Restaurant Executive: Adrien Desbaillets, President SaladStop!

Posted on June 1, 2015 by Stephen Jagger

As part of a new series on this blog [Retail / Restaurant Executive] we will be interviewing restaurant and retail executives from all over the world to gain insight and perspective into how they make their decisions, grow their businesses and deal with challenges.

Adrien of SaladStop Today is Adrien Desbaillets the President at SaladStop!

Q. When and why did you start Salad Stop?

We started SaladStop! In November 2009 and our motto is “Eat Wide Awake”. Simply put we want to change the way people think about their food.

Q. What is your background? (restaurants? or you figured it out as you went?)

I grew up in the hotel industry as my father spent many years with InterContinental and Shangri-La so I guess that it must be in the blood! We travelled around the world and some of my fondest childhood memories are in the back of a hotel kitchen. I graduated from the School of Hotel Administration at Cornell University and continued as a consultant in the hospitality sector. I most recently worked for Kingdom Hotel Investments, spearheading all investment opportunities for the group in China. I moved back to Singapore during the financial crisis and we decided that we want to bring something fresh and healthy to Singapore. No one was presenting salads the way we were.

Q. How many locations do you have?

We have 12 in Singapore and we just opened our second location a few weeks ago in the Philippines at Rockwell and are scheduled to open a few more locations by the end of the year there.

Q. How do you choose a location?

We choose our locations based on a multitude of factors but most importantly, we need high volume areas with a strong concentration of office buildings. SaladStop! is still mainly a lunch concept and we rely a lot on strong office demand.

Q. Will you ever take a sub-par location, if it is in an area you want to be in? or will you wait for the right spot?

We generally will never consider a sub-par location but have opened locations in new developments which might take a longer time to mature. These locations take a long-term view but can also give us a first mover advantage. Otherwise, we will wait for the right spot and market conditions.

Q. How big is a standard location? What have you learned about location size?

Our standard locations vary between 500 – 800 square feet. We have learned that our locations can be smaller with the support of a centralized kitchen and efficient spacial planning.

Q. Does a corner location matter?

A corner location is preferrable but visibility, accessibility and traffic are more important. A strong corner location is a bonus but we generally don’t consider this as a criteria.

Q. Are malls better? or street level locations?

This varies greatly in Singapore and Manila as malls can be a destination in itself and provide a constant traffic flow while street level locations can provide additional visibility and peak-hour traffic.

Q. At what point did the number of locations change how the business is run? I have been told, 1 or 2 locations is ok, but 3+ requires a different management approach, systems, procedures, etc. What was the tipping point for you?

We learnt that the tipping point is close to 5 locations. The economies of scale at that point bring a number of benefits but a strong infrastructure is required to support the operation. Overheads start to escalate and a strong focus on SOPs, training, technology is required.

SaladStop! Journey

News: Labour Crunch in Singapore

Posted on May 29, 2015 by Pragya Gupta

Labour Crunch in Singapore The F&B sector is facing a labour crunch. Restaurants are turning away diners even though they have empty tables because they are understaffed. This has been a problem in Singapore, but never more serious than now. Singapore’s unemployment rate is at a stunning 1.9%. The turnover rate in the F&B business is the highest among all industries.

As an economics student, I see this as an interesting problem. Finding out what is going on behind the statistic is necessary from a policy perspective. But it also helps a restaurant owner to prepare his or her restaurant and steer through till the economy adjusts to the issue. So what is going on and what can you expect?

Saturated labour market

With such a low unemployment rate, the pool for new recruits is drying. It would help if Singapore could widen its employment base and rope in people who have dropped out of the labour force altogether. However there is a problem with this.

Employment numbers among locals is concentrated towards food services, retail trade and construction. Wages in these domestic oriented industries are lower than export oriented ones. Low wages are a disincentive. People will be more willing to joining the labour force if wages were higher.

The second problem with widening the employment base is that the population of Singapore is too small. There aren’t enough locals to widen the labour market. But more on that later.

Now, we have mentioned that wages are low in the food services and retail market. But you must be noticing that you need to pay higher to retain your workers. This is the typical economics demand-supply problem. As the demand for workers rises while the supply remains the same, wages must rise. If it has not happened in a dramatic way yet, it will eventually. Markets will adjust and overcome rigidities unless the government intervenes.

Labour Laws

Let’s go back to widening the labour market and why we can’t seem to do that. Firstly, Singapore’s local population is too small. Secondly, foreign workers are restricted by numbers and industries.

For the F&B services, it would help to employ a foreign worker for every old-age worker, as suggested by Food and Beverage Work Group Report. While this is a policy decision that the government has to take, restaurant owners should be aware about the policy changes that are likely to come about, considering the current labour market.

Perception of working in the F&B industry

It is hardly surprising that the labour market is not kind to F&B services. The hours are eratic, the pay is low. The lack of a minimum wage in Singapore leads to wages being pushed down to a point where Singaporeans cannot accept the job.

The overall benefits of an entry level worker in the F&B industry are minimal. This could have damaging effects. If the government does decide to loosen rules on part-time, the connotation that is attached to F&B employment may hinder chances of employing students. If this perception does not change, the F&B industry might see more restaurants shutting down.

Solutions

Let’s say that the government will intervene and solve the situation at some point of time. But what can you do in the meantime?

Increasing Productivity Through Technology

There can be no better time to invest in technology than now. With a shrinking labour force, restaurants have fewer waiters to take orders and handle customers. By installing POS systems, waiters can focus on serving customers. Improving other aspects of your businesses will also cut costs and help you through the tight economy. Inventory management and food delivery ordering systems can be digitzed. All this aims towards reducing manpower and costs.

Improving the perception of working in F&B

This is imperative in order to bring in workers into your restaurant. There are a few ways you can do this. Firstly, add more meat to the job. The worker should know that there is a possibility of growing in the job.

For more tips on retaining young workers read “How we keep our young talents from leaving“.

Secondly, workers must be awarded with performance based incentives. They need to feel empowered and know that working hard will pay off. This will raise the perception of the industry as one that can further career prospects for individuals.

Training

Lastly, Putting them through well designed training programs will improve turnover rates. The Group Report suggest the training program implemented in Singapore Airlines and customized to the F&B industry.

The F&B industry needs to change with the times and adapt to the current economic conditions. Restaurant owners need to adopt best practices and use technology to reduce human errors and eventually reduce costs. This way, the industry will be less exposed to labour market fluctuations that can potentially result in damaging Singapore’s reputation as the food hub of Southeast Asia.

If you are in need of people, check out our friends at BGC for your staffing needs.

Giving credit to the ‘little guy’ in your company

Posted on May 28, 2015 by

The PayrollHero Way
Giving credit where credit is due is an important task for managers to keep the morale of their employees up. Employees like to be noticed and praised for a job well done.

Why are managers not giving enough praise? Besides the fact that you are busy running around, taking care of daily operations; making sure everything is running as it should, finding out which employee did well for the last 4 weeks will take more effort. Most of the time, this task is not on the top of the priority list and so easily overlooked.

PayrollHero can help you look good to your employees!

Surely there are times where you wish you would have remembered to at least say ‘Good Job’ to Bob the cashier for working 8 hours and being the most helpful. Human errors like this can be avoided by using a simple app, where you can monitor your employees day to day work and track how they are performing accurately.

By using the employee feedback app, Daily Pulse, employees are able to ‘like’ their colleagues that was the most helpful at the end of the shift. Another plus, your customer can give their feedback using the Customer Feedback app too- by voting for the employee that was the most helpful to them.

You, the manager, will receive the data in real time via Xray Insights app. The app will show a clearer view of each employee performance and tracks the employee who is getting the most ‘likes’ on that particular shift. Information is readily available for you at a touch of a button. This makes your job so much easier! It also eliminate subjectivity in your decision as it is based on figures- not hearsay.

Work Place Transparency

At PayrollHero, we want to break the conventional workplace hierarchy by making information more transparent within the company. Using mobile or web apps, all managers can readily access whatever information required anytime, anywhere. We recognize that being on the ball is important when running a business- so time should not be wasted on you waiting for information from other managers.

The Data Might Even Surprise You!

You may be glad to find out that the employee that is actually doing great is the person you least expect. It could very well be the person who is clearing the dishes- that is the most helpful employee among the rest and the most ‘likeable’ to your customers.

The app works by making sure every employee is acknowledged, from the chef to the janitor. You can be the best manager who knows exactly the deserving employees to give credit to at the end of the day.

Read our post on Scheduling Best Practices for Managers.

Want to learn how to be a better manager?

Join our next Meetup on 10th Jun 2015 @ 4pm in Singapore.

We will be focusing on tips and tools you can use to better optimize HR and payroll processes, while cutting costs on time and creating a happier work culture.

To register >>>

5 Sure Wins When You Come To PayrollHero Meetups

Posted on May 27, 2015 by

This meetup is all about HR and payroll management in the cloud for businesses of any size. Today, more companies are getting smarter and are transforming the way they manage their time, attendance, scheduling, payroll and HRIS to a systematized cloud based solution. To make sure your company does not fall behind on this trend, you need to discover why choosing a better management system helps increase your bottomline.

During the meetup, we will be focusing on tips and tools you can use to better optimize HR and payroll processes, while cutting costs on time and creating a happier work culture.

Let’s solve those problems! We want to share our expertise together with you at our next PayrollHero Meetup!

We will have Steve Jagger, co-founder of PayrollHero!

Hello there!

Sure Wins!

Know the tools that can increase productivity in your business by eliminating buddy punching and ghost employees.
Gain new tactics to effectively improve scheduling, time and attendance, HR and payroll management for your employees.
Business Intelligence tools to use for your business to make informed decisions on human resource.
Get to learn about new tools that can help you gain insights and better understand your customer segment.
Our event is free of charge with FREE wine and snacks!

10th June, 2015, 4pm- 5.30pm
Ocean Financial Centre

Scheduling Practices: Hallway Test!

Posted on May 22, 2015 by Pragya Gupta

Today marks two weeks of my internship at PayrollHero. To celebrate my two-week-erversary, I went out to do a little survey. The aim was to understand what systems businesses have set up to manage scheduling, measure attendance and calculate payrolls.

2015-05-21 16.04.44__1432268258_115.42.154.34

The Costa Coffee crew.

I surveyed 10 cafés in the Central Business District in Singapore to find out how they schedule workers in their outlets. Some of the outlets I visited were Cedele, Starbucks, Joe & Dough and Costa Coffee. They all had similar systems set up to schedule workers, with a few interesting anomalies:

With the exception of one cafe, everyone uses the punch card system or a regular excel sheet for workers to clock in and clock out. The exception in question has software set up to monitor attendance.
Scheduling is done on a weekly basis. The worst case scenario is when a worker notifies the admin that he or she can’t show up just a few hours before the shift begins.
Usually, the outlet manager calls another outlet to find a substitute. In the case of one cafe, Whatsapp groups are used to coordinate and find substitutes. Most outlet managers believe that the best way to reach someone is to call them. Texting or emailing is not a common communication channel.
The HR admin in every outlet takes around 2 to 3 days to calculate payrolls.

With that simple survey, it was evident that cafés in Singapore use conventional ways to schedule shifts. While workers rarely drop shifts, outlet managers need to be on standby to call nearby outlets for substitutes immediately.

Using Data Analytics to Improve Productivity

When the weather is bad, or there is an MRT breakdown, the situation is worse because all outlets in the same region are affected equally. While an outlet manager is calling multiple outlets for substitutes, customers are walking in and waiting for service before walking out, disappointed and unhappy. That directly affects the bottom line. Managers should be able to access an online database and use data analytics to see which outlet is on top of things in real time in order to call that outlet directly and ask for a substitute.

The top priority for every outlet manager is to make sure the day runs smoothly. It becomes much harder when the manager is not equipped with the right data to plan ahead of time. In a country like Singapore that has high internet penetration rates and high cell phone penetration rates, installing an application that stores this data in the cloud is easy and inevitable. If managers had access to this data, it would also be a way to motivate workers to be regular in order to move higher up in the rankings among outlets.

Calculating Payrolls

The systems put in place for measuring hours worked per employee in order to calculate payrolls should also be revamped. It should not take a manager 2 or 3 days to calculate payrolls when she has a million other things to look after. What’s more, the hassle of buddy punching, human errors and shifts in multiple locations add to complications for the manager. More errors equal higher costs. Higher costs equal lower profits. The bottom line is affected by inefficiencies that can be wiped out by a one-time change in the basic infrastructure.

Finally, the idea behind having an app that does all of the above is predicated on increasing productivity: be it that of your rank and file workers or your manager. Higher productivity leads to a better workplace environment and happier people, which further leads to higher productivity. That is a virtuous cycle, if ever I saw one. In effect: optimizing work productivity with happiness.

Now, where have I heard that before…

Restaurant Jobs and Salaries in Singapore

Posted on May 22, 2015 by Pragya Gupta

Life on the Line is a book written by Grant Achatz, owner and chef of the best restaurant in the world: Alinea. The book is about how Grant rose through the ranks to finally become an executive chef and a pioneer in molecular gastronomy. I loved the book. Not only was it a remarkable story about perseverance, it gave a glimpse of what it means to work in a restaurant.

While reading the book, you get an idea of what happens behind the scenes. Like every other restaurant, Alinea has the regular mix of members on the team: a general manager, restaurant manager, executive chef, sous chef, commis, sommelier, the captain waiter, regular waiters, bartender. The whole orchestra.

Most of this was new to me. My knowledge on restaurants went as far as:

Waiter;
Chef;
Food

And that’s about it.

So a breakdown on how restaurants work from a management perspective was an eye-opener to say the least. Naturally, restaurants around the world have the same structure. Singapore is no different. Given below is a little summary of the standard jobs in any restaurant. Not all restaurants have all the components. Most hiring admins in restaurants go by this convention:

General Manager: The CEO of the restaurant. She makes sure things run smoothly. She oversees operations, makes sure supplies arrive on time and hiring and firing activities run smoothly. She tries to cut costs and improve sales too.

Restaurant Manager: He makes sure that training of new employees runs smoothly. He deals with customers, allocates manpower and deals with the maintenance of the place.

Maître d’: She manages the front of house operations. By maintaining the customer database, the maître d’ makes bookings. She also welcomes customers as they enter the restaurant.

Executive chef: The executive chef creates new dishes and plans the menu for every outlet. He looks after the overall direction of the restaurant or outlet.

Head Chef (chef de cuisine): The head chef is the CEO of the kitchen. She allocates duties and ensures there are supplies. She manages daily operations in the kitchen.

Sous Chef: The second in command. He works under the head chef and makes sure things run smoothly in case the head chef is not around. He also ensures the quality of supplies coming in.

Chef de Partie: This is a chef who is in charge of a particular section: grill, pastry, whatever was allocated to her. She makes sure the cooks under him deliver what is required from the section.

Sommelier: Everyone loves the wine guy. He is an expert on wine and food pairing. He maintains the inventory, trains the staff on what wines to suggest and teaches them the convention on serving wine.

Head Waiter: A head waiter is in charge of other waiters/waitresses. She trains them. She also waits on tables and suggests dishes and wine pairings.

Waiter: He waits on tables. He also suggests dishes from the menu. Waiters are trained on how to serve the dishes and the wine that goes with them.

With that crash course on who is who in a restaurant, below we have a table on their average monthly salary in Singapore. This varies based on the location of the restaurant and the type of restaurant.

Title	Salary/Month (SGD)
General Manager	4,000
Restaurant Manager	3,200
Restaurant Assistant Manager	2,500
Executive Chef	7,400
Head Chef	4,000
Sous Chef	3,100
Chef De Partie	2,200
Sommelier	3,000
Captain Waiter/Waitress	1,800
Waiter/Waitress	1,500

We hope this gives you a better idea on the industry!

Restaurant Executive: Andrew Masigan, The Advent Manila Hospitality Group

Posted on May 21, 2015 by Stephen Jagger

Today is Andrew Masigan, owner of The Advent Manila Hospitality Group in the Philippines.

Q. When and why did you start Advent?
I guess you can say that Advent is a reincarnated company. Advent was the name of my first company, just after finishing my Masters program. Back then, it was a sole proprietorship that served as the company behind my first fast food chain, Dimsum ‘n Dumplings. Soon enough, the company grew to a point where it didn’t make sense to pay personal income tax rates for my business profits. I then decided to retire it. In its place, Prime Pacific Corp. was put together as the corporate entity of Dimsum ‘n Dumplings. Fast forward to 2010 and Prime Pacific Corp. was acquired by another firm. I was done with the food business…or so I thought.

The thing with the food business is that, difficult as it is, it is so damn gratifying. It is a business that feeds your mind, soul (through creativity) and stomach, all in one go. Its true what they say — once a foodie, always a foodie.

In 2011, we decided to venture into the restaurant business all over again, this time, making a strong push for Filipino cuisine. The idea was to come up with a Filipino restaurant that was high-end in very sense, debunking the notion that Filipino food was “pedestrian” or suited only for the home.

We launched XO46 Heritage Bistro later that year. It is an advocacy-driven brand whose purpose is to bring forward the best of Filipino cuisine while being an instrument to preserve our vanishing food heritage (no thanks to the influx of fusion cuisine).

XO46 was incorporated under the Advent Manila Hospitality Group. This is our company today. So in a sense, Advent has come full circle.

Q. What is your background? (restaurants? or you figured it out as you went?)
I am somewhat of a strange mutt. I am an economist by training…politics is my interest…the hospitality industry is where my expertise lie.

This strange mix is the reason why I am a restaurateur, a business and political columnist for the Manila Bulletin, a tv host (The Business Examiner) and a consultant to the Department of Science & Technology.

At the heart of it all is my passion to be an instrument to nation building, whether through business, politics or media. I guess you can say that this is what unifies everything that I’m into.

Q. How many locations do you have in the Philippines?
Dimsum ‘N Dumplings peaked at 88 stores, although most were kiosk outlets.

Our restaurant group today consist of 14 stores, with two more under construction and due to open before year-end.

Q. How do you choose a location?
Pretty much the same way most restaurateurs do.

We consider foot traffic, the profile of customers, the merchant mix and the competitive environment.

Q. Will you ever take a sub-par location, if it is in an area you want to be in? or will you wait for the right spot?
I would rather wait for the right spot. If there is anything I’ve learned being in this business for 2 decades — its that, “the bottom line” is the bottom line! In other words, if a site is not going to make money…lets not waste our time.

Q. How big is a standard location? What have you learned about location size?
XO46 works with spaces ranging from 120 sqm to 240 sqm.

Q. Does a corner location matter?
It’s a plus but not a deal breaker.

Q. Are malls better? or street level locations?
Good question. It really depends.

The value that the malls give is that it is a destination on its own; it has inherent foot traffic (assuming the mall is not a dud); security is more or less assured; and your brand gets to ride on the image of the mall and the surrounding merchants.

On the downside, mall spaces are relatively expensive to rent, they limit your operating hours and give you restrictions on your product offerings and store design.

The advantages of street locations are the disadvantage of malls, and vice versa.

Fortunately, I know the business well enough that I can still manage our stores with relative personal involvement.

The trick is to put the important systems in place – I’m referring to systems relating to operations, HR and accounting & control.

Beyond 20 stores, the emphasis shifts from personal management & creativity to professionalization. In other words, the efficiency your company’s chain-of-command largely determines how well your stores operate. In addition, logistical issues migrate to the forefront of your business concerns.

Q. Anything you would like to add?
The integration of ASEAN come Jan 1, 2016 will change the industry.

Given the impending borderless trading conditions within the region, we will see the best restaurants groups from each of the 10 economies “invade” other territories, jockeying for a piece of their market.

I would like XO46 to be on the offensive, not on the defensive, in this new environment. After all, the time is right for Filipino cuisine to be exported, don’t you think?

eileen picture company
Want to read more from our executive contributors, check out Eileen Grey, owner of The Picture Company in the Philippines.

5 Things Restaurants Need to Do Attract Top Employees

Posted on May 20, 2015 by

Tips to Attract Top Talent to your Restaurant

Image by themuse.com

Drawing from my past stint working as a waitress back in 2013 in NYC, I have learned that in the service or restaurant business, not everyone works just for the money. Indeed money is one of the key motivators, but people are looking for so much more.

Thankfully, the owner of the restaurant I worked at paid attention to his employees in order to keep us happy and working at his restaurant. Hiring the right talent isn’t easy (not everybody is good at service based roles) and retaining the finest employees is even harder.

What can make it even more frustrating is the fact that the restaurant business has one of the highest turn over rates in the private sector- at 66.3% by 2014.

In this article, you will find tips for making your restaurant more appealing to better employees.

To attract the A-players to come work for you, you will need:

A Clear Path to Advancement
It’s important to remember that people are not working for you only because of the money. Most times it is much more than that. Employees want to know if there is a clear path to advancement in your restaurant. Whether it is moving up to a management position or to the next better paying position on the line, they want to know that the job rewards them based on growth and merit, not who they have to suck up to.
The Work Itself
It pays to be at a job that rewards and makes people happy. A great employee culture makes a great first impression where potential employees will think “Wow, what a great place to work in!”. It shows that you care about your employees and treat them like family. It also let’s your customers know that you run a quality restaurant with staff proudly working with you.
Offer a Fair Salary Package.
Restaurant owners should offer a competitive salary package to the employees. Keep in mind that while it does not have to be the highest, it definitely should not be at the bottom.
Well-trained management/ leadership team
Have great team leader or managers. Take the time to teach them to value each employee and guide them to succeed at their jobs. Great leaders also motivate your employees and create loyalty. When people know that your establishment has a superb leadership team and the ideal working environment, people will be waiting in line to come work for you.
Recognition and Take Care of Your Current Employees
It is good to feature your employees on your restaurant website and social media platforms. Focusing on your staff creates a positive environment, where they are happy to be at work. Giving praise for good work is also a good motivator. Sharing this information with the public will let potential employees know that you value good work.

Did you find this blog post useful? Give your comments below.

Find out how PayrollHero can create a great work place culture for your restaurant. We are happy to setup a time to speak further.

Getting a Liquor Licence in Singapore

Posted on May 15, 2015 by

drinks_0

Speaking with a few entrepreneurs who are setting up a new F&B outlet here in Singapore, I found that a few shared similar problems- mostly about the liquor licence for their restaurant and how to go about getting it.

We though it will be helpful to provide a guide to getting the liquor licence for your new establishment.

Before Sending your Application

It’s good to have the required paper work in order before applying for the liquor licence. You will need to be in compliance with laws & regulations from the relevant authorities and get approval for your establishment. Find out if your premises are approved for F&B here.

Liquor Licence Fast Facts:

License agency: Liquors Licensing Unit
Cost Of Licence: S$220 – S$1,760 (2-year licence)
Minimum Licence Processing Time: 14 working days

Got it? Great! Let’s get into the necessary details.

There are 2 types of liquor licences available in Singapore. If you are carrying out any of these activities:

To retail intoxicating liquor which is consumed on your premises (e.g. pubs, clubs, discos and hawker stalls)
To retail and/or wholesale intoxicating liquor that is consumed off your premises (e.g. wine specialty shops, alcohol importers and food caterers)

For more than 30 consecutive days, you will need to obtain liquor licence for your establishment.

If your activities is shorter than 30 consecutive days (1-30 days), you can apply for a temporary liquor licence instead.

Should your activities do not run on consecutive days, you will need to obtain more than one liquor licence for operation.

The Licence Fees

Types Of Liquor Licences
Licences for liquor sold and consumed on your premises
Name Of Licence	Permitted Hours	Licence Fees (2-Year Licence)
Public House Licence	1st Class (6am-12am)	S$1,760
Public House Licence	2nd Class (6am-10pm)	S$1,320
Beer House Licence	6am-12am	S$920
Outdoor Beer Stall Licence	6am-3am (Permitted hours to be decided based on the location)	S$570
Licences for liquor sold and consumed off your premises
Retail Liquor Shop Licence	6am-12am	S$220
Wholesale Liquor Shop Licence	6am-12am	S$220
Retail Beer Shop Licence	6am-12am	S$220
Wholesale Beer Shop Licence	6am-12am	S$220

Note that the licences only permits you to sell liquor within the stipulated hours. If your establishment requires sale of alcohol past these hours, you will need to get the Liquor License (Extension of Operating Hours).

Application, Processing Time and Payment Method

All applications for liquor licence are to be submitted through electronic filing (e-filing) via the Online Business Licensing Service (OBLS) at http://business.gov.sg.

The processing time for these licences takes up to 12 working days.

There are three online payment modes available-
Credit card (Visa or Mastercard), Direct Debit through your internet banking account. Payment modes available at our counter are NETS or cheque.
If the amount payable is more than S$2000/-, payment by cheque is preferable.

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