Chipotle's Manager Promotion Bonus

Shaan shares a story about how Chipotle created innovative management incentives to improve their restaurant operations.

"I met the guy who ran Chipotle, I think he was the CEO or COO at the time. At Chipotle, they did a couple things - if anybody, if you're a manager at Chipotle and anyone you manage becomes a manager of a restaurant, you get $10,000 whether you work at that company or not, just ever, because you had a hand in leading that person to be a manager.

They also changed the title so the manager was called 'restauranteur' or something like that and they paid them above market. They were doing all these things to try to fix the fundamental problem in restaurants - your entire product is in the hands of somebody who makes $9 an hour and doesn't want to be there. The trick in this business is whoever can figure out how to get minimum wage employees to give somebody a good experience, they get to win. That's the winning condition."