Managing Employees in Foodservice Operations

David K. Hayes, PhD, has taught hospitality courses at Purdue University, Texas Tech University, The University of Houston, and Lansing Community College. He has served as the Vice President of Broadcast and Video Training for the American Hotel & Lodging Educational Institute. Jack D. Ninemeier, PhD, is an Emeritus Professor in the School of Hospitality Business at Michigan State University. He has many years’ experience developing and providing training and resource materials for commercial and non-commercial foodservice operations. He has also written several hundred articles for trade journals and created numerous training monographs. Part of Wiley’s Foodservice Operations: The Essentials series.

Preface ix

Acknowledgments xv

Dedication xvii

1 Leading the Foodservice Team 1

Foodservice Operators as Leaders 2

Serving Guests and Employees 5

Leadership Styles 6

Mission Statements and Core Values 10

Important Leadership Practices 12

Act the Way Employees Should Act 12

Share Mission Statement and Core Values with Staff Members 13

Challenge Existing Processes and Procedures 13

Enable Employees with Trust and Delegation 14

Show Appreciation for Individual Excellence 14

Special Concerns of Foodservice Leaders 15

Employee Empowerment 15

Employee Team Development 17

Benefits of Effective Teamwork 18

Characteristics of Effective Team Leaders 19

Cross-Functional and Self-directed Work Teams 19

Ethics 20

2 Legal Aspects of Employee Management 26

Understanding Employment Law 27

Federal Laws Affecting Employee Management 30

Pre-1964 Federal Employment Legislation 31

Post-1964 Federal Employment Legislation 33

State Laws Affecting Employee Management 41

Local Laws and Ordinances Affecting Employee Management 43

3 Workplace Health and Safety 48

The Importance of Protecting Team Members 49

Legal Aspects of Employee Protection 50

Financial Aspects of Employee Protection 50

Creating a Healthy Workplace 52

Employee Assistance Programs 53

Employee Wellness Programs 54

Maintaining a Safe Workplace 54

The Occupational Safety and Health Administration (OSHA) 55

Safety Planning 59

Maintaining a Secure Workplace 62

Preventing Harassment 62

Preventing Workplace Violence 67

4 Developing Policies and Procedures 73

Creating Policies and Procedures 74

Policy and Procedure Development 75

Key Areas of Policy and Procedure Development 76

Steps in Employee Policy and Procedure Development 82

Reviewing for Legal Compliance 84

Employee Handbooks 88

Recordkeeping Requirements 91

5 Recruiting and Retaining Team Members 98

Job Design and Job Creation 99

The Impact of Job Design 100

Effectively Designing and Creating Jobs 102

Recruiting Team Members 109

Internal Recruiting 111

Traditional External Recruitment Methods 112

Internet-based External Recruitment Methods 114

Recruitment of Diverse Team Members 115

Retaining Team Members 117

6 Interviewing and Selecting Team Members 122

Choosing Valuable Team Members 123

Applications 124

Interviews 126

Pre-employment Testing 132

Background Checks and References 133

Negligent Hiring 136

Making Job Offers 136

Required Documentation for New Team Members 138

Form I-9 (Federal Form) 138

Form W-4 (Federal Form) 139

State and Local Tax Forms 140

7 Orienting and Onboarding New Team Members 144

Importance of New Team Member Adaptation 145

The Adaptation Process 146

Steps in the Adaptation Process 147

Formal Orientation Programs 149

The Goals of Orientation Programs 150

The Impact of Orientation Programs on New Team Members 151

The Impact of Orientation Programs on Existing Team Members 152

The Impact of Orientation Programs on Guests 152

Key Elements of Orientation Programs 152

Compliance with Government Regulations 153

Communication of the Operation’s Mission and Culture 153

Communication of All Employee Benefits 154

Communication of Critical Policies 154

Introduction to the Operation and Other Team Members 158

Detailed Explanation of the New Team Member’s Job Duties 158

Documentation 158

Successful Onboarding of New Team Members 161

8 Planning for Employee Training 166

The Importance of Training 167

Benefits of Training 168

Training Obstacles and Myths 169

Training Principles 172

Characteristics of Effective Trainers 177

Steps in Creating Effective Training Programs 179

Step 1: Identify Training Needs 180

Step 2: Develop Training Objectives 182

Step 3: Develop Training Plans 184

Step 4: Create Training Lessons 185

Step 5: Develop (and Up-date) Training Handbooks 186

Technology and User-Generated Content (UGC) Scores 188

9 Delivering and Evaluating Training 194

On-Job Training 195

On-Job Training Steps 198

Step 1: Preparation 198

Step 2: Presentation 199

Step 3: Practice and Demonstration 201

Step 4: Coaching 202

Other Individual Training Methods 203

Group Training 206

Preparing for Group Training 207

Delivering Group Training 208

Special Training Considerations 210

Evaluating Training Efforts 212

Evaluation Before Training 215

Evaluation During Training 216

Evaluation After Training 216

10 Compensating and Scheduling Staff 222

The Importance of Compensation 223

The Business Owner’s View of Compensation 224

The Foodservice Operator’s View of Compensation 225

The Staff Member’s View of Compensation 226

Compensation of Team Members 230

Legal Aspects of Compensation 231

Payment of Salaries 231

Payment of Hourly Wages 233

Compensation of Tipped Employees 233

Benefit Payments 236

Scheduling Team Members 241

Legal Aspects of Scheduling 242

Schedule Development and Distribution 243

11 Appraising and Managing Staff 250

Performance Appraisal Programs 251

The Importance of Regular Performance Appraisal 252

The Characteristics of Effective Performance Appraisal 254

Benefits of Performance Appraisal Programs 255

Popular Performance Appraisal Methods 257

Absolute Standards 257

Relative Standards 259

Targeted Outcomes 260

Progressive Discipline Programs 262

Documented Oral Warning 264

Written Warning 264

Suspension 265

Dismissal 266

Staff Separation 267

Voluntary Separation 268

Involuntary Separation 268

Exit Interviews 271

12 Managing Labor- Related Costs 276

The Importance of Labor Cost Control 277

Factors Affecting Total Labor Costs 278

Total Labor Costs Reported on the Income Statement 283

Managing and Controlling Total Labor Costs 289

Types of Labor Costs 290

Controlling Total Labor Costs 290

Assessment of Total Labor Costs 294

Sales per Labor Hour 296

Labor Dollars per Guest Served 297

Labor Cost Percentage 298

Glossary G-1

Index I-1