Promises Made Are Promises Kept!

A few days ago, I visited my favourite little Bistro. They are known for good cheesecake and a pleasant lunch menu. Because it was nearly lunchtime, I ordered the Prego that was on the special menu. What made this Prego special is that the menu announced that it is made with a filet steak instead of the usual tenderised steak or a thin slither of shoe sole that one often encounters at little Bistro’s that offer Prego’s on their menus. At fifty-five Rands, for the Prego, small salad and French fries included, the price sounded reasonable; especially when one considers that the Bistro uses filet steak and nothing else.

Great was the disappointment to discover that the “filet” being used was actually a reasonably cooked tenderised steak. In spite of feeling a bit betrayed, the meal was well presented and flavourful.

However, this is not a restaurant review. I relate this story to highlight a few classic traps that entrepreneurs can avoid if they are alert. In this case, the owner of the Bistro stepped into a long isle of nasty bear traps. In addition, the most unfortunate of this fact, is that the owner do not seem to realise the damage being done to her business.

First, the owner is a restaurateur but does not seem to know a lot about ingredients. Any beef or pork presented as a filet cannot be tongue-shaped when the meat is cut cross-grained. In such as case, filet would rather be medallion-shaped. Second, the owner of this little Bistro told me in a telephone conversation that I was not the first patron who complained about not being served a filet Prego but something else instead. Third, the owner was not on her premises when the incident occurred. She was elsewhere and entrusted the whole restaurant to an inexperienced manager. Fourth, the owner has been using the same butcher for almost five years. This butcher has been selling her tenderised steak at the price of filet for that whole time.

Clearly, there are a few lessons that entrepreneurs can take out of this tale:

·        Know your product;

·        Select your suppliers carefully and make sure you pay what you asked for;

·        Do not hesitate to inspect goods delivered to you by your suppliers. Their dishonesty or incompetence can ruin your reputation;

·        Make sure that you actually sell to your clients what you offered to them. If a filet Prego is on the menu, then the client expects a filet Prego and nothing else;

·        Be at your premises as often and as much as you can. If you need to appoint a manager to take care of your business, make sure that manager is well trained and able to handle dishonest suppliers and irritated clients.

No entrepreneur can afford that your own incompetence ruins your business. It is even more unforgivable if clients complain repeatedly about the same thing and you do not replace that supplier. It is not worth it to let your business suffer to consequences of a dishonest supplier. No matter the level of the good relationship you had with that supplier. Once trust is broken, it is best to walk away in the interest of your own reputation.

This is the official blog of Skopus Business Consultants. Visit us at www.skopus.co.za