EP2: Building a People First Culture: Training, Hiring, and Leadership in the Service Industry

Celton talks about his leadership journey from store manager to CEO at CC’s coffee, the importance of maintaining a people-first culture (a la southern hospitality + mentions to qualities he looks for in candidates), and the challenges of training and developing employees in the service industry. 

Celton shares insights from his recent store visits, emphasizing the need for effective training and the value of listening to employees.

Timestamps:

Chapters
00:00 Introduction to CC's Coffee House and Leadership Journey
05:03 The Importance of Community and Guest Service
05:04 The want for more training
08:07 Why Celton chose Opus
08:36 Jam Session - example
10:40 Identifying people-first leaders
11:45 Aspirational Leadership and Legacy Building
12:32 The Power of Continual Improvement
16:12 Learning from Failures and Accountability
16:31 Lightning Round: Personal Insights and Favorites
21:01 Power of learning a new skill

About Us
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Transcript

0:00

Hi everyone, this is Rachel Nemeth, CEO of Opus Training. You are here today at Back to Basics Opus Fireside Chat Series with great CEOs in the service industry. I have had the pleasure of meeting Celton Hayden, one of the most inspiring leaders I've seen who has really grown within. And that's why I'm so excited to talk to him. Celton spent two decades, he'll... correct me on that, at CC's, starting as a store manager, starting as a store manager before leading at spin-off into an independent company. And what really strikes me most is about how he's maintained this really authentic, warm Louisiana hospitality at the core of CC's, even as the company grows, which is a real challenge for scaling businesses. So today, We're going to talk about how his frontline experience has really shaped the way that he develops people and culture at CCs. Celton I'm going to turn it over to you. Can you just introduce yourself, name, title, a little bit about CCs so people know who you are? No problem. Hey, Rachel, is first of all, let me start. It is a pleasure to have this opportunity to talk with you and all the folks in the Opus universe and beyond. tell you about CC's. Well, for me, my name is Celton Hayden. Junior, I am currently the CEO and president of CC's Coffee House. For me, I started as a store manager with this concept back when we had operations in Texas. Started in a suburb of Dallas, Carrollton, Texas. when our former parent company, Community Coffee, had a foray into Texas expansion with their coffee house concept called CC's Coffee House. The CC's stand for Community Coffee. But just operations weren't strong enough to sustain that division of the company. So the decision was made by the family. that own community and its management to sort of circle the wagons and protect the originating territory of southern Louisiana for the brand. So myself and a colleague, we were retained as part of the exit of that market. And I moved to Louisiana and worked my way up through operations over the course of that time. incredible. And I mean, that's what I really want to start with is the how is, you know, the, the spinoff from Community Coffee. How, how did you approach preserving what made CC so special to begin with, but, but continue to build something new, you know, there's, there's We have a phenomenal place that we've built, a cultural icon, a place of real value and purpose exists inside this thing that was really kind of done as an offshoot. So was like, hey, I'm not trying to say it was a, might as well, but it was a, needed to do it. But we kind of accidentally discovered the secret sauce, which was let's have a physical place, people inside of it who were rooted in a value system of highest level of quality and camaraderie and community and service. And by the way, let's sell some coffee while we're doing it. And we just mushroomed from there. I want to talk about that a little bit. know, ultimately you're a community driven business, but you're a business. There's still a bottom line. And so, you know, there's a lot going on in the coffee industry, drive-through concepts, new products, tech, et cetera. Why is, you know, the bet on community and guest service at CC's as a way of driving those, those top line and bottom line results. will say Guest service and the way in which you engage for the community perhaps are two components of a business model that are hard to copy. That's fair. Yeah. Now, there may be other things, Rachel, like your story. You know, no other coffee shop can claim our origin story. There's no our biggest competitor can't claim the origin story that exists in our former parent community. You coupled that non-replicatable asset and your most valuable asset, your people, and you book in that with a great service proposition. And for us, it's Southern hospitality that the ability to treat everyone truly like a guest, like a guest in my house. I just want the opportunity to give you the most highest quality experience I can. And I just happen to know it's better than someone down the street can do. Sure. Can we, okay, so let's dig in. had a question for you about this, because in a recent conversation that you and I had, you shared that you're basically doing jam sessions or kind of a listening tour across the stores right now. And I really want to know what you learned, what you discovered from getting back into the stores. You know, it's obviously different as a CEO than it is as a store manager. What were some of the takeaways? Well, it has to be said, they want more training. Yeah. And I always felt it like I was trained in CCs, right? You know, back in 2001, I went through all the layers, the pancaking of all the roles and I remember it all. And I know the value of it. You know, a well hired individual who's trained well. performs well, right? And there's a bunch of stuff that goes in between that. So across the board, the listening sessions I've had, it's young people. The 18 to 25-year-olds set want great training. They're starving for it. It's like, teach me what you want me to do. though? Was it not there before? It is there, but it gets tossed to the wayside with the demands of what may be happening. We're open 14 hours a day. If you're in a staffing depleted sort of my mode, you know, the first thing that goes is like, hey, the modules, man, I need you to do this. Right. And then if you compound that with a store leader who themselves need an off day, right, we're human, like I really need to do my laundry. So I know you're not 100 percent, but here's a key. so you end up, your manuals and your programs just collect dust. And you end up moving into a space where the needs of the business get defined by the store unit, the store leadership. And if that's infrequent or less competent than ideal because of whatever circumstance, it all compounds. And you know who it falls on? The line level employee. You have to arrest control of that and be very, very clear about how you're to deploy resources to tackle it and simplify the game. Young people need the freedom and the space to absorb the information you're throwing at them because it is highly complex. And the coffee house industry, We try to make a very complex thing simple in the hands of our customer, And the simpler the experience is for your customer, the correlation is, the more complex the training, coaching, and accountability processes are for that experience to be. I know as we're excited to work with Opus and we're moving into a bright new future of a better alignment of technology, the correlation of resources, really square peg to square hole attempt to really make an ideal experience for our team members. This is a volunteer army. They chose to come to you and today's economic environment. But they chose you for whatever myriad of reasons. Doesn't that matter? A young lady had been with us 90 days. was sitting across from me, beautiful, vibrant attitude, right? And she says, Mr. Selden, I have something to say too. And she raises her hand and she says, well, since you asked, what you can do for us is I need to be trained. you And I'm like, wait, Kayla, I said, Kayla, what her is Kayla. And she's and I'm saying you've been here 90 days since. Yeah, I learned by watching everybody else. I'm OK. But I'm like, what did she see? What did she copy? So she copied less than the ideal state. What is she now replicating? And that example begets an example, which begets an example, which begets an example. And then you look at the P&L and you're like, hey, where was my traffic down? And dilutes over time too, if you don't have it. is exponential. When you have 100 plus percent turnover, trainers who don't even know the training people, they're just training by osmosis. So you have this diminishing return equation that's happening and guests experience that and they choose other places or they come to you less frequently. And it is central. to the growth expectations of CCs is now that we're a national franchisor, that we develop systems and processes that are nimble enough to handle that environment, you know, and help young people or older people, doesn't matter, five generations in workplace, just learn they need to learn and get about serving. Just get them out there and let them be themselves. Let them express our values, be real, be exceptional, and be passionate. And Those are so simple, but they get very complex and clouded when we muck it all up with too much administration. We have to strip that thing back. I want to keep on this people trend, you know, it's so you obviously take this people first mentality, which is exceedingly rare. I think there's a lot of buzz that you hear. But the truth is, is it really doesn't it's not built into the fabric of many organizations. what are a couple of specific things that you really look for when you're identifying potential leaders in the company who can help embody that kind of people first mentality? What's the interview question or what's the spark? Wow, a great question. just had a conversation about this last week with our HR leader. Let's try to remember the answer. Here's what I look for. Here's what I look for. I just look for ZAP. Like, do you got a jazz about you? Like, I don't need you to be a PhD. No one needs that, right? It's just, do you have an innate desire to please and smile? I'm a terrible interviewer by the way. So I don't really spend a lot of time on resumes. the resume doesn't show up on day 45. It's Rachel who's got some bills. She's worried about her parents. Her pet may need some care. So that's the real part of our values. So I try to get to that and what I look for is an aspirational person. Like where are you going? Every subsequent day that you're blessed to live is another day. You should be advancing and can we at CC's be part of your advancement somewhere? So if you're in school, what do want to do? What's your dream? How can we be a part of that? What can CC's do for you? Hey, we want to be a part of that story for you She just started. to improvement? You know, one of our values at Opus is 1 % better every day. And we have no expectations, right, for perfection, but we do have high expectations for constantly striving to improve as a person and as a company. And something you said just resonated with me around this notion of, maybe the dirty little secret about improvement. is helping others. Maybe if you're constantly thinking about how you're helping other people, you're extending that value, that virtue. When I was younger, one of my mentors taught me this lesson. I do not know if it was original to him, but I've carried it now. I've been working since I was 14, started as a grocery Sacker, right? And when I first got into management, this guy taught me, he's like, Hey, hey, Selton, walk backwards out of your store every day, physically and spiritually. And when you do so, ask yourself, did you leave it better today than it was when you walked in, including the people? Like, did you give your gifts? And I don't have a lot of money and I don't have degrees. I got this. And did I through the gift that I know I was given through through conversation and language and the desire to inspire people, did I give of myself? And whether or not it all resonated, 99 % of it is goofiness. know, Selton's a goofball. But man, did I land 1 %? Like you talk about that 1%, like that one thing that that struck a chord with a person, whether it was a technical skill they didn't know, or it was a conversation about what majors should they be taking or how should they invest or 401k based on my experience? Just if you can give, right? And that's what service is, is giving. Right. Right? And so. ownership comes from. You know, I hear CEOs all the time say, I wish that my team had more ownership over their role and their company, but you can't just ask that of somebody. It has to be these kind of other pillars that ultimately lead to feeling like you have purpose there. And I love that mentality around leaving something better than you came in. It's hard to do. is. It's yeah, it's hard to say wow. walk out of the store backwards every day after that? Yeah. I was in soft lines for a number of years and you know, I would in my shift or closed at night if it was a close and I would say, hey, you know, the displays look great. You know, the floor is swept tomorrow morning is ready. Hey, I worked with Gerald. Gerald had a good day with me. He made some bonuses. He sold some stuff, man. He's happy. He had a good engagement. I taught him something. I learned something about him. We have talked about when we're to work together again tomorrow. And did I make any differences? Did I make anybody happy? Did I give a guy a great outfit? What did I do today? And did I, in last in that analysis, what did I get? Okay, good. You know, that's great. Am I excited about tomorrow? Yeah, I am. Tomorrow's going to be hard work? Sure is. Celton we could talk for hours. I know you and I both just finished board meetings, so we don't have that kind of time So I want to I want to end things with a nice Shot of lightning, we call this our lightning round. Really quick questions and really quick answers just so people who are watching can get to know who you are a little bit better. One, what is your go-to coffee order? Oh, go to, I love the question. So I'm dialing it back for this year. I want to get back to some roots. I'm trying to work through a Renaissance, if you will. So double espresso with a twist of lemon and one raw sugar, right? Okay. Yeah. The twist of lemon brings out the notes in our espresso blend, proprietary super secret formula, right? But it tactically tests a few things. Do we got lemons in store? Right? Do we have raw sugar where it needs to be that type deal? but the the espresso is the base of our beverages and it has to be produced perfectly. If two shots can be pulled off a machine perfectly and preserved and presented and cared for, you kind of know that everything else is going to be. I love that. So what's the last book you read or podcast you listen to? Well, podcast, am addicted to Smartless Don't you know, just I am. And oddly, oddly is for the construction of the podcast. I don't the entertainment factor. Yeah, it's kind of cool to catch, you know, something to make you laugh or thoughtful. I like the mechanics and the the way in which the three guys A book that am revisiting seven habits right now. interesting. Huh. An oldie but goodie and after that I'm gonna go back to who moved the cheese. I'm kind of going back to a suite Yeah, I'm going back to a suite of books that were put forth to me by one of my mentors in the business Kathleen would And she gave me a ton of education and you know, I want to when I'm looking at myself when I felt I was doing it better Was when I was starting out Hmm. And I want to discover what was it about me then where the trains were running on time and what were the techniques in the conversation. Well in that spirit, last question and it has to be in the spirit of training, what is one skill that you are working on right now? It is my bar skills. My bar skills. I used to proudly say I was the baddest barista in the company. Like, and I talk it now, like I go in stores, like you don't want me to get on that machine. Like, yeah, I'm a, I'm a hurt your feelings. it's, it's important as a CEO of a company, especially with my history, the best job that I was the best at inside CCS was a store manager. And And I just really in that moment hurt my feelings because I used it in past tense. And that's unacceptable. I'm checking myself right now in this moment. I want to get emotional. It's not a was job. It's an is job. And that's where our leaders are born. It's those men and women who are taxed with the responsibility of nurturing other people through a service proposition to take care of customers and one another. And I love that job. And in the center of that job is the quality expression that comes off of the Lama Zorka 3 Group Expression Machine or the new technology that we're testing in our stores, the Eversys machines. Things beautiful. But that's our centerpiece. We make it front and center in our stores. The torrent is what we call it. It's the theater. I want to get good at the bar again because it's a place of conversation. You learn so much about your people when you stand next to them and pull drinks. yeah. I had a very short stint as a barista. I didn't cut it. And I still remember. I know maybe I need to work on my... But I still remember the sense of pride I had making just a great, great drink with someone. Yeah, it's a real art. in 2001. We had to train for two weeks before we ever saw a customer. And I remember vividly having these moments of like, am I failure? You know, being I dropped out of A &M, right? And some of my friends, my best friend was able to stay at A &M and finish. I knew who was making more money than me and who was more accomplished by whatever standard than me. And here I was 28 on the verge of getting married and I'm like, look at me. You know, I'm I'm a barista. But at the end of that two weeks, this thing washed over me is like, I have a skill. Like I can do something now. Is it neurosurgery level? No. And I get that. But I have a sweet. of education and the ability to take my innate talent with the expected talent to do a thing. And I create stuff. I really have this thing well over me. Like I'm awesome. And I want that feeling for all of our employees. Like, yeah, you may leave, but you'll never forget the fact that you can walk into any coffee shop and run circles around somebody and serve people. like that. That is something that can never diminish. It is so invaluable. I learned the essence of service and care for people through the conveyance of a food and a beverage. is the intimacy. It does. If it were not for being in the restaurant industry, I wouldn't be as good of a father and husband. And a brother and a son. Just from what I've learned with empathy and camaraderie and sacrifice is just a phenomenal place to be. Thank you for investing time with me today. Thank you for your time. I'm just totally inspired and blown away. And every time I talk to you, I learn something new. So I appreciate you. I knew we were going to work together. Sitting there at that restaurant in Dallas, I'm like, hey, you had me a hello. Where's the paperwork? Likewise, I thought this person knows exactly how I think when it comes to the world of work. Well, Celton, thank you so much for joining us today. Really appreciate you. Enjoy that store visit. And we'll talk to you soon.