ST Franchising August 2021

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T R A INING

THE POWER OF KNOWLEDGE SHARING Training can occur both vertically and horizontally within a business, and franchisees should look to learn from each other, writes ANÉL LEWIS online platforms, through which to share information and best practices, as well as provide ongoing training and development. Knowledge sharing forms part of Leapfrog Property Group’s organisational structure, says CEO Bruce Swain. “We value learning and also learning from each other. Information and knowledge sharing are critical in any business, even more so within the franchise model where the structure tends to be more independent. Just as there is strength in numbers, so too is there power in sharing insights and learnings that help to encourage success and growth.”

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Russell Berkman

“FRANCHISEES COLLABORATE FOR SUPPORT, INNOVATIVE IDEAS AND AS A WAY TO SHARE THEIR SUCCESSES AND CHALLENGES.” – RUSSELL BERKMAN, FRANCHISE DIRECTOR, JAWITZ PROPERTIES

LEARNING FROM THE BEST

stablished franchises are a great source of knowledge for emerging businesses. As the industry body promoting franchising, the Franchise Association of South Africa (FASA) offers online networking opportunities and hosts regular training events. Pertunia Sibanyoni, current chair of FASA, says it also partners with government to establish initiatives to encourage entrepreneurship, training and job creation. Franchisee councils, seminars and workshops allow franchisees to network with each other and exchange best practices, says Sibanyoni. Business Unity South Africa is one of several organisations that allow business Akhona Qengqe owners to network

Sandy Varty, brand manager for Wiesenhof Management Services in South Africa, says internal training and development keeps costs low and ensures brand consistency. Varty was previously director of operations at McDonald’s in Canada, managing and training franchisees. She advocates a “care and share” approach. “By all means, steal shamelessly (from other franchisees). That is why you are in a franchise.” Franchisees usually have varied experiences and insight that can add considerable value. Swain agrees, saying: “Even though our agencies are independently managed, there is the collective understanding that when the individual thrives, the group thrives and vice versa.”

and influence policy as a collective, says Akhona Qengqe, chief people officer at KFC Africa. Also, franchisors encourage new franchisees to “buddy” with an established franchisee as mentors to help them learn the ropes, adds Sibanyoni.

MENTORSHIP AND CSI Asked if business mentorship should be incorporated into CSI initiatives, Grant Smee, managing director of Only Realty, argues that while mentorship is intrinsic to the franchisor-franchisee relationship, he would find it difficult to understand fully the value behind providing this through a CSI mechanism. “Having said that, it has been my personal experience that mentorship is severely lacking within franchise structures, which is perhaps where the industry should focus first before looking outward to provide mentorship in other areas.” Qengqe argues that mentorship and upskilling are already incorporated into

most organisations and are part of company CSI. “As part of B-BBEE, there’s definitely a requirement from a supplier point of view in terms of companies to share knowledge and upskill new suppliers.” However, she adds that how companies on-board emerging businesses as part of their transformation initiatives should be institutionalised and underpinned by a strong business rationale. “We should always absorb SMEs into our business operations to assist them in becoming larger enterprises that employ more people to contribute to our economy actively.” This approach should therefore be incorporated not only as company CSI, but also as a company’s licence to operate, concludes Qengqe.

FAST FACT

McDonald’s Hamburger University, based in Chicago, trains employees in company culture and best practice. More than 40 per cent of its top management are graduates of the programme, which is offered at satellite campuses around the world. The university-accredited courses include leadership, service efficiency, franchise costs and business growth. Source: McDonald’s

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he ability of franchises to share knowledge and offer ongoing training has helped many of South Africa’s successful businesses withstand turbulent economic times and even a pandemic. “Now, more than ever, those franchisors that have given solid support to their franchisees are living up to the principle underpinning successful franchises: that sharing, mentorship and support are at the heart of the model,” says Pertunia Sibanyoni, current chair of the Franchise Association of South Africa (FASA). Communication between franchisees is key too, says Russell Berkman, franchise director at Jawitz Properties. “Franchisees collaborate for support, innovative ideas, and as a way to share their successes and challenges.” The company has developed effective channels, including

CARE AND SHARE

FRANCHISING

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