Vegetarian Express, Wholesale Food Supplier
Like many small businesses, Vegetarian Express, a supplier of vegetarian ingredients to contract caterers, had reached what seemed to be an impenetrable barrier to further growth. Founder David Jonas was so involved in daily tasks that he had no time to spend on strategic planning. With the help of Shirlaws and some focused business coaching, Vegetarian Express is now enjoying a surge in turnover and new-found enthusiasm from everyone working in the business.
Originally founded in Watford in 1987, Vegetarian Express had built up a successful business with around 12 employees. However, by 2004 the business seemed to be approaching its limit. "We reached a brick wall and weren't sure how to jump up to the next level," says Jonas.
In effect, Vegetarian Express was lacking an effective business structure - a problem faced by many small, growing businesses. As the business expands, so the founders find themselves trying to do too many things related to the basic running of the business, denying themselves the chance to focus on business development. "We were scratching our heads, trying to get through this barrier," confirms Will Matier, Jonas' long-time right-hand man. "Shirlaws explained that businesses get to this point. You are really busy all the time. You are working flat out but can't see a way to expand the business - because you are so busy all the time."
Having attended an introductory seminar given by the international coaching organisation, Shirlaws, Jonas decided to sign up as a client. Mark Riminton, an experienced business coach, began the relationship by completing an assessment day. He familiarised himself with the business and its employees. Riminton then began monthly coaching sessions, each one lasting a day. Personal sessions were held with Jonas and Matier, as well as group sessions involving all other staff. During these, Jonas and his team were able to work out solutions to the problems and challenges they faced.
During the coaching sessions, Riminton outlined a functional structure that might help the business. The Shirlaws approach divides the functions required in a successful business into three groups and colour codes them. Blue denotes anything to do with clients, including products and services; red symbolises back-office administrative tasks, such as the accounts and running the IT; black denotes key management functions and issues - such as how to develop the business and strategies to stimulate growth.
As the coaching sessions progressed at Vegetarian Express, it became clear that Jonas was spending most of his time on ‘red' tasks, such as the IT system, when he needed to be concentrating on ‘black' functions. He therefore needed to free himself from back office routines by giving responsibility for these tasks to other people in the business. Jonas feels the coaching helped him to do this. "It freed up my time," he says. "It inspired me and prompted me to do more of what I should be doing - working in the ‘black' area of the business - thinking up new ideas, being the scout on the front line and leaving the admin and operational matters to others. It's certainly helped me to do that."
However, Jonas didn't just impose the new functional structure by delegating responsibility to selected individuals. Under the Shirlaws approach, employees are encouraged to volunteer for functions that they would like to take responsibility for, and this is what happened at Vegetarian Express. "People were putting their hands up, saying they would take things on," recalls Matier. "Mark really encouraged people to take ownership of a role and to do it to the best of their ability." One individual who joined the business as a storeman has since become operational manger. "He volunteered for tasks and was given the power to do them," says Matier. "He could see he could make a difference."
Jonas certainly found the ‘blue, red, black' approach useful. "It gave the business structure," he says, "and it enabled us to identify the qualities that give value in the business. It helped us to formulate an outline business plan for our growth over the next five years and what we needed to do in that time to put value into the business and gave the employees confidence because they had a better understanding of, and identity with, what they were doing. This system also gave us some courage to do some ‘cleaning up'. There were one or two employees who didn't fit in the business and who weren't motivated and were blocking our progress, so it gave us the courage to encourage them to go to greener pastures elsewhere, so we could bring other people in."
The personnel now working in the business have been given new enthusiasm. "They could see the benefits," says Matier. "They have opportunities to take responsibility and at the end of the day, that means a bigger job and more money. People can become more professional. Everyone here recognises the difference. We are hiring more people and the firm is growing, which is good for them." The impact has certainly been significant. Vegetarian Express now has 22 employees, with significant further recruitment planned, and turnover is increasing at a rate of between 25 to30 per cent.
Through working with Shirlaws, the management team has also developed a clearer focus on where the business should position itself. While there are other and larger vegetarian foods suppliers, Vegetarian Express is carving out a niche as a supplier of specialist produce. "We are quality driven, not price driven, and we supply unusual products," says Matier. "We supply things the customers can't get from the big guys."
The coaching sessions have also introduced new management tools, which can help with the day to day running of the business. For example, Shirlaws uses a model called "think, feel, know" which is designed to improve interpersonal communication. It explains how different people take in information in different ways - some need information to think about, some are led by their feelings and senses, and some emphasise intuitive knowledge. Providing information in the form that a particular person will receive easily can greatly enhance communication in the business.
Other changes at Vegetarian Express inspired or accelerated by Shirlaws' coaching have included the incorporation of the business, with Matier becoming a co-director and minority shareholder. Matier's role has also evolved into that of the general manager, whereas before he was predominantly sales-focused and a new full-time sales person was recruited to support this change.
Matier feels the coaching, which lasted just under a year, has been worthwhile. "Having an outsider come in with a dispassionate view has been very helpful," he says. "I would definitely recommend it. It's only done us good." He also appreciates Riminton's input. "Mark is a very personable man and seems very knowledgeable," Matier says. "He doesn't tell you to do anything, but has a lot of experience with other businesses."
Jonas also appreciates the style of the Shirlaws input. "They don't so much do things themselves in the business," says Jonas. "Rather they hand over their philosophy and technology and teach it to you. It liberates you to see better ways of doing things and of growing."
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