Gender balanced management teams make for safer and more engaged employees, Sodexo study finds

Study of 50,000 Sodexo employees finds teams with gender diversity achieve better results across the board

International services company Sodexo has found teams managed by a balanced mix of men and women are more successful across a range of measurements including employee engagement and health and safety.

The five-year study of 70 Sodexo entities across different functions represents 50,000 managers worldwide and tested the performance implications of gender-inclusive work culture. The study examined women across all levels of management – not just upper-level leadership positions – in order to investigate the “pipeline” that will ultimately affect gender balance at the top tier of businesses.

Sodexo’s study found that non-financial factors can also significantly benefit from a more equally structured leadership, with benefits including;

Gender-balanced management reported an employee engagement rate that was 14 percentage points higher than other entities

Gender-balanced entities saw the number of accidents decrease by 12 percentage points more than other entities.

Gender-balanced entities had an average client retention rate that was 9 percentage points higher than other entities.

Gender-balanced entities had an average employee retention rate that was 8 percentage points higher than other entities

Operating margins significantly increased among more gender-balanced teams than other teams.

The pattern of results indicated that a near-equal balance of men and women in management was critical to observing gains in financial and non-financial KPIs. Once the proportion of women in management exceeded 60%, the benefits plateaued, confirming that a mix between 40% and 60% is necessary for optimal performance.

Analysts also found a direct correlation between the percentage of women in the total workforce and those in management, indicating gender-balanced workforces and leadership create an environment supportive of career growth for women. This lends support to the idea that gender parity in top leadership is closely related to the pipeline of women in the workforce.

Sodexo, already a leader in diversity & inclusion, is breaking new ground in gender parity. Today, women represent 50% of its board. Thirty-two percent of senior leadership positions are held by women globally – a 6% increase at the very top levels since 2013.

Middle management and site management positions are balanced at 46%. Currently, 59% of the total workforce works within gender-balanced management.

The Sodexo Gender Balance Study originated in 2014 with Sodexo’s desire to improve its gender parity in leadership throughout the management of its 425,000 global workforce and to expand previous outside research on gender parity in the workplace.

The full report can be accessed here: http://bit.ly/2tmBIbm

 

 

35 of UK’s Top 100 restaurant groups now loss-making – up 75% in just a year

• Oversaturated market, minimum wage hike put pressure on restaurants
• Another minimum wage rise just weeks away

35 of the UK’s Top 100 restaurant groups are now loss-making, up 75% from just 20 last year, shows research by UHY Hacker Young, the national accountancy group.
UHY Hacker Young says that trading conditions have become increasingly difficult for restaurant chains dealing with oversaturation in the market as well as rising costs.
The firm adds that this research comes on the back of the high-profile struggles of several major restaurant chains in recent weeks, including:

• Jamie’s Italian, started by Jamie Oliver, which has closed 12 branches as part of a Company Voluntary Arrangement (CVA) to restructure its £71.5m debt
• Byron, the burger chain, which may close up to 20 of its 67 branches following a period of paying reduced rent
• Prezzo, the Italian chain, which is expected to close some of its 300 branches as part of a restructuring
• Strada, another Italian chain, which closed 11 branches over the festive period
• Barbecoa, another Jamie Oliver chain, which entered administration in mid-February
• EAT, the sandwich chain, which was rumoured in early February to be considering closing some of its 100 branches

UHY Hacker Young says that pressures of competing with numerous similar ‘fast casual’ restaurants in an overcrowded high street are a major driver of many large restaurant groups registering losses over the past year.

It adds that the National Minimum wage, which has risen by an above-inflation 19% to £7.50 per hour over the last five years, has added a substantial cost burden to large restaurant chains. From April 2018, the minimum wage will rise even further to £7.83.

Peter Kubik, Partner at UHY Hacker Young, comments: “More than a third of the biggest companies in the restaurant sector are losing money, and there is little respite on the horizon.”

“Pressures on the restaurant sector have been building for years, and the last year has pushed a number of major groups to breaking point.”

“With Brexit hanging over consumers like a dark cloud, restaurants can’t expect a bailout from a surge in discretionary spending.”

“Consumers only have a finite amount of spending power when it comes to eating out, and the oversaturation of the market means that groups that fall foul of changing trends can very easily fail.”

“The Government has ratcheted up costs with a series of above-inflation rises in the minimum wage, and we are just weeks away from another 4.4% rise in April. That will be tough for a lot of restaurants to absorb.”

About UHY Hacker Young:

 The UHY Hacker Young Group is one of the UK’s Top 15 accountancy networks with 110 partners and more than 620 professional staff working from 22 locations around the country. The offices within the Group provide a wide range of accounting, tax and business advisory services, with a reputation for integrity and reliability within the financial community, and particularly with London’s Stock Markets. UHY Hacker Young are also ranked 15^th in the ARL Corporate Advisers Rankings Guide amongst other UK audit firms for advising London Stock Exchange listed companies.

UHY Hacker Young is a founder member of the UHY International network with offices in every major financial centre in the world. Further information can be found at www.uhy-uk.com

 

How restaurants are reacting to Vegetarian Month

March is vegetarian month. Recent news shows that an estimated 29% of evening meals in the UK are vegetarian or vegan. These numbers only seem to be increasing, but just how is the hospitality industry reacting? Wayne Redge reports

Reports show that sales of meat-free ready meals were up by 15% in January compared to 12 months before. Vegan numbers went up from 150,000 in 2006 to 540,000 just a decade later, with 1.2 million vegetarians in addition to this in the UK. Not only that, but there has been an uprising of ‘flexitarians’, those who reduce their meat consumption by choosing to have meat-free days. As a result, evidence shows that 25% of people in Britain have cut back on how much meat they eat. With all of these figures on the rise, the transitions to a meat-free way of living aren’t just a ‘fad’.

Signs of the hospitality industry acknowledging these statistics has come with many different reactions. Nando’s, the Afro-Portuguese chain restaurant known for its chicken, has been consistently adding to its range of vegetarian and vegan options over the past few years. The spiced chicken giant has now announced that two more vegetarian dishes will be added to its menu: golden brown halloumi sticks served with a pot of sweet chilli jam dip to start, alongside a new main of Veggie Cataplana (a South African inspired stew dish.)

A host of vegetarian restaurants are also popping up, giving people who have adopted this lifestyle a lot more options. Run by former mentee of Gordon Ramsay, Minal Patel, “Prashad” is a 2 rosette and Bib Gourmand standard Indian cuisine restaurant. The personalised and crafted menu boards created by Smart Hospitality encase an all vegetarian menu that has been the talk of popular review site, Trip Advisor, since the restaurant opened its doors. Receiving the “Most Talked About Restaurant On Trip Advisor Award” and a “Certificate of Excellence” on the site, it is proof of the popularity that a vegetarian restaurant can receive by focusing its efforts towards a collective audience.

January of this year saw a mass of high-profile restaurants trying out full vegan menus or dishes for ‘Veganuary’. Harvey Nichols brought a full vegan menu to its OXO Tower restaurant in the shape of a three course vegan meal and vegan wine list. Upon opening their menu cover, guests were welcomed by the sights of Grilled Tofu with Miso and a Poached Pear and Blackberry Dessert.

Even Michelin Star chef, Tom Aitken took part in his Tom’s Kitchen restaurant . Teaming up with vegetarian burger company, The Vurger Co, he served up a hoisin glazed mushroom patty with pak choi, red cabbage and crunchy spring onions ( pictured above). Due to the success of this vegan burger, he has adopted a vegetarian burger to his main menu since then.

The amount of vegan festivals has seen a massive increase too, with at least 75 festivals lined up for 2018 in the UK alone. The festivals are a celebration of the natural lifestyle whilst also introducing its participants to new vegan restaurants and foods that they may not have tried before. Restaurants are creating pop ups at these events to promote themselves to the vegan following and gain some new supporters.

So, with the popularity of no-meat lifestyles on the rise, it is clear that restaurants have an opportunity to increase their offerings and enable themselves to appeal to a wider clientele. If 25% of evening meals being eaten are meat free, would restaurants do well to make 25% of their offerings meat free? It might even serve as a cost effective alternative whilst not compromising on quality.

Wayne Redge is marketing assistant, Smart Hospitality Supplies