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“It Can Be Done”Aslam Khan

Leadership StrategiesUniversity of Texas - Arlington

August 13, 2014

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Who I am Giovanna Koning - Chief Financial Officer

9 plus years in Public Accounting ( CPA) 15 plus years in restaurant finance Extensive knowledge in restaurant industry

Finance Accounting Human Resources Information Technology Acquisition Due Diligence

Summary

It is my privalage to speak on Aslam’s behalf

Present – Background Business – Success Leadership – Strategies Success – Learning Objectives

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Aslam Khan

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Who is Aslam Khan? Aslam Khan is a restaurant executive who rose

from a team member washing dishes to the CEO of multi-unit company and is considered the turnaround artist in the industry. He joined Church's Chicken as a team member washing dishes earning a little more than $3 an hour; he then developed expertise in both operations and marketing. Khan now owns and operates more than 200 Church’s Chicken, Long John Silvers, A&W and Schlotszky’s franchises. He was named a "Hometown Hero" by Church's Chicken for his success and involvement in the community. He is credited with building business and developing effective teams to his “People First” philosophy

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Cont. If there is an individual that defines the American Dream

it is Aslam Khan. Aslam came to the United States in 1987 from rural Pakistan with $20 in his pocket and started as a dishwasher earning $3 an hour in the fast food restaurant Church's Chicken. As the CEO of Falcon Holdings, he is the largest franchisee in the Church's Chicken system 25 years later. Aslam's personal background has led him to devote himself to helping others who are at a disadvantage by enabling them to value their own strengths and determination.  

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Cont. By 1999, he was CEO and owner of 97-restaurant

enterprise which has now grown to more than 165 locations in 13 states. Under his leadership, his company has made drastic improvements in human resources, financial status and growth. He credits his exceptional track record of building business and developing effective teams to his "People First" philosophy. He is an active member of several trade associations including the IFA Board of Directors and has been a leader in helping to advance diversity in franchising.

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Cont. He has implemented many programs in his

company to promote a diverse work force and helping employees purchase franchises and realize the American Dream of being a business owner. He is true example of someone who has taken advantage of the opportunities available through franchising, but more importantly, has given back to the franchise industry and the communities he operates in tenfold.

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Background - Childhood

Born in Pakistan Dirt Poor Oldest of 10 Children Lost his Mother at age 17

Age 14 left home to go to school Traveled 1 hour to school Thru the elements and climate

First job in Pakistan – Tea Boy Was able to work and then go to school

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Background – Young Adult

Worked very Hard to Move Forward Completed School Successfully Attained Job

US Embassy Worked as the Manager of Restaurant Club Learned English and the Culture Met Dignitaries Decision to come to United States – Land of

opportunities

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Background - Adult

Came to this United States 1987 Arrived in Los Angles, California Expecting to obtain a Manager role Started as a dishwasher Moved quickly through the ranks of

management Started bottom up – worked thru all

the ranks to arrive at the top

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Business Success

1997 First Turnaround effort in California

1999 Second Turnaround opportunity in Midwest Strong people development skills Solid business acumen Strategic planner Analytical marketing expertise Extensive turnaround experience Visionary

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Aslam Khan’sMission Statement

To provide operational excellence through well-trained individuals and outstanding service that provides high quality of product that is delivered to the customers.

Manage by consent and empower individuals to make decisions that support and move the organization forward.

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Aslam Khan’sGuiding Principles

“Inform, Influence and Engage” This statement speaks volume of the approach and

principles that apply to the organization and how the leadership provide direction and support

You need to inform individuals of where, how and what they are to do to obtain the best performance

Providing guidance to influence their decisions in everyday tasks and service to the customers

If you engage your employees and customers you will provide the direction to all succeed

Knowledge IT’S WHAT YOU DO WITH IT…

What’s involved… POS Technology, Back Office Systems, Above Store Reporting, Terminal Monitoring

Technology provides information… Humans put it in action

What do you do with oceans of information? Break it down to the lowest level to gain the best understanding of the business

Create meaningful management information

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Dashboard Reporting for Key

Performance Indicators Create a dash board that is relevant to your organization:

Sales Comp and Customer Traffic Counts Daily, Weekly and Periodical Sales comparison to previous year

Daily, Weekly Sales trend comparison to YTD and last period… and to last year’s trend for same time period

Cost of Goods monitoring It is not just one percentage, it is about 100s of items whose percentage

must be broken down Manage COGS Every Week, Every Day, Every Shift, Every Guest…

Labor Matrix comparisons Generate correct hourly matrix for your business Manage exceptions to matrix daily Inventory levels Cash short & over

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Dashboard Reporting for Key Performance Indicators (Cont.) All of the above data should be:

Accurate Relevant Current Readily available Ranking

Absolute Key to All the Above: TAKE ACTION… It’s not about technology… It’s what you do

with it!!!

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Dashboard Streamlined the flow of management

reporting systems Leverage sophisticated management information

systems to create change Daily Reporting sent via email to all operations

and office individuals by 6:00 am Timely data distribution to the operation

teams and training for full comprehension of information P & L compilation and distribution Manager awareness and understanding

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Management Philosophy

Results driven incentives

Short-term operational-based incentives (excellent bonus program)

Focus on long-term wealth creation for stakeholders, management and the brand.

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Management Philosophy (cont.) Support Organizations Culture and

Mission

Focus on people development

Be the employer of choice

Create “open and honest” communication

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Management Philosophy (cont.) Lead “by respect” to increase morale

and retention Operate a flat organization that is

focused on creating superior operations Invite communication at all levels to

create cultural change with the organization

Create an environment that fosters loyalty through example and performance

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Falcon Business Initiatives Built budgets (bottom-up) to generate

excitement and build buy-in Annual process begins with field operations Managers are involved at the ground level

process then flows all the way up to corporate Increased the frequency of internal

operational assessments Focus on training managers/director on

acceptable standards Conduct audits of operations Develop actions plans for corrections

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Falcon Business Initiatives (cont.)

Continue and improve the crucial importance of proper scheduling with the base labor hours allowance Insure schedules are being approved and

reviewed by the Market/Business Manager on weekly basis

Post schedules in clear view in each restaurant Recruit top caliber individuals

Implement training programs to assist in hiring and attracting individuals

Recruit individuals by attractive incentive program for increased earnings potential

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Falcon Business Initiatives (cont.)

Improve and expand on in-restaurant training Conduct training classes weekly and monthly on

various critical areas of the operations such as hospitality, safety, cleanliness and operational excellence

Certify training restaurants in each market along with certify managers

Initiate Sales and Speed of service contests Ran contests on a daily, weekly and period basis

to create competition among restaurants to do better and drive sales with improved customer service

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Falcon Business Initiatives (cont.)

Implemented weekly monitoring tools such as food cost and spending reports with ranking Create awareness of the key business drivers at the

restaurant manager level for optimal performance Clearly post and communicate the performance of

individual restaurants to the manager level for performance results

Completed a store by store assessment of strengths and weakness with a detailed action plan for correction and improvement Created plan in conjunction with field personnel for buy-in

and follow-through of execution of plans

Aslam’s Lessons on Success

Tenacity Persistence Failure is not an option Used the resources to bring

individuals to the level of success People First

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Lessons on Success (Cont.) Everyday we work with individuals of all colors and races

it is important to me to make an impact in their lives.  We recently began to start partnerships in business with

minority individuals that had the skills and passion to move themselves forward. I am personally funding these ventures to create the jobs and opportunities for these minority individuals. It means a lot to me to provide the opportunity to them that I had to work individually and alone after all someone gave me the opportunity.

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Steps to Success Stay Relevant to Change (Are you relevant?) Behave new way of thinking Be Transparent Clarify your Expectations (totally understand)  Speak w/Confidence (Always know Your Subject) Attitude (Mind Set) Have Courage to test New Ideas Test Fast, Fail Fast and Adjust fast Take Risk – You can’t steal the 2nd Base and Keep our

foot on 1st Base Deliberate focus (Whatever you do or don’t do it at all)

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Steps to Success - Change

Change is hard because people overestimate.

What they have underestimate the value what they might gain. Disrupt the Status Create Tension Challenge Support Offer help

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Steps to Success - Communication

Listen & Listen First

  Learn

Build Relationship

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Aslam’s Philosophy

The 9 most important words:

“If it is to be, it's up to me”

The 8 most important words:

“If not me, who? If not now, when”

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Take Personal AccountabilityAslam’s Approach Control over your own destiny Become an active contributor rather than a passive

observer Others look to you for leadership Gain the reputation as a problem solver Enhance your career opportunities Enjoy the satisfaction that comes from getting things

done...the power of positive doing Experience less anger, frustration and helplessness - all

leading to better physical health Realize a positive spillover effect into your personal life

at home

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Closing Comments

Always fight for your Dreams Never Give Up Do you want to be Working Class Stiff

or Entrepreneur Flex (Choice is yours) If Aslam can do you it you can do it

too…..

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Closing Comments (Cont.)

It Can Be Done Really You have to put your mind to Hopefully I have provided teachings and

lessons to achieve success Hard work will pay off

God Bless America!!!34