72-unit Pizza Hut franchise has “eye popping” savings with Delaget’s loss prevention solution

 

 

The business challenge

Wisconsin Hospitality Group – the largest food service franchisor in the state—was suffering loss due to employee theft. Their old solution was time-consuming and cumbersome for their area coaches to navigate. Plus, their operations team suspected ongoing theft cases across their 72 Pizza Hut locations were slipping through the cracks.

“There’s nothing more disheartening to learn than someone is stealing from you,” says Amy Boshears, WHG VP of Operations. “But when you find out it has been going on for six to eight months, that’s crazy!”

WHG needed a more proactive solution that could make loss prevention simpler and get real results.

“We knew we had theft going on,” says Boshears. “But it was taking us a lot longer than it should to identify employees stealing.”

On top of that, WHG wanted a tool that could also help their team get to the core of their operational data, and fast. With mountains of metrics—including labor percentages, food costs, and inventory—general managers were overwhelmed by the time it took to corral their information.

“Our GMs struggled to get into and understand their data,” says Boshears. “They just felt like it was too much time.”

WHG set a goal to create a measurable difference across their organization, focused on both loss prevention and operational efficiency.

They needed a solution partner that would help area coaches identify employee theft faster without turning them into full-time detectives; and they needed a tool that could drill into their numbers automatically for smarter data-driven decisions across their restaurants.

The solution

WHG chose Delaget Guard, a Software-as-a-Service (SaaS) solution that reduces restaurant loss to employee theft and uses a proprietary data algorithm to make powerful operational recommendations for improved restaurant efficiency.

“Obviously, as restaurant managers, we can’t be everywhere all the time and watch over everybody,” says Pizza Hut General Manager, George Fraine. “But Delaget Guard does.”

That’s because Delaget Guard offered an intuitive interface for WHG to collect their most important data, display it simply, and offer clear suggestions on how they could improve performance at their restaurant locations.

“I know that Delaget Guard has had a substantial impact, both in theft and from an operational standpoint,” says Boshears. “I would definitely say that Guard has exceeded my expectations.”

The outcome

Loss prevention

WHG has saved thousands of dollars by identifying ongoing theft with Delaget Guard.

“We were able to find a manager that was canceling orders and pocketing the money with Delaget Guard,” says WHG Director of Operations, Brittyn Pitt. “We dig a little more and find he was also manipulating inventory on countless other items to the tune of about $9,000. That’s one week of sales for that store.”

What’s more, Delaget Guard helps restaurant operators see results fast.

“It makes our managers’ jobs much easier,” says Pitt. “They’re not spending their entire morning going through reports or receipts, they’re logging into Delaget Guard and spending 10 to 15 minutes instead of an hour.”

With rapid data analysis and automated email alerts, it’s become commonplace for WHG to stop employee theft incidents.

“We suspected a delivery driver of cash order theft,” says Pitt. “So I went into Delaget Guard and checked, and I immediately found a critical alert in less than a minute. That driver had stolen upwards of $2,500 in over two weeks.”

This rapid response time has helped WHG reduce overall instances of employee theft.

“Delaget Guard helps us catch things quicker,” adds Boshears. “It’s a couple of days before we know, not months where somebody has been robbing you blind. Without Guard, we probably would not have caught them right away and it could have gone on much longer.”

Operational efficiency

Not only was it important that WHG had a solution to weed out employees who had stolen, it was also important to help support their good employees, too.

“Delaget Guard helps us make sure everyone is viewing their numbers with a tight eye, discovering bad metrics, and eliminating them,” says Boshear, adding that her first training session with Delaget Guard helped uncover a huge opportunity she would have never expected.

“Our Delaget trainer actually pointed to one of our stores, saying ‘Hey, there’s probably something to improve here,’ and I never would have believed it. It was a location run by one of our best operators who had been with us forever, but as soon as we started digging, the Guard reports found operational issues that we were able to fix really quickly.”

The store made a tremendous turnaround within weeks, with sales going from a net negative to double-digit growth.

“It was really this eye-popping moment,” says Boshears. “Delaget Guard has really been a great tool for us. It has taken a lot of stress and time off of people’s plates.”

WHG wanted to help their managers make data-driven decisions that would give them more time and better revenue to improve their operation.

“I would recommend Delaget Guard for anybody that runs a restaurant,” says Fraine. “It does a great job of compiling information and is really easy to use. It’s definitely improved the accountability and culture in our restaurants.”