARTIULARS PAGE
No.
21 D.I.S.C 59
22 Interview with a Chef. 66
23 Action cycle- Questioning Exercise. 70
24 Action plan..... 74
25 MAP 2......... 75
26 Introduction. 76
27 Post it Exercise 80
28 MAP 2 in the business. 81
29 Decision Card Exercise 83
30 Consumer segment 88
SR.
NO.
PARTIULARS PAGE
No.
31 Action Cycle - Attracting a market 90
32 Action plan 102
33 Summary 103
34 Action Plan Summary. 103
4. WORDS FROM THE BEST
Welcome to Managerial training.
We BVG family focus on people development, because our people is our asset.
This managerial training designed to help you to understand and make better use of Buisness techniques. Managerial training helps us all
to focus on the key profit drivers in our business and to drive improved operational and financial performance.
We believe to create leaders and Managerial training has been developed following the great success of our performance framework
programme which has been delivered across the world to leadership teams throughout BVG India Ltd.
Understand the broader way of financial concepts and terms, and a deeper insight into how we create long-term value in your operations.
Understand our sector wise initiatives that have been developed to support efficiencies and improvements in each of our managerial skills.
These have included improved purchasing compliance, a consolidation of our supply chain, new labor management tools, our marketing
and core concept programmes in facility service sector.
Surely this course having identified follow-up actions to improve your part of our business.
Hanmantrao Gaikwad,
Managing director.
BVG India LTD.
5. PROGRAM INTRODUCTION
Welcome to Managerial training.
This short but intense course is designed to help you to understand and make better use of operations management and performance framework.
Operations Management helps us all to focus on the key profit drivers in our business and to drive improved operational and financial performance.
Operations management has been developed following the great success of our performance framework programme which has been delivered across the
world to leadership teams throughout BVG India Ltd.
The course will help you will gain a broader appreciation of key financial concepts and terms, and a deeper insight into how we create long-term value in
your operations.
Through a combination of group exercises and a business game you will learn how the decisions and actions you take affect the profitability and longevity of
your contracts and how they contribute to BVG Group overall.
You will also gain an understanding of some of the sector wide initiatives that have been developed to support efficiencies and improvements in each of our
operations management areas. These have included improved purchasing compliance, a consolidation of our supply chain, new labor management tools,
our marketing and core concept programmes, your voice survey and a host of other client insight driven investments.
Having completed our managerial training for Value course myself, I am sure you will enjoy operations training. I encourage you to make the most of the
opportunity to share ideas and experiences with colleagues and, importantly, to complete the course having identified follow-up actions to improve your
part of our business.
Suraj Mahajan,
DGM – Training & Audit
BVG India LTD.
6. HEALTH AND SAFETY EXERCISE
1.Circle all the hazardous situations on the pictures below
7. 1. To create a common language of business improvement using MAP.
2. To create a shared understanding of basic financial concepts.
3. To demonstrate best practices in each MAP area.
4. To demonstrate the cause and effect linkage from participant decisions to financial outcomes
5. To show the power of coherent business practices (menus, matching, pricing, consumer type, and capability)
6. To motivate & empower managers to make improvements in their own businesses in the coming months.
LEARNING OBJECTIVES
8. •Right sectors
•Improve performance of existing client base
•Right New Clients ,Right Terms.
CLIENT SALES AND
MARKETING
•Right propositions
•Drive price
•Drive Volume
ABOVE UNIT COST
•Right quality/food parts.
•Efficient sourcing and logistics
•In unit usage .
COST OF FOOD
•Efficient labor use.
•Efficient labor cost
•Efficient unit overheads
UNIT COST
•Right support & governance
•Element management structure
•Effective cost control
CONSUMER SALES AND
MARKETING
FIVE MAP AREA
9. People Development Underpins all areas of Map……..
….. Our People MAP is not MAP 6
MAP 1 MAP 2 MAP 3 MAP 4 MAP 5
People MAP
PUTTING PEOPLE AT THE HEART OF MAP
11. LABOUR COST AND IN UNIT OVERHEADS
MAP 4 LABOUR COST AND IN UNIT OVERHEADS
12. MAP 4 - IMPORTANCE OF UNIT COSTING
Unit overheads =
Labour Cost =
Food Cost =
Above unit =
Margin=
PERCENTAGE OF REVENUE
13. IMPORTANCE OF UNIT COST
Unit Cost Unit Overhead
Cost
Labour Cost
Revenue
Less cost of Food
Gross Profit
Unit Profit
Map 4 is our largest direct operating costs and drives unit profit and therefore unit margin
14. MAP 4 UNIT COST - LABOUR COST
LABOUR
PRODUCTIVITY
WAGES AND
ADDITIONAL
COST
UNIT
OVERHEADS
15. UNIT COST
Actions
• Generate more volume.
• Avoid expensive Labour.
• Use Labor scheduling and
rostering tools-
• Ensure people work the hours
we pay for
• Simplify work processes and
procedures
• Flex Labour availability
• Produce MORE with LESS
Generate more like for like
sales.
Reduce Labour hours/cost.
Objective
LABOR PRODUCTIVITY
WAGE & ADDITIONAL COSTS
LABOR PRODUCTIVITY
• MAP 4 - Unit Costs
16. OBJECTIVES ACTIONS
• Control and manage wage, benefits and
additional costs
• Measure and monitor Labor costs on a weekly
basis.
• Adhere to wage and salary increase approval
processes in place.
• Use positions specific salary matrix and
benchmark.
• Avoid premium over time.
• Ensure cost effective staffing mix.
UNIT COST
LABOR PRODUCTIVITY
WAGE & ADDITIONAL COSTS
LABOR PRODUCTIVITY
17. OBJECTIVES Actions
MAP 4 UNIT COST
• Reduce unit overheads
• Measure & monitor unit overhead costs Make
use of purchasing deals (uniform, cleaning
materials etc..)Monitor and manage client related
overheads (energy, utility, communications costs
etc...)Reduce and optimise levels of stock Control
consumables & related costs(napkins, paper cups
etc..)
LABOR PRODUCTIVITY
WAGE & ADDITIONAL COSTS
LABOR PRODUCTIVITY
18. Identify all the business and financial levers that impact the Labour Costs and Unit Overhead Costs in
your business.
1. Work in your teams. Identify all the expenses you consider as "Labour Costs". Write the answers on
the post-it notes provided; one answer per post-it note and stick them on your team's flipchart..
2.Move to another team's flipchart and separate their post-it notes into –
a. Controllable expenses, and
b. Non-controllable expenses.
3. Change flipcharts again, go to another team's flipchart and select the 3 most impactful controllable
Labour costs.
4. Repeat steps 1-4 and identify the "Unit Overhead Costs".
POST IT EXERCISE
21. LABOUR OPTIMISATION – SUPPLY
1. Offer Flexibility
Hours
Location
Responsibilities
2. Adhere to recruitment
authorization rules
3. Standardise recruitment
process
4. Avoid use of expensive
premium temporary Labour.
22. LABOUR COST CONTROL
• Managing Labor costs
while remaining externally competitive
internally consistent and
fair in remuneration and benefits.
• Salaries & Taxes
• Absenteeism
• Labor Turnover
23. Your team is going to take the role of a unit manager for this exercise. Your team's responsibility is to discuss and
decide how to allocate the available time, to improving various aspects of MAP 4issues in this business. You have
limited time, so you must priorities where to spend it. You have been given the following five different MAP 4 topics.
• Engagement & Communication
• Labor/ Wage Controls
• Recruitment
• Skills Development
• Unit Overheads
For each topic there is a no, low and high option which takes up 0, 1 and 2 units of time respectively. You have five
units of time to spend, and your task is to decide which actions to use this time on. The details of the cards are also on
the following pages so that you can all read them. Your facilitator will tell you how much time you have to do this.
1. As a team discuss all your options and choose one investment from each topic.
2. When asked, tell the facilitator the five decisions you have chosen.
DECISION CARD EXERCISE
25. 401 ENGAGEMENT AND COMMUNICATION
You are very focused on the completion of your admin tasks and spend a lot of time in your office
and little time coaching and involving your people. It is unusual for you to have business updates
with the client.
MAP
1
MAP
2
MAP
3
MAP
4
401 ENGAGEMENT AND COMMUNICATION
You hold regular team meetings. You carry out short dally briefings at the start of each shift to
update people of important events, sales numbers and business priorities. There is a
communication zone in the unit which updates people about Important company Information,
employee benefits and staff survey results. You hold regular business updates with the client.
MAP
1
MAP
2
MAP
3
MAP
4
401 ENGAGEMENT AND COMMUNICATION
You have appointed a communications champion in your unit and work with a staff group to work
on your employee survey action plans. You actively reward and recognize good behavior and
attitudes based on the company values and involve your ident in recognizing success. Your people
are well briefed on products, marketing and promotions.
MAP
1
MAP
2
MAP
3
MAP
4
ENGAGEMENT AND COMMUNICATION
MAPPING FOR ACTION
MAPPING FOR ACTION
MAPPING FOR ACTION
26. 402 LABOUR / WAGES CONTROL
You do not have sufficient controls in place to effectively manage your labor scheduling and wage
costs.
MAP
1
MAP
2
MAP
3
MAP
4
402 LABOUR / WAGES CONTROL
You keep an updated holiday planner, review all requests for overtime and keep a tight control on
agency costs. You process your wage returns accurately and on time.
MAP
1
MAP
2
MAP
3
MAP
4
402 LABOUR / WAGES CONTROL
You keep tight controls on the services that you provide to the client and make sure they are
charged for in line with the contract. You recruit to improve the flexibility in rostering and
proactively manage absence.
MAP
1
MAP
2
MAP
3
MAP
4
LABOUR / WAGES CONTROL .
MAPPING FOR ACTION
MAPPING FOR ACTION
MAPPING FOR ACTION
27. 403 RECRUITMENT
You recruit reactively to fill roles that are not well defined and do not follow the Compass
recruitment policies and procedures.
MAP
1
MAP
2
MAP
3
MAP
4
403 RECRUITMENT
You follow Compass recruitment policies and procedures and recruit the right person for the right
role using the most cost effective method.
MAP
1
MAP
2
MAP
3
MAP
4
403 RECRUITMENT
You have a strong succession plan in place and widen the key accountabilities of your vacant
positions to develop more multi skilled people in all job roles. You actively use low cost options to
recruit (i.e. internal website, internal transfers, ex-employees, job center etc.).
MAP
1
MAP
2
MAP
3
MAP
4
RECRUITMENT
MAPPING FOR ACTION
MAPPING FOR ACTION
MAPPING FOR ACTION
28. 404 Skills Development
The only training you do is basic Induction and H&S training for new starters. Annual appraisals do
not happen and you have no idea of where the skills gaps are in your team. You have no idea who to
contact at head office regarding skills training or how to create development opportunities for your
people.
MAP
1
MAP
2
MAP
3
MAP
4
404 Skills Development
All staff have completed Induction plans, supported by 3 monthly progress reviews, and have a
development plan for their career path.
MAP
1
MAP
2
MAP
3
MAP
4
404 Skills Development
Development plans are designed around annual reviews. You have developed and appointed team
coaches and there is a robust succession plan in place
MAP
1
MAP
2
MAP
3
MAP
4
SKILLS DEVELOPMENT
MAPPING FOR ACTION
MAPPING FOR ACTION
MAPPING FOR ACTION
29. 405 Unit Overheads
You do nothing with the information you have about the unit's overhead costs. You manage supplies
reactively and order intuitively. You make little attempt to reduce costs. Utility costs are just
something that happens to you.
MAP
1
MAP
2
MAP
3
MAP
4
405 Unit Overheads
You track unit costs on a monthly basis and review all opportunities for possible savings with your
line manager. You recycle unused staff uniforms, maintain equipment and encourage a 'switch off
campaign to reduce overheads.
MAP
1
MAP
2
MAP
3
MAP
4
405 Unit Overheads
You measure and manage all controllable in-unit costs. You regularly review responsibilities with the
client and assign cost accountability simply and clearly in your unit. You work with head office
support functions to deliver best practice and work within the Compass framework.
MAP
1
MAP
2
MAP
3
MAP
4
MAPPING FOR ACTION
MAPPING FOR ACTION
MAPPING FOR ACTION
SKILLS DEVELOPMENT
30. +
+
-
-
MAP 1
Client Sales
Revenue
Unit Profit
Operating profit
MAP2
Customers Sales
MAP 3- Food costs
MAP 4 In Unit cost
MAP 5 Above Unit Cost
Total Unit Cost
MAP 4 DECISION CARD MAKING – P&L RESULTS
The facilitator will give you the P%L outcomes of the decisions you made, with the impacts for each Map areas .
1.Take the results and complete the following summary P&L.
31. Follow this exercise answer the following questions:
1.What decisions did you make as a team?
2.Why ?
3.What Was the business and Financials impact of your decision?
4. What insights can you take from This exercise that affects MAP4 costs in your Business?
Engagement & Communication No Low High
Labour /wages control No Low High
Recruitment No Low High
Skills Development No Low High
Unit Overheads No Low High
MAP 4 DECISION CARD DEBRIEFING
32. For this exercise your team will be responsible for producing and serving breakfast and lunch to consumers.
Your team will need to schedule:
staff time [At Work/ In Training/At Home]
staff role [Unit Manager, Chef, Sous Chef and Server]
staff activity [Preparing Ingredients, Mixing Ingredient's, Serving Food, and Quality Control]
Once you have made your scheduling decisions, you will be given the chance to execute your plan and calculate
the financial results and consumer satisfaction.
ACTION CYCLE-LABOUR SCHEDULING & PRODUCTIVITY
EXERCISE
33. INTRODUCTION TO GAME
Goal : Serve 15 customers during a 10 minutes day .
Objective – customers satisfactions and profit
Breakfast Lunch Add value Pack
38. TIME 1-2 23 3-4 4-5 5-6 6-7 7-8 8-9 9-10 10-11
PRODUC
TION
SERVICE Breakfas
t
Lunch
Muffin
Pasta 10 5
Pastery 10 5
Cake 10 5
15
DEMAND
39. Who Role 0-1 1-2 2-3 3-4 4-5 5-6 6-7 7-8 8—9
Unit manager Roles UM UM UM UM UM UM UM UM UM
Chef Roles C C C C C C C C C
Sous chef Roles - - SC SC T T C C C
Server Roles - - S S T SC SC - -
Server Roles S S S S - - - S S
LABOUR SCHEDULING
Key Work Homes Training
Unit Manager UM
- T
Chef C
Sous Chef SC
Server S
40. WHO INITAI
AL
ROLE
1-2 2-3 3-4 4-5 5-6 6-7 7-8 8-9 9-10 10-11 12-13
Mana
ger
Role
Activity
Chef Role
Activity
Sous
chef
Role
Activity
LABOUR SCHEDULING
Key Work Homes Training
Unit Manager UM -
Chef C
Sou Chef SC
Server S
41. MAP 1 30
PRODUCT Price x Quantity = sub total
+
Muffin
Salad
Cake
MAP 2 Total
cost x Quantity = sub total
-
Muffin
Salad
Cake
MAP 3 Total
Staff Cost
-
Unit Manager
Chef/s
Unit costs 20
MAP 4 Total
Product Demand Served Satisfaction(b/a )
Muffin
Salad
Total(D)
CAKE %
MAP 4 Action cycle – Profit & Loss account
42. MAP 4 - TEAM DEBRIEF
1.What went well for your team?
2.What went wrong for your team?
3. What do you need to do differently to improve your results?
43. • MAP 4 covers our labor and in-unit overhead costs.
• Efficiencies on labor and savings on in-unit overheads will directly & immediately benefit our bottom line performance.
• Our spend on Labor accounts for 46% of our total revenue in total in the UK.
• Processes like recruitment and overtime authorization request recently implemented have allowed us to:
1 Ensure our business is managed as effectively as possible (with real savings delivered this year).
2 Enabled us to track vacancies against current at risk employees to avoid recruitment and induction costs
• Well trained engaged teams deliver a more efficient effective service which will also deliver top line growth .
• In-unit overheads (non food spend) accounts for 14% of our revenue.
• We have a real opportunity to reduce this by:
1. Ensuring our spend is compliant
2 Reducing our wastage and using the most effective products .
• This is an area of real focus as we continue to grow our support service business.
ACTION PLANNING SESSION
47. - Cost of Food:
• Around £5.1bn total spend
• Around 30% of Revenue
- Group average 2.6% food inflation if not mitigated:
• Operating profit impact - £130m
• Underlying Operating profit margin reduction of 11%
• Equivalent to 33% of Europe & Japan Operating Profit
• Key risk – (Inflation) and key opportunity (prizing : cost efficiencies).
IMPORTANCE OF COST OF FOOD
48. Revenue
Gross Profit
Unit profit
MAP 3 is our 'Cost of Goods Sold and, from Revenue, drives Gross Profit
Cost of food Cost of food sold
MAPS P AND L
MAP 3 – COST OF FOOD P & L
MAP 1
MAP 2
MAP 3
MAP 4
49. KEY AREAS
Right food offer (proposition, quality, satisfaction, sales and margin).
Optimal sourcing and efficient logistics.
Efficient use in units
50. MAP 3
Offer food that drives sales and increases
margin
Product innovation (latest food offerings)
Menu planning
Consumer satisfaction
OBJECTIVE ACTIONS
MAP 3-Cost of Food
Menu Planning
Supplier Management
Controls
51. MAP 3- Cost of Food
Menu Planning
Supplier Management
Controls
Sourcing food at the right cost in the right
way
Compliance.
Menu Planning.
Production planning
OBJECTIVE ACTIONS
MAP 3- COST OF FOOD
52. MAP 3-Cost of Food
Menu Planning
Supplier Management
Controls
OBJECTIVE ACTIONS
Optimize efficiency to increase unit profitability
Preparation procedures/volumes.
Inventory management
Portion size
Purchasing Wastage & theft (shrinkage)
MAP 3-COST OF FOOD
53. Identify all the business and financial levers that impact the Cost of Food in your business.
1. Work in your teams. Identify all the expenses you consider as "Food Costs". Write the answers on the cards
provided; one answer per card and stick them on your team's flipchart.
2. Move to another team's flipchart and separate their cards into.
a. Controllable expenses, and
b. Non-controllable expenses.
3. Change flipcharts again, go to another team's flipchart and select the three biggest controllable Food Costs.
POST IT EXERCISE
56. Your team is going to take the role of a unit manager for this exercise. Your team's responsibility is to discuss and
decide how to allocate the available time, to improving various aspects of MAP 3 issues in this business. You have
limited time, so you must priorities where to spend it.
You have been given the following three different MAP 3 topics:
• Menu Planning
• Supplier Management
• Controls
For each topic there is a no, low and high option which takes up 0, 1 and 2 units of time respectively. You have three
units of time to spend, and your task is to decide which actions to use this time on. The details of the cards are also on
the following pages so that you can all read them. Your facilitator will tell you how much time you have to do this.
3. As a team discuss all your options and choose one investment from each topic.
4. When asked, tell the facilitator the three decisions you have chosen.
DECISION CARD EXERCISE
57. 301 MENU PLANNING
You are developing your own menu and are buying individually according to your own
recipes and campaigns
MAP
1
MAP
2
MAP
3
MA
P4
301 MENU PLANNING
You Creating approximately half of your menu through pre determined supplier and
partly using the recipe pool which reflects the demand and trends of the market
MAP
1
MAP
2
MAP
3
MAP
4
301 MENU PLANNING
You are using the corporate fixed frame menu and the corresponding recipe pool which
reflects the demand and trend of the market.
MAP
1
MAP
2
MAP
3
MAP
4
MENU PLANNING
58. 302 Supplier management
You are buying your whole supply with non-listed suppliers. MAP
1
MAP
2
MAP
3
MAP
4
302 Supplier management
You are mainly using the suppliers predetermined as well as partly ordering listed items MAP
1
MAP
2
MAP
3
MAP
4
302 Supplier management
You order only listed items with predetermined suppliers. MAP
1
MAP
2
MAP
3
MAP
4
SUPPLIER MANAGEMENT
59. 301
301
301
303
303 CONTROL
You do a full food cost analysis for every dish, calculate the waste and work out
appropriate production planning for the future. To manage your portion controls, you
introduce "weigh and pay” where appropriate.
MAP
1
MAP
2
MAP
3
MAP
4
303
303 CONTROL
Your chef is doing no post-calculation and plans daily production based on his
experience.
MAP
1
MAP
2
MAP
3
MAP
4
303 CONTROL
Your chef is regularly doing a post-calculation for the main dishes and is working out the
actual cost of goods as well as the amount of coverage (gross profit) reached. He is using
the information to plan the daily production.
MAP
1
MAP
2
MAP
3
MAP
4
CONTROL
60. 17.6
+
+
-
-
MAP 1
Client Sales
Revenue
Unit Profit Operating profit
MAP 2Customers Sales
MAP 3Food costs
MAP 4 In Unit cost
MAP 5Above Unit Cost
Total Unit Cost
MAP 3 DECISION CARD MAKING
The facilitator will give you the P%L outcomes of the decisions you made, with the impacts for each Map areas .
1.Take the results and complete the following summary P&L.
61. Following this exercise answer the following questions:
1. What decisions did you make as a team?
MAP 3 DECISION CARD EXERCISE – DEBRIEF
Menu planning NO LOW HIGH
Supplier
planning
NO LOW HIGH
Control NO LOW HIGH
2. Why?
3. What was the business and financial impact of your decision?
4. What insights can you take from this exercise that affects MAP3 Costs in your business?
62. Food Cost exercise You will be fulfilling the role of a restaurant team. You will need to organize yourself into an
efficient team, plan your production and produce food in the most profitable way. At the end of the cycle you will
be able reflect on how you used the ingredients your bought, the waste you created and the profit you made.
The overall aim of the exercise is to be the most profitable team.
ACTION CYCLE – FOOD COST EXCERCISE
63. Serve 15 customers during a 10 minutes day .
Breakfast Lunch Add value Pack
IN THE MOST PROFITABLE WAY …….
INTRODUCTION TO GAME
67. TIME 1-2 23 3-4 4-5 5-6 6-7 7-8 8-9 9-10 10-11
PRODUCT
ION
SERVICE Breakfast Lunch
Muffin
Pasta 10 5
Pastry 10 5
Cake 10 5
DEMAND
68. Who Role 0-1 1-2 2-3 3-4 4-5 5-6 6-7 7-8 8—9
Unit
manag
er
Roles UM UM UM UM UM UM UM UM UM
Chef Roles C C C C C C C C C
Sous
chef
Roles - - SC SC T T C C C
Server Roles - - S S T SC SC - -
Server Roles S S S S - - - S S
SCHEDULE YOUR PEOPLE
69. MAP 3 Checklist Item..
MAP 3 CHECKLIST ITEM.
ITEM TICK
1. Decide on menu
(Contract + cakes & / muffins)Decide on quantities
2. Decide on quantities
(Purchasing record: production quantity).
3 Order and receive ingredients from supplier
(Purchasing record: Pre-order summary).
4. Appoint team and prepare schedule
(Scheduling sheet)
5. Layout Kitchen and plan Production
(In the "kitchen").
6. Run the kitchen
(In the "kitchen").
7. Complete supplier invoice
(Purchasing record)
8. Calculate waste
(Purchasing record).
9. Calculate Profit/Loss
(Profit and Loss Account).
71. WHO ROLE 1-2 2-3 3-4 4-5 5-6 6-7 7-8 8-9 9-10 10-11 12-13
Manager Role
Activit
y
Chef Role
Activit
y
Sous chef Role
Activit
y
Server Roles
Activit
y
Key Work Home
Unit Manager
Chef
Sous chef
Server
MAP 3 – LABOUR SCHEDULE
72. MAP 3 ACTION CYCLE-DEBRIEF
1.What decisions did you make?
• Menu
• Waste provision
• Team composition .
2. What were the results.
• Gross Profit.
• Unit Profit
3. Where could you have made improvements?
4. How could you have improved the results?
• Gross Profit
• Unit Profit
73. MAP 1 30
Price x Quantity = sub total
+
Muffin
Salads
Monster muffin
MAP 2 TOTAL
Cost x Quantity = sub total
-
Muffin
Salads
MAP 3 total
Gross profit Total
Experience Description Cost
-
Unit manager
Chef
Sous chef
server
Unit costs 20
MAP 4
UNIT PROFIT
Total
WASTE CALCULATION
TOTAL FOOD COST
COST OF GOODS SOLD
WASTE =
MAP 3 PROFIT & LOSS ACCOUNTS
74. MAP 3 looks at our opportunity to manage and reduce our cost of food .
The majority of our business is about selling food to our customers in a variety of environments.
Our ability to manage food cost effectively will ensure we remain competitive and profitable.
• When in unit there are a number tools to use to manage your food cost.
1. Only purchasing from Nominated suppliers with products distributed by our managed supply chain to ensure.
• Great prices and confidence that the impact of inflation will be managed.
• Full traceability of products providing health and safety assurance as well as great local and ethical sourcing information
• Reduced food miles benefiting both the price of goods into unit and reducing our impact on the environment.
• Our approved supply chain is flexible enough to be able to manage nearly all requirements no matter how demanding.
2. Effective in unit menu planning and wastage controls.
• Menus should be developed to drive sales and maximize profit’s. Menu planning tools and standard offers support this and
support our buyers in providing better prices.
• Reducing wastages using tools like trim trax directly benefits our bottom line and reduces waste food going to landfill.
ACTION PLANNING SESSION
77. • Growth opportunities.
• Obliged to drive value.
• Clients:-
-Route to market
-Access to consumers.
• Improved performance:
-Purchasing scale
-Operational leverage .
• Improved performance enables:
-Invest in service/offering
-Invest in our people
-Capture as margin
GROWTH
SCALE
BENEFITS
REINVEST
Various Circle Of Growth
IMPORTANCE OF GROWTH
78. CLIENT SALES ANMD MARKETING
Less Cost of Food
Gross profit
Unit profit
MAP 1 drives the Revenue line of our P&L, and drives Profit and Cash
NEW AND LOST BUSSINESS
EXISTING BUSSINESS
LFL PRICES
LFL VOLUMES
Growth
Map 1
Map 2
Map 3
Map 4
MAPS P & L
79. CLIENT SALES AND MARKETING
• Market
Development
• Existing clients
• New clients
80. Market development
Existing clients
New clients
Focus growth on the most attractive
markets
Identify the right markets.
Identity and develop the right offers
OBJECTIVES ACTIONS
MAP 1 - CLIENT SALES AND MARKETING
81. MAP 1-Client Sales and Marketing
-Market development
-Existing clients
-New clients
Develop, optimize and retain the right clients
Increase client volume
Increase client price
Client retention
Reengineer underperforming contracts.
Objectives Actions
CLIENTS SALES AND MARKETING
82. MAP 1-Client Sales and Marketing
-Market development
-Existing clients
-New clients
Win profitable new business in target markets
Right sectors
Right term
Right offers/operations
Objectives Actions
MAP 1 CLIENT SALES AND MARKETING
87. General Characteristics
• Stability Predictable
• Cooperative
• Work in Background
• Diplomatic
• Consistent
• Good Listener
• Sympathetic
GENERAL CHARACTERISTICS
Stability
88. • Analytic
• Concerned
• Deliberate
• Correct Quality
• Conscious
• Systematic Plan ahead
Conscientious
GENERAL CHARACTERISTICS
89. 1. Read the 20 envelopes on your table and separate them into the 4 personality types:
• D-Dominance.
• I -Influence.
• S-Stability
• C-Conscientious
You have 10 minutes to complete this exercise.
2. Take your team's selection of 5 envelopes to each of the four D.I.S.C areas. (Your facilitator will point the areas out to you.)
3. Discuss and agree with the other teams which of the 5 envelopes best describe your appointed personality type.
4. You will be asked to present you findings to the room.
You have 10 minutes to complete this exercise
D.I.S.C.
90. Think of your business day and pilot your preference below
ADAPTABILITY
92. Dimension Need Useful Words Avoid
Dimension Respect you options, win, gain, credible, direct, new, decision maker, increase Win/lose ,challenges ,Ultimatums ,Threats
Influence Trust you Incentives, Interactive, recognition, innovative, leading edge, fun, people Negativity ,Conflict
Stability Like you loyal, team, support, long term relationship, feel wise choice, careful Sudden ,change ,Aggression ,Intolerance
Conscientious Believe you specific, measurable, warranty, statistics, complete, proven, tested Incomplete, data, Familiarity ,Using emotion
Use what you have learnt about D.I. S. C to convince your client to improve the contract.
1. Separate back into your D.I.S.C groups...
2. Prepare a 2 minute presentation to convince your client to do the following:
• D-Dominance : Extend operating hours
• I- Influence : Change the menu
• S-Stability : Increase client subsidy
• C-Conscientious : Increase pricing in the restaurant
3. Appoint a spokesperson to present to the room.
You have 10 minutes to prepare your presentation.
Additional information:
DISC PRESENTATION
93. You have been appointed as the new unit manager of a large financial services client. Jason (the previous unit
manager) has taken early retirement due to stress. The unit is delivering a reasonable unit profit and the team
seems capable and willing to perform. The client however is not very satisfied with our service and the contract is
under consideration for tender.
You have an opportunity to improve the client's perspective and develop profit. Your first appointment is with
your Head Chef.
1. Read the interview and identify all the opportunities for improvement.
2. Write your findings in the 4 quadrants of your flip charts:
A. Keeping in touch.
B. Managing Price and Service .
C. Finding opportunities.
D. Retaining the business
INTERVIEW WITH A CHEF
94. Interview:
You: "Please give me a bit of background on how Jason managed the relationship with our client.“
Chef: "Jason is a great guy and we got on really well. He was never late for work and was fantastic at managing our people. Everybody really liked
him. If only our client got to know Jason better I think we would have been a lot more successful.“
You: "Did Jason not spend any time with the client?“
Chef: "He was always so busy running the unit that he barely had the time to spend with them.“
You: "Do we have any supporters within the client?“
Chef: "Jason was interviewed by lan before he started here and they got on very well. lan then retired and handed our account to Dominic to manage. I don't think Dominic was pleased with the
extra work he was given - he's a very busy guy. Jason also met Clare who loves what we do here. She offered to coach Jason through the account and introduce him to the main stakeholders. I think
Clare and Jason met a couple of times but then they both got very busy and just fell out of touch. Come to think of it I don't see Clare around the restaurant much anymore.“
You:" Who did Jason spend time with?“
Chef:" He was mainly focused on delivering a good quality service to our consumers and supporting the team. Jason only dealt with Dominic - but only when he needed to.“
You: "Why do you think that was?“
Chef:" Soon after Dominic took over from lan, Jason had to discuss pricing during their first meeting. Negotiating price made Jason feel very uncomfortable-he said it made him feel guilty when he
asked for more money.“
You: "What happened during that meeting?“.
Chef: "Jason was very ill prepared and was hoping to rely on rapport to open the conversation. Dominic was very well prepared and was quoting from consumer satisfaction surveys he had done.
Jason had nothing but a couple of food cost sheets to illustrate the inflationary pressure we were under. Dominic did not accept Jason's argument and closed the meeting early.“
You: "What happened after that meeting?"
INTERVIEW
95. Chef: "After a visit from Steve (our area manager) Dominic agreed to a minimum price increase to keep us healthy but insisted on big improvements. We all worked very hard to meet the standards Dominic
set. Jason told us: 'As long as we don't hear from Dominic, it must mean that we are doing a good job.“
You: "How often did Jason discuss price increases with Dominic? “
Chef: "After that first meeting Jason only discussed price increases with the help of Steve. There were times when we had to wait for Steve to become
available which meant we had to make substitutions in the kitchen. We simply could not afford the menus we had planned and it caused real issues in the restaurant! Dominic was immediately on the phone as
soon as the surveys dropped below standard! “
You: "How many other services does the client contract out? “
Chef: "There is a reception office and cleaning department. The client changes the reception and cleaning service at least once a year. They are always complaining about the cleanliness of their offices and the
efficiency of the front door staff-I must admit they never complain about our restaurant or our team! “
You: "Did Jason ever suggest our support services? “
Chef:" I don't think he knew how to suggest it to Dominic.“
You: "What is the best lunchtime alternative for our consumers? “
Chef: "It is probably the guy with the catering van outside the building. Most of the traders here arrive very early for work and don't get a chance to have breakfast. He's always there - I even found my sous
chef having a coffee there when he arrived early for work one morning! “
You: "What do you think attracts our consumers there? “
Chef: "I see a lot of people buying newspapers from him in the mornings. The smokers like it because it is convenient when they are getting a bit of "fresh air'. He also keeps a "for sale" notice board up to date
on one of the van doors - I bought my son's bike off it last Christmas! “
You: "Thank you very much for you time. Who would you suggest I meet first?“
Chef: "Clare often sees my wife because our kids go to the same school. She and Dominic have been friends forever-I'm sure she can open some doors for us. I'll ask her if she wouldn't mind meeting you
INTERVIEW CONTINUED
96. Dealing with Clients
• Keeping in Touch-
• Communicate results-
• Know their preferences-
• Show how you deliver on them
Managing Price & Service
• Keeping up with inflation
• Menus, staffing, day parts...
Finding Opportunities
• Within the contract (contract terms)
• To extend services
• Outside the contract
Retaining the Business
MAP 1 – DEALING WITH CLIENTS
97. Action cycle - Questioning Exercise
You are going to take the role of a unit manager and decide how to spend your time improving MAP1 issues in your business. You have limited
time, so you must priorities where to spend it.
You have been given a set of fifteen possible questions to ask the client.
1. As a team discuss all your options and choose 5 questions to ask.
2. When asked, tell the facilitator which 5 questions you have picked
For each question there is a response from the client and a no, low and high option which takes up 0, 1 and 2 units of time respectively. You have 5
units of time to spend, and your task is to decide which actions to use this time on. Your facilitator will tell you how much time you have to do this.
3. Open your envelopes and read the clients response.
4. Consider your options and decide how you would like focus your time.
5. When asked, tell the facilitator which options you have picked
ACTION CYCLE
98. +
+
-
-
MAP 1
Client Sales
Revenue
Unit Profit
Operating profit
MAP 2 -Customers Sales
MAP 3 Food costs
MAP 4 In Unit cost
MAP 5 Above Unit Cost
Total Unit Cost
MAP 1 DECISION CARD MAKING - P & L RESULTS
The facilitator will give you the P%L outcomes of the decisions you made, with the
impacts for each Map areas .
1.Take the results and complete the following summary P&L.
99. Following this exercise answer the following questions:
1. What decisions did you make as a team?
2. Why?
3. What was the business and financial impact of your decision?
4. What insights can you take from this exercise that affects MAP 1revenues & retention in your business?
Question 1 NO LOW HIGH
Question 2 NO LOW HIGH
Question 3 NO LOW HIGH
Question 4 NO LOW HIGH
Question 5 NO LOW HIGH
MAP 1 DECISION CARD EXERCISE - DEBRIEF
100. Action planning session Net growth is the key driver in both the UK & Ireland and Group performance-growing our top line has
material impact on the continued success of our business and share price.
We need to sustainably win more new business than we lose existing business.
A smart way to grow our business is by providing more services to our current clients, to do this we need to:
- Provide a fantastic service to our clients
- Understand our clients business and how we can support them.
Our market leading Sales and retention teams are here to support you in driving real improvements in our performance.
We are Investing in fantastic sales and retention tools.
- PDC (Proposal Development Centre) to produce brilliant documents
- CRM (Client relationship Management tool) to deliver accurate, Insightful data in one place on our clients and prospective clients
- Sales and Retention best practice training across all sectors and functions.
- Everyone who works for Compass UK & Ireland has their important part to play in MAP 1 success.
ACTION PLANNING SESSION
101. Map Areas Actions Start Finish Measurable
ACTION PLAN MAPPING FOR ACIONS
103. CUSTOMER SALES AND MARKETING
LFL Price
LFL Volume
Growth
Expenses
Unit Profit
MAP 2 drivers the Revenue line our P &L and Deliver Growth.
MAP 1
MAP 4
MAP 2
MAP 3
MAPS P&L
104. CUSTOMER SALES AND MARKETING
Attractive customer
offers
Actions to drive price
Actions to drive volume
105. MAP 2- Consumer Sales and Marketing
-Consumer offers
-Consumer price
-Consumer volume
MAP 2- CONSUMER SALES AND MARKETING
Identity and deliver attractive offers that
meet the needs of consumers
Consumer research
Innovation & development
OBJECTIVES ACTIONS
107. MAP 2 - CONSUMER SALES AND MARKETING
Attract new consumers and increasing spend per
consumer
Increase participation & frequency
Increase spend per visit
MAP 2- Consumer Sales and Marketing
-Consumer offers
-Consumer price
-Consumer volume
OBJECTIVES ACTIONS
108. LFL SALES
SPEND
VOLUME
PRICE
TRADE UP
RETAIN EXISTING
CUSTOMERS
ATTRACT NON
ATTRACTIVE USERS
Manage Price increases, price benchmarking
Use active selling to increase spends
Promotions and consent Calendars value of
money ,offers, rewards , and loyalty initiative
Understand characteristics and experience
Communicate values.
DRIVING LFL CONSUMER SALES
109. 1. Consumers who enjoy a better experience will visit more often and spend more
2. Answer the big question "What drives a consumer to return?"
THE BIG QUESTION
110. Identify all the drivers that impact consumers to return to your business.
1. Work in your teams. Identify all the drivers that impact consumers to return. Write the answers on the post-its
provided; one answer per post-it and stick them on your team's flipchart.
2. Move to another team's flipchart and separate their post-its into:
• Controllable drivers, and
• Non-controllable drivers.
3. Change flipcharts again, go to another team's flipchart and select the three most impactful controllable drivers.
POST IT EXERCISE
111. BRI RECIPE FOR SUCCESS
CONSUMERS EXPERIENCE SCORE
01
02
03
04
05
FOOD 30%
MENU 26%
TEAM 24%
FACILITY 20%
112. Understand the consumer and their value equation
Keep close to clients and consumers
Work in partnership with suppliers
HOW SHOULD WE REACT?
114. ADVOCACY
"LIKELY TO RECOMMEND TO A
COLLEAGUE "BUZZ"
Advocacy
QUALITY OF EXPIRENCE VALUE
PRICE
$
78% 22%
FOOD MENU TEAM FACILITY
115. DECISION CARD EXERCISE
Decision Card Exercise
Your team is going to take the role of a unit manager for this exercise. Your team's responsibility is to discuss and decide how to
allocate the available time, to improving various aspects of MAP 2 issues in this business. You have limited time, so you must
priorities where to spend it.
You have been given the following three different MAP 2 topics:
• Promotion/Merchandising
• Pricing & Spend per head
• Customer Service .
For each topic there is a no, low and high option which takes up 0, 1 and 2 units of time respectively. You have three units of time
to spend, and your task is to decide which actions to use this time on. The details of the cards are also on the following pages so
that you can all read them. Your facilitator will tell you how much time you have to do this.
1. As a team discuss all your options and choose one card from each topic.
2. 2. When asked, tell the facilitator which three cards you have picked.
116. 201 Promotion/ Merchandising Mapping for
action
Your lack of attention to your promotions and merchandising means that things pretty
much remain the way they are.
MAP
1
MAP
2
MAP
3
MAP
4
201 Promotion/ Merchandising Mapping for action
You regularly follow-up to ensure that the correct Merchandising and Retail Promotions
are in place and your team is aware of them. Merchandising (e.g. cold beverages) is
good but could be better-there is not always a visual order to how products are
presented.
MAP
1
MAP
2
MAP
3
MAP
4
201 Promotion/ Merchandising Mapping for action
You have gathered good Information on the number and profile of the consumers on site
and with the support of the Marketing team you have identified the most relevant
promotions to implement locally. You ensure that your team is aware and bridled on the
upcoming promotions and how best to sell them. Merchandising of cold beverages is
according to centrally provided planograms.
MAP
1
MAP
2
MAP
3
MAP
4
PROMOTION/ MERCHANDISING
117. 202 Prising And Spends per heads Mapping for action
You allocate no time to reviewing pricing or training your team in how to package meals
and 'up-sell’
MAP
1
MAP
2
MAP
3
MAP
4
202 Prising And Spends per heads Mapping for action
An internal review of your pricing highlighted some areas where you can make increases.
In conjunction, you also gave some ad-hoc coaching to your team on how to-sell more
effectively.
MAP
1
MAP
2
MAP
3
MAP
4
202 Prising And Spends per heads Mapping for action
A competitive review of pricing has seen you make price changes across the board, whist
keeping your client informed. Using materials from HR, you have also conducted formal
coaching with your team on how to better up-sell. In conjunction, you have introduced
an incentive scheme to recognize and reward the top performers in this area.
MAP
1
MAP
2
MAP
3
MAP
4
PRISING AND SPENDS PER HEADS
118. 203 Customer Excellence mapping for action
You put no time or effort into monitoring and improving levels of service. Often you will
spend time during service in your office catching up with paperwork.
MAP
1
MAP
2
MAP
3
MAP
4
203 Customer Excellence mapping for action
You plan and conduct some simple surveys to improve service. The results tell you consumers are
unhappy with the speed of service and that they feel the team could be more helpful/consumer
focused. You occasionally walk the floor during service observing how things are going.
MAP
1
MAP
2
MAP
3
MAP
4
203 Customer Excellence mapping for action
You have invested time and effort in conducting consumer research which has enabled you to drill
down to the two biggest service related issues-speed of service and staff attitude. The majority of
time during service you are in the restaurant/ outlet engaging with consumers and your team.
MAP
1
MAP
2
MAP
3
MAP
4
CUSTOMER EXCELLENCE
119. MAP 2 Decision Card Exercise .
– Debrief Following this exercise answer the following questions:
1. What decisions did you make as a team?
+
+
-
-
MAP 1 Client
Sales
Revenue
Unit Profit Operating profit
MAP 2Customers Sales
MAP 3Food costs
MAP4 In Unit cost
Map 5Above Unit Cost
Total Unit Cost
MAP 2 DECISION CARD EXERCISE.
120. – Debrief Following this exercise answer the following questions:
1. What decisions did you make as a team?
Promoting/merchandising NO LOW
Prising NO LOW
Customer service NO LOW
2. Why?
3. What was the business and financial impact of your decision?
4. What insights can you take from this exercise that affects MAP 2revenues in your business?
MAP 2 DECISION CARD EXERCISE - DEBRIEF
121. SO WHAT ABOUT THE BUSSINESS
• Understand the answers to the big questions, e.g. "What makes a consumer decide to come back?“
• Value is not just about price.
• Ensure you know what creates a customer advocate...and measure those things.
• Target your Operations teams on the key attributes.
• Respond with marketing and business activity to give consumers what they want.
• Don't stand still-keep measuring and keep innovating
125. Action Cycle-Attracting a market You will be taking the role of a B&1 unit manager and design an offer for your restaurant. You will need to do
some market research to help you match your offer to your consumers. Your consumer "market" is the participants in the room. At the end
of the cycle you will decide which team's restaurant you would rather eat your lunch at..
The overall aim of the exercise is to be the most profitable team.
The three customer segments that we will be using in the exercise are:
• Quality Seekers
• Food Conscious.
• Price Sensitive
Familiarize yourself with the following, which are available on the next pages, and decide which customer segment you fall into.
• Food on offer
• Prices available
• Experiences
Once you have made a decision,
1. Take a sheet of stickers from the facilitator that corresponds to your customer segment..
• Quality Seekers-Blue
• Food Conscious
• Green Price Sensitive-Red
ACTION CYCLE-ATTRACTING A MARKET
126. FOOD PURCHASE COST SELLING COST
QUALITY SEEKERS
300 RS 500 RS
300 Rs 300-600 Rs
400 RS 400-700 RS
FOOD ON OFFER AND THE PRICES AVAILABLE
129. EXPERIENCE COST IMPACT
Visible unit manager during service (a second person next to your flipchart) 5 a/b = %
Chef's table (one extra unmanned presentation of your offering) 5 a/b = %
Combo deals (advertised on your flipchart)Frequency card/coupons(handed out
before "lunchtime")
5 a/b = %
Frequency card / Coups (Handed out before “Lunchtime”) 10 a/b = %
Free Coke (advertised on your flipchart) 20 a/b = %
Free dessert (advertised on your flipchart) 30 a/b = %
Celebrity chef (advertised on your flipchart) 40 a/b = %
* % Of consumers who will be impacted by the experience (a) Market research & (b) Market size
EXPERIENCES
130. MARKET RESEARCH
As a team you need to collect some market research from your consumers in the room and then discuss it.
1. Meet up with a participant from a different team and ask the following questions
a. Which of these price ranges fits your lunch budget?
£2.00-£3.50
£3.00 - £4.50
£5.00 - £7.00
b. Of the range of dishes available which do you prefer?
c. Of the range of experiences which is the most important to you?
2. Collect your findings together as a team to obtain a general feel for the consumer market in the room. Make any
notes below.
131. CHECKLIST
Considering the market research you have just done you need to create an offer for your restaurant and display it on your
flip chart. Use the following checklist to help you.
Item Tick
1 Choose your 2 meals.
2 Choose your Experiences
3 Decide on Pricing
4 Create a Slogan
5 Create a Budget to Estimate a Return
6 Dress your Flip Chart
7 Meet and Greet, and Vote
8 Complete profit and loss
Example
132. MAP 1 30
Price x Quantity = Sub total
+
Item 1 Sales
Item 2 Sales
MAP 2 Total
cost x Quantity = Sub total
-
Item 1 Food cost
Item 2 Food cost
MAP 3 Total
Experience Description Cost
-
MAP 4 Total
MAP 2 ACTION CYCLE - BUDGET
133. MAP 1 30
Price x Quantity = sub total
+
Item 1 Sales
Item 2 Sales
MAP 2 Total
cost x Quantity = sub total
-
Item 1 Food cost
Item 2 Food cost
MAP 3 Total
Experience Description Cost
-
Unit costs 20
MAP 4 Total
MAP 2 ACTION CYCLE – PROFIT AND LOSS
134. MAP 2 ACTION CYCLE - DEBRIEF
1. What did you decide to do?
• Consumer Segment
• Offer
i. Concept, Food Choice, Pricing , Experience
• Presentation
I . Flipchart
ii. Verbal Promotion.
2. How did the market react?
• Consumers
• Profit
3. Where could you have made improvements?
4. How could you have improved the results?
a. Consumer
b. Profit
135. VALUE = FOOD + EXPERIENCE
PRICE
VALUE = PRICE
CONCLUSIONS
136. MAP 2 – Group Actions ‘Checklist’
• Define right consumer propositions for each segment
• Develop, implement and measure consumer pricing strategy
• Define & develop consumer retail offer(s)
- Develop effective merchandising approach
-Measure consumer volume impact
• Link to best practice on Mercury
137. ACTION PLANNING SESSION
• Driving Like For Like sales is the most effective way to grow profits.
• You must focus on this in your business. Some examples:
• Consumer retail promotions.
• Core concepts e.g. Best of British, Trattoria
• Cafés and sandwiches e.g. CoTsa, TouJours and Origin Foods
• Deli lunches and snacks e.g. SO Deli, Deli Marché.
• Satisfying consumers is all about understanding their needs and satisfying them
better than anyone else.
• Our main research tools are:
• Eating @ Work Report conducted every two years .
• Consumer Satisfaction Survey-90,000 people per year
139. SUMMARY
1. To create a common language of business improvement using MAP
2. To create a shared understanding of basic financial concepts
3. To demonstrate best practices in each MAP area
4. To demonstrate the cause and effect linkage from participant decisions to financial outcomes
5. To show the power of coherent business practices (menus, matching, pricing, consumer type, and capability)
6. To motivate & empower managers to make improvements in their own businesses in the coming months
140. • Right sectors
• improve performance of existing client base
• Right New Clients ,Right Terms.
• Right propositions
Drive price
Drive Volume
• Right quality/food parts.
Efficient sourcing and logistics.
In unit usage .
• Efficient labor use.
• Efficient labor cost
• Efficient unit overheads
• Right support & governance
• Element management structure Effective cost
control
Client Sales and Marketing
Consumer Sales and Marketing
Cost of Food
Unit Cost
Above Unit Cost
SUMMARY
