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Apologies to Ray Kroc - I Do Not Think He Visualized This!

By
Industry Observer with Vacant Land Solutions NMLS #241036

When someone is trying to passionately describe their real estate company's marketing opportunity, small business franchise, or Multi-level plan, the most frequently used words when they are trying to impress you or make their point are: "Turn Key McDonald's System".

Why?

Because McDonald's "Hamburger University" has become synonymous with having the most efficient, profitable, operational system in the world, thanks to Ray Kroc, a restaurant supply salesman, who bought the first restaurant and marketing rights from the McDonald brothers and promptly set out to create a system, whereby all McDonalds Restaurants, from Charleston South Carolina to Los Angeles, California followed explicit, written guidelines that were so simple that 16 year old high school kids could read, learn, and execute to a level of quality that enabled them to be the yardstick by which all other American success stories are measured.

I am probably one of the biggest fans of "The McDonald's System;" I've spent thousands of dollars over the years "testing" the quality of their products.

I have had a couple of my children that have worked in the "System" and have been fortunate to have hired several former McDonald managers that were previously recruited and trained by McDonalds to run their "System"; these former McDonald Managers were conscientious, disciplined, hard working, loyal and did an excellent job for us. They were products of the "System."

For many years, as a "Business Development Consultant", in seminars, meetings, and talks, I was guilty of expounding to hundreds of clients on "How you would be 10X more effective if you had a "System" like McDonalds." I believed that every person that is self-employed as a Realtor, Appraiser, Home Inspector, Investor needs a "System" or else they will very likely end up being part of the 95% of businesses that fail in the first two years!

But, I was WRONG-It's not the "Systems"-It's the "System Operator" that can make or break you!

Stay with me while I explain: Earlier this morning, I strolled into my local neighborhood McDonalds with my 4 grandchildren (Ethan, Gracie, Isa, & Kaleb) to kick off "Spend the day with Granddady" and came face-to-face with a lobby full of hungry, frustrated customers.

The place was in total chaos!

I counted a total of 17 employees behind the counters, which should have been more than enough to handle the morning breakfast rush but the problem was the two clerks taking the food orders and operating the cash registers; they would start taking someone's order, then abruptly stop right in the middle of the order whenever a previous customer would return to the counter demanding condiments and complain of something that was wrong with their order - the register operator/cashier would then stop right in the middle of taking someone's order and into the back of the restaurant, stop and chat with a co-worker, check his text messages , etc for long periods before finally returning with cups, syrup, butter, etc ; in the meantime, no one was getting their food.

After waiting in line for 22 minutes, we had just given half of our order when the cashier abruptly turned and disappeared; when he finally returned, I asked was he going to finish taking our order and he responded by saying that "I am going to help the other cashier complete his orders?"

The people in the line next to me shook their heads in amazement; how about just finish my order and then close your register and help out the other overwhelmed cashier? What about the 8-9 customers behind me who were angrily walking out in disbelief and disgust once they realized that they were standing in a line that was going nowhere; the breakfast crew manager was completely oblivious, talking on her cell phone. WOW!

So, as I herded my hungry grandbabies back into the car, explaining that there would be no "Happy Meals" this morning and maybe never again, as far as I was concerned, when all of a sudden, I wondered:  

Was this the way Ray Kroc visualized his famous "Turn Key System" operating?

I doubt it.

Could it be that the "System" still worked, but it required different operators?    

When Ray Kroc started developed and tested his "McDonald's System" back in the 50's, 60's, & 70's things were a little different; back then, the working public wanted to work; they wanted to get ahead. The working public in 2008 is a lot different than it was 50 years ago! If you do not think so, think back to the last time that you tried to hire someone to perform a service for you; were they on time? Did they do what they promised? Did they perform  up to your level of expectations and satisfaction?

As Jim Nabors/Gomer Pyle U.S.M.C. use to say, "SHAZAM!"       

I realized right then and there before we pulled out of the McDonald's parking lot and drove into a competitor's driveway next door (which gave us great service and we had our food within 10 minutes!) the unpleasant experience that almost spoiled our morning was not because of a "System" failure -It was because of the "System Operators"

Who operates your "System"?

I'm can almost guarantee that the owners of the McDonalds that my grandchildren & I visited, have invested hundreds of thousands of hours (and dollar$) for their "Turn Key System" and will probably never know that they lost thousands of dollars of advertising, goodwill, and future profits this morning, simply because the most important "Part of the System" failed! The people carrying out the execution of the "System" did not/could not operate it as it was designed to.

Who is operating your "System"?

Thanks to my memorable breakfast experience, I have reviewed my own "System" this afternoon and found a couple of weak "Operators" that have not been performing as effectively and efficiently as I visualized when I created my system. I have made adjustments so that we can operate more profitably in today's economy.

Check your system.

Check the "Operators" running your system.  

Is there a "weak link"?

Evaluate them. (Don't be surprised like my local franchise owners when their profits disappear)

Make sure that they are operating it to it's maximum capability.

I appreciate you!

Comments(2)

Pam Jank
Coldwell Banker Schneidmiller Realty - Coeur d'Alene, ID
Your Coeur d'Alene & North Idaho Real Estate Pro

Coeur d'Alene, Idaho - City by the LakeBobby, Great Blog!  I have always believed that a business is only as good as its Management.  As a Realtor... I am the Management and if I don't give great service.... I won't have a business!

Also, thanks for commenting on my Post!

Oct 05, 2008 08:19 AM
JoEllen Stranger-Thorsen
Eustis, FL
Lake County, FL

The work ethic of many "system operators" seems to be out of whack and heading towards the drain.  Clients/ customers will easily move onto the next option when they have a bad experience and when they are gone they are gone.

Oct 05, 2008 12:58 PM