1. Human Resources

2. 3 Regional Teams and a National Department Recruitment Benefits and Compensation Diversity Administration

3. Human Resources UK – 1197 restaurants 67,000 employees Hourly paid mix 53% male 47% female 78% of our employees are under 21 Salaried employees 58% male 42% female

4. Recruitment

5. Staffing for Growth Calculator

6. Recruitment Group Recruitment in Croydon Group One of two Recruitment Centres in the Country Allows a large number of candidates to be assessed effectively Candidates work in teams, which make them feel at ease Team working and interpersonal skills are apparent and easy to assess

7. Group Recruitment Application form pre-screened and entered on to database Applicants are invited to Group Interview. Targeted questions are asked Managers assess both the answers and the discussion process Successful candidates are invited to return for a second interview

8. Second Interviews - Hire the Smile

9. Why do we use Hire the Smile? Strengthen the Brand Train managers to interview and hire correctly and confidently Helps to make the right hiring decisions Improve customer satisfaction Reduces Staff turnover HIRING THE BEST PEOPLE IS A MUST

10. People/Business Benefits Reduction in Crew Turnover Central Region TTM 2004TTM2005TTM 2006 93.33% 69.88% 67.55% Overall will lead to improved customer satisfaction and Profit

11. Counting the Cost of a Bad Hire Central Region Crew T/O11,312 T/O with less than 3mths service2416 Average per restaurant40 Bad Hires 50%20 Cost of Turnover£178 Cost per restaurant£3560 Cost to company£2.6m

12. HTS Selection Process Application/Pre screen First Interview Group Interviews within Croydon Second Interview/OJE HIRE

13. HTS Competencies Job FitTeamwork I'm lovin’ it Service SpeedAccuracy Personal Interaction Customer Engagement

14. HTS Evaluation Simple Traffic Light Rating System Does not meet HTS standard Unable to assess further verification at 2 nd Interview/OJE Meets HTS standard

15. How does the OJE Work? 15 min customer focused exercise –Dining Area –Front Counter –Window Three The OJE gives you the opportunity to confirm that the applicant has the smile and customer focus we need

16. Candidate Feedback Surprised at level of assessment Generally enjoyed the OJE experience – although all were nervous OJE gave good expectation of the job Felt more comfortable about starting as they knew some of the people Realises important part of their role would be customer service Felt good about getting the job

17. Looking after your “Hire the Smile” Welcome Meeting Uniform Buddy System, training Performance Reviews

18. Staff training

19. CDP3 Crew Development Programme Staff can gain external qualification NVQ Level 2 (multi-skilled hospitality) on completion of CDP

20. Key Points Training materials Flyers Station Guides Station Observation Checklists »Flyer – Station information leaflet given to Crew to review prior/post to training »Station Guide – Visual procedure reference, located at station during training »SOCs – Observation conducted by Crew Trainer after training to check competency

21. Flyers, Station Guides & SOCs

22. Training Programme Initial Training –12 SOCs@ 80% –2 Safety SOCs @ 100% –QS&C Unit Classes Ongoing Training –SOC 1 every 2 months Recognition –Star system Q,S,C –Excellence Star for Additional Training completion Recommended completion –FT 12 months –PT -18 months Independent assessment

23. Performance Management

24. Objectives Clear expectations Increase confidence and accountability –Employee –Reviewer Problem areas identified and overcome Improves Performance

25. The review Consists of: –Business results QSC Scorecard 3 key business results Business Indicators –Personal attributes –Summary

26. Key Points of an appraisal Results Recognition Strengths & Opportunities Motivation Direction

27. Implications of consistent Management practices What benefits are there? Image Confidence Reputation Pride at Work Recruitment Retention Profit

28. Discipline and Direction Informal / Formal Chat / Open Door Policy / Counselling OCL’s / Performance Reviews Notice / Crew Meeting to Clarify procedures Formal Disciplinary action –Warning –Dismissal

29. Streams of Discipline Lateness Attendance Misconduct Performance Cash handling

30. Independent Assessment Every store recieves a monthly assessment Employee files Training assessment HR practices Action plan formulated and graded.

31. Employer Reputation McJob – Change the Definition Friends and Family Contract Qualifications Our Lounge

32. McJob

33. Friends and Family Contracts The flexible contract rewards our best performers and trusted employees. There are eligibility requirements: a performance grade of good or better trained and competent to the same level a minimum of 4 months service a clean disciplinary record

34. Qualifications 1800 staff are currently studying on-line for GCSE Maths/English equivalent qualifications Announced last week McDonald’s has achieved awarding body status, so we are able to award our own recognised qualifications up to A Level standard.

35. Our Lounge… www.ourlounge.co.uk

36. Any Questions?