Hiring your First
General Manager
Melanie Reid, CDS Consulting Co-op
Objectives
To provide an overview of the GM hiring
process.
To introduce some tools and resources
that you can use during your GM hiring
process.
To answer a few questions about hiring
your first GM
Three Stages: An Overview
Stage one: Organizing
Stage two: Feasibility/Planning
– 2A: Feasibility
– 2B: Planning
------------------------------------Implementation
– 3A: Preconstruction
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– 3B: Construction & Renovation
– 3C: Preparation for Opening
– 3D: Sustaining - First Year and beyond
Source: Bill Gessner, CDS
The NCGA Hiring a General
Manager Toolbox
GM Hiring Process
Define Roles and Responsibilities
Form a Search Committee
Use a Documented Timeline:
– Might take 6-9 months
– Keeps the process on track
– Allows committee members to plan for times of
peak activity
– Enables communication to membership
Responsibilities of Full Board in
Hiring Process
Determine qualifications
Decide budget for GM Compensation
Participate in interviews of finalists
Agree on candidate
Give search committee negotiating
parameters
Approve final hiring decision
Search Committee
What?
– Create tools, develop interview questions
– Recruit and screen candidates
– Narrow the pool of candidates and offer a slate of candidates to the
Board to make a selection
Who?
– Should include 2-3 Board members and (may include) 1-2 members
– Most important qualification is time (and commitment)
– Choose a committee chair and hold weekly meetings
Committee Chair
Very Important Role
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Drive process and maintain momentum
Place the ads
Receive and acknowledge resumes
Conduct phone screening
Set up interviews, arrange for visits for out of town
finalists
Will you Hire Outside Help?
A consultant familiar with the industry
can provide valuable support to the
search committee.
For Example…
Helping to identify the qualifications desired for the
new manager
Developing timeline and budget
Conducting initial screening interviews by telephone
Providing appropriate interview questions for the first
and final interviews
Giving input on selection
Advising on the job offer and contract
Keeping the hiring process on track
Qualifications
The process of determining the
qualifications for your General Manager
is of utmost importance. This process
will really pay off when you’re making
the final decision.
Qualifications
Priorities worksheet
Qualifications to Consider
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Experience with a major remodel or expansion project
Experience with a start-up business
Experience operating an independent retail operation
Demonstrated creativity and innovation in business
High level of comfort with uncertainty and change
Experience in Co-ops
“Hard” Qualifications
Retail food store management experience, (General Manager, Store Manager, Operations Manager, District Manager)
Bottom-line accountability experience for business with minimum annual sales volume of $x million.
Experience in the natural foods industry
Retail natural foods experience
Independent (as opposed to chain) store management
Cooperative management experience
Experience working with boards of directors; understanding of the board’s and management’s separate but related
roles
Experience working with policy governance
Strategic planning experience
Understanding of the components of financial statements: what purpose each serves, how they relate and how they
are different.
Operating, capital and cash budgeting experience.
Ability to interpret financial statements to lay people
Supervisory experience: hiring, training, evaluating, compensating, firing
Experience supervising managers
Demonstrated ability to develop systems
Experience selling in a highly competitive markets
Computer literacy (working knowledge of office technology and software, e.g. MS Word, Excel, Access, Outlook)
“Soft” Qualifications
Personal and professional values that align with cooperative principles.
Ability to articulate a vision and get group members to buy in to the vision
Proactive leader who will keep momentum going for growth and change
Ability to motivate group members to gain their cooperation
Ability to make tough decisions
Sense of urgency
Team-building (building an effective management team and board)
Well-organized, with ability to manage own and others’ time
Ability to handle multiple demands
Ability to listen and then react appropriately
Clear presentation of information in spoken and written form
Ability to give and receive feedback
Openness to good new ideas—regardless of where they come from
Great enthusiasm for working at OUR store, not just co-ops or natural foods in general
Other?
Compensation
Consider 4 Factors:
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What other co-ops are paying
What your local labor market is paying
What your candidate pool is seeking
What your budget allows for
Beyond Base Salary
Benefits
– PTO- start with 2-3 weeks
– Medical Insurance- very important, rather
expensive
Bonus
– May want to wait until year 2 or 3 to include
– Keep in mind that variables are harder to control in a
start-up than in an established store
Relocation Benefit
Intangible Benefits
Autonomy
Career Advancement
Community
Challenge
Dedicated, supportive Board
Recruitment
Where will you find the talent you are
seeking?
Showcase your community during your
hiring process
Network, network, network!
Candidate Brainstorm
Think of 10 people you’d like to see be your GM. Don’t worry
about whether these people would move to your community,
work for the pay you have to offer, or already have great jobs.
Just list them!
Brainstorm 10 people in your community who are not already on
your Board and who are well “networked” into your community.
People who know people, who circulate in the community and
belong to lots of groups or go to a lot of events or just seem well
connected.
Approach those who
“made your list”
Approach those on the first list and invite them to
apply for the job.
Your learning will come from their responses.
Listen to what they tell you:
– Ask under what conditions they might consider the job
– Ask them if they know anyone who might be good for the job
– Add any names you get to the 2nd list
Approach those on the second list and ask them if
they know anyone in the community (or elsewhere)
who would be a good candidate for the job.
Follow up on any names you are given
Use LinkedIn and Facebook to get the word out
about the job
Where to advertise?
Cooperative Grocer Magazine (and online)
Cooperative Grocers Network website and listserve
Your Co-op’s website
CCMA- can be a great place to network and find candidates
NCBA jobs Board (online)
GoodFoodJobs.com- targets people looking for meaningful work
in the food industry
Regional publications such as Edible, The Mix, etc.
CareersinGrocery.com- won’t necessarily find folks with natural
foods background here
Policy Governance and your GM
Executive Limitations– Provide clear direction with enough latitude to run the store
Policy monitoring– Method by which the Board ensures ongoing accountability of
the GM
Important things to keep in mind
Hiring your first GM will be one of the most important decisions
your Board will make.
Handing off the operations of the Co-op to your GM is an
important milestone in the process of building your community
store.
The hiring process might take 6-9 months.
A search committee is essential- there is a lot of other work that
the Board will need to accomplish while the GM is being hired.
The Board should be prepared for their shifting responsibilities
once your GM is hired:
– Prepare to be a good employer
– Prepare to utilize Policy Governance to provide guidelines and ensure
accountability
Resources
Hiring a GM Toolbox
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http://www.cgin.coop/toolbox/gm_pub
Price: $55 for CGN members, $60 for non-CGN members.
Startup Webinars
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http://cdsconsulting.centraldesktop.com/cbld/doc/5469096/w-Fc500WebinarArchives
Hiring and guiding a project manager/GM presented by Bill Gessner and Carolee Colter
Hiring your first General Manager presented by Carolee Colter
CBLD online recorded workshop
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http://cdsconsulting.centraldesktop.com/cdsvideo/doc/10843123/
Starting off right with your new General Manager presented by Carolee Colter, Thane
Joyal and Mark Goehring
Thank you!
Melanie Reid
CDS Consulting Co-op
612-919-0508