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EDITIONS
Working LunchFriday, 20 June, 2003, 10:31 GMT 11:31 UK
Benjy's: business makeover
Benjy's sandwiches are healthy and cheap
Three years ago Benjy's sandwich shops were very different places.

The shops were dull, quality was unreliable and most people chose to buy their lunch elsewhere.

Ian Rickwood then led the management in buying the business and set about making changes that would turn it into everyone's favourite sandwich store.

What was wrong?

  • Shops were dingy
  • Management was poor
  • Product range limited
  • Products varied in quality
  • Cheap products at low prices
  • Some stores made their own sandwiches
  • Health and safety rules were scarcely met
  • Low staff morale
  • No strategy

    Not much was right!

    Just think...

    Work out the effect of each of these problems.

    Putting it right

    Ian's first move was to appoint an effective management team.

    He brought in people who knew about the food industry, had plenty of practice in distribution and could sort out the finances.

    They set about creating systems to make the business run efficiently.

    Cash was no longer collected at the end of the day and taken away in the back of a Jag!

    Just think...

    Why do experts make a difference?

    A strategic vision

    The team knew what needed doing. They had to find things out and make some decisions.

  • Who are the customers?
  • What do they want?
  • How to meet health and safety rules.
  • How to motivate the staff.
  • How to make the business more efficient.
  • How the business should develop.

    Just think...

    The answers to the questions and the decisions needed turned out to be connected.

    The business had to update the factory where the sandwiches were made.

    How do you think this relates to the other points?

    Customers

    No one had ever asked the customers what they wanted. Benjy's was viewed as a cheap sandwich shop with a narrow selection and uncertain quality.

    Ian's team started asking them what they wanted. This led to a wider range and new lines including a gourmet range, healthy eating and lite bites.

    There's also hot food, fresh fruits, desserts and cakes - all at very good prices.

    When new products are introduced, Benjy's has found giving samples is the best way to tempt people to buy them.

    The stores have also been revamped to give customers the delight factor. It's a cheery place to be so customers come in happily.

    Buying lunch isn't just a chore. In just three years 70% of the shops have been revamped and the rest will be done by the end of 2003.

    Just think...

    Why is it important to find out what customers want?

    Why are free samples a good way of persuading customers to buy new products?

    Why is the sandwich business a good one for giving free samples?

    Why is the shop environment important in a business like this?

    Health and Safety

    The old factory was sailing very close to the wind.

    Health and safety is critical in this sort of business. A bout of food poisoning can quickly wipe out a chain like this.

    Ian's solution was to work very closely with the Environmental Health Officers and make sure they got it right.

    The factory needed work to make it efficient. Shops stopped making their own sandwiches - so everything was done in one place.

    The factory is now a star performer and has become a centre of excellence and the Environmental Health Department in Tower Hamlets, the part of London where it is located, want to use it for training its staff and guiding people who want to start in the food business.

    Just think...

    Why was it more efficient to make all the sandwiches in one place rather than letting shops make their own?

    Why is it a good idea to work with organisations that inspect you - instead of waiting for a nasty surprise?

    Happy staff

    Most of Benjy's staff were casual labour. This gave them little commitment to the organisation.

    Ian's team set about creating a more effective workforce.

  • There are proper selection processes.
  • Staff are now employed on proper contracts.
  • English lessons are given to those who need them.
  • There are salary review processes and career development plans.

    This has led to a winning culture based on teamwork and integrity.

    Just think...

    Why are happy staff critical to a business's success?

    Why is it important that staff can be trusted in business like this?

    Why do people feel better about their job when they feel they are trusted?

    Why is teamwork important in a sandwich shop?

    Into the future

    The secret of success is not standing still. The factory and the shop chain have been revamped.

    A catering and delivery service have been introduced.

    Twenty more shops have been opened and there is a plan to roll out across the country.

    Ian has looked at the future and made plans to grow. There is plenty of potential now that Benjy's has created a new image that attracts customers.

    Just think...

    Why is development important in a competitive business like this?

    Can you think of anything else the business might do?

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