How To Build A Dream Team Staff

How To Build A Dream Team Staff

Check out the latest episode below. Mr.Biz Radio provides business owners with the knowledge and insights needed to drive their companies forward.

Mr. Biz Radio: How To Build A "Dream Team" Staff

Unedited transcription of the show is included below:


Welcome to Mr. Biz radio, Biz. Talk for Biz owners. If you're ready to stop faking the funk and take your business onward and upward, this show is for you. And now here's Mr. Biz, Ken Wentworth.


Alright Welcome to another episode of Mr. Biz Radio with me, Mr. Biz Ken Wentworth. And we're gonna talk with someone who's an absolute expert in, in a lot of different spaces, or at least a few different spaces. But one of the things we're gonna touch on, especially later in the show, is the issue of staffing and how to build a dream team staff. And this is gonna ha be something that impacts and resonates with no matter what industry you're in, especially nowadays, you know, since I'm a little bit of issues before covid, but even, especially since Covid, man, it, it doesn't matter, geography, industry, just finding good people is so difficult nowadays, it seems like, and it seems like it's more difficult now than ever. And so we're gonna have Roger help us out with that, with some of his expertise. Our guest this week is Mr. Roger Beaudoin. He is a 23 year veteran restaurateur, founding five high volume restaurant concepts. He's now the host of the weekly Restaurant Rock Stars Podcast. He's a noted industry speaker, internet entrepreneur, and personal restaurant coach. Roger, welcome to Mr. Biz Radio.


Thank you so much for having me. I'm glad to be here.


Yeah, absolutely. Absolutely. Looking forward to it. It's funny, we we were kind of hitting a little bit of a hospitality aspect to the show here. We had someone on who used to run hotels and talk about hospitality on our last show. Now we're gonna have you talking on a different side of the hospitality coin I guess. But before we get into all that, Roger, tell us a little bit about your, your entrepreneur journey overall.


Yeah, I'd have to say that started in graduate school in Massachusetts. I went to a very entrepreneurial graduate school. It's Babson College, just west of Boston, Massachusetts. And I think for like 40 years running, they've gotten the top entrepreneurship school in US News and World Report, and it's kind of an accolade. So there's very definitely an influence on entrepreneurship there. It definitely rubbed off on me. A lot of students start student businesses there. I think I had three different businesses on campus, and then I graduated and I moved to Los Angeles, and I really wanted to get a lot of marketing experience. So I worked for an advertising agency, not that that was entrepreneurial, but it certainly helped me later in life. So I worked on the Acura automobile business for American Honda Motor Company. And the, a agency at the time was called Ketchum Communications.


So that's kinda where it started. And I started a business with a partner out there in the fashion business of all things. I had never been in the fashion industry before, but my partner was a designer and she started designing clothing. And on a fluke, it just got picked up by major stores in Los Angeles. And one minute, you know, they're hand sewing clothing on a pinging pong table, and the next minute it's in some of the hottest stores in LA and suddenly you have to go out and find, you know, sewers and fit models and, and create patterns and do all this kind of stuff. I didn't get involved in any of that. I, I ran the business side of things. We ended up doing that for about three years, got into Nordstrom's and Bloomingdale's on both coasts. We had sales reps in New York and Los Angeles.


And I found that it, it was really challenging because it's a really sort of fickle business in that one minute you're hot, and next season you could be completely cold. And it's all about following trends. But then there's also the flip side of anything that you come up with that's really hot instantly gets knocked off by better finance companies. And you see something you designed last week in every shopping mall in the country next week, <laugh>. So that certainly happened to us too. And then I had a passion for the skiing business because I grew up skiing my whole life. I was a passionate skier. And when I moved back east and we sold, you know, our, our interests in that fashion company, I needed something to do. And I started interviewing for a ski resort company in Maine that was the fastest growing ski resort at the time.


And here's where the story takes an interesting twist toward the restaurant business that I later got into. So I'm interviewing for this marketing job at this top ski resort. And I'd never been to this small town in Maine before, but there's this huge ski resort, and it was a time warp. None of the infrastructure kept up with the fast paced growth of the ski area. So there were just a handful of restaurants, literally no condos. Like this resort was not completely built up. And this was 1994, so quite a while ago. And suddenly when I was at that graduate school I did an internship in Italy. I I worked in Milan for the summer and I ate a lot of pizza, you know, wood-fired pizzerias are in every corner. And now I'm interviewing for this job in Maine, in this small town. And I eat in this restaurant and the service is awful, and the food's marginal.


And then I tried another one, same thing. But yet every business in this town succeeds in spite of itself because 600,000 people come through there every winter time. It, and at that point, it was a seasonal place. It was, it didn't have a big summer or spring or fall season, but winter was booming and lines out the door in every business. And light bulb goes off in my head, wow, pizza place, this place, it needs everything. I've never been in the restaurant business before, but if I build it, they will come. And that's exactly what happened. So the funny thing is getting financed for a business. And I wanted to run before I could walk, and I wanted to buy a piece of land, and I wanted to build a building and create this authentic wood-fired pizzeria in an ideal location. And to do that back in 1994, I think I needed a million dollar loan.


And so I walked into all these banker's offices with a business plan. And the first question, you know, loan officers, like, so how many restaurants have you ever owned or managed before? And the answer was always, well, I've never been in the restaurant business, but read the business plan. I got a great idea, <laugh>. And it's like, yeah, see you later. I'm not gonna give you a million dollar loan. So after probably the 10th or 12th banking, you know, appointment call it I met a banker that actually skied this ski resort every weekend he was fully familiar with Yep. Lines out the door, every place in town. Yep. The restaurants are terrible. Do you know what you're doing in the restaurant business? No. You're a smart guy. You got an M B A, you can run a business, you can surround yourself with the right people that know.


He's like, I can see this working, but I'm still not gonna give you a million bucks. You're gonna have to scale this thing way back and I might give you $150,000 to start your business <laugh>. So throw out the whole idea of buying the land, building the building, and fitting it up in this great location. We had to find a place six miles away on the wrong side of the railroad tracks with a leaky roof and no parking. But we did it and we opened the place and lines out the door and it succeeded. Two years later, I got my million dollar loan, bought the land, built the building, and just kept building it year after year after year. And one restaurant morphed into 2, 3, 4, and, and then yeah, <laugh>. That's kinda the story of hospitality for me. Well,


Geez, you answered one of my questions, Roger, as, as I was, you were kind of taking me down this path of, of your, of your career and your entrepreneur adventures. That's what I was gonna ask is how'd you get in hospitality? So the interesting story of how you, how you did that, I gotta ask, going way back, it's quite what, what led you to l a I mean, it's quite a, a difference between East coast going clear across the country. Yeah. Was there something specific that took you out there? Was it that job or?


It was two things actually. I think everyone, well, you know, it's common perception that Los Angeles is a glamorous place, you know, and the palm trees and the beaches and all that kind of stuff. So that was part of it. You know, I had a friend that had gone to college out there and I went to visit just after they had graduated and I kind of fell in love with Los Angeles. I'm like, I really like it here. It's kind of a lifestyle thing. I could see myself here. But then when I got out of Babson, that m b a program, the New England economy completely tanked and you couldn't find a job to save your life. So I'm like, oh, I'm gonna try advertising and I'm gonna go to Los Angeles. And I was probably in LA for a week and I landed this, this advertising gig. So sometimes things come together, but two things, the, I wanted the beaches and the palm trees and the lifestyle. And I also wanted to you know, find a good gig without taking six months to find a job. So that's kind of the answer to that. Yeah.


Well, and that's interesting. I mean, you know, that's one of the things that, you know, I think traveling around experiences and things like that and throughout your, you know, the journey you took us on, it's, you know, you had mentioned you went out there and visited and then you fell in love with it. And that led you there. You were doing an internship in Milan and the pizza and that led you into the hospitality where, you know, you had the light bulb in the ski resort town. Interesting how experiences, you know, really build on that and help you take different directions in, in your, in your career and, and, and their life, frankly. So interesting stuff. Again, we're talking this week with Mr. Roger Beaudoin. You can find out more at You can follow him on Facebook, Instagram, Twitter, and LinkedIn. We're gonna hit a break here. We'll come back, give the Mr. Biz tip of the week, continue talking with Roger. We're gonna talk with him. You hear his experience. We're talking about business lessons learned through the restaurant industry.


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Alright, welcome back to show. It's time for Mr. Biz tip of the week. This week. It was actually a quote. I really like this. I actually have this quote hanging in our our studio here. And it's a quote by Grant Cardone who's been a guest on the show a few times. And the quote is, set goals that match your potential, not your ability. And I think a lot of times people, this is why people don't achieve large goals because you, you honestly sell yourself too short on what you're absolutely your potential is to achieve. And so don't worry about what you're able to do right now, that that has nothing to do with it. If you are, you know, making $40,000 a year in a job and you say, man, I'd like that, you know, run a a hundred thousand dollars business, why not a $10 million business?


Why, I dunno how to do that. Don't worry about that part. You'll figure it out. But set the goals that match your potential, not your ability. I think it's super important, and I see it all the time. People fall short of things because they just don't aim high enough, they don't think big enough and they, you know, don't realize the potential they have in them. So that is the the tip of the week this week. Again, talking with Mr. Roger Beaudoin. So Roger, let's get back in this a little bit. So you've got, you know, experience, you did some advertising marketing in the automotive world, then you shift gears big shift gears into fashion <laugh> and then sort of getting into the restaurant industry. What are some, some lessons that you've learned along the way and maybe some things that are specific to the restaurant industry that you saw that were maybe different than some of your other experiences?


Yeah, I mean, I'm now in a business that is not traditionally run by MBAs. And obviously there's very, very successful restaurant groups that have all their systems dialed. There's national chains that are owned by huge corporate conglomerates, and then there's the mom and pop independent restaurant. And unfortunately a, a large segment of this industry are working in their business. They're not working on the business and they don't have systems in place and they're kind of spinning their wheels wondering why they're missing their kids' soccer games and high school graduations. 'cause They're tied to a business and it's running them, they're not running it. So I knew from the get go that, you know, there's a very high failure rate in restaurants and in hospitality, and I wanted to give myself every advantage. 'cause I mentioned to you when I got into it, I had really no restaurant experience, but I knew how to run a business.


So I methodically started systemizing my business. And that started with building what I call the dream team staff. And I wanted to surround myself by with A players not C players. And there goes another unfortunate thing that I don't care what industry you're in today, whether it's hospitalities or you own jewelry stores or lumber yards. I mean, there are three types of employees in any business. You got the A team, the B team, and the C team. So the C team are those people that don't really care about, you know, relationships or making friends with your customers, your clients, and they're just there to collect a paycheck. And half the time they're unreliable showing up, you know, calling in sick or they're out back having a smoke, and it's like they're not doing your business any favors. And the pandemic has really shifted us into taking anything that'll work and and accepting that problem.


And I've got some solutions to that as well. But unfortunately, you know you, you still have to a, you know, offer the value proposition to your customers. You still have to give them great service. You still have to give them great food and drink, and you still have to charge reasonable prices. Even though we're paying the highest labor costs ever in, in our industry. The food costs are volatile as anything but therein lies the systems. It's like so many restaurants I've worked with or or talked to in my relationships with the larger food service suppliers are spinning their wheels. They're filling their seats. Maybe they're busy, but they're wondering why the bank account isn't growing because they just don't have those financial systems in place. They don't know how to analyze their numbers, they don't know what the critical numbers are. Some of 'em think that inventory, taking inventory is walking around, figuring out what you need to order that week versus calculating the true value of your, of your goods on hand at any given point in time.


So you quickly recognize I'm either in my sweet spot or my food costs are too high and I'm losing money, or you know, steaks are walking out the back door, but I'd never know because I don't track this stuff. And that's just one example. Menus the biggest marketing tool in any restaurant is the menu. And I see so many restaurants that design a menu for appeal and variety to the guest, but the profits are all over the place. And in some cases with rising costs, they're actually losing money, selling certain dishes. And then you run some reports and you figure out, wow, my biggest, most popular sellers are actually the least profitable things I'm selling. And therein lies the problem of I'm filling my seats, but why am I not making any money? And the spread, everyone knows what a spread is. It's the difference in profit between this item and that item.


On any given menu, we've got categories, we've got appetizers, soups and salads in some cases, sandwiches, pizzas, entrees, of course, desserts. All those are categories. But within any of those categories, I see restaurants that are losing three or four or five bucks selling this appetizer versus that one in potential profit because again, lower profit items are taking sales away from what they could be selling. And on the entree side, boy that it's even scarier, I see restaurants losing 10, 12, $13 every time they sell this versus that. And over the course of six months or a year, all those lost potential profits, spinning wheels wondering why your bank account's not growing. So that's one of the things I've specialized in as a personal restaurant coach, is really dialing in these systems, whether it's creating a dream team, dialing in the cost controls and the profit maximization tools, the marketing side. Those are the three foundational fundamentals of any successful business. Obviously, your team your cost controls and knowing how to maximize profit. And then marketing, they apply to any, any, any industry.


Well, it's interesting, Roger I talk about all the time, so two different things that you talked about that I wholeheartedly agree with you, even when, you know, with I'm, when I'm dealing with my clients is I tell 'em to mind your margins. And a lot of businesses have exactly what you described. Almost every business I've ever worked with has what I call the silent business killer. And that is a product service, whatever it may be that you are selling that's actually at best break even, but most likely you're actually losing money into your point that you had mentioned, Roger, is they don't understand. They say, you know, my my top line, my revenue is exploding, but I'm, I'm, I'm not making any money or I'm losing money. How's this work? How's my, how are sales up? But I, my profits are down. Like, I'm not spending more on rent, I'm not spending more on this or that.


Well, yes, because every fill in the blank product service, you know, dish that you're, you have is, you know, everyone you sell, you're losing money. So you're actually paying the customer to eat your pizza or whatever that might, you know, whatever that item might be. Absolutely. And I call it the silent business killer because of course no business owner would purposely do that, but to your point, so many of them don't know their numbers well enough and don't have a good enough handle on them to even realize what those silent business killer products or services are. And then hence they end up, you know, spinning their wheels, like you said, they're selling, selling, selling, and, and sales are going up and I'm losing money. And it's like completely, you know counterintuitive to most folks that don't have a deeper understanding of, of running a business in, in margins and things like that.


Absolutely true. Couldn't have said it better myself. <Laugh>.


<Laugh>. Yeah. I mean it's, it's it doesn't even matter the industry, but it, I I especially with as tight as the margins are in, you know, the food industry, oh my gosh, I can't imagine, you know.


Well, yeah. Even, even more so, I mean, the margins have shrunk since the pandemic, before the pandemic hit, they said you were doing well in this business if you could ring a 10 to 12% net profit on sales, and that's a slim margin. But now there's a lot of restaurants in the five, six, 7% range. Some are barely making it. I mean, the, the pandemic wiped out Most of the industry, if you're still standing and you're running a five or a 6% profit margin, you're working there seven days a week, you're not paying yourself anything and you're killing yourself and it's gonna, the business is just running you. And, and we can get far beyond that through these systems I'm talking about.


Well that's a good segue because we're gonna hit a break here, but when we come back, we're gonna have Roger help us. He had, he had alluded to this earlier, but how on how to build that dream team because having that dream team staff is gonna help you realize a lot of these things and track metrics better and have them, you know, front facing folks especially makes a massive difference in your business. And I know, again, even without industry, but especially in anything hospitality, you gotta have a dream team. Staff. Super important. Again, we're gonna hit a break here. Come back and get some tips from Roger on Building a Dream Team Staff.


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Alright, welcome back to show again, the super talk with Mr. Roger Beaudoin. You can find out more at his website, We'll put it in the show notes as well. You follow him on Facebook, Instagram, Twitter, and LinkedIn. So Roger, let's hit, let's hit some pay dirt here. This Dream, dream team staff we're talking about again, so, so critically important and as I, you know, I mentioned, and I think you alluded to as well, especially since the pandemic, not only with costs that we talked about last segment, but boy, you know, finding good people and like you, I think you mentioned during the first segment is so many people nowadays are just like, lemme just plug in a gap with a C player. Just I need a warm body kind of thing. And long term that's not going to work for any business, but especially on the hospitality side of things. So what are some tips that you've found Roger, over the years of building that dream team staff?


Well, you know, that's a two-sided coin. So we can start with a paradigm shift. I love paradigm shifts. Most of this industry, most of any industry is trying to hire and not recruit. And that's mistake number one. I mean, you can drive down any street u s a look at any business, U ss a again, the jewelry store, the lumber yard, the restaurant, it doesn't matter. You see the signs up there now hiring, you know, and you'll see the Burger King or McDonald's sign that say, oh, 18, 15 an hour to start. You. You see all that everywhere you go. And people are now blind to that. And that is not the way to hire or, or to get new people. If anything, you're getting somebody else's nightmare, the C player. But recruiting is, I, I mentioned the A players, let me quickly define an A player.


An A player is someone that's got an awesome personality. They're there for the right reasons. They enjoy meeting new people, making friends with the public. They become brand ambassadors for your business. They're reliable, they're on time, they take initiative. You don't, you, you know, you're not looking for them. You're doing what they're supposed to be doing and they're building your business for you. That's an A player. Plus they have experience. A B player has all the same attributes. The only thing they're lacking is maybe they've never worked in your business before. They've never worked in a jewelry store or lumberyard or a restaurant. And all they need to do is shadow those A players for a couple of shifts. And I recommend a couple of different A players because people have different styles. But you're gonna pick up some positive best practices from a couple of people and then you put your best foot forward.


Okay? So that's what you're looking for. But in order to recruit, you need to incentivize your A players and say, if you find me people like yourself, who do you know that isn't happy in their current job? They've got a boss that's a jerk, she doesn't really appreciate what they do. And you know, there's no dream team there. There's no company culture. You don't really feel like it's a great fit. Bring those people to me. If you think they're a good fit, I'll interview them and if I think they're a good fit, I'm gonna pay you a hundred bucks for bringing 'em in the door and then I'm gonna pay that person $300 if they stay three months and do a great job. But I got three months to work with these people and I'm pretty sure I can keep them long-term. So that's an investment.


But let me put that in perspective. Before the pandemic, they said the average turnover of a hospitality employee was about four months. And every time you hired that person got them up to speed in the job and you know, had to either fire them or they quit. And then you had to rehire a new person and get them up to speed. We're talking about four to $5,000 in cost and lost time and productivity and wages and all that kind of stuff. And no small business can afford that. So for a couple hundred dollars, it worked like genius for me. And I proved it 30 something years ago because when I started my first restaurant, I needed about 20 or 25 people to start. And there was a new hotel being built in my town and they needed like 200 people, valet parkers and housekeepers and servers and bartenders.


I'm thinking, how am I possibly going to get people when they're having job fairs and they're gonna bring all these people in? It was incentives. And I took my one or two A players, I said, I'll pay you a hundred bucks if you bring me some people. They brought me people and then those people brought me a couple of people and I recruited. I didn't hire. So that's the first thing. The second mistake is in this industry and in most industries there's a term called manager or management and the boss, right? And that is not the way you should approach your business because just because someone holds a title of manager or boss doesn't mean they're competent to lead. Doesn't mean they're inspiring, doesn't mean they recognize talent in people. They're a figurehead. And in a lot of cases they manage by intimidation. And what do they do?


They delegate. Anybody can tell somebody what to do and even how to do it. But it's rare for someone to lead by example and then empower people to take on additional responsibility, recognize talent in someone and give them opportunities within that business to take some initiative. And if you do well in this, you'll get a reward for doing so. And that's how you build a dream team. And then to take it to the next level, once I did all that, we would have a regular meeting in my business in, in different restaurants and I would have 20 or 30 people in the room at a given time. And once a month we'd have the flip charts on the wall and the dry erase markers. And I'd say, I don't care what the idea is, if you've got any idea, crazy or not, if you think there's a way of increasing sales, increasing profits, cutting costs, doing things more efficiently, you're in the trenches every day.


You see things. But if you don't ask, you don't get, people aren't gonna tell you unless you ask them. And if you come up with an idea, and if I can track the r o I on that idea, as long as you work for me and as long as it continues to deliver r o i or a cost savings, I'm going to give you a percentage of whatever that is. And I had people in this seasonal business that lasted 10, 12, 15 years, 18 years, 19 years. And in some cases, 10 or 12 or 13 years later, I'm still writing a bonus checks because they came up with an idea that continues to generate r o i. So this is a little out of box thinking, right? But it's all about incentivizing, creating initiative and giving people a common culture that they can all relate to. And then recognition rewards programs happened every single week.


And I could get into that in more detail if you want, but it just spoke volumes about how we ran our businesses and it was completely unlike the competition. And word got around, next thing you know, there were lines out the door and we didn't have any jobs for people anymore. And we rarely had to bring new people in unless I had a college student that went back to college and I gave him or her an opportunity. 'cause I really liked their personality. We really didn't have any jobs in a seasonal business. I had a 98% retention rate. So sounds simple, takes execution, but I think I gave you some ideas on how to execute that.


Yeah, I love it. So several things you mentioned there, Roger, I, I, I mean I we're like brothers from another mother because you know, I talk about those A players, first of all getting those and incent what I talk about is you want employees to think like an owner and that's exactly what you described. And in order to get 'em to think like an owner, you're incentivizing them in a, in a way that the owner would be incentivized Absolutely. Right. In the same sort of way of running that business more efficiently. And I think one of the things that I see in all different sorts of industries that a lot of owners don't do is they aren't very transparent about some of the key levers, key metrics in the business. They don't share those with the employees. So the employees don't know.


And the other thing that I love that you mentioned that I also talk about a lot is ask your employees, ask your, they're the ones, like you said, they're the ones in the trenches. They see this every day. You're not the one that's, that's, you know, pulling the levers and doing all these different things. They're the ones that, and they're doing it. They, everyone looks for efficiency, right? Especially if you have a players, they're all looking for that. And especially if they're gonna be incentivized, they're really gonna look for it. Mm-Hmm. <Affirmative>. Oh yeah. And that's, you got, then you end up with all these employees that are thinking like owners and then having your a I love the hire versus recruit. I've never heard anyone say it like that, but it makes so much sense. 'cause Think about it, if you're an A player and you, your boss, your owner comes to you and says, Hey, do you know anyone else that a player doesn't want to bring on a C player because he or she knows that I'm gonna have to pick up the slack from this person who's a crappy employee. I don't want that. I wanna bring in someone like me and we can really kick some butt together. So it really, really, I love that, that concept of that. And I think that's another thing that people miss out on as far as not just paying incentives to bring people in, but especially leaning on your, your superstar employees, your a employees as you call them, to, to help with the, that recruiting aspect of it.


Yeah. They say you've got a system if you can walk away from your business for a day, a week or a month, and when you come back, it's running just as smooth, if not more. So when you've been gone. And that's when you know you've got a dream team. 'cause They've got your back. I called that an exit strategy. Whether you wanna sell your restaurant someday like I did, whether you just wanna leave and spend more time with family and friends and go on vacation, or if you just wanna go in another industry and start another business. It's like having that team in place that has your back, like you say, is the only way you can do that. And it takes the system.


And, and Roger, here's another thing that owners, I'm running outta time here, but I wanna mention this real quick as owners miss out on, is they plan on selling and exiting the business, but they are so involved with the business that someone who's buying it doesn't wanna run it. And they say, right, if I pull you out, I don't wanna run it. And the whole place is gonna, the, the walls are gonna cave in because you, you're such a critical part because you have a, you don't have a good enough team. We're out of time here, Roger, really appreciate you coming on again, Roger Beaudoin. We're gonna put his, all of his information, but ro Facebook, Instagram, Twitter, LinkedIn. Roger, thanks so much for coming on the show. I really appreciate it.


Thank you Mr. Biz. I really enjoyed the opportunity. Thanks again. Stay well. Yeah, yeah.


Appreciate it guys. Thanks for watching. Thanks for listening. Have a great rest of your week. And don't forget, as always, cash flow is king.


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