13 minute read

Lucas Frey

7sTeps for suPerior decision Making

CEOs make critical decisions daily, and franchise owners face the same questions. Good decision-making in business and life is a learned skill you can practice immediately.

This article focuses on the decisions we make consciously. This article isn’t a discussion about synapses firing, conscious versus unconscious (habits), or emotional intelligence. Instead, it is a practical process built on 45 combined years of experience as a Successful Franchise Owner, Fire Chief, and Lead Systems Engineer. This article gives you a strategy to make positive decisions more often.

Luke frey improves franchise owners’ businesses where corporate support alone fails. He brings 26+ years of varied professional experiences including 20 years as a franchise owner of ImageFIRST Cincinnati, 6 years as an industrial engineer for a Fortune 250 company and 19 years as a volunteer firefighter. All of these experiences, in addition to his drive to learn, have brought him to be a positive driving force for other franchise owners’ successes. to learn more about Luke and how Bella vista executive Advisors can help, please click Here www.bellavistaexecutiveadvisors.com

4 General Decision Categories:

1. A few unimportant decisions have little impact on your life and business today.

A simple example is eating a banana or cantaloupe as your morning fruit. Both are healthy for long-term impact but unimportant for today.

2. Some decisions are routine to the point of being positive habits. Deciding you like to get your blood flowing with a brisk, 7 am walk around the neighborhood with your 3-year-old

German Shepard is a good routine you choose to follow even on mornings you don’t feel like it.

3. Each day, we make decisions for efficiency. We plan our day/week/year to be as convenient as possible. Efficiency decisions help Successful Franchisees save time, money, or both. You plan your day to get the most done and minimize downtime, for example, reducing time spent in traffic or waiting on a late appointment.

4. The topic for the rest of this article is about the process I use with success concerning the issues most important to you. Important decisions may need to be made urgently or not. The commonality is that these decisions are highly impactful for your Franchise, your team, and you.

how to know What’s “important?”

After just searching for “how to know a decision is important” and “what is the definition of ‘important decision’” all kinds of “how to make important decisions” websites and videos come up. But nothing found addresses this simple question: “How do you know what decisions are important?” Some decisions are made essential by law. Stopping at a stop sign and paying taxes are two simple examples. Others are important out of common courtesy, like calling 911 if your neighbor’s house is on fire. The decisions discussed here are about you and your business when you have options.

The following questions help determine if a decision is essential or not:

1. Will this particular decision have a longterm effect on my company, my team, and me and my family? For example, keeping your body healthy each day has a long-term effect. Likewise, deciding on the best candidate for your outside sales role also affects all 3. “Efficiency decisions help Successful Franchisees save time, money, or both. You plan your day to get the most done and minimize downtime.”

2. What happens if I do nothing about this issue? Is it worth missing out on another day of training with your new salesperson to find the “perfect” one? Or does this person check enough boxes, and what is lacking can be taught?

3. How will this decision move us forward?

In the fire service, each decision mitigates an emergency in the safest way possible. And lastly,

4. What is your estimated cost/benefit analysis telling you? Occasionally, you’ll have the luxury of time gathering data to know as much as possible about a decision. At other times, a minimum amount of data is available, and you must make a decision now. Either way, an analysis is helpful to know if your decision is critical.

learn to make Positively impactful decisions

Successful Franchisees make necessary decisions by looking at 5 areas of impact:

1. Long-term impact may cause some short-term hurdles to overcome. This type of decision positively impacts the future of your company. These decisions can impact the value of your company when you pass it on, your legacy, and the lives of those working with you.

2. Impactful short-term decisions can avert disaster. During the 20 years with

ImageFIRST, there were only a couple of times the GM and I decided not to let the rest of our team go out to make deliveries. If the roads were icy at 4:00 am, we reverted to our pre-plan to alter the rest of the week’s deliveries.

3. What processes are impacted by your decision? Tightening process standards on the front end of a set of processes certainly affects processes deeper inside.

For example, in the laundry industry, regularly adjusting the drying time for the relative humidity determines if that batch needs to be processed again because all the patient gowns are damp.

4. Successful Franchise Owners look at who is affected by their decisions, how to best communicate the reason(s), and why now. For example, if the decision impacts your team financially, your decision must be solid. However, significant decisions also bring on emotional reactions. The Covid-19 vaccination policies of companies are a current example.

5. As best as possible, predict what unintended consequences can occur because of your important decision. This fortune-telling is certainly not foolproof.

You can, however, make this exercise a part of your decision-making process to vet out possible impacts your decision will have. For example, the Terrace

Park Fire Department Officers decided early in my tenure to formalize and strategize the training process. We didn’t intend nor predict the positive effect this decision had on recruiting and retaining our unpaid-professional members. “CEOs make critical decisions daily, and franchise owners face the same questions.

Good decision-making in business and life is a learned skill you can practice immediately.”

the 7 steps to making intentional decisions:

1. Understand the context of the issue.

Is the current problem a one-off, or is it consistent? Who is communicating the issue? Working in a 1000-person sewing plant taught me quickly how to look for context by asking questions.

2. Determine the “who’s”

• Who needs to be involved in making the decision? Who has the knowledge we need?

• Whom does this affect, and how?

• Who is the ultimate owner of the decision?

• Who can provide relevant input?

• Who will communicate the decision and plan of action to those affected and how?

3. What factual information is necessary?

In my past life, we used a stopwatch for the many time studies needed for the sewing plant to operate while providing fair wages. These studies allowed the management team to make decisions based on data. If you have time, determine a range and assign a probability to each point on the spectrum. This tool is helpful when considering a cost/benefit of a particular decision.

5. Make your decision and act.

Consensus isn’t always possible or desirable. If the decision comes from a group, especially the management team, everyone on the team must be fully committed to the decision. Even if there is disagreement within the team, the external communication needs to be the same song. 6. Measure your decision’s actual outcome(s) and compare it to the hypotheses.

7. Debrief as a team and refine your decision-making process and skills.

What worked well, and what can be improved? Vulnerability and trust within a team are critical here. The debrief is not the place for personal agendas to flourish. After each significant emergency TPFD response, there was an informal debrief with everyone on the scene away from the noise of Engine 94. The facilitated conversation was a chance for everyone to discuss and learn how to improve together. Additionally, we led a discussion with the entire department at the next training. In the end, a summary was created and emailed to each member.

Follow these steps to improve your positive decision-making in business and life skills and build your confidence for decisions to come. Then, please email me at luke@bellavistaexecutiveadvisors.com to start the conversation.

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cover story: HTeaO

The Beverage CaTegory SweeTenS aS ConSumerS Crave varieTy and Seek FlavorFul iCed Tea aCroSS The u.S. stand-alone iced tea shop known as “Texas Tea.” Seeing the success after two years, Justin knew it was time to reimagine what could be made possible for this niche beverage option. As a serial entrepreneur, Justin has founded over 20 companies, and spared no expense on the initial prototype locations. Taking more of an analytical approach, every aspect of the business was tested, monitored, and perfected. From the back-end support, prime real estate, operations, marketing, finance, supply chain to product quality. He wanted to prove that the concept could be successful locally before franchising the concept to scale nationally. At one point he even turned down 25 franchise candidates that were ready to sign, because he was not convinced the model was as efficient as possible. In 2018 the HTeaO brand was officially launched, after almost a decade of preparation and refinement. “We’re a data-driven company. It was crucial to start with research and development and delay expectations for profitability to create the right business model,” said Howe. “If you start a business with the goal for profits you’re starting a job, not a scalable business. As I was building the brand, I was learning how to be a franchisor, and knew I wanted to be the one to go before them with thinking of everything.” HTeaO, the country’s leading iced tea-only franchises, breaks through the QSR beverage industry with a simple and bullet-proof business model. 10 Franchising MagaZinE Usa When we think of the beverage industry, coffee is typically what comes to mind first. As a core component of most Americans’ diet, coffee has become an almost impenetrable business concept. Armed with entrepreneurial intuition, Justin Howe, CEO and founder of HTeaO, changed that when he reverse-engineered profitability to validate the untapped iced tea category within the QSR-space. The incubator process began during the 2008 recession. Justin’s parents, Gary and Kim Hutchens, were operating a burger concept called “Buns Over Texas,” and were looking for creative ways to increase their sales. Deciding to introduce six unique iced tea flavors to the menu, they were surprised to see so many customers coming in specifically for the iced tea. In order to test the viability and profitability of the business model, they created their first Being first-to-market, Howe and his team knew they had to problem-solve in order to make a mark within this niche category in the beverage market. Overcoming obscurity will always be an area of focus to ensure HTeaO remains ahead of the QSR trends. Each HTeaO location offers 26 proprietary flavors, all made using completely natural ingredients. Recognizing the importance of consistency in products, each location is equipped with their own water plant, filtering out all impurities. Nothing in stores is served without going through the filtration system, including the ice. With iced tea rarely having been a primary menu item for most restaurants, not many distributors place a large focus on the ingredients needed to produce it. In order to ensure each location gets the quality ingredients needed for their iced teas, HTeaO created their own supply chain, which has proven to be much more cost efficient and sustainable as they launch across the U.S. Currently operating in 13 states, HTeaO recently opened their 50th location this year, and has over 400 franchise agreements signed. The following states have signed franchise agreements with sites secured and/or under development: Alabama, Arkansas, Arizona, Colorado, Florida, Georgia, Kansas, Louisiana, Missouri, New Mexico, Oklahoma, Tennessee and Texas. As one of the leaders in the iced tea industry, HTeaO sets the standard with only using tea leaves and raw ingredients. People are “We are looking for partners in every state of the country, as a Master Franchise or a multi-unit operator.”

becoming more health conscious as they think about what is going into their bodies, making iced tea a growing option over things like soda and coffee. As the demand strengthens, HTeaO will continue to innovate through new drink offerings, flavors and seasonal offerings. They currently offer a variety of healthy grab-n-go snacks in addition to their teas. The community-driven organization also believes in brewing with a purpose. Locations are constantly offering promotions and ways to give back to their communities and local charities. Almost every October, HTeaO has partnered with the Ryan Palmer Foundation and allows guests to ‘Round-up with Ryan’ to support the Ryan Palmer Breast Cancer Initiative. With only 50 locations currently operating, the goal was to raise around $50,00. By the end of the campaign over $70,000 was raised. In addition to charitable initiatives, many locations will recognize local officials and prominent members in the community by giving back on appreciation days, and offering free teas to those being honored. “Supporting our communities and franchise partners is a core tenant of this brand, and a large contributor to its success,” said Howe. “We are open and honest, and welcome all ideas. We are not married to one philosophy, but value input so we best know how to meet everyone’s needs.”

The beverage industry is noticing that many consumers are searching for more plant-based and dairy-free options, and they want to lower their sugar intake. “Better-for-You” beverages that focus on fresh ingredients, clean labels, lower amounts of sugar, minimal calories, and caffeine alternatives are currently in high demand, a trend that HTeaO has been capitalizing on. Focusing on all-natural ingredients and fresh brewing their tea, HTeaO is passionate about offering a beneficial product that consumers enjoy. HTeaO is focusing on developing locations across the U.S., with their current focus on Florida and the East Coast. Having recently hired a Franchise Candidate Advocate located in Florida to spearhead development in the area, the brand currently has one location open in Florida with a second opening within the next few months. This is one of the first major steps the brand has taken towards their East Coast expansion. With over 400 franchise agreements currently signed, the brand hopes to have 500 locations open by 2027.

VOL 11, ISSUE 1, janUary 2023

COVER STORY hTeao the country’s leading iced tea-only franchise a nEw waY TO plan fOR excepTional Franchise sUccess in 2023

7 sTeps For sUperior Decision making

The Franchise Whales among Us

annOunCEmEnTS fROm ThE induSTRY Franchising neWs

Franchising MagaZinE Usa 11

The magazine for franchisees • WWW. Franchising MagaZinE Usa 1franchsingmagazineUsa.com

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