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Personality testing helps to screen out incompatible franchisees

Personality testing helps to screen out incompatible franchisees

TAMPA FLA. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

Franchisors such as Beef ‘O’ Brady’s Family Sports Pub, a 222-unit chain based here, no longer look at just whether a candidate can come up with enough cash to invest in a franchise, but whether he or she has the personality profile to adapt to the brand’s culture. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

“We test potential franchisees to see if they have the skill set to talk to guests and be actively involved in the community,” said Nick Vojnovic, president of Family Sports Concepts Inc., franchisor of Beef ‘O’ Brady’s. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

The 22-year-old chain strongly encourages franchisees to take active roles in their local communities, joining organizations, doing volunteer work and sponsoring youth sports and academic programs. The approach has been so successful in driving sales that franchisees now sign a marketing agreement to commit to the Beef ‘O’ Brady’s “way of life.” —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

But after formalizing the marketing program a couple of years ago, the franchisor’s executives realized some franchisees were much better at community activism than others, and their stores were more successful. So they began looking for franchisees who already have a community-oriented personality, Vojnovic said. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

“We really needed to get better about selecting partners,” he said. “Some want to come and spend their money, but, rather than say, ‘Bring it on,’ we want to be more selective. It does everyone a disservice if we bring the wrong person in to do a Beefs. They are not going to make it.” —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

More franchisors across industries are doing personality profiles, and the restaurant industry is no exception, said behavioral testing consultant and author, Bill Wagner, chief executive of Accord Management Systems in Westlake Village, Calif. He estimates that he assists 30 franchisors, including restaurant operators, with behavioral testing of potential franchisees. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

“It’s become more prominent among franchisors,” said Wagner, author of the book “The Entrepreneur Next Door.” “The cost of making a bad selection for them is very, very expensive. It’s your name on the facility. If the franchisee fails, everyone sees your name as a failure.” —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

Today’s behavioral tests can determine with 90-percent certainty who should not be a franchisee for a brand, he said. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

Selecting the right franchisees is paramount for both the franchisees and franchisors, Vojnovic said. Beef ‘O’ Brady’s franchisees must invest around $450,000—at least $100,000 in cash and the rest through financing. Today, annual average-restaurant sales are around $1 million, with 50 or 60 units doing close to $2 million. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

Franchisees who are able to build a connection with a community and invest in it get a strong return on their investment, Vojnovic said. Testing helps find the right franchisees. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

Beef ‘O’ Brady’s test breaks down people’s personalities into four categories, he explained. The company looks at a potential candidate’s leadership and management aptitude, work ethic, customer service attitude, and selling potential. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

The franchisor is looking for franchisees with supportive management leadership styles, typically found in people who have been teachers or coaches and those who have worked with young people in retail operations. The ideal Beef ‘O’Brady’s franchisee has a strong work ethic and doesn’t mind putting in 60- or 70-hour weeks to get the business off the ground. Future franchisees also need to be sociable and outgoing sales people who are willing to go out into the community, he said. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

The test quantifies the characteristics of some of Beef ‘O’ Brady’s more successful franchisees. Longtime franchisee Don Bosko often tells new franchisees when they come to the chain’s Tampa headquarters for training about how his stores were given a boost after he began talking to neighbors and getting involved in the community. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

He packed lunches of chicken wings and salads and took them to businesses near his first Beef ‘O’ Brady’s branch in Lakeland, Fla. After finally getting an insurance salesman to come in, Bosko learned the man’s daughters were on the local high school’s volleyball and basketball teams. He offered to sponsor game shirts for the teams. It was the turning point in his business. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

“You never know who it’s going to be, who will bring you your first 500 customers,” Bosko said. “You have to get out of the restaurant, go to other businesses, go to the schools.” —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

Beef ‘O’ Brady’s franchisee screening has always been tough, said Bill DeFries, who has operated a location in Centerville, Ohio, for almost three years and recently received the 2007 Citizen Advocate Award from the local school district for his support of students. DeFries has given away more than $125,000 in food and money since opening his restaurant. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

He applied shortly before the chain began its behavioral testing, but even then, he had to fill out a lengthy questionnaire before he was approved. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

“They wanted to make sure we had the wherewithal, the tenacity and personality,” DeFries said. “It was not just having enough money, but would we get engaged in the community.” —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

Beef ‘O’ Brady’s has been so successful with the behavioral testing, the company is now hoping to develop tests to help franchisees screen future employees, Vojnovic said. —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

“That’s our next step,” he said. “It’s the weak spot in our game. We need to get much better at screening and picking our employees as well.” —Personality and behavioral testing is not just for job applicants anymore as restaurant franchising companies increasingly employ such exams to screen prospective franchisees.

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