October 4, 2021

Want Profitability At Restaurants? Address Employee Turnover

Employees meet over coffee.

Anyone who runs a business or manages employees knows how painful it is to lose a dependable team member. It’s hard to quantify the value of continuity and employee morale at restaurants, but there’s data that suggests that employers spend up to 400% of an employee’s salary in turnover costs to fill the position.

This varies by industry, but restaurants are definitely not immune to this challenge. Recruiting, onboarding, training, scheduling, and supervising new employees are all part of backfilling a position. 

Separately, you may not even know if a new employee is able to perform at or above the level of the person they replaced until 4-6 weeks after they start. That’s how long it takes an average employee to get in the swing of things and become really productive.

This puts into perspective how crucial the employee experience is. Keeping your best employees really is the most profitable thing that a restaurant owner can do. 

Keeping Restaurant Staff Happy Doesn’t Take A Lot Of Time

Restaurant owners or managers may think that building morale among their staff requires a lot of hand-holding and one-on-one conversations. 

That’s not the case, though. Lack of transparency and lack of objective feedback are two of the leading causes of employee churn in restaurants. When people don’t know what is going on, and when they feel like they’re being judged by superficial measures, it causes anxiety. They don’t know what the real story is, and they don’t have clear feedback on what success looks like. 

We built Axial to help us combat these issues inside our restaurants, and no single thing has had a better return on investment. Our product allows for better conversations between service staff and managers because there’s actual data that forms the basis of their discussions.

And sharing data has been a game-changer for restaurant staff who previously could only grade themselves based on tips and customer feedback.

Axial streamlines the collection, reporting, and visualization of existing restaurant data, and our app gives employees easy access to this information in a format that helps them understand their own performance relative to the team.

It’s still important for restaurant managers to check in with their staff on a regular basis. But there’s way less pressure and anxiety, and these conversations are much more productive, when restaurant staff no longer feel like they’re in the dark.

To start a free trial, to schedule a demo, or to learn more, register at https://app.axialcommerce.com/register or contact us by clicking here.


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