When times are hard, efficiency is essential

posted on 20-Mar-2009

Few franchisees would have lived through a recession and fewer still may be notching this up as their fourth says Bharat Patel, a chartered accountant and CEO of X-Genics, who reveals that a commonly overlooked component can reduce unnecessary risk

Half of the employers appearing at tribunals risk losing the case and suffering a penalty of up to 50 per cent, simply because they did not follow the correct procedure. With franchisees very often, by the time they call head office, the damage has already been done. It would have cost them in legal fees and management time, and caused anger, resentment and anxiety. It is little wonder that many decide to fold rather than working to pay off a claim.

Why does this happen?
If you want to be good at something, you have to practise. It is no good sharing best practice if employees at ground level do not follow it correctly. Franchisees must have the means to get it right first time every time; making fewer mistakes means less likelihood of losing money.

I used to see my clients struggle when I was in practice, and this is why we invented the eManager expert desktop system. This revolutionary compliance system is simple to use and makes everyone perform like an expert in any field from HR and health and safety, to corporate governance.
The franchisee simply logs in via eManager to collect procedures in their subscription package. Software upgrades are free and the procedures also auto update in line with any new changes in regulations, therefore always keeping the franchisee up to date.

With built in reporting functionality, and no infrastructure outlay, this is probably the most cost-effective solution of its type in the market. Franchisors can commission bespoke procedures and training modules with fast turnaround times, which promise to change the way franchisors manage compliance.

Working with Acas, its 180-page guide was reduced to two easy procedures where anyone can handle disciplinary issues without any prior knowledge of the law. Franchisees can now handle anything from accident management to complaints. “The staff appraisal was simply amazing” says Prash Patel, a director at Specsavers Opticians. He adds: “Employees feel involved and we complete the review in a couple of hours instead of two days.” Karen Goswell, a manager at Boots, has also seen huge time savings with structured appraisals.

Becoming lean and mean
Logically, franchisees have a better chance of surviving a downturn because they are likely to be better organised and supported. Poorly organised franchise operations are taking a huge risk in this climate and poor quality assurance affects brand value. We’ve all seen one successful high street franchise dwindle from several hundred members to just over a hundred. “What’s the point of this system?” said one of their managers. “Head office doesn’t ever do a QA review.” Enough said!

For further information contact
bharat.patel@xgenics.com,
+44 (0)20 8546 8110 or visit
www.xgenics.com