New York City offers one of the most social life environments anywhere in the globe. New York's population is of approximately 8,224,910 as of 2011. There were 50.9 million domestic and international visitors during 2011. The economic impact of visitors is as follows: Total tourist visiting New York City spending in 2010 was 31.5 billion dollars, wages generated in 2010 due to tourism was 17.3 billion dollars, jobs supported by visitor spending was 310,156 in 2010, total taxes for 2010 generated by visitors were 8.1 billion dollars in 2010, each household in New York City benefited by an average of $1,350 in tax savings as a result of travel and tourism, and the dinning cost average for a dinner in 2012 was $43.46.
In the restaurant that I used to work at, lets call it restaurant X for security reasons; became an extremely popular and successful restaurant in New York City. Management was great at attracting talented individuals to work for the restaurant. Management spent a lot of money and time in adequately training those talented individuals, but management was not aware of what it took to retain those talented individuals and as a result the reputation and business of restaurant X declined drastically.
Management practiced favoritism which meant that some individuals were treated better than others, so when performance evaluations (average guest check, total sales, and customer's feedback cards) were done, individuals who were managements "favorites" were less judged and tended to receive more positive feedback even though their performance might have been less than others.
This type of unequal performance evaluations frustrated many while it praised others. As a result, the employees that had better performance records quit, leaving the less qualified employees to be the face of the restaurant. After a few months, the restaurant's ratings and net set faced a drastic decline. To this date, restaurant X has not picked up business or publicity.
To avoid facing this problem, I suggest three alternatives.
1) Minimum Sales Requirements: This target sales will allow the restaurant to meet break-even point and stay in business. It can also be set to a sales point that can generate a certain percentage of profit. It all depends on management.
2) Surprise Shoppers: These shopper will come to the restaurant to evaluate employees and experience and management can improve pr correct based on their feedback. These shopper will tend to be friends of management.
3) Compensation Packages: Packages design to motivate the sales of all employees, These will include a few days vacation pay, full dinner reimbursements to employees on in-city restaurants, cash bonuses, free dinners at restaurant, among others.
As a result, the restaurant will perform as expected since all employees' job will be on the line and the incentives will motivated them to sale more to win the compensation packages given out by management.
Sources:
http://www.nycgo.com/articles,nyc-statistics-page
