Franchisees Reap Benefits of Intranet Revolution, Bid Farewell to 'Paper World'

We've all heard it before: "The age of technology is upon us, don't let it pass you by!"

As a small business owner and former franchisee in the fast-food industry, my greatest concern was to not let customers pass me by. The bottom line for me, of course, was profit. Still, I'd welcome new technologies. In fact, I'd welcome anything that brought in more customers or reduced my expenses -- as long as I didn't have to wade through a 5,000-page manual or attend a 30-day training course to use it.

The Internet, or more specifically, an Intranet system, is one technology that franchisees simply cannot afford to overlook. All it takes is a personal computer and a standard Internet connection to open up a world of personalized information designed to help franchisees better run their business. And who better to provide this information than their franchisor? An Intranet -- a private, password protected website that the franchisor makes available to franchisees day or night via the World Wide Web - puts valuable information at a franchisee's fingertips when they need it, using a simple process, without having to wade through extensive manuals or attend remarkably long training classes.

Benefits of Intranet Systems for Franchisees

--Simplicity: The beauty of Intranet systems for franchisees is ease-of-use. All that's required is a PC with a major web browser (like Netscape Navigator or Microsoft Internet Explorer) and Internet access.

--Information resource: An Intranet becomes a franchisee's primary resource for information 24-7, including training, marketing materials and operations manuals.

--Instant access: To look up a specific procedure or a supplier's price list, franchisees can do so immediately, searching by "keyword" to obtain instant results. (No more bulky envelopes with hole-punched documents and sticky-notes to insert into their operations manual binder.)

--Organization: With an Intranet, franchisees no longer have to spend valuable time searching for important documents, such as the most recent point-of-sale flyer that always seems to end up in a pile of endless paperwork. Instead, using the Intranet system, franchisees can search for documents and pull them up on screen in seconds and in color. (Even more, they can view or print each document in whole or in part using an ordinary laser printer.)

--Keeping documents current: In days past, determining "which" supplier price list was the most current could be time consuming and confusing. With an Intranet, franchisees can be sure that the document currently available on the Intranet is the latest and greatest.

--Time savings: Franchisees don't need to necessarily read every word in every manual. They just need access to specific information "when" they need it. This is where an Intranet shines. No more flipping through hundreds of pages - a simple keyword and click saves hours of searching.

--Reduced costs. Intranets can significantly reduce costs for franchisees and franchisors by virtually eliminating postage, printing and paper costs and significantly reducing telephone and fax tolls.

Unique Uses of Franchisee Support Systems

As an application service provider who develops Intranet systems (aka "Online Franchisee Support Systems") for a wide variety of franchise organizations, we've seen our technology applied in a variety of different ways:

--Camera-ready flyers, point-of-sale pieces and advertisements. With these documents posted on the Intranet system, franchisees can open the latest advertisements on screen and either print them in color or download them and take them to a commercial printer for professional printing. (In fact, many companies provide "insertion fields" where franchisees can insert their specific address, telephone number and local pricing information automatically into the final advertisement.)

Previously, camera-ready ads were delivered to franchisees in large envelopes, often late or damaged in transit. Now, electronic versions are posted in seconds for immediate access. Franchisees who lose their downloaded advertisements can simply logon to the Intranet and download them again.

-- Electronic submission of forms, including purchasing, royalty reporting, employee hiring, and local government forms. Finding the most current versions of these forms can be difficult in a "paper world." Posting electronic versions of current forms eliminates the risks of errors, misprints or fax charges. With electronic versions, franchisees no longer have to worry about using the wrong form, with the wrong calculations, to complete by hand and submit via regular mail or fax. With an Intranet, franchisees can access the current version of any form, complete it online, observe as the system performs its own calculations, and then submits it electronically.

Laurel Cox, Office Manager for The Cleaning Authority (www.thecleaningauthority.com) notes that, "Having the ability to post documents in our Intranet Library has been wonderful for our franchisees. Not only are we, as the Corporate Office, helping our existing franchisees, we have the ability to support our new franchisees by supplying them with forms, charts and letters. None of these items are difficult to compose or originate, but as our new start-up franchisees open, they have at their immediate disposal all of these items."

--Obtaining the latest news and operational updates. With an Intranet system, franchisees can quickly and easily gain instant access to current business tips, pricing information, ad campaigns and announcements from management. When I was a franchisee, I barely had time to read the entire monthly newsletter. However, with an Intranet, individual news stories, announcements and memos can be posted on a daily basis, in full color and with greater impact. Moreover, news items can be archived so that new franchisees can access previously published information in order to get "up to speed" faster, even before they've opened their franchise unit.

Rick Swalwell, VP of Marketing and Communications for Medicap Pharmacies, Inc.(www.medicaprx.com), indicates that, "We place all of our critical announcements that we use to support our franchisees on the Intranet. When our franchisees log on, they know right where to go to access them. It takes less of their time to get the information they need, and the overall communication process benefits as a result."

--Enhanced communications and support. Intranets can often bring franchisees and franchisors together in the form of chat rooms or group discussion forums. Sharing information and tips is critical to success. Most franchisees report that they benefit greatly from attending their national convention, mainly for networking purposes. With an Intranet chat room or group discussion forum, franchisees can network with dozens or hundreds of other franchisees every day online - not just annually at the convention. Ideas are proposed and refined. Questions are posted and answered by other franchisees. In addition, suppliers can get into the act by conducting seminars and informational sessions online in front of groups of interested franchisees.

Steve Waddlington, COO of AmeriSpec, Inc. (www.amerispec.net), notes that, "We've significantly reduced the time it takes to develop ideas and campaigns by utilizing a group discussion format with our franchisees. Instead of faxing or telephoning individual franchisees to request their input, everyone is free to post their ideas and comments live, in any number of online forums available on our Intranet."

Niki Falconer, who heads up the Franchise Services division of PostalAnnex+ (www.postalannex.com), indicates that, "We find that the Intranet is an invaluable tool for our franchisees to be able to talk amongst themselves to share ideas, thoughts, questions and solutions for everyday operating situations."

Both franchisors and franchisees benefit from the ability to instantly locate information or network with other franchisees or suppliers online. Certain time efficiencies make an Intranet an invaluable tool over and above the cost savings.

Franchise companies who have implemented online support systems have done so in order to enhance communications and support for their franchisees. They recognize that technology is changing our world, and they've adapted it to accommodate franchisees that have real needs in the "real world". Franchisees welcome the technology because it's easy to utilize and it helps them better run their businesses. In the end, everyone benefits from technology that is simple, cost effective and straightforward.

So say goodbye to the paper world and welcome to secure, electronic documents and communications. In the new millennium, Intranet technology is critical to your bottom line. No need to let the latest technology - or customers -- pass you by any more.

About the author: Daniel P. Martin is founder and president of San Diego-based IFX International, Inc., www.ifxonline.com the leading applications service provider for franchisor-franchisee communications systems. Martin has 18 years of franchise structuring and management experience (including hands-on experience as a franchisee) and five years of Intranet development and hosting experience. Since debuting its Intranet system in 1996, IFX has built, developed and hosted systems for more than 90 franchise organizations.