QSR August 2022

DEPARTMENT FRANCHISE FORWARD

Diversity from the Top Down Franchising can prove a powerful vehicle for restaurants to create career opportunities. BY HILARY DANINHIRSCH

and measurable steps.” Some of these steps she sees brands take include mentoring, recruitment, and pro grams specifically aimed at increase diversity. “I think it’s almost like vision statements and core values. Everyone has them, but for a lot of brands, they sat in the drawer and were never referenced; that is where diversity was. Now, we’ve taken everything out of the drawers and put it on the walls and are focusing on it as an industry,” adds Gagnon, who is also the chair of the International Franchise Association’s Women’s Franchise Committee.

Traditionally, some of the obstacles to becoming a franchise owner was the startup capital, which could be cost-prohibitive to many potential business owners, as well as the educational opportunities and skills required. That is why some companies are taking proac tive measures to break down barriers, many of which disproportionately affected minorities. To be a successful entrepreneur, you also need a social network. “The IFA found that entrepreneurs of color have smaller and less connected networks. Also, there is discrimina tion: unconscious bias that these entrepreneurs are facing,” says Abigail Pringle, president of international and chief development officer with Wendy’s. These capital, educational, and social gaps are gradually being recognized and rectified through various initiatives across the industry. In January, Yum! Brands, a Louisville, Kentucky, company with more than 52,000 restaurants including KFC, Pizza Hut, Habit Burger, and Taco Bell, initiated the Yum! Franchise Accel erator, a fellowship designed to advance underrepresented people of color and women interested in the industry. “This is an impor tant part of the Yum! Brands ‘Unlocking Opportunity’ initiative announced last year. The initiative knocks down current barriers to entry such as lack of franchising education, knowing the right key franchising contacts at a brand or in the industry, and access to capital,” says Wanda Williams, Yum!’s head of global franchising. “One of the gaps we have identified in terms of opportunity for success among some franchisees is education, so we are taking steps to make this education widely available to students and fran chise professionals worldwide through the Yum! CONTINUED ON PAGE 102

Taco Bell has continued to invest in employee education, inside and outside restaurants.

D iversity in the workplace is a goal for many restaurant franchisors, as the benefits are numerous, from attracting more talent to being better able to serve its customers to an improved bottom line. The U.S. Census Bureau reported franchise businesses were more likely to be owned by minorities than non-franchised businesses. Specifically, just over 30 percent are minority-owned, compared to 18.8 percent of non-franchised ones. The good news is there has been a steady and significant increase in the minority and female ownership rate across the sector, but there is still work to be done. Robin Gagnon is the co-founder and CEO of We Sell Restau rants, a company specializing in business brokerage specifically for the restaurant industry. Gagnon said for the first time in more than two decades, there is a real push to address the diversity issue rather than it just being a discussion point. “Now, it’s absolutely on everyone’s radar; everyone is discussing how we can embrace a platform of diversity to make us stronger as a company and how we can appropriately reflect the audience around us,” she says. “The main thing is this incredible focus, and with focus, comes specific

TACO BELL

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AUGUST 2022 | QSR | www.qsrmagazine.com