Keeping to franchisor standards improves success rates

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In order to understand the importance of enforcing these standards, a franchisee needs to go back to the definition of what a franchise involves.

Franchising is a business concept that it used to distribute products or services. There are two main parties involved in a franchise system: the franchisor (or franchise owner), who lends his trademark or trade name and a business system to the franchisee at a fee; and the franchisee, who pays a royalty and often an initial fee for the right to do business under the franchisor's name and system.

There are two key points to this concept. Firstly, the franchisor lends its trademark and business system to the franchisee. This means that what is exchanged still belongs to the franchisor, so it has the right to say how the business is done. Secondly, the franchisee is given the rights to act on behalf of the franchisor, meaning that the structures put in place by the franchisor still need to be followed - standards and all.

Face of the brand

With a host of challenges in this industry, the topic of maintaining standards is surely the biggest one that franchised companies face. Even with its guidelines, a franchise still provides business owners with a sense of independence to be original, which has also unfortunately led many franchisees to forget that they are acting as the face of the brand as a whole and, when one store is different, it will affect the impression that the customer has of the entire brand.

No matter how much a business owner wants to amend or change the business to suit his or her own preferences, the franchise concept is one which demands a great deal of standardisation and maintaining set standards throughout each franchise unit is vital to ensuring the brand functions in unison. These very standards have secured its continued success, after all.

Tips to maintain high standards

• Follow the guidelines - The franchisor places guidelines to follow to ensure the store works effectively. From the right suppliers, how to prepare meals and how to organise displays, the guidelines shared are there to reflect the brand in the best possible light and help owners secure their success.
  
• Always maintain product and service quality - Quality is one of the most important aspects in any business. If what is served and way it is served does not exude quality, one will not receive quality support from patrons. Quality does not only come down to how the products are prepared, but also where they are sourced. The franchisor makes recommendations of which products to use and from which suppliers for a reason. Recommended suppliers will most assuredly comply with the standards of the brand, which is why they are recommended in the first place. On the service side of things, always remember that each customer is one's most important one and needs to be treated as such - a customer can, after all, make or break a business no matter how great the brand is.
  
• Work closely with staff - It is important to know who is working with one and who is upholding the brand's name on a daily basis. Support and encourage staff to ensure that customers are walking into a friendly and welcoming store. Also, offer staff training as often as possible and take part in any exercises with them; that way one can be confident that the team is equipped to offer the best service and quality to customers.

It is important to note that the franchisor is not there to dictate how the franchisee secures his or her success. The franchisee still has a say in the business to make his or her decisions. The franchisor has the final say over standard operating procedures in the franchise and elements that affect best practice, but even with guidelines on managing the business, the franchisor does not command the franchisee on how a store should be run, which staff to appoint, when to do stocktake, or how to manage income.

The business owner has to take responsibility for his or her own actions and run the business according to his or her goals, while bearing in mind the standards set forth by their franchisor, if the business is to succeed.