Podcast Summary: "Finding, Keeping, and Managing Great Employees with TimeForge CEO"

Podcast Information:

• Title: RESTAURANT STRATEGY
• Host: Chip Klose
• Episode: Finding, Keeping, and Managing Great Employees with TimeForge CEO
• Release Date: April 7, 2025

Introduction

In this episode of the Restaurant Strategy podcast, host Chip Klose delves into the critical topic of labor management within the restaurant industry. The focus is on strategies to find, retain, and manage exceptional employees to enhance profitability. Chip welcomes Anthony Presley, the CEO of Time Forge, a leading labor management solution tailored for the restaurant sector. Their conversation centers around the evolving challenges in workforce management and how Time Forge's innovative solutions address these issues.

Labor Challenges in the Restaurant Industry

Chip opens the discussion by highlighting the fundamental controllables in restaurant business: revenue, cost of goods sold (COGS), and labor. Managing these effectively is pivotal for running a profitable establishment. He emphasizes the high costs associated with employee churn and the necessity of maintaining a stable and motivated workforce.

Anthony Presley concurs, elaborating on the widespread issue of high turnover rates across various industries, including restaurants, grocery stores, and convenience stores. He notes, “We’re seeing this common thread of how do we retain these workers, how do we keep them happy?” (08:58).

Impact of COVID and the Gig Economy

The conversation turns to the profound changes brought about by the COVID-19 pandemic and the rise of the gig economy. Anthony explains how the pandemic has reshaped expectations among hourly workers, making them more inclined towards flexible, short-term gigs over traditional full-time roles. He states, “They can walk right out the door, open up their phone, click, I want to work for another gig economy and go put in four or five hours and get paid before they get home” (08:58).

Chip echoes this sentiment, discussing generational shifts in work preferences. He shares his perspective, “if I can make $100,000 by putting one YouTube video up every week, yeah, that sounds like a really good job to me” (10:57). This highlights the growing allure of unconventional income streams over traditional employment.

Time Forge’s Solutions for Recruitment and Retention

Anthony introduces Time Forge's multifaceted approach to labor management, emphasizing its comprehensive features designed to streamline scheduling, recruitment, and employee engagement. He outlines several key functionalities:

1. Automated Scheduling: Utilizing AI to create schedules based on sales forecasts, weather, and local events.
2. Real-Time Labor Tracking: Monitoring attendance and labor costs to comply with labor laws and optimize staffing.
3. Localized Recruitment: Access to over 11 million hourly job seekers, enabling restaurants to find candidates nearby.
4. Daily Wage Payments: Facilitating daily payments of wages and tips to employees, enhancing job satisfaction.
5. Proactive Communication: Tools for messaging and surveying staff to maintain engagement and address concerns.

Anthony explains, “We have developed 42 different forecasting algorithms that get deployed to every store and every department because there are so many different variations” (34:45). This sophisticated approach allows restaurants to tailor their labor strategies to specific needs, thereby reducing inefficiencies and improving employee satisfaction.

Predictive Analytics and Forecasting

A significant portion of the discussion focuses on Time Forge’s predictive analytics capabilities. Anthony delineates the complexities involved in forecasting revenue, which directly influences labor and COGS. He describes their system as a competitive “BattleBots” environment where multiple algorithms vie to deliver the most accurate forecasts for each store and department (39:53).

Chip ties this into his broader strategy for profitability, underscoring the importance of accurate forecasting in setting budgets and achieving targeted profit margins. He articulates, “If we can be right more often than we’re wrong, then we can get much better at our budgets, and it just guarantees a consistent profit number at the end of every period” (34:45).

Effective Job Listings and Marketing to Employees

Chip and Anthony discuss the often-overlooked aspect of marketing to potential employees. Chip criticizes traditional job listings for their lack of engagement, recommending a more dynamic approach that highlights the benefits and culture of the workplace. He cites the Ritz Carlton case study, where effective marketing of global transfer opportunities significantly reduced turnover (13:14).

Anthony adds, “Putting the dollars like it’s. It’s okay to weed some people out right at the beginning” (18:56), emphasizing the necessity of clear and attractive job postings to attract the right candidates and minimize mismatches that lead to high turnover.

Final Insights and Advice

As the conversation concludes, Anthony offers strategic advice for restaurant owners:

1. Challenge Existing Processes: Re-evaluate longstanding practices to ensure they meet current workforce expectations. “Just because you’ve always done it a certain way doesn’t mean that that’s how you need to keep doing it” (44:23).
2. Prioritize Training: Continuous training is essential to align employee expectations and performance. “The right time to train people is right now” (44:23).

Chip reiterates the overarching theme of the episode, emphasizing that profitable restaurants depend on meticulous management of labor through predictive analytics and effective employee engagement strategies.

Conclusion

Chip wraps up the episode by thanking Anthony for his valuable insights and encourages listeners to explore Time Forge for enhancing their labor management practices. He underscores the importance of accurate forecasting and proactive employee management in achieving consistent profitability.

Anthony provides his final thoughts, urging restaurant owners to embrace change and invest in training to foster a stable and motivated workforce: “start there. And the other thing I would say is that training is hard. Training is always hard to train your staff, and there’s never enough time to train people, and it’s never the right time to train people” (44:23).

Listeners are encouraged to visit TimeForge.com to learn more about the solutions discussed and implement strategies to improve their restaurant’s profitability through effective labor management.

Notable Quotes:

• Anthony Presley (08:58): “They can walk right out the door, open up their phone, click, I want to work for another gig economy and go put in four or five hours and get paid before they get home.”

• Chip Close (10:57): “If I can make $100,000 by putting one YouTube video up every week, yeah, that sounds like a really good job to me.”

• Anthony Presley (34:45): “We have developed 42 different forecasting algorithms that get deployed to every store and every department because there are so many different variations.”

• Chip Close (34:45): “If we can be right more often than we’re wrong, then we can get much better at our budgets, and it just guarantees a consistent profit number at the end of every period.”

• Anthony Presley (44:23): “Just because you’ve always done it a certain way doesn’t mean that that’s how you need to keep doing it.”

• Anthony Presley (44:23): “The right time to train people is right now.”

Learn More:

For restaurant owners seeking to enhance their labor management strategies, TimeForge.com offers comprehensive solutions designed to streamline operations and improve employee retention. Implementing advanced predictive analytics and user-friendly scheduling tools can be pivotal in achieving sustained profitability and operational excellence.