Give an Ovation: The Restaurant Guest Experience Podcast with Zack Oates

Running a Profitable Restaurant Without Being Trapped in It with David Scott Peters

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Zack sits down with David Scott Peters, restaurant coach, speaker, and author of Restaurant Prosperity Formula, to break down how independent restaurant owners can create financial and operational freedom. He shares why delegation without documentation leads to failure, how to build a system that works without you, and why great guest experiences start with operational excellence.

Zack and David discuss:

  • Why most restaurant owners fail to delegate effectively
  • The simple way to document systems without extra work
  • How anticipating guest needs creates better hospitality
  • The key to stepping back from daily operations and making more money

Follow David Scott Peters:
DavidScottPeters.com

 Restaurant Prosperity Formula Podcast
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Speaker 1:

Welcome to another edition of Give an Ovation, the restaurant guest experience podcast, where I talk to industry experts to get their strategies and tactics you can use to create a five-star guest experience. This podcast is sponsored by Ovation, an operations and guest recovery platform for multi-unit restaurants that gives all the answers without annoying guests with all the questions. Learn more at OvationUpcom. And today we have David Scott Peters, the only man with three names that I know. With decades of experience in operations of restaurants, he is a restaurant coach, he's a restaurant expert, he's a sought-after speaker, he's the author of Restaurant Prosperity Formula and he is now gracing us with his presence. David, welcome to the podcast.

Speaker 2:

I appreciate you having me my friend very much.

Speaker 1:

This is long overdue for a repeat and we don't have very many guests on multiple times, but you have just such a wealth of experience and understanding, and maybe just for people who might have missed one of your sessions at a show or haven't heard you speak, what is David Scott Peters? It's an entity in and of itself, but who do you help?

Speaker 2:

Well, basically we're a restaurant training coaching company for independent restaurant owners. The whole piece of it is my book, is Restaurant Prosperity Formula what Successful Restaurateurs Do, and the whole purpose is now restaurant prosperity is freedom for your restaurant and the financial freedom you deserve. If I can get you freedom from your restaurant via implementing systems, processes, ways. We have managers, supervisors, people who are doing those things. You learn to delegate. When that is happening, you have a life. When that is happening, you're making money. You're running off of budgets, You're running off of systems. In other words, you're in a position where you get to impose your will without being there. They're doing things your way when you're there, but especially when you're not, which allows you to say, hey, I can become an owner, which is work on budgets, marketing, lead the team, develop my managers, hold them accountable, work strategically on the business, move it forward, not be the best host or cook that I have and it really changes your role and gives you your life back. Beautiful part is it also means you make money.

Speaker 1:

There we go. I mean, right, I love making food, but everyone loves making money. So what are some of the common mistakes that you see? When a new client comes to you and they say, hey, I don't know what's going on in my restaurant, but I just feel like I'm still working in the business and I can't ever get myself out enough to work on the business, what are some things that you look at initially to say, hey, here's some low-hanging fruit that you're probably doing or not doing.

Speaker 2:

I think the biggest and hardest thing that a restaurateur needs to learn is how to delegate. I mean, it's really saying, okay, I can do everything myself. That's horrible. You've created a prison for yourself, like I'm the only one who can write the schedule as the owner, I'm the only place in order as the owner, I'm the only one, I'm the only one. I've tried to give it to people, and you go through this process and you never learned how to delegate successfully. Instead, you advocated, you gave it to somebody, turned your head and said please, please, get it right, but ultimately they fail you every single time because you didn't teach them your system, your process, your way. You didn't make sure they could do it on their own without you being over their shoulder. So there's this gray area, or what we like to call in the restaurant business, something called common sense, which is not exist. And so the biggest thing is you think that adding a manager means I have freedom. No, if you didn't teach them your system, your process, your way, there is no freedom. Ah, do you have a system, a process away? And it's not that, it's in your head.

Speaker 2:

Follow me for three days, good luck after that. That's how I was trained in the restaurant business. I don't know about you, but I was literally said follow me for three days how you open and close, and every day I'd walk in and it was like now I'm a Gen Xer, so we don't do this today, but we used to potty train puppies by. When they did a BM on the carpet, you'd stick their nose in it, roll up a newspaper, hit them in the nose and go bad dog. Well, that's what it's like learning how to become a manager for an independent restaurant.

Speaker 2:

Follow me and every day you walk in and you're told what you're doing wrong. Who wants to work in that environment? And today, with millennials and younger, that doesn't work. They'll ghost your ass. They won't even show back up because that's not how they want to work. So, as owners, I have to make sure I have my system, my process, my way that I train my people. And then I'm there not only to coach them but be willing to hold them accountable. And therein lies the rub have the system, train them and be willing to hold them accountable.

Speaker 1:

I think that's so great, because oftentimes we ping pong back and forth between do, delegate, do delegate, do delegate, and what happens is when you remove that accountability and you remove the opportunity to document and you remove the opportunity for you to dream up of what's new, then you get frustrated.

Speaker 1:

And I talked to restaurant owners time and time. And keep in mind, this is a business problem, right, we're not talking restaurant problems right now, we're talking business problems. We had this innovation where we would do and then, as we started to hire more and more people, as we grew more and more, the people weren't doing it the right way and then we realized that we were skipping that step of documenting. So it's instead of do delegate, it's do, document, delegate with accountability and then dream and dream up of what that better world looks like and then start doing that stuff and then document what you're doing and then delegate with accountability and then dream up new stuff. The problem is, when you get caught in that rat trap of do and delegate, you never get to dream, but it's because it's so annoying to document right.

Speaker 2:

So here's the deal. We have technology today. It makes life easy for us. You touched on in the beginning I do everything myself and I delegate. I fail with delegation and it's this vicious cycle. And you said okay, well, you need to document. The last thing a restaurant owner ever thinks about is man, I want to sit in front of a computer, whether it's a Google Doc or Word, and I want to sit there and I want to freaking type this stuff out. You got to be kidding me. It's like I don't even have time in my day to do the things I want to do to market, let alone sit there and say I've got to say this is how you count out a bar drawer. Well, here's the beautiful part, zach.

Speaker 2:

What I teach people is you've got a cell phone in your pocket. I call it a 4K camera. Every time you train somebody to do something it's the first time you're training them on something you grab your phone, you hand it to them. You say hit record Now. I don't give a rat's ass about lighting, professional sound quality. I don't care if you drop the F-bomb 30 times. You say I'm 35. Don't care when you're done teaching them how to do the drawer. When you're done walking through the restaurant, when you're done teaching them how to write a schedule, name the item, you say hit, stop.

Speaker 2:

Now you say thank you and you tell them I'm going to upload this into the internet, whether it's any kind of online drive. You're going to make it a private folder so that the only people that can open that file is the person you send it to, that you've added to it. So I'm going to add this manager. I'm saying I'm going to email you the file. So you click on the link let's say it's in Google Docs. The video comes up. I can watch it.

Speaker 2:

Your job, by the way, is to document everything I just taught you. Not only did I just show you how to do it, but I want you to actually type it up. You, the manager, type it up. And then I'm a Gen Xer, Don't email me, that son of a bitch. No, you want to print it off. You're going to hand it to me and I'm going to grab a red pen, like an eighth grade English teacher, and go nope, wrong, wrong, fix. I'm going to hand it back to them and they're going to make the changes and then they're going to give it back to me, and when it's good to go, I'm going to three-hole punch that puppy, throw it into a binder. And now I've got my operating systems, my SOPs, my operations manual, don't care what you call it. Each one of the things that I teach them, that they document it, goes in here. So now I'm building my systems.

Speaker 2:

By the way, I didn't have to do it. I did what I had to do anyway, which was teach them visually. Now, from there, what I'm going to do, I'm going to get a hundred dollar droid tablet, put baby bumpers on that thing and I'm going to say okay, train the next person I'm going to show you. Then I'm going to say by the way, when you forget, here is the written manual part of it. And if you want, here's this hundred dollar droid tablet, push, play the video. So not only do I stay with them until they can do it on their own, but if they forget three nights later, whatever it may be, they've got a step-by-step guide and they've got a video they can watch. And all of a sudden, I did what I always do I showed somebody, but they actually did the work. Now I'm documenting my systems without creating more work for myself.

Speaker 1:

I love that because it's not about taking the shortcut, but it's about taking the long way faster. You're still doing the hard work, but you're just getting there as if you took a shortcut. Because I think that's the thing is that we think there's so much going on in my brain right now that I can't possibly take the time to sit down and train someone on all of this because it's worthless. Because what happened? Shirley sat down with me and she had me follow her around for a couple of shifts and then she's like great, now you're trained, right.

Speaker 1:

And then how did I know that I wasn't trained on making a strawberry shortcake sundae? Well, when the server yelled across the way, I need a strawberry shortcake sundae and I didn't know what to do, I literally got pushed out of the way, got yelled at for not knowing how to do it. And then she made it and had me watch her. And then I learned from the server right, who is now late on her table, and she was frustrated that I couldn't help her out. That's the old way of doing things and there's easier ways to get to the end of the road, which I think is just such a great idea, man.

Speaker 2:

And I want you to think about. If you're a restaurant operator, everything you do in your restaurant is a task that can be documented, trained and assigned to someone other than you. You are not God's gift to running to the bank and making a deposit. You are not God's gift to writing a schedule. You are just the person who has been doing it and the only person who's been doing it right.

Speaker 2:

And a side note we've all been taught at some level that if you can get somebody to do it 85% as well as you, you have hit a home run. They will never be you. They don't own the restaurant, but if I can hold them accountable, if I can continue to coach them, coddle them, train them, doing everything I can to make them successful, and they can take 85% off my shoulders and it's getting done you're hitting a home run. You're giving yourself time to go get the next catering job, to do the next menu, to work on marketing, to work on your budgets like the things that move the company forward versus spending your day going to the bank and writing a schedule and comping something for a guest or flipping a burger. It just doesn't make any sense when we do that.

Speaker 1:

So when you look at the guest experience because I know we've been talking a lot about the owner's life and what does that take, because I think at the end of the day, that is the thing that's most painful, but the reason people got into restaurants for the most part, when you talk to them, they left. You know I've got friends who have left high tech jobs where they're making 400 a year and they're like, yes, I'm not making that money my first few years of working in building my restaurant, but they get into it because they have hospitality in their blood and they love the guest experience. And so what do you think is the most important aspect of guest experience nowadays?

Speaker 2:

I would say the most important is making sure that you've got everything taken care of in your business that they notice nothing else other than the other person they're with. So, for instance, we think about great hospitality Back in the 80s and 90s. 80s we had Gap and hi, how are you? Hi, can I help you? How are you? We get bombarded. You feel like, oh my gosh, leave me alone. We thought that was great.

Speaker 2:

Then in the 90s we started talking about treat your guests like you want to be treated. You've got to be kidding me. Like if I had a friend come over and they were coming over to my house, I'd be like dude, go get yourself a beer, love you to death and I'm not getting up. So we've got to change how we do things. And great hospitality isn't jazz hands. What it is is from the moment your guests meet each other outside your building. They think nothing of nothing else other than each other. They walk in the door. They didn't notice a dirty window or a handle that's too hot. I'm in Arizona Like you've got a leather binder around it so that you don't burn your hand. You walk in the door. You don't notice that there's gum on the floor or that it's dirty, you don't notice that things are out of place. Instead, you come to the host station or, if you're going to a registered quick service, we kind of flow and we have a conversation. What happens is when our needs are anticipated and met for us hey, please follow me. The host isn't running to the table and leaving us in the dust. They are literally staying with us, conversating, getting us there Versus.

Speaker 2:

I go to the host station. There's nobody there and that internal clock starts happening, and then we start to look at each other and say are we going to get service? Now? Our connection with each other has been broken. No-transcript to shake each other's hands. Go, man, it was great to see you. We should win this place. Great, let's do that again. It wasn't that the server was spectacular, it was that my needs were met and I stayed engaged with the people I'm there with. That's how memories are created, so make sure all the basics are done. You've got to execute on Restaurant 101.

Speaker 1:

And it's tough right, Because when you look at it, there's a thousand places where something can go wrong. We're not the main course as the restaurant. We are the dish and the experience. 99% of the time is the reason that people are coming in is to experience something with the other person. It's not to sit there. And yes, there's some experiential restaurants. Yes, there's some that have like the pizzazz.

Speaker 1:

Yes, I come here because I want to be fed, but at the end of the day, I think about a coach that I worked with. She's a CEO coach of mine to this day. She was living in Brooklyn and there were two coffee shops one that was great and 30 seconds closer, one that was good and 30 seconds farther. And she said, which one did I go to? And I'm like, well, obviously the great one that was closer and she goes. No, I went to the one where they knew my name because at the end of the day, it's like I want to feel something, I want to know that I'm cared about and the attention to detail. Those little things matter so much, because you can't fake the little things. I could fake the one big grand gesture, but all of these little things together where you become invisible and you can just feel at home, right, and not feel like, oh, it smells weird in here, it looks weird over there, oh, there's paint chips over there. But just being the experience in the moment, that's so powerful.

Speaker 2:

I love that man, let's just be very clear. You're not in the restaurant business, you're in the hospitality business. We don't have in the food business. If you were in the food business, we're competing with a gas station. I get food there. So by creating memories and, oh, by the way, we have the privilege of creating memories Think about it.

Speaker 2:

Whether it's somebody's anniversary, it's their 35th birthday, they met each other there, they're just going out because they want to release some steam, it does not matter what the purpose is. When you deliver on your promise of great hospitality, man, you'll be remembered forever. It is much harder to do if you do a lot of things wrong. When you do a lot of things right, you're not noticed. In fact, it seems seamless. It is less about again, jazz hands. Look how great we are to man. Let's make sure we meet their needs. We anticipate and meet our guests' needs versus letting them go.

Speaker 2:

I need, hey, can I get, can I have more? It's the little things that make a huge difference, things like as simple as if you've got bottomless non-alcoholic beverages, sodas, coffees, teas, why do you need to walk up and say do you want another one? Just bring one, because when it's halfway full, there's two sips left, that's it. So when your server comes by and goes, oh well, they're halfway full, I got plenty of time. No, bring another one, take the half empty one away. Don't say a damn word. Make it so that I'm never like, oh man, I'm thirsty, I really hope somebody brings me a drink. Just anticipate the need, meet it. Make sure that we stay engaged. I love that.

Speaker 1:

Man powerful, I'm pumped. I'm ready to open up a restaurant. Man, let's go, David. Okay, look, we're running short on time. This has been just such a great pod. You know so many people. Who is someone that we should be following? Who's someone that deserves an ovation in the restaurant industry?

Speaker 2:

Probably somebody you know very well. It's Matt Plapp, America's Best Restaurants. I think he is trailblazing a new direction when it comes to restaurant marketing from grabbing people at the beginning to taking them through loyalty and keeping them all the way through. It's been amazing to watch him. He has more energy than anybody I've ever met in my life.

Speaker 1:

He's amazing. I literally was just talking to him, not 24 hours ago, and your name just came up organically because we both just are such big fans of yours, and he actually is the one who sent me this neon pizza sign behind me. So that's pretty cool. He's such a cool guy. Love him. He is a must follow. Now, mr Peters, where can people go to follow you?

Speaker 2:

Well, I would go several places. It depends on what you want. You can go to my site, davidscottpeterscom, if you want to learn about what we do. Otherwise, I've got places that you can learn for free. No, no, no commitment needed. Go to my YouTube channel, which is David Scott Peters, or look up my podcast where you and I talked recently, and that is Restaurant Prosperity Formula, found on all the popular podcasting services.

Speaker 1:

And a great podcast. It is Appreciate you showing me the ropes, teaching me how to do a podcast, and so glad we finally got you on for a sequel. The first episode was amazing. This even better, mr David Scott Peters, for showing us how to make the long way short and the hard way easy. Today's ovation goes to you. Thank you for joining us on Give an.

Speaker 3:

Ovation. Thank you, my friend. Thanks for joining us today. If you liked this episode, leave us a review on Apple Podcasts or your favorite place to listen. We're all about feedback here. Again, this episode was sponsored by Ovation, a two-question SMS-based actionable guest feedback platform built for multi-unit restaurants. If you'd like to learn how we can help you measure and create a better guest experience, visit us at OvationUpcom.