Franchise Outlet Inspections and Quality Control Issues to Consider
By: Lance Winslow

Expanding a franchise system and promoting the franchise name brand is one of the goals in modern-day franchising. Ray Krock of McDonald's was a stickler for details almost to the point of the late Sam Walton. Today we see major brand names, which spend countless hours training their teams to operate with consistency and to watch quality control. If you will read Howard Schultz's book; Pour Your Heart Into It, you will see that such quality control issues are alive and well in both franchised and non-franchised companies.

All franchisors need to maintain quality through in inspection process. Secret shopper programs are great, but often are not enough to thoroughly inspect franchised outlets. It is for this reason that in my franchising company I added an additional clause in our franchise agreement, which is listed below;

4.7 Inspection

In order to preserve the validity and integrity of the Marks, and to assure that Franchisee is properly employing The Company System in the operation of the Franchised Business, Franchisor and its agents will have the right of entry and inspection of Franchisee?s premises, the right to observe the manner in which Franchisee is rendering the Services and the right to confer with Franchisee?s employees, customers and business associates.

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It is recommended that all franchising companies address this issue of inspection in their franchise agreements and they are well advised to talk to an experienced a knowledgeable franchise attorney in order to protect their systems, the consistency and to maintain quality control at all times in every single franchised outlet. Consider this in 2006.

Lance Winslow - Online Think Tank forum board. If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/wttbbs/

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