Podcast Summary: Restaurant Strategy – “Better Hiring Practices for Our Restaurants”

Episode Overview In the February 17, 2025 episode of Restaurant Strategy, host Chip Klose delves into the critical subject of hiring practices within the restaurant industry. Recognizing that restaurants are fundamentally people-centric businesses, Chip provides actionable strategies for independent restaurant owners to enhance their hiring processes, ultimately driving profitability and fostering a thriving work environment.

1. The Importance of Effective Hiring in Restaurants

Chip opens the episode by emphasizing the pivotal role that employees play in the success of a restaurant. He states:

“Our people matter a great deal. Who we hire, how we hire them, how we teach them to take care of people the way that we want them taken care of.” [02:30]

He underscores that payroll is often the largest expense in a restaurant’s P&L statement, highlighting the necessity of deliberate and intentional hiring practices to ensure both operational efficiency and superior customer service.

2. Seven Key Strategies for Better Hiring Practices

Chip outlines seven comprehensive strategies designed to transform hiring processes, making them more effective and aligned with the unique needs of the restaurant industry.

a. Crafting Compelling Job Listings

“Do not make your job listing look like a boring old job listing like all the other jobs out there.” [10:15]

Chip advises restaurant owners to differentiate their job postings from the plethora of generic listings. Instead of following the conventional format laden with extensive requirements and responsibilities, he suggests leading with what’s in it for the potential employee. By highlighting unique benefits and the vibrant work culture, restaurants can attract more enthusiastic and suitable candidates.

Action Steps:

• Start listings with top reasons why someone would love working at your restaurant.
• Be transparent about both the positives and the challenges of the role.
• Avoid the standard corporate jargon to make listings more relatable and engaging.

b. Expanding Promotion Channels

“Promote your job openings in more places. Don't just put them on the job listings board… use social media, use email, use in-store collateral.” [15:45]

Chip emphasizes the importance of utilizing multiple platforms to advertise job openings. By leveraging in-store signage, social media, and email campaigns, restaurants can reach a broader and more diverse pool of candidates who are already familiar with and passionate about their brand.

Action Steps:

• Display job flyers and signs within the restaurant premises.
• Share job postings on social media platforms and through email newsletters.
• Encourage current employees to refer potential candidates.

c. Promptly Engaging Good Leads

“Do not respond via email. It's easy and it's lazy and you will lose the very best candidates.” [20:10]

Chip criticizes the common practice of handling applications solely through emails, advocating for a more proactive approach. He recommends reaching out to promising candidates via phone calls to establish a personal connection and swiftly move them through the hiring pipeline.

Action Steps:

• Call candidates immediately after receiving their resumes.
• Follow up with an email summarizing the conversation and next steps.
• Aim to schedule interviews promptly to maintain candidate interest.

d. Eliminating Formal Interviews for Entry-Level Positions

“Scrap interviews, just have them come in for an observation trial.” [25:30]

For hourly and line-level positions, Chip advises against traditional, lengthy interviews. Instead, he suggests inviting candidates to observe and participate in a few hours of restaurant operations. This hands-on approach allows employers to assess candidates’ suitability in real-time and provides candidates with a genuine feel for the workplace environment.

Action Steps:

• Invite candidates to shadow current employees during a busy shift.
• Use the observation period to evaluate candidates’ interactions and work ethic.
• Provide immediate feedback and discuss potential next steps post-observation.

e. Streamlining the Interview Process for Managers

“For managers, you will need a formal interview to understand where they came from, how they were trained, how they think.” [35:00]

While advocating for minimal interviews for entry-level roles, Chip acknowledges the necessity of thorough interviews for managerial positions. He stresses the importance of assessing not only the candidates’ qualifications but also their alignment with the restaurant’s values and their ability to lead and inspire a team.

Action Steps:

• Conduct structured interviews focusing on leadership experience and problem-solving skills.
• Discuss the restaurant’s vision and assess the candidate’s commitment to it.
• Evaluate managers’ capacity to foster a positive work culture and drive team performance.

f. Focusing on Present and Future in Conversations

“Focus all your questions on the present and the future rather than on the past.” [40:20]

Chip advises shifting the focus of interactions with candidates from their past experiences to their future aspirations and current motivations. This positive framing encourages constructive dialogue and helps identify candidates who are forward-thinking and motivated to grow within the organization.

Action Steps:

• Ask candidates about their career goals and what they seek in their next role.
• Inquire about how they envision contributing to the restaurant’s success.
• Avoid questions that dwell on negative past experiences unless absolutely necessary.

g. Continuously Leveling Up Your Team

“You should be interviewing for every position every single week. That's how you ensure you don’t miss out on all-stars when they're looking for a job.” [50:45]

Drawing inspiration from Jack Welch’s hiring philosophy, Chip encourages maintaining a constant recruitment pipeline. By regularly interviewing potential candidates, restaurant owners can swiftly integrate top talent into their teams, replacing underperformers and continuously enhancing the overall workforce quality.

Action Steps:

• Schedule regular interview sessions regardless of current staffing needs.
• Build a talent pool or "filing cabinet" of standout candidates for future openings.
• Foster a competitive and high-performance culture by consistently seeking and integrating exceptional employees.

3. Concluding Insights

Chip wraps up the episode by reiterating the significance of refining hiring practices to build a cohesive and efficient team. He emphasizes that effective hiring is not just about filling positions but about strategically enhancing the restaurant’s operational excellence and customer experience.

“These seven points will help you make a better restaurant, will level up your team.” [58:30]

He encourages listeners to implement these strategies diligently, assuring that such efforts will lead to a more profitable and harmonious restaurant environment.

Final Thoughts

This episode of Restaurant Strategy offers invaluable insights for restaurant owners striving to optimize their hiring processes. By adopting Chip Klose’s seven strategies, restaurateurs can attract quality candidates, reduce turnover, and cultivate a dedicated team that drives sustained profitability and success.

Notable Quotes:

• “Our people matter a great deal. Who we hire, how we hire them, how we teach them to take care of people the way that we want them taken care of.” – Chip Klose [02:30]
• “Do not make your job listing look like a boring old job listing like all the other jobs out there.” – Chip Klose [10:15]
• “Promote your job openings in more places. Don't just put them on the job listings board… use social media, use email, use in-store collateral.” – Chip Klose [15:45]
• “Do not respond via email. It's easy and it's lazy and you will lose the very best candidates.” – Chip Klose [20:10]
• “Scrap interviews, just have them come in for an observation trial.” – Chip Klose [25:30]
• “Focus all your questions on the present and the future rather than on the past.” – Chip Klose [40:20]
• “You should be interviewing for every position every single week. That's how you ensure you don’t miss out on all-stars when they're looking for a job.” – Chip Klose [50:45]
• “These seven points will help you make a better restaurant, will level up your team.” – Chip Klose [58:30]

Actionable Takeaways:

1. Revamp Job Listings: Make them engaging and reflective of your restaurant’s unique culture.
2. Diversify Promotion Channels: Utilize multiple platforms to reach a wider audience.
3. Engage Promptly with Candidates: Establish personal connections through phone calls.
4. Adopt Observation Trials: Practical assessments over traditional interviews for entry-level roles.
5. Conduct Thorough Interviews for Managers: Focus on leadership qualities and cultural fit.
6. Positive Conversational Focus: Emphasize candidates’ future goals and present motivations.
7. Maintain a Continuous Hiring Pipeline: Regularly interview to integrate top talent seamlessly.

By integrating these strategies, restaurant owners can significantly enhance their hiring processes, ensuring they build a team that not only meets operational needs but also contributes to a dynamic and profitable business environment.