Hard Rock Keeps the Beat with DTiQ

The Challenge

While evaluating options regarding an effective and efficient cafe audit process after an organizational change, Hard Rock Cafe compared two alternatives — creating an internal audit team versus partnering with an external loss prevention firm with the required expertise and ‘fit’ with Hard Rock’s company culture and objectives.

The Solution

In 2003, Hard Rock Cafe contracted with DTiQ to provide the required audit services. “The DTiQ value proposition is what first drew our attention to the organization,” said Hard Rock Cafe Management. “Our analysis showed that we were able to get a professional nationwide audit service at a lower cost than if we added and managed our own audit staff. We also like the objectivity and independence that an external audit company provides.”

Compliance & Control Audits are the core services required by Hard Rock Cafe. Initially, DTiQ was contracted to perform a two-day audit at each cafe once a year. Two years later, Hard Rock increased the number of DTiQ audits to two per year for each cafe. The audit program, developed both by Hard Rock Cafe and DTiQ, includes areas that require on-site focus such as cash controls, employee information, accounts payable, food & beverage inventory, merchandise inventory, safety, security, and memorabilia verification.

“Hands down, it was less expensive for us to use DTiQ versus developing comparable internal capabilities. DTiQ has been very flexible and responsive to our needs, which is essential when working with an external partner on such an important process.”

Furthermore, Hard Rock requires that each DTiQ Regional Loss Prevention Auditor (RPLA) conducts three supervised Hard Rock audits before he or she operates on a solo basis.

“I was impressed by DTiQ’s willingness to meet our needs regarding auditor training. One of our requirements is that each auditor walk into their first solo audit already having the experience to properly execute the Hard Rock audit. Our cafe managers are very busy and do not have time to deal with inexperienced auditors, and the DTiQ auditors effectively perform our audits without disrupting cafe operations,” commented Hard Rock Cafe Management.

DTiQ also provides their Business Abuse Line to Hard Rock Cafe. This service allows cafe managers and financial assistants to anonymously report fraud, theft, unethical behavior or suspicious activity via a 24-hour/7-day phone service. Investigations are also part of the DTiQ service set used by Hard Rock. Internal investigations are pursued based upon audit discrepancies, information collected via the Business Abuse Line or employee complaints.

“Our loss prevention requirements are very broad based on our unusual business model. We have two distinct and sizable businesses within each cafe – food service and retail merchandise. In addition to that, we have the world’s largest collection of music memorabilia with unique, valuable pieces displayed in each cafe,” remarked Hard Rock Cafe Management.

The Result

“Our audit arrangement with DTiQ has had a significant impact on our business. We essentially have the flexibility and control of an in-house audit team without the higher overhead cost. Since implementing the audit process with DTiQ, cafe compliance with company policies has improved dramatically and as a result we are able to identify and resolve problem areas more quickly,” stated Hard Rock Cafe Management.

Why DTiQ?

When we were in the market for a video surveillance system, we wanted to work with a company that made it easy to access everything from one place. I didn’t want to have to log in and out of different systems, type in separate IP addresses, etc. The beauty of DTiQ’s system is that all my data is accessible from one central location that I can get to easily on my mobile phone. At the office, one monitor is dedicated to my custom dashboards on 360iQ so I can keep an eye on what’s going on.

DTiQ is a Partner

Although as a company we don’t really mind spending money upfront, we appreciate that the monthly subscription with DTiQ makes it a real partnership. Cameras are going to fail, DVRs are going to go out; the fact that DTiQ is responsible for maintaining the equipment is very valuable. Having a partner that allows us to simply submit a ticket when something needs to be addressed is so helpful. In our organization specifically our stores span 4 states, so having 1 main point of contact, 1 company to handle technical needs, makes a huge difference.

“If someone’s on the fence about DTiQ, they shouldn’t be. The DTiQ system is worth its weight in gold”

360iQ Dashboard

I rely on the 360iQ dashboard daily. I use it primarily to view live and recorded video plus access support information. The Support section is impressive; we can submit tickets directly on the site and view their progress. The response time is fantastic with regard to callbacks. When we receive guest complaints or comments that require further investigation, we can easily access video and audio footage to determine how the team interacted with the guest. It is paramount to me to take the right action based on what really happened. You never want to not believe your team but you have nothing else to go off of without video and audio verification. If we can’t hear what was said or see what was done, we just don’t know what happened.

Things, like not smiling or not being sincere, can be easily addressed with training. If an employee does something completely inappropriate though we have grounds to terminate. The system takes out the guesswork and emotion. You can’t argue with footage.

I can see how many cars are in line all day, notify mangers to adjust staffing requirements or head to busier stores. We can make minute by minute decisions.

Thanks to the DTiQ system we can pinpoint what exactly happened. As an example, if there’s a $100 deposit missing; we can dig through footage or review SmartAudit™ to see where it went. We explain to our team that the system is there to protect them. It makes people think twice. There are some smart kids who work with us who I know can come up with creative ways to steal but the level of detail in the audits and access to material in 360iQ makes them think twice. It’s a great deterrent just in case they were thinking of doing something bad!

SmartAudit™ Reports

One of the most critical areas for us is speed of service. The fact that we can use the audits to track ticket time is important; we have been alerted to some really high ticket times, which is something we address immediately. We notify area managers so they can coach their teams on what went wrong. Sometimes stores are understaffed so we can adjust staffing requirements as needed throughout the day. Alternatively, maybe team members are just not handling peak times properly. The productivity alerts stand out to me also in the audits.

Cell phone usage is a slippery slope but if a guest is present there is no doubt that phones should be away.

Generally speaking, anytime we have doubts about a team member it is reinforced by the audits. The reports help support decisions regarding terminations – whether related to slow service times or excessive cell phone usage as examples. Just last month we were on the fence about a particular employee; the audits showed this person on their cellphone in the back of the house instead of upfront helping guests. It made the decision easy and we could show her the proof. There’s no telling what this kind of behavior could cost us in the future.

Sometimes you can fool yourself into not firing someone because of the inconvenience of having to find a replacement, adjust schedules, etc. but the audits provide independent, arbitrary facts about what transpired that help us validate our decision making process and make us confident in those decisions.

Emotions can get the better of you too; I’m guilty of that. Some of our Managers wear their hearts on their sleeves and others will terminate at the first sign of wrongdoing. I believe there’s a happy medium but it’s always tough regardless so this is a good tool to help make a decision one way or another. There are folks in dire need of the job who just can’t perform, unfortunately. We’ve certainly taken action dozens and dozens of times based on what we have found in audits though this applies to the system in general – cameras, audio, and POS integration.

Additionally, audits don’t necessarily include an opportunity to change something every time but can also confirm that we’re doing things right. When the team members see these files they’re blown away. We don’t tell them when or how often the audits are conducted and they’re always surprised by the level of detail that another party other than our own can uncover. We don’t want them to feel like it’s big brother all the time but if you do the right things it protects you from the people who aren’t.

We recently got together as a leadership team and agreed we need to do a better job of customizing our audit questions. I know you offer complete customization, so it’s on us!

Financials

This is an area that’s hard to pinpoint. We know for certain that the system has impacted our operation but I can’t identify specific areas of financial improvement. I am confident that the DTiQ system has deterred theft from occurring, which is certainly saving us money. Plus, we have a better understanding of guest interactions that went wrong, issues that would cost us a future business or real actual dollars, that we can fix. Local police departments have come to us for video footage and DTiQ excels in those scenarios by offering watermarked discs, plus downloadable video. It’s an impressive feature.

Final Thoughts

On the surface, surveillance doesn’t appear to be an effective way to use limited financial resources but you can’t let that dictate your decision because it’s the exact opposite. When I add up what we spend on the system for 10 locations it is a lot but I know that without it we’re stuck guessing what happened when you are not there. Unfortunately, you can’t trust anyone. When given the opportunity to steal, the majority of people will. The system keeps honest people honest and gives me peace of mind as an owner.

If someone’s on the fence about DTiQ, they shouldn’t be. The DTiQ system is worth its weight in gold; to be able to be in your store without really being there…. there’s nothing better. I have no idea how I would manage my stores without DTiQ’s audio and video capabilities in my stores.

Contributors: Director of Loss Prevention, BK Corporate & Doug Smith, Sr. Director, Enterprise Accounts at DTiQ

With an ROI focus, after DTiQ was installed in all Company restaurants, Burger King Corporate reported an increase in profits of $700 per restaurant, per month.

Summary

When evaluating Video and Loss Prevention solutions, Burger King company executives knew that good fit wasn’t just about hardware cost, it was about how much more they could achieve with the right enterprise software and support. During the initial rollout, the DTiQ Customer Success Team provided Burger King staff with a resource portal initiating a short training program. It quickly became apparent that the advantages of the DTiQ system could be extended well beyond surveillance. The team used the transaction and video integration in order to follow up on complaints, review suspicious transactions, and enforce employee discount policies. Burger King district managers were armed with tablets loaded with the intuitive DTiQ mobile application, which allowed them to stay on top of their entire district with complete visibility on the go. The real-time data, alerts, and enforceable SmartAudit™ reports sent by DTiQ’s professional loss prevention audit team provided operators with clear, simple, and actionable information for any type of investigation.

A Loss Prevention Solution

Burger King Company Operations deployed the DTiQ Remote Auditing & Loss Prevention team to monitor all restaurants and provide actionable reports on critical issues regarding loss or theft. The Burger King Restaurant Team quickly mitigated endemic operational problems, uncovered fraudulent activity that led to terminations, and highlighted procedural issues. The DTiQ Loss Prevention & Auditing Team works hand in hand with the Burger King Company Operations team to improve the accuracy and clarity of the reports, and implement best practices and procedures directly attributed to profitability, accountability, and productivity improvements at the restaurant level.

How DTiQ Helped

The ease of use of DTiQ allows the Burger King Restaurant Team to review all transactions – from food to service issues – and associated video across the enterprise. This unprecedented visibility has led to increased accountability in areas such as food safety standards and customer service, in turn, improving food quality and sales.

The Burger King Company Operations team employs customized Speed of Service alerts to flag above-normal wait times at the drive-thru. These alerts link to streaming video of the transactions, uncovering trending timeto service issues, and notifying restaurant managers of specific instances of lost business. Specific documented incidents Allow managers to act upon critical operational deficiencies.

The Burger King Human Resources team is able to review all complaints quickly – whether it’s customer service or internal disputes, HR can access, analyze, and archive video feed from any location to resolve the issue. DTiQ’s POS integration includes labor figures such as clock-in and out times, allowing users to easily manage and identify late employees and review productivity KPIs. Burger King management can utilize the advanced surveillance features to prevent fraudulent personal injury claims, quickly provide law enforcement with video evidence of robberies, monitor parking lots for break-ins, enforce back-door policies, and ensure the safety of customers and employees alike.

The DTiQ mobile app makes it easy for the management team to have a presence at all restaurants without actually being physically present. Burger King Company Managers reported a 20% reduction in daily unproductive management time such as driving between stores, while profits improved along with the customer experience. Time saved on travel to restaurants to put out fires allows the team to focus on proactive smart management.

The Result

The industry as a whole is facing rising costs, tougher competition, and tighter regulations. DTiQ provides an effective, reliable, and scalable solutions to achieve results without the high price tag. We want our clients to realize monetary benefits that far surpass their costs. The DTiQ systems installed at Burger King Corporate locations consisted of all IP, full HD, indoor & outdoor cameras. The NVRs employed DTiQ patent-pending video management architecture utilizing SSD technology to increase system lifespan and reliability.

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DTiQ Chosen as Hooters “Wingman” in Loss Prevention

The Challenge

Since 1983, the loss prevention function of Hooter’s of America was primarily run by its executive staff. While the executive and human resources teams were the primary decision makers in risk scenarios and theft and harassment cases, few resources were available to provide a proactive and educational loss prevention program for its corporately owned locations.

In late 2003, Hooter’s of America began to explore outsourcing as an option to build an effective loss prevention program.

The Solution

In 2004, Hooters of America partnered with DTiQ to provide nationwide Auditing and Incident Resolutions for its 123 corporately-owned locations.

“The Control & Compliance Audits are an excellent training tool for our restaurant management team. It provides the proactive piece I feel very strongly about,” said Hooter of America employee. “DTiQ manages the whole process to include scheduling and coordinating the audit function. It’s a huge plus to know DTiQ will provide an operationally savvy auditor that understands our restaurant environment and concept.”

“DTiQ doesn’t create an anxious environment when they conduct an audit. Some of our stores might not get the satisfactory scores that they want, but they recognize it as their chance to learn and apply knowledge to get the better score the next time. These audits have turned into a great motivator for our team.”

DTiQ’s nationwide Regional Loss Prevention Auditors (RLPAs) visit each corporately-owned location twice a year, and analyze each store’s safety, administration/human resource practices, cash control/finance procedures, inventory controls, and loss prevention/awareness.

“Our audits are as much an educational opportunity for our store management as they are operational tools,” said Hooter of America employee. “DTiQ doesn’t create an anxious environment when they conduct an audit. Some of our stores might not get the satisfactory scores that they want, but they recognize it as their chance to learn and apply knowledge to get the better score the next time. These audits have turned into a great motivator for our team.”

To further enhance loss prevention awareness at the store level, Hooters of America also chose to utilize DTiQ’s Employee Training & Awareness Programs. “When I first came on board, I realized that I needed to raise the awareness level exponentially,” said Hooter of America employee. “DTiQ custom-designs the awareness materials for me, and we even include custom photo shots with our staff to make sure the message and imagery directly relates to our employees. The posters are very quick and easy pieces, with a direct message and theme for each. There’s no sugar coating any of it.”

DTiQ also provides nationwide Incident Resolution Services for Hooter’s of America. “As a business function, loss prevention is sometimes the last one on the list,” said Hooter of America employee. “However, good representation helps to reinforce that it can be a positive function of the company. Many of our investigations are informational and very sensitive in nature, and have the potential to go very badly if not handled correctly. DTiQ’s Regional Loss Prevention Managers are consummate professionals, who sometimes have very little information and time to go on. By the time they’re done, they always have a very thorough investigation complete with a satisfactory resolution.”

Most recently, Hooters of America added Customer Experience Services to its full service program.  “Our stores scrutinize our mystery shopping program more than their audit scores,” said Hooter of America employee. “This program is truly the pulse of our business. You have a third party coming in and evaluating the customer experience, which is crucial to our business. We’ve even tied the shop scores to financial incentives, so if they receive good scores, they get bonuses, and if not, then they don’t. Our managers will actually go as far as to go back and check video to validate the shop results, which is a good thing, because we want our managers to get involved and scrutinize the data provided. All of this data strengthens our concept: ‘HOOTERS makes you happy!’”

Each corporately-owned location is shopped on a quarterly basis, and the results are provided online to the executive team and management through DTiQ’s online reporting system. “Our goal is to provide a unique experience in a family environment,” said Hooter of America employee. “DTiQ’s shop program has proven to be flexible and easily updated to our needs. Sometimes, there are shoppers that are immediately jaded to the concept, and can’t provide the objective feedback our stores deserve. As soon as DTiQ spots one, we simply remove the shopper from our list.”

The Result

“We’ve seen a measurable reduction of loss since partnering with DTiQ,” said Hooter of America employee. “We strive to keep our program simple and to the point. Sometimes you have to have apprehensions and terminations for awareness to work. That’s just part of the business. However, DTiQ allows us to effectively handle and resolve our issues and get back to our business.”

“I have always had success in expediting priority issues with DTiQ,” continued Hooter of America employee. “All I have to do is pick up the phone to discuss my needs. This is something that we never could have done before. I know a trained investigator with current interviewing skills is immediately available in any part of the country. Even a minor issue can turn into a $5000.00 admission.”

The Krispy Kreme® Experience

We had surveillance systems before installing DTiQ, but the technology was very old and outdated. In order to use the loss prevention and operations program, you had to be in the store to view the data. This really limited our usage. Plus, with those VCR systems, tapes would run out or turn off and no one would know for days or weeks at a time.

“DTiQ has helped increase our profit margin. We have also seen significant returns based upon the reduction of employee theft. We can identify abnormal conditions and then rectify those situations.”

After a few years, we realized the need for an updated system. We were looking for a surveillance system that would allow us to stream video back to the corporate office and we wanted it to have very high video resolution. We also needed a product that was financially acceptable for a cost benefit. Ease of operation of both live and historical data were critical, as well as data retention. Finally, we needed to be sure that video data would be accessible for a significant amount of time and at a reasonable cost.

We have now had DTiQ’s system installed for some time and are using it in so many different ways. We use it a great deal for spot-checking customer service. It has really become a great tool to enable us to ensure that we are upselling and treating our customers well. Part of the Krispy Kreme philosophy is to create a comfortable environment for customers, which will keep them coming back. DTiQ helps us reach that goal. DTiQ has helped increase our profit margin. We have also seen significant returns based upon the reduction of employee theft. We can identify abnormal conditions and then rectify those situations. We have been able to re-evaluate labor hours and know if people are just hanging out instead of working while on duty. Some employees have made significant improvements in their behavior because they know that we are monitoring them. This has helped our operation overall.

I love the SmartAudit™ tool. I post the report on our web portal so that store employees can review it. We use it to monitor things like up-selling, restaurant cleanliness, uniforms, and safety violations. Also, we can review employee transactions to make sure they are consistently ringing up all the items ordered and not applying questionable discounts. The SmartAudit™ is a big help in the employee discount arena. We found a lot of employees giving their friends discounts and that practice has dissipated a great deal.

Also, with DTiQ, we have been able to combat employee and customer slip and fall complaints as well as others. Our risk department can depend on us to provide needed footage, which has been very helpful for resolving injury claims on the premises. Most district attorneys will not prosecute misdemeanors; but, when we have video evidence to support a felony conviction we can prosecute, and that is when DTiQ has been extremely valuable for us. It’s not the $1,000 that we will hopefully recover from an incident but the $10,000 that we’ll prevent from being taken in the future. DTiQ has really come through in several unfortunate circumstances.

Overall, our experience has been great. I have recommended DTiQ to several franchisees and will continue to do so. I’m a big fan of the system and am glad we made this commitment and investment. I look forward to working with them for a number of years.

DTiQ’s Goal

To enable field management to drive operational excellence and enhance the customer experience at their respective restaurants.  Supporting Ampler corporate with solutions that will drive down food costs and save the financial investment of upgrading systems.

The Challenge

Restaurant owners are under constant pressure to improve the profitability of their businesses, but they often do not have access to all the information needed to make informed decisions. Ampler chicken was one such company. After one year of operations, Ampler identified the need for a tool to keep a tighter ‘pulse’ on the business across all their restaurants. They identified surveillance and POS as the key to achieving this and began planning a chain-wide system upgrade.

The Solution

Ampler was able to realize significant capex savings by transforming existing surveillance systems into one easy-to-use management tool accessible by LP, DM’s, OPs, and others. This enabled Ampler to generate ROI across various elements:

• To lower the total cost of ownership vs a traditional video system
• Improved food costs
• Increased management presence through real-time, virtual access to every location
• and much, much more…

Meeting with Ampler, we were able to help them understand how DTiQ could “fill the holes” in their current infrastructure without having to do a chain-wide system upgrade.  Ampler was able to keep and use three-quarters of its existing hardware thanks to DTiQ.

By choosing a system that integrates multiple parts of their already existing infrastructure they were able to make fewer changes and get started tracking and improving their CX and Food Waste.

DTiQ’s White Glove Approach

Our success team helped drive adoption across the enterprise. With 92 locations, a structured training schedule with recurring meetings with their dedicated customer success manager was invaluable. This ensured Ampler’s 3 regional & 12 district managers were fully trained on their new business intelligence tool and prepared to use it as part of their day-to-day.

• Custom POS Integration
• Fully Managed Installation
• 92 Site/Camera Checks
• Up and Running within 6 months
• Training for 15 field managers
• Ongoing Bi-Weekly Customer Success Meetings
• 24/7 Customer Success support

DTiQ offered a truly managed service, not only selling the web-based app to integrate their systems but building the integrations, checking the data feeds, and training their teams. And every part of the service is custom, for Ampler it was most important to help their team form habits and learn best practices for using DTiQ to spot and resolve food waste and customer service issues. The structured pieces of training lead to a shift in how teams were meeting and increased collaboration, transformed how they worked together and delivered immediate cost savings

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“DTiQ amplifies the data that we are collecting through Qu’s POS system. I’m able to dive deep into item and employee level data at my restaurants and have corresponding video footage attached to every transaction, so I’m able to instantly assess any situation and take immediate corrective actions.”

Roger Menchaca

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“With more than half of our business coming from drive through the experience is critical. Thanks to DTiQ I can not only experience the drive-through but see what is also happening inside and specifically coach teams on where to improve”

Ray Akers

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Realizing Ongoing Success

In addition to basic ROI, there are multiple areas DTiQ adds value. The DTiQ Suite of features allows restaurant managers to run their business from anywhere in real time. It provides visibility into every aspect of restaurant operations including sales, labor, inventory and financials while reducing – even eliminating internal theft.

By spot-checking the amount of prepared food at closing, DMs were able to follow up with teams on proper amounts of prepared food.  Simply scrutinizing daily food and paper waste at the end of the day saves big in annual food costs.

Coachable moments fed to DM’s and corporate management across all restaurants identifying best performers & bottom performers – enabling the organization to coach up & coach out when needed.

A mobile app enables spot-checking any location at any hour – making preparing for restaurant visits faster and more meaningful, by saving the time of walk-throughs and allowing DMs to observe without their presence skewing team performance

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