Franchising a business is about the Art of Reproduction. Franchising teaches someone who doesn't know anything about the business how to run the operation. The keys to success lie with the system of operation, the structure and integrity of the business model and in the training system for replicating this business model.
What constitutes a great training system in a franchise model is the depth and breadth of what is being trained. When a franchisee comes on board with a particular franchise company, they do not accept a managerial role with the company, or a sales role, or a HR position with the firm.....they take on them ALL. The franchisee becomes the business and runs every element of the operation. Once a franchisee leaves the corporate office from their initial training sessions, they are essentially running the show. They have to not only grasp and understand all of the intricacies of running and operating a new business at that point, but they also must be able and willing to teach their employees how to do every job within the business itself.
The most effective training systems in the franchise world are like Boot Camp. They are flexible in nature and address the responsibilities of running the business by job duty. The franchisee is put through a step by step process that works with the new franchise buyer on each part of running the operation. Franchisees will get their hands dirty and their feelings hurt during this process. Franchisees in many instances are very wealthy individuals, but when they buy a franchise for a food operation, they have to know how to run the grill, the fryer and how to clean the restrooms. They need to understand the P.O.S. system and how to maximize the efficiencies and benefits that the required technology offers to them. The franchisee will need to understand the financial side of running the business and how to manage the finances. All of these responsibilities fall on the head of the franchisee once this training is completed.
The great franchise companies have really solid training models. McDonald's has Hamburger University, Dominoes Pizza requires its franchisees to be a manager in a location for two years before they can be considered for a franchise location, Jimmy Johns puts their franchisees through an extremely elaborate and exhausting training program. The one commonality, that when a franchisee is sent out into the field to operate their location, they get it. They understand how to operate and how to make money at the unit level. This relieves the franchisor of the responsibilities, costs and problems that come with franchisees who need excessive amounts of hand holding when they begin operating their locations.
Franchisors have many tools and different technologies at their fingertips now that can make the training process much simpler today. Things like franchise training videos should be put together, Webcasts and Podcasts can be utilized in today's market to help train franchisees without having a human teacher doing the talking. Intranets and web-based platforms can be utilized to quickly and efficiently get updates and new information out to franchisees in the field and in remote locations. The franchise training process should typically be at least a month in length. This could be a combination of time spent at the corporate headquarters of the franchisor and time spent with the franchisee in the field. It is a big mistake to assume that in almost ANY business model that a franchisee could realistically be trained effectively in two weeks how to run the business and manage it profitably.
Franchising is hard work, it is a big mistake to give a prospective franchisee in the sales process the idea that opening a franchise is easy. The franchisee should be given a realistic picture of what they are getting into when they buy a franchise. When they do sign on the bottom line it's up to the franchisor to have the system and tools to really provide value and guidance to a new buyer.
Christopher James Conner Vice President Francorp, Inc. http://www.francorp.com
Article Source: http://EzineArticles.com/?expert=Christopher_Conner
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4 comments:
Franchise marketing is the art of stealing. Of delivering hope in exchange for people's money and then selling them down the river. If they fail, you can sell another. Franchising is the most treacherous and dangerous industry in the world. I'ts a step below running carnivals because with carnivals, you can at least walk away with a stuffed bunny. Franchising stuffs you and hangs you up to die. If you have any kahona, you'll post this, if you don't, we know you're one of them.
Bloody Franchise
Those are pretty strong comments, I'm not sure where they are coming from, but I have personally worked with many franchisees who have become very successfull financially and loved every minute of it. Of course there are companies that franchise incorrectly and take advantage of people, but there is a right way. Good franchise marketing is the art of disclosure, qualification and honesty. Both the franchisee and the franchisor have a complete understanding of what they are getting into when the agreement is signed and the partnership is formed.
By the way, the only comments that are declined on this blog are spam, no others are denied, so please post your thoughts, you will not be screened in any manner.
Bloody Franchise, you have to be kidding. Another poor soul who is looking for any attention they can get in order to start their own business. It is people like this who make me really sick, they prey off others by trying to make them feel bad. Bloody Franchise, you don't deserve any air time. Francorp is a great company that has helped a lot of people be successful in franchising. Of course there are some negative stories, but they are usually involving someone like you. Who misleads people into beleiving something so that you can profit off of them. You are a disgrace and should not be trusted.
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