Coaching for Long-Term Success: Investing in Your Staff's Growth and Development

Turnover in the restaurant industry has always been significantly higher than in other industries.? With the quit rate in our industry consistently above? 4.5%? since July 2021 and the growing unionization efforts among QSR workers, two realities are becoming clear: the widening loyalty and retention gap can no longer be ignored, and tactical talent investments must become a priority.

But chain restaurants are not the only ones with a challenge. Data shows voluntary resignations at independent establishments and leading F&B companies rose to 5.2% reflecting a 10% jump from the previous year.

The reasons range widely - from burnout to seeking improved work-life balance to simply not feeling invested in. But the impacts remain constant: culture erodes, and budgets swell from growing recruiting bills.

However, purposeful development programs focused on career mobility, and non-monetary staff incentives have demonstrated powerful retention results when implemented effectively.

The True Costs of Churn

When talented employees routinely leave, the impact compounds quickly. The toll includes:

Financial Costs

• Replacing just one salaried employee in the F&B industry can cost a company 6-9 months of the employee’s salary, according to the NRA, factoring in recruitment, onboarding, and lost productivity.
• With a staggering 107% annual turnover rate (Bureau of Labor Statistics), these costs snowball, impacting your bottom line.

Cultural Deterioration

Without career growth, the long-term staff who form the backbone of? your culture become disillusioned —and ultimately leave.?

Investing in employee engagement, development, and empathy training for managers benefits both ethics and business. Effective implementation across all levels is crucial in 2024 and beyond.

Coaching Pays Dividends

The ROI results speak volumes - investing in coaching to nurture staff pays substantial dividends over time. One Fortune 500 firm saw its executive coaching initiative alone drive a 529% return. And factoring in boosted retention, that skyrocketed to a staggering 788% ROI.

“Coaching helps people see the best in themselves and unlock their potential,” explained Danny Meyer, CEO of hospitality leader Union Square Group. His exceptional staff investments drive higher retention, engagement, and advancement rates company-wide.

Personalized coaching delivers an emotional ROI beyond pure dollars – employees feel valued, understood, and heard when offered career mobility mentoring and communication skill building. Engaging employees actively reduces turnover.

Committing to a Caring Culture

How do you know staff feel undervalued? Here are a few symptoms:

• Growing policy violations
• Lackluster progress on team engagement surveys
• Rampant resentment or apathy internally

True loyalty starts from the top down. Are your managers actively trained in empathy skills or coaching techniques? Have you built cross-department mentors? The effort here matters.

Look at Zingerman's — their training programs are concrete models worth emulating. 'Training Passports' systematically develop staff skills - both technical and cultural.?

The 'University of Zingerman’s'? incentivizes self-study through compensation and rewards. And Staff Scholarships fund external learning opportunities. Targeted development strengthens culture and retention.

Transitioning to a company ethos that proactively nurtures employees requires cross-functional buy-in and accountable follow-through. Here are manageable starting points:

Assessing Needs

• Survey managers on current staff development blockers/needs
• Review recent engagement data for priority gaps
• Create a channel for confidential feedback

Customizing Support

• Build internal mentors across tenures/levels
• Offer managers bite-sized empathy/coaching content weekly
• Spotlight peer success stories from staff on the rise

Reinforcing Progress

• Keep senior leaders visible in culture initiatives
• Celebrate small staff milestones publicly
• Sustain focus on strengthening manager/staff partnership

While large-scale initiatives make splashy PR, real culture flows from hundreds of consistent actions centered on support. Piecemeal programs won't cut it. What's required is pedal-down, organization-wide dedication to understanding needs, meeting people where they are, and publicly demonstrating loyalty.