Fueling Smarter Growth: How In-House Innovation Can Power Franchise Operations

In today’s competitive franchising landscape, long-term value comes not just from opening new units but from building strong, sustainable, and scalable operations. While growth is often measured in units, the true test of a franchise lies in how effectively it supports its operators and sets each location up for success.

Investing in internal capabilities, such as bringing construction management in-house, implementing performance-based coaching systems, and rolling out next-generation technology, can create a more resilient and performance-driven network. These operational strategies not only improve efficiency but also help to lay a strong foundation for long-term success as a brand. The operational best practices below are designed to fuel smarter, more sustainable development.

Moving construction management in-house 

The buildout phase is when friction begins for most franchisees, regardless of industry, unit size, and location. Time and time again, construction delays, miscommunication, contract negotiations, and inconsistencies with vendors create hesitation and drawbacks for franchisees. Internalizing this process can ease these burdens, both for franchisors and franchisees. Rather than outsourcing third-party contractors and vendors for site selection and buildout, in-house teams offer greater control over the process, streamlined communication, and a single point of accountability.

In-house construction management also allows for a consistent, scalable outcome that is more cost-effective than relying on outside teams. Through the ability to control margins on equipment and materials and standardize timelines, franchisees can utilize their time and money to integrate into their communities and focus on successfully opening their doors.

Performance-based coaching as operational infrastructure

Hands-on support is crucial in setting franchisees and their teams up for success. Leading with a people-first approach is how a brand remains competitive, regardless of industry. Support cannot end once a franchisee opens their doors, and training should not be treated as a one-time onboarding step. Ongoing training programs and regular check-ins need to be implemented to position franchisees as key competitors in their markets. Performance reviews, benchmarks for success, and ongoing concierge-style support to step in whenever franchisees need assistance are all key ways to continue coaching franchisees.

Feedback loops are essential to creating streamlined communication and avoiding repeated mistakes. At D1 Training, we’ve taken a franchisee-centric approach, relaunching our franchise advisory council to give franchisees direct, consistent access to leadership for feedback, suggestions, and collaboration. Enhancing operational support through intentional investments in franchisees creates a more sophisticated business model, appealing to even more potential franchisees and aiding in the scalability of the brand.

Technology integration as a foundation, not a feature 

As technology continues to play a larger role in day-to-day operations and new software continues to roll out, franchisors need to ensure they are using systems that not only align with their goals but also allow franchisees to operate efficiently. At D1 Training, we designed a tech stack comprised of a mobile app and a soon-to-relaunch website that streamlines franchisee operations, allows members to easily engage, and collects data that drives smarter decision-making. We view this as a core part of our operational infrastructure and a key aspect of our brand’s scalability.

Integrating operations systems into easy-to-use technology allows for standardization and consistency. If each franchisee is utilizing the same technology to operate their location, they are better equipped to adhere to brand standards, creating a consistent experience for customers. Through data and performance monitoring technology, it is also easier to pinpoint areas for improvement, helping enhance overall franchise performance.

It’s crucial to remember that franchise systems are more than just brands – they are symbiotic partnerships involving investments of time and money from aspiring entrepreneurs. As the industry evolves, having systems in place that support sustainable operations will become the standard, and being at the forefront of that evolution allows brands to remain competitive.

Will Bartholomew is the CEO of D1 Training.

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