by Bob Gershberg, CEO & Managing Partner, Wray Executive Search
Great leaders understand that their success hinges on the strength and cohesion of their team. They cultivate an environment where each member feels valued, empowered, and motivated to contribute their best. By fostering open communication, trust, and a shared vision, they can bring out the best in each team member and achieve remarkable results collectively. Great leaders build great teams through a combination of strategic vision, effective communication, and a commitment to fostering a positive and inclusive work environment.
Skillful leaders articulate a clear vision for the team and set specific, achievable goals. This gives the team a sense of purpose and direction, aligning their efforts towards a common objective. They carefully select team members who not only have the necessary skills and experience but also complement each other in terms of strengths and personalities. They invest in their team's development, providing training.
Restaurants: A Terrible January Ruined the Q1 Earnings Cycle
by John Gordon, Principal and Founder, Pacific Management Consulting Group
January hits every year but this January was a disaster. I heard as early as the ICR Conference in mid-January that the month was bombing. It grew worse. Q1 was overly affected by January. We do have to pay attention to the month-by-month cadence. Industry SSS improved each month from January, with April at plus .6%
Q1 Highlights
During the Q1 cycle, the first indicator was a weakness at Darden (DRI) with sales misses, downward forecasts, and weakness at Olive Garden and the upper-end brands. Last week, both McDonalds (MCD) and Starbucks (SBUX) reported and missed on the same day.
MCD CEO Chris K said, “Broad-based consumer pressures exist around the world with flat to declining traffic in several global markets.” SBUX was an unexpected crash with the US and China both weak. It shocked Wall Street and we analysts are still talking about it. More on SBUX below.
“The most dangerous leadership myth is that leaders are born-that there is a genetic factor to leadership. This myth asserts that people simply either have certain charismatic qualities or not. That’s nonsense; in fact, the opposite is true. Leaders are made rather than born."
-Warren Bennis
AI Strategy: Key Components to Consider
by Ray Kelley, SVP & Partner, Wray Executive Search
In an era defined by digital transformation and technological innovation, restaurant leaders face unprecedented opportunities and challenges in harnessing the power of artificial intelligence. As the restaurant industry evolves to meet the changing demands and preferences of consumers, AI has emerged as a powerful tool for enhancing operational efficiency, optimizing customer experiences, and unlocking new revenue streams.
Let’s investigate some strategic considerations and best practices for restaurant leaders looking to develop and implement an AI strategy that delivers tangible results and sustainable competitive advantage. From setting clear business objectives, to navigating complex data governance issues, and fostering a culture of innovation, we’ll cover some key components of successful AI adoption and provide actionable insights for restaurant leaders to navigate the evolving landscape of AI-driven business transformation.
Read the latest on restaurant industry employment from the National Restaurant Association
Restaurant employment growth was uneven in recent months
Restaurant job growth slowed in recent months, but the recent uptick in job openings suggests the demand for employees remains solid.
Restaurant employment registered a modest gain in April, according to preliminary data from the Bureau of Labor Statistics (BLS).
Eating and drinking places* added a net 6,600 jobs in April on a seasonally-adjusted basis. That came on the heels of stronger gains in February (25,100) and March (28,500).
Although April represented the third consecutive increase in restaurant jobs, growth was uneven in recent months. On average during the last 6 months, eating and drinking places added less than 8,000 jobs each month. That compares to an average monthly gain of more than 27,000 jobs during the previous 6 months (May 2023 to October 2023).
