Hospitality and Restaurant Management Leaders Facilitate the Planning Process 2 OH 2-1

Chapter Learning Objectives Explain basic principles of planning, with an emphasis on how employees can assist, and procedures useful in managing planning information. Describe how a value statement, vision statement, and mission statement are developed and implemented. State the importance of SMART goals in the planning process. Review procedures for conducting a SWOT analysis. Instructor’s Notes

Chapter Learning Objectives Identify how restaurant and foodservice managers use long-range, business plans, marketing plans, and operating budgets and explain the relationship among these planning tools. Explain the need to consider employees’ abilities and to use an organized process in implementing effective plans. Instructor’s Notes

Planning - Revisited Let’s review the case study on page 35 Good leaders have loyal staff because they have involved them in the planning process A formal planning process is needed All information required must be available Planning must be done at the right organizational level Necessary resources must be committed to the process Instructor’s Notes

Setting the Right Course Core Values Are a company’s key elements of operation Serve as a foundation for developing a vision statement and mission statement Drive value statements—the standards by which an organization operates Instructor’s Notes

Setting the Right Course, cont. What do I Value? Looking at the list provided (or adding any as you wish), Identify your top TEN Big Rocks Compare each against each other to identify your Top 5 Big Rocks Instructor’s Notes

Creating a Vision Describes what an organization wants to become and why it exists Is driven by its value statements Instructor’s Notes

Mission Statement Refines the vision statement through stating the purpose of the organization by communicating goals to its employees and customers Provides a source of accountability for the organization Instructor’s Notes

FLOW OF VALUES TO GOALS Instructor’s Notes

Creating Vision and Mission Statements Consider core values. Seek input from stakeholders. Write a draft of the vision statement and mission statement. Review with stakeholders. Distribute copies of final documents. Reinforce them as a reminder of “Why employees work for the organization.” http://www.businessethicsalliance.org/products-and- services/organizational-ethics-course/ Instructor’s Notes

Personal Mission Statement If you don’t set your goals based upon your Mission Statement, you may be climbing the ladder of success only to realize, when you get to the top, You’re on the WRONG BUILDING! ~ Stephen Covey 7 Habits of Highly Effective People Instructor’s Notes:

Personal Mission Statement, cont. Step 1- Identify an Influential Person in Your Life Who has been one of the most influential people in your life? Which qualities do you most admire in that person? What qualities have you gained (or desire to gain) from that person?

Personal Mission Statement, cont. Step 2- Define what you want to be, and do, and have What do you want to be What would you like to do What would you like to have

Personal Mission Statement, cont. Step 3- Define your Life Roles Define up to 7 life roles. For each role project yourself forward in time and write a brief statement of how you would most like to be described in that role. Role Statement

Personal Mission Statement, cont. Step 4- Draft your Personal Mission Statement Reflecting on your values (Big Rocks), life roles, what you want to be and do create a rough draft of your own Personal Mission Statement. Take this with you to continue to further refine, add to, delete, etc.

Personal Mission Statement, cont. Step 5- Evaluate Continue to review and evaluate your draft mission statement and ask yourself some questions: Does this represent the best that is within me? Do I feel direction, purpose, challenge and motivation when I review this statement? Am I aware of the strategies and skills that will help me accomplish what I have written? What do I need to start doing now to be where I want to be tomorrow?

Personal Mission Statement, cont. Step 6- Write a Permanent Draft Keep the rough draft for awhile to revise and evaluate. Once you do have a permanent mission statement review it often until it becomes committed to memory and you can set goals and make decisions with that clarity.

Implement Vision and Mission Statements Begin during orientation. Be sure that training materials emphasize the statements. Post for all staff to see. Document in employee handbooks. Discuss at employee meetings. Another example: Chapter 2 resources\FNS Mission and Goals.jpg Instructor’s Notes

Implement Vision and Mission Statements continued Instructor’s Notes

Goals What are goals and why are they important? Statements of desired results Goals are like taking a trip-you need a map, a driver and a destination Without goals, an organization would not know if it achieved preferred situations. Instructor’s Notes

Goals Think about what you want to accomplish: today tomorrow the rest of your life personally and in your career Establish long range and short term plans

Purposes of Goals Provide direction Provide milestones Divide activities into smaller parts Clarify employee roles Motivate and challenge employees Instructor’s Notes

Sequence of Planning Tools Instructor’s Notes

Focus on Goals Instructor’s Notes

Level of Goals in an Organization Instructor’s Notes Chapter 2 resources\FNS Goals and Strategies.jpg

SMART Goals and Objectives Specific—to communicate what is expected Measurable—quantifiable Achievable—realistic Relevant—to the vision and mission Time bound—specific dates for accomplishment Instructor’s Notes

SWOT Analysis A method to identify important goals by analyzing Strengths Weaknesses Opportunities Threats Instructor’s Notes

Other considerations Long- Range Plan – 3 to 5 year goals and activities to move operation toward mission.

Other considerations, cont. Business Plan – 12 month goals and activities to move operation toward mission. Breaks down long- range plan into parts to achieve within 12 months

Other considerations, cont. Marketing Plan – 12 month - Specific activities designed to meet the revenue goals of the operation Activities designed to attract, retain and expand the customer base Operating Budget – Annual plan on expected revenue, associated expenses and resulting profit. Outlined on an income statement and actual results are compared monthly (or weekly) against the plan.

Putting it all Together

Can Teams and Individuals Contribute to Goals? What are their current skills and knowledge? How well can teams work together? How much accountability should they have? How responsive are they to change? Instructor’s Notes

Team objectives All members of a team working together to accomplish a common goal: A manager challenges the waitstaff to increase total appetizer sales by 10%. This is an example of a team objective to accomplish a team goal! Instructor’s Notes

CONTRIBUTING TO ORGANIZATIONAL GOALS These staff members are working on a project to help the restaurant. Instructor’s Notes

Achieving Goals Step 1 – Planning Consider goals that are critical. Each goal is a project with specific activities (steps) to be completed. Consider task due dates, follow-up activities, responsibilities and resources required. Determine how the project and its results will be measured (benchmarks). Communicate the plan and goals to the whole team. Chapter 2 resources\FNS Manager CRA and PI's pg 1.jpg Chapter 2 resources\FNS Manager CRA and PI's pg 2.jpg Instructor’s Notes

Achieving Goals continued Step 2 – Implementation This requires monitoring and charting each activity. Goals must be constantly reviewed to ensure plan stays on track. Continue to communicate progress to team. Revise and update as necessary Instructor’s Notes

Achieving Goals continued Step 3 – Evaluate the Plan Since SMART goals are used, they can be measured. Results can be analyzed and compared to the goals. Communicate success. De-brief. Celebrate………………………….. Instructor’s Notes

Celebrate Success Recognize teams during staff meetings. Thank individuals during performance reviews. Be creative in considering ways to celebrate and recognize successes. Instructor’s Notes

Achieving Goals continued Step 4 – Apply the Results Ensure employees know about changes implemented. Plan how changes will be announced. Provide feedback immediately and regularly. Support changes and be a ROLE MODEL. Instructor’s Notes

Additional thoughts…………. Productivity Pyramid from Stephen Covey Another quote………… Seven Habits Profile Chapter 2 resources\7_habits_profile.pdf Because.. Failing to Plan IS Planning to Fail… I’m too busy……………

How Would You Answer the Following Questions? Which of the following is a SMART goal? We will decrease employee accident rates. The entry-level employee turnover rate will decrease by 20% during the next 6 months. The first step in the process to achieve goals is ______. Instructor’s Notes

Key Term Review Accountability Benchmark Departmental objectives Goal Individual performance objectives Instructor’s Notes Accountability—degree of responsibility an individual has for an activity Benchmark—standard by which something can be measured or judged Departmental objectives—objectives that link to the organizational goals and help produce the desired outcomes Goal—statement of desired results Individual performance objectives—objectives that further refine and divide the organizational goals and departmental objectives into smaller components that focus on an individual’s contribution Indicate that there were additional key terms used in the chapter.

Key Term Review continued Measurable results Objective Organizational goals Strategic priority SWOT analysis Team objectives Instructor’s Notes Measurable results—outcomes that can be assessed by some means within the areas of performance, learning, and perception Objective—specific description or statement of what a manager wants to achieve Organizational goals—goals that focus on broad statements of what the organization as a whole wants to achieve Strategic priorities—select few of the highest concerns of the company that are linked to the company’s vision and that inspire employees to meet them SWOT analysis—tool used to identify strengths and weakness and to examine opportunities and threats that employees face in the organization Team objectives—same as departmental objectives

Chapter Learning Objectives— What Did You Learn? Explain basic principles of planning Describe how a value statement, vision statement, and mission statement are developed and implemented. State the importance of SMART goals in the planning process. Review procedures for conducting a SWOT analysis. Identify how restaurant and foodservice managers use long-range, business plans, marketing plans, and operating budgets and explain the relationship among these planning tools. Explain the need to consider employees’ abilities and to use an organized process in implementing effective plans. Instructor’s Notes