This week on the Titans of Food Service podcast, Nick Portillo speaks with Charles Johnson, CEO of the Detroit Athletic Club, to discuss its rich history and significance in the community. With a legacy dating back to 1887, the DAC has evolved from an athletic club into a premier destination for fine dining and hospitality, showcasing Detroit's heritage and resilience. Johnson shares insights into the club's commitment to exceptional service. He also shares how employee engagement, allowing staff to voice their ideas and contribute to the club's goals, ultimately creates a culture of care for both members and colleagues. Listen as Charles reflects on the vibrant food service scene in Michigan and its impact on the local community.
TIMESTAMPS
(00:00) Introduction to the Titans of Food Service Podcast
(06:34) Charles Johnson's Journey in Hospitality
(07:56) The Evolution of Hospitality Careers
(21:22) The Legacy and Influence of the DAC
(24:28) Empowering Employee Voices
(30:20) The Importance of Taking Care
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There are a million ways to make money in the food service industry.
Nick Portillo:You just have to find one.
Nick Portillo:On the Titans of Food Service podcast, I interview real life movers and shakers in the food game who cut through all the noise to get to the top.
Nick Portillo:My name is Nick Portillo and welcome to the Titans of Food Service podcast.
Nick Portillo:Let's jump right into it.
Nick Portillo:Welcome back to season three of Titans of Food Service.
Nick Portillo:I'm your host, Nick Portillo.
Nick Portillo:And on this season, as I've mentioned other episodes, I'm doing my across American 50 weeks tour where I'm interviewing one titan of food service in every single state in the country.
Nick Portillo:I decided to do this on this season because I wanted to highlight people that are, you know, leaving an impact or have left an impact on the communities, on the cities, on the areas, the states that they live in.
Nick Portillo:On this episode, I'm going to be highlighting the state of Michigan.
Nick Portillo:And to help me do so, I'm welcome.
Nick Portillo:Welcoming Charles Johnson.
Nick Portillo:Charles, he's the executive manager and CEO at the Detroit Athletic Club, the DAC.
Nick Portillo: Since its founding in: Nick Portillo:Think about that.
Nick Portillo:It's been around for over 100 years, the DAC, it's helped shape the city's history while hosting historical events, historical people and really, you know, boosting the culture of the entire city of Detroit.
Nick Portillo:It's known for its iconic architecture designed by Albert Kahn, but, but it's more than just a club.
Nick Portillo:It's a symbol of Detroit's heritage and resilience.
Nick Portillo:And under Charles leadership, the dac, it continues to be a hub for fine dining, community engagement, world class hospitality, and it is also ranked as the number one athletic club in the country.
Nick Portillo:So pretty cool.
Nick Portillo:Now before I jump into my conversation with, with Charles, what I like to do on each of these episodes is highlight the food service scene within that state as well.
Nick Portillo:So a little bit, a little background on Michigan.
Nick Portillo:You know, Michigan is the birthplace of Coney island hot dogs, Detroit style pizza and cherry pie.
Nick Portillo:And why cherry pie?
Nick Portillo:Well, thanks to Michigan's position as the country's leading cherry producer, which I didn't realize that they're the leading cherry producer.
Nick Portillo:The state boasts a diverse and vibrant food scene.
Nick Portillo: n serving fresh seafood since: Nick Portillo:Also, I want to highlight one really cool piece of history within the dac.
Nick Portillo:And that is the last word cocktail.
Nick Portillo:The last word.
Nick Portillo:It's a gin based prohibition era cocktail which was originally developed at the DAC at the Detroit Athletic Club.
Nick Portillo: rd appeared was Ted Saucier's: Nick Portillo:In it, Saucier states that the cocktail was first served around 30 years earlier at the DAC and it fell out of favor for a while.
Nick Portillo: But Murray Stenson in: Nick Portillo:So pretty cool.
Nick Portillo:All right, without further ado, let's go ahead and welcome my guest, Charles.
Nick Portillo:All right, Charles, welcome to the Titans of Food Service podcast.
Nick Portillo:I appreciate you taking time out of your day to come and have a conversation with me.
Charles Johnson:That's great, Nick.
Charles Johnson:Thank you for having me.
Nick Portillo:Yeah.
Nick Portillo:Now I know we're gonna.
Nick Portillo:I wanna jump into your career, talk about the Detroit Athletic Club, but I, I'm curious, did you watch the Lions game last night against the Bills?
Charles Johnson:Yes, I was actually there.
Charles Johnson:Oh, nice.
Charles Johnson:It wasn't the best game of the season yet.
Charles Johnson:You know, we only lost by six to a team that like the Lions, I think, has super bowl aspirations and so a good test.
Charles Johnson:Not the outcome we wanted though.
Nick Portillo:Yeah, definitely.
Nick Portillo:You know, this Detroit team is definitely the best that I think in my life, in my 31 year year life.
Nick Portillo:So it's cool to see that, that franchise under this.
Nick Portillo:I wouldn't call him new because I know he's been around for a few seasons, but under this coach and, and Jared Goff, who was a California guy, you know, went to Berkeley and so it's really cool to see that team, you know, take that, that next step.
Charles Johnson:Yeah, the city really has, the state has embraced the team, has embraced the head coach, embrace Jared Goff, really just embrace everything about it.
Charles Johnson:They are very representative of our community with their gritty style and their hard work and all those things.
Charles Johnson:And so it's, they're, you know, they're very, it's endearing to cheer for them and to.
Charles Johnson:It's been an enjoyable ride.
Charles Johnson:And it's not only the best in your lifetime.
Charles Johnson: time they won a championship,: Charles Johnson:And so it's.
Charles Johnson:For most people's lifetime, this is about as good as it's been.
Charles Johnson:Yeah.
Nick Portillo:Also too, I think sports are such an integral part of our communities.
Nick Portillo:You know, I live here in Orange county in California, and we've got the Angels, we've got the Ducks.
Nick Portillo:You know, those are our two big local teams that are based in Anaheim.
Nick Portillo:And you know, candidly, over the last decade, they haven't really been, you know, on the world stage in terms of, you know, being there in the playoffs and, and, you know, trying to get to a championship.
Nick Portillo:It's been kind of can't even make the playoffs and it's tough on the city, you know, all of the businesses around there and the, the commerce and whatnot.
Nick Portillo:And so it's.
Nick Portillo:I know it kind of comes and goes in waves, but I see in Detroit you've got, you know, obviously the Lions, even the Tigers making a run this last season with Scubal.
Nick Portillo:So it's pretty cool to see that the sports there in that city come, you know, come roaring back.
Charles Johnson:Yeah, you're absolutely right.
Charles Johnson:And the excitement it brings.
Charles Johnson:And for all the businesses, the Detroit Athletic club, we're only 500ft door to door to the entrance of Ford Field, and we're less, you know, 200ft to the entrance of Comerica park where the Tigers play.
Charles Johnson:And so when they are good, it has a measured impact on business for us, for all the surrounding businesses and just, I would say, move, you know, the wins and losses, the mood of the city sort of trends with these teams.
Charles Johnson:And so when, when they're winning, when things are good, it's.
Charles Johnson:It's a great time to be in Detroit.
Nick Portillo:Yeah, absolutely.
Nick Portillo:Absolutely.
Nick Portillo:So maybe a little background on yourself.
Nick Portillo:How did you get into the hospitality business?
Charles Johnson:You know, I really started back as a, as a young man.
Charles Johnson:I started around 14, 15 years old.
Charles Johnson:Friends of mine, parents owned a family restaurant in the town I grew up in, and I started washing dishes at a young age, my first job, and worked at this restaurant for over four years, you know, throughout my high school career, basically, and worked essentially every job that they had throughout my time there, at least for a day or two, from back house to front house, just kind of working the restaurant.
Charles Johnson:And then when I went to college to get my.
Charles Johnson:To my bachelor's, I really thought I was going to go into business.
Charles Johnson:Accounting was what I had aspired to do.
Charles Johnson:And when I went up there, because I had to work, you know, to help put myself through college, I was continuing to work in restaurants and doing those things, found fine dining and new areas of restaurants, decided that accounting really wasn't what I like to do.
Charles Johnson:I wasn't enjoying the classes.
Charles Johnson:You know, it wasn't really the people I was hanging with outside of class were not my accounting students.
Charles Johnson:They were just other students.
Charles Johnson:And so I decided to make a shift and kind of follow the hospitality career.
Charles Johnson:And I actually credit my wife a lot because it was a big decision to make, make the change.
Charles Johnson:And at that time, she's my girlfriend and she said, well, if you're going to make a change, you may as well do it now.
Charles Johnson:You know, there's no, don't wait another year or two down the future.
Charles Johnson:So I made the change and then really never looked back.
Charles Johnson:And so it started in restaurants at hotels and resorts in the state of Michigan.
Charles Johnson:And then eventually I left and went out to Long island to the Montauk Yacht Club, which is really a big move for me.
Charles Johnson:You know, I think prior to that, really didn't understand what a career would look like in hospitality or in food and beverage.
Charles Johnson:But making that big move all the way out to the east end of Long island, all the way out there, working in a very professional environment, that sort of changed things for me.
Charles Johnson:It was a pivotal moment in my career and really then started the charted me on the path that I would go on throughout my career.
Nick Portillo:Isn't that interesting?
Nick Portillo:Like you started, you know, thinking about, hey, maybe I want to be in accounting to get into, you know, go work for the Montauk Yacht Club, which I would imagine, you know, the, the standard at which they operate is very high, you know, very hospitality friendly, hospitality forward, if that's even the right word to use.
Nick Portillo:But, you know, delivering an incredible experience for every guest that comes into, you know, their facilities.
Charles Johnson:Yeah, and that's one of the things I love about hospitality, really, because you still need accountants in hospitality.
Charles Johnson:I think if I had stayed in accounting, I may have found hospitality regardless, you know, even now, you know, the Detroit athletic, a large $56 million organization, we have a chief financial officer who's got to manage a pretty diverse and unique business model.
Charles Johnson:And it requires a lot of skill, a lot of skill set.
Charles Johnson:And so, you know, within hospitality, of course you have the service piece, which is what I think I have.
Charles Johnson:And I think most people in hospital have the servants heart.
Charles Johnson:And you genuinely enjoy.
Charles Johnson:We get our energy from serving people and seeing the joy we can bring to people.
Charles Johnson:And yet you have all these multi diverse disciplines that you need to operate and to do all the things you need to do.
Charles Johnson:And so I think even if I had stayed in accounting, I believe I would have found hospitality through accounting would have been the way I would have found it.
Charles Johnson:But of course I made the change and kind of went more of the service route and management route.
Charles Johnson:But I think it really is a true calling and I think for any, for most people in hospitality, maybe you stumbled into it, maybe you were intentional about it.
Charles Johnson:As a young person, you wanted to go into hospitality.
Charles Johnson:But either way, even if you stumbled in, you're there because it's something you love and it's really just part of who you are being with people and, and serving people.
Nick Portillo:Yeah, you mentioned, you know, multi diverse disciplines when it comes to, you know, your line of work.
Nick Portillo:What, what are some of those and what do those look like?
Charles Johnson:Well, I'll use a Detroit, I thought, for example, so I mentioned accounting.
Charles Johnson:You have a cfo.
Charles Johnson:You know, we have a allotted executive chef, a certified master chef, Shawn Loving, who handles all of our culinary operations here.
Charles Johnson:He also is the executive chef for USA Basketball.
Charles Johnson:So he was in the Olympics last year.
Charles Johnson:And you have him just in his department of 75 culinarians.
Charles Johnson:You also have your entry level line cooks.
Charles Johnson:We have a large facility, we have 110 year old building, Albert Khan design building here that you need to take care of.
Charles Johnson:So our facilities maintenance folks are highly skilled in historical preservation and building systems.
Charles Johnson:Mep, everything you could have there.
Charles Johnson:We're an athletic club, so we have an athletic director who needs to do programming and we have hockey leagues and basketball leagues and we have a wellness and recovery center and physical therapy, a spa with massage and other esthetician services.
Charles Johnson:And so they, all those folks are professional at what they do and then they contribute in their own way to this club.
Charles Johnson:Our hotels, our dishwashing crew, our housekeeping crew.
Charles Johnson:It really is, you know, we have 500 employees today at this, at this facility and it's a city amongst itself.
Charles Johnson:Our, our employees are exceptionally diverse, both on the highest skill level down to, you know, maybe more entry level, but very, very diverse, both in skill, very representative of southeastern Michigan and the socioeconomic makeup of this region.
Charles Johnson:That 500 people.
Charles Johnson:If we, we form our own little city of ourselves within the dac, I would imagine too.
Nick Portillo:Right.
Nick Portillo:So there is there some sort of like training that each of these people have.
Nick Portillo:You said 500 people that work on your staff.
Nick Portillo:That's incredible.
Nick Portillo:And for anybody listening along too, if you just do a Google search and just look at the, your, your physical location, the building and, and I know there's videos on, on your website that he can see inside.
Nick Portillo:It's it's an, it's a gorgeous facility.
Nick Portillo:For all of those 500 people that come to work every day, is there like a, a protocol or is there training that they have to go to, you know, in terms of working with a, a customer?
Nick Portillo:And the reason I ask is I've had a podcast episode where I, I invited Guy Rigby, who was the head of food and beverage for the Four Seasons in North America, and the level of intense training that everybody within Four Seasons goes through to deliver, you know, an experience to their guests, it's the, it's something that I've never even heard of before.
Nick Portillo:But when you walk into a Four Seasons, you know, in any one of their properties throughout the country or anywhere in the world, you know, you feel like it's, you know, you feel that.
Charles Johnson:Yeah, I mean, it's a critical part of our success.
Charles Johnson:What we have is our service quality management program is called Consistent Performance Processes, or we call it CPP for short.
Charles Johnson:And within that is a myriad.
Charles Johnson:It's how we hire people, it's how we train people, it's how we operate, it's how we measure ourselves every single day.
Charles Johnson: In: Charles Johnson:That award is based off Baldrige.
Charles Johnson:And so it's a very intense award.
Charles Johnson:And I don't know that at that time we were the only hospitality organization to ever be acknowledged by.
Charles Johnson:I think that may still be true today.
Charles Johnson:And so we do a lot of training.
Charles Johnson:Training is at the core of what we do, and we certify is what we call it.
Charles Johnson:We certify people as professionals.
Charles Johnson:We have 32 different training manuals for the various positions within the clubs and different things people may do.
Charles Johnson:And, you know, the training is personalized, and yet there's a program that has to be accomplished.
Charles Johnson:So the timing can take different times for each position or each person, but it's, it's.
Charles Johnson:Is exceptionally critical to what we do and our level of success.
Charles Johnson:I think in the private club world, it's one of our differentiators of why we are so successful is this quality program.
Charles Johnson:Because, you know, we are one entity.
Charles Johnson:Four Season.
Charles Johnson:We have, we have a lot of Four Seasons folks who come work for us and from other larger corporations that come work for us.
Charles Johnson:And part of that reason is because they understand that corporate culture and they understand like sort of the, the nuance of the training and the process really about process of what you need.
Charles Johnson:We have that here and it's One of the reasons we're very, very successful.
Nick Portillo:That's amazing.
Nick Portillo:What about going back to, I think it's the Detroit Athletic Club.
Nick Portillo: You opened up an: Nick Portillo:What was the reason for opening back then?
Charles Johnson: Yeah,: Charles Johnson:It really was an athletic club at that time.
Charles Johnson:It was a group of young men.
Charles Johnson:Amateur athletics were just sort of becoming a thing.
Charles Johnson:They never really were a thing in the US before that.
Charles Johnson:And so it was a, it was a group of Detroiters who got together around amateur athletics, baseball, football, track and field.
Charles Johnson:We had the high wheel bikes, you know, the massive big wheel, the tiny back wheel.
Charles Johnson:They had bike races.
Charles Johnson:And so it started under that.
Charles Johnson:Our ethos today is still that athletic sort of competitive spirit about us.
Charles Johnson:In fact, the aau, the national organization, it wasn't founded at the dac, but it was a conglomerate of DAC members who kind of put together.
Charles Johnson:And the first, the first championships were held at the DAC's original campus.
Charles Johnson:DAC football played University of Michigan played Notre Dame football.
Charles Johnson:Our baseball team, the Deltas would play, you know, against some professional teams.
Charles Johnson:People like Ty Cobb and others played for the Deltas on rehab assignments and so know as athletics in general, professional and amateur at that time were coming along, it was sort of.
Charles Johnson:Things were happening fast, but that was, that was the nature of us.
Charles Johnson: And then in: Charles Johnson:Then it kind of transformed.
Charles Johnson:We moved clubhouses to our current clubhouse today on Madison Avenue.
Charles Johnson:And it really became more of a business club.
Charles Johnson:But it was still the Detroit Athletic Club.
Charles Johnson:Athletics have always been still this.
Charles Johnson:They are critical to what we do.
Charles Johnson:But when that change happened, it also became very social and very business oriented in addition to the athletics.
Nick Portillo:I can't even imagine what it was like back in the 50s, right with, with the explosion of the American made car, you know, the Fords and just the buzz around business in the city of Detroit.
Nick Portillo:I'm sure it was probably a sight to see.
Nick Portillo:Do you have like a museum on site where you, you know, you, you hold and capture a lot of these memories from the past?
Charles Johnson:We don't have a true museum, we would like to have one, but we do have some display cases.
Charles Johnson:We have a, we have a full time curator who handles all of our, our fine art and also our artifacts.
Charles Johnson: ong running publication since: Charles Johnson:The DAC News is a monthly magazine.
Charles Johnson:And so through that we do a lot of History, a lot of research and a lot of things.
Charles Johnson:So we showcase a lot of artifacts, we communicate a lot to our members.
Charles Johnson:And I foresee in the next five to 10 years, you know, when space permits, we certainly have enough to fill a museum.
Charles Johnson:And so it'd be nice to have that opportunity to share that with everybody.
Nick Portillo:When it comes to, you know, the members of the club are they.
Nick Portillo:Have you, have you had any, like, historical figures that have been members of the club or who have come through, you know, over the last hundred years?
Charles Johnson:Yeah, you know, particularly in the political realm, most dignitaries in some way, shape or form have been here.
Charles Johnson:Even in current times, you know, they find their way here.
Charles Johnson:Politicians in federal government particularly, but also obviously state and local, they're here quite frequently.
Charles Johnson:Athletes come and go.
Charles Johnson:We don't really necessarily have a lot of current athletes who are members.
Charles Johnson:They have their own training facilities and you know, for them, that's a business.
Charles Johnson:They're professional.
Charles Johnson:Athletes are doing their thing.
Charles Johnson:But a lot of times, once they've sort of retired and they're in this area, then they become members.
Charles Johnson:They spend a lot of time around here.
Charles Johnson:Back in the heyday that you mentioned, the 40s and 50s, you would see the, the, the speakers, entertainers that would come in here, Harry Houdini was here, you know, Pavarotti was here.
Charles Johnson:All of the big entertainers of the day, particularly in the, in the golden era of the city of Detroit, the 20s through the 50s, that, that era had a lot.
Charles Johnson:Still to this day, you know, it's not unusual to, to come in and see no names and, and things like that.
Charles Johnson:That's one of the, the benefits of a private club is it is a place they can come.
Charles Johnson:And it's not that people don't want to see them, but it's a much more cordial environment.
Charles Johnson:They are a little bit more, they're their, their privacy is protected here a little bit more.
Charles Johnson:And so members sort of acknowledge that and let them, let them, when they're here, be comfortable and do whatever business it is they're here to do.
Nick Portillo:Yeah, that makes sense to become a member.
Nick Portillo:Is there like a wait list or is there a process to become a member or can anybody just sign up?
Charles Johnson:Yeah, no, it's, you know, it's a true member organ membership organization.
Charles Johnson:You can only become a member by being sponsored by a current member.
Charles Johnson:In fact, you need two members to sponsor you, and then you got to have another seven members who know you and are willing to write a letter on your behalf.
Charles Johnson:And then there's a, a process to go through.
Charles Johnson:And so if you were to walk in the door, say I want to be a member, you know, that we can't really help you with.
Charles Johnson:But we do have a wait list depending on, you know, resident category, which is our main category.
Charles Johnson:We have a wait list, our young folks, which is really unique for private clubs.
Charles Johnson:We call them intermediates and they're age 21 to 33.
Charles Johnson:You know, that's a multi year waitlist.
Charles Johnson:And we think about what that is for these young folks and it's highly desirable for them for lots of reasons.
Charles Johnson:The social networking aspect, the, the business networking, they want to be part of this club where whatever career they are in and young in their career in, they want to be next to it or evolve or they're get the chance to bump into the titan of their industry while they're here.
Charles Johnson:And so that group had at one point that topped our own six to eight year wait list and we had to make some changes.
Charles Johnson:Now right now it's about a two year wait list.
Charles Johnson:Two and a half year wait list for that group.
Nick Portillo:Wow.
Nick Portillo:Isn't that something I, you know, there's always that phrase like something along like you are the, the, the sum of your five closest friends and people wanting to network and be a part of that.
Nick Portillo:I think also too just being part of the history of the club and yeah, I guess bumping shoulders with people that are, you know, truly famous or significant or have, are leaving an impact like you said, titans of their own industry, whatever that may be.
Charles Johnson:Yeah.
Charles Johnson:And the dac, it's, it's, it's almost fraternal a lot of ways.
Charles Johnson:Almost like a.
Charles Johnson:Yeah.
Charles Johnson:Your affiliation with the university.
Charles Johnson:You went to a university for four years and you carry that affiliation around with you forever.
Charles Johnson:I've, you know, I'll travel the world and if I have a polo on with a DAC emblem, I'm on a bus in the outskirts of London with only seven other people.
Charles Johnson:And so he taps me on the shoulder and says, oh, my dad was a member there or my, my grandfather used to visit there or my mom remembers going there fondly as a child.
Charles Johnson:And so it's a brand that carries really worldwide, but in the US I cannot get on a flight domestically without there's some connection to somebody with the dac.
Charles Johnson:So it's got that really unique sort of part of it as well where people, even if you're not a member today, if you have any connection with the dac, you're fond of that and you're proud of that.
Nick Portillo:That's so cool.
Nick Portillo:I.
Nick Portillo:I love that.
Nick Portillo:Now, I know, you know, in researching that the DAC is the number one athletic club in the country, how have you been able to become number one?
Charles Johnson:Yeah, well, you know, there's a lot of fine clubs, and I will, you know, the rankings and all that kind of stuff are.
Charles Johnson:Our members love to know that this is the number one athletic club.
Charles Johnson:Our staff are proud to be at the number one athletic club in the country.
Charles Johnson:You know, but the reality is that recognition means very little to what happens in our four walls in any given day.
Charles Johnson:And so we stay very focused on just giving excellent service.
Charles Johnson:Our.
Charles Johnson:Our.
Charles Johnson:This year, our.
Charles Johnson:Our theme is going to be every interaction, every member, every time.
Charles Johnson:And it's really to bring awareness to no matter what's going on in the world or, you know, the dac.
Charles Johnson:I'll talk about renovations in a moment.
Charles Johnson:We're always investing in our facility and doing things.
Charles Johnson:None of that's as important as the person coming in for lunch today and that they sit down and they just have a memorable, wonderful experience.
Charles Johnson:And so we draw that sort of view onto every little interaction we have.
Charles Johnson:Every single employee here has an impact on that, even if they're not having a direct conversation with a member or the guest.
Charles Johnson:You know, our housekeeping team provide the wonderful facility you walk into our culinarians providing the meal the server is serving.
Charles Johnson:But so everybody has a role here to make sure we provide it.
Charles Johnson:And so.
Charles Johnson:And I think it's that continual striving for excellence is one of the reasons that we are as good as we are.
Charles Johnson:There's other things, like strong governance.
Charles Johnson:We.
Charles Johnson:We have a history of investing in ourselves and investing in these facilities and ensuring this premier experience.
Charles Johnson:When you walk in here, we are very big, you know, very much into protecting Albert Kahn's legacy of this building that he designed and ensuring that any renovation work we do preserves history.
Charles Johnson: looked when you walked in in: Charles Johnson:And I think so.
Charles Johnson:Those.
Charles Johnson:Those types of.
Charles Johnson:That focus both on the service side from the facility side, that is why people, you know, think highly of it and why you receive accolades.
Charles Johnson:Like being the number one athletic club.
Nick Portillo:You mentioned the employees, right.
Nick Portillo:Delivering an experience that every day, you know, every moment to your guests, your customers, and how much say did they have the employees have in, you know, how you, you know, go to business every day and how you operate as a.
Nick Portillo:As a team.
Charles Johnson:Yeah, I mean, I'll say a great deal, A great deal.
Charles Johnson:We have, we have, I think it's 42 employees who've worked here 20 years or longer.
Charles Johnson:And in a hospitality organization that's really, it's not the, it's not normal.
Charles Johnson:I'll just say that.
Charles Johnson:And a lot of it has to do with this community between the members and the employees that it, it as it's one community and we are our community together.
Charles Johnson:How we actually act that out.
Charles Johnson:There's a couple different ways.
Charles Johnson:We have part of CPP that I mentioned earlier.
Charles Johnson:We have monthly departmental meetings called PEP meetings.
Charles Johnson:And through that, all employees have a voice.
Charles Johnson:They get to say what's on their mind, what they want to do.
Charles Johnson:We have quarterly all staff meetings.
Charles Johnson:We have all those things.
Charles Johnson:Probably the most significant thing we do is we use Gallup to do our employee engagement survey.
Charles Johnson:You know, millions of people worldwide take this exact same survey and through their process you get the results.
Charles Johnson:We do state of the team meetings and those meetings are fully run by the employees.
Charles Johnson:Managers are not.
Charles Johnson:Their role is not to come up with goals and objectives.
Charles Johnson:So every department gets their results.
Charles Johnson:You know, here's what's good, here's what's, maybe here's some areas of opportunity.
Charles Johnson:But the staff decide every single year what 1, 2, 3, 4 things they want to work on.
Charles Johnson:And then once they identify the things they want to work on, they also identify what we're going to do.
Charles Johnson:That's we as in them and as a management team or if a club needs to invest or what we're going to do.
Charles Johnson:And so we'll do that every spring.
Charles Johnson:And it's a year long process for us that by the end of the year we hopefully have accomplished everything we said we were going to do.
Charles Johnson:And because they set it forth, they of course wanted to see, they want to see that be successful.
Charles Johnson:So they're supportive of it, management team supportive of it.
Charles Johnson:And that process has worked really well for us for a long time.
Nick Portillo:Let me see if I heard that right.
Nick Portillo:So essentially, you know, in the spring, your staff puts together, you know, their four or five or so goals, objectives that they want to achieve for the year.
Nick Portillo:And then without the management team, so they say this is what we want to accomplish, what we want to do.
Nick Portillo:And then they layer in the management team from there to help, you know, potentially achieve those goals.
Charles Johnson:That's right.
Charles Johnson:I mean, the management team's there for the discussion, but it is not there.
Charles Johnson:It can't be their idea.
Charles Johnson:Like they're, they're you know, we're, we're instructed.
Charles Johnson:You don't walk in there and say, here's what we're going to do.
Charles Johnson:The staff have to generate it, you know, but the manager can be there to maybe keep it within us.
Charles Johnson:You know, we can't go.
Charles Johnson:If somebody said they want to build a new building.
Charles Johnson:Well, somebody's got to pull that conversation back into the light, the likelihood.
Charles Johnson:But yeah, it's, it's the staff generated, manager supported.
Charles Johnson:And then we also do one as a management team.
Charles Johnson:We do a separate set like that, just like the management team to kind of inform me this is what we want to see done this year.
Charles Johnson:And a lot of times that's a lot of.
Charles Johnson:That is interpersonal stuff.
Charles Johnson:It is.
Charles Johnson:You know, there's a question on Gallup about quality.
Charles Johnson:And really, if you get down to the nuance of the question, it's not about quality.
Charles Johnson:It's really about how you perceive other people and how they think of quality and are they working as hard as me?
Charles Johnson:Are they doing the same thing?
Charles Johnson:And that's where we tend to see most of our areas of opportunity.
Charles Johnson:And so from that comes a lot of things we've had through that session.
Charles Johnson:We've had focus groups with employees tenured five to ten years, which seemed to be our more complicated area.
Charles Johnson:And we had, so we had a focus group.
Charles Johnson:They, they informed us of some things.
Charles Johnson:With 500 employees, you know, we can't necessarily do monthly meetings with every employee.
Charles Johnson:That would be very cumbersome.
Charles Johnson:But through this conversation and line level, employees wanting maybe more facetime with their senior leader, not just their direct supervisor like a senior leader.
Charles Johnson:You know, we develop these six months progress checks where every single employee gets a progress check with their senior leader every six months.
Charles Johnson:And it's a chance to, it's.
Charles Johnson:The employee goes to the meeting.
Charles Johnson:The manager is not a review.
Charles Johnson:The manager didn't say, here's what you're doing.
Charles Johnson:Well, here's what you need to improve upon.
Charles Johnson:The employee gets to walk in, say, here's what's going well, here's what needs to improve and it's for the, for the manager to listen and take that in.
Charles Johnson:And so, you know, we've, we've just got a lot of benefits from that, from the employees saying, here's what we want.
Charles Johnson:And, you know, here's what's working, here's what's not working, here's what we'd like to work on.
Charles Johnson:Let's find a solution.
Nick Portillo:Yeah, I, another guest I had on recently was, his name was Ralph Bauer, and he's the CEO of the Melt, which is a chain of restaurants out here in the West.
Nick Portillo:And he, his big pie in the sky vision was I want to build an I love it here experience.
Nick Portillo:So essentially for every customer that walks through any one of the doors at any one of his locations that they say, I love it here.
Nick Portillo:And so in doing so, he really puts it on his team and on his staff to, you know, say, what do you hope to change and what do you hope not to change?
Nick Portillo:You know, and he says, in giving my staff that leeway to think about, you know, think about the business that way, that in years past they've added on a pink lemonade, which became their number one seller.
Nick Portillo:They.
Nick Portillo:They gave out free meals to Frontline, you know, responders during COVID And their business like it, it went down to the negative because they're just handing out free food at the time, but it just exploded their, their sales, you know, within the year.
Nick Portillo:So it's really cool to see you kind of maybe have a similar type approach where I think a lot of times you kind of have, you know, the C Suite makes the decisions, then it goes down to the presidents, the directors, and it kind of gets down to everybody else.
Nick Portillo:And are you really getting buy in?
Nick Portillo:You're working with the staff to get their buy in?
Nick Portillo:Say, you know, because they're on the ground floor every day figuring out, you know, working with the guests.
Nick Portillo:And is this the right experience that or not?
Charles Johnson:Yeah, yeah, we have, we have something similar.
Charles Johnson:So as membership organization, we of course want every member to love this place.
Charles Johnson:And, you know, it's measured by how long people are members and those types of things.
Charles Johnson:But we also have an employee core value called taking care.
Charles Johnson:And that, that taking care is, it's actually an action.
Charles Johnson:You know, it's not really as much of a value.
Charles Johnson:It's, you know, we define taking care as a proactive awareness to serve in a caring way.
Charles Johnson:And every one of those words has some special meaning.
Charles Johnson:You know, proactive, obviously.
Charles Johnson:Awareness, empathy and listening, serving and in a caring way.
Charles Johnson:And similar to what you were mentioning about, you know, letting people do things, a lot of that has to do with letting employees find, find ways to take care.
Charles Johnson:You can only.
Charles Johnson:The C Suite can only prescribe so much, yet when in the moment you're going to find all types of things for people that have ways that you can take care of them and serve them.
Charles Johnson:And so for us, we define taking care of.
Charles Johnson:There's really four elements of taking care of the Three primary we take care of our members, we take care of our staff, our colleagues, and we take care of the club as an entity.
Charles Johnson:And then we also had to take care of yourself, a little bit of self care.
Charles Johnson:But through that, when you're taking care of members, you're going to find yourself in these situations where somebody just tells you something about their life.
Charles Johnson:Maybe they're, they just had a house fire.
Charles Johnson:And this is a real story.
Charles Johnson:Not too long ago, just had a house fire.
Charles Johnson:So they're here staying in one of our hotel rooms for, for a week or so.
Charles Johnson:You know, they didn't tell us about, they didn't tell our front desk agent about the fire.
Charles Johnson:So because we can do anything for them about the fire, you know, and so they're just kind of sharing their story.
Charles Johnson:But because our employees are attuned to this and they have this empathetic, proactive sort of listening, you know, just the thought of, okay, they had a fire, what could we do?
Charles Johnson:And so what could we do is we could send them home.
Charles Johnson:When they go home the next day to back to work on the issue they have at their house, we'll send them with salads and sandwiches and soups and breadsticks just to make their day a little easier.
Charles Johnson:And those, those things like that, that personal connection, it becomes very important.
Charles Johnson:But that has to be done at the line level.
Charles Johnson:An executive can't just say we're going to do this because it wouldn't mean as much, it wouldn't be as meaningful.
Charles Johnson:And I think the actual action would be meaningful.
Charles Johnson:You know, for us, taking care is about empowering our employees.
Charles Johnson:Whether it's taking care of our members, whether it's taking care of one of our own, one taking care of another employee, or taking care of this empowerment to do what you think is best for the club.
Charles Johnson:And I will always stand behind any employee.
Charles Johnson:You know, even if it wasn't the right decision, perhaps if truly they were doing what they felt was best and right then the club will always support them.
Nick Portillo:You know, it's so interesting is in my, you know, I'm a, I'm a food service broker.
Nick Portillo:So I represent different food manufacturers and sell their products out here in the west.
Nick Portillo:And we have certain brands.
Nick Portillo:There's one that comes to mind that, that they've been in business for over 100 years and to be in business, you know, most businesses, they say fail in like 12 months time, like 90% or 80, some crazy high percentage.
Nick Portillo:But for those like the DAC that make it over 100 years, like your dedication to the guest or the customer or the client, whatever it may be, whatever type of business is, always seems to be at the forefront.
Nick Portillo: e been around since literally: Nick Portillo:That's something.
Nick Portillo:Definitely.
Nick Portillo:That's something to say.
Charles Johnson:Yeah, I agree.
Charles Johnson:Thank you for that.
Charles Johnson:You know, oftentimes I'll be asked, you know, as CEO, sort of my view on my role or the club.
Charles Johnson:And really, it is to ensure this institution is so important.
Charles Johnson:It has been around for 137 years.
Charles Johnson:I'm a steward.
Charles Johnson:I got to make sure this thing continues to be relevant, continues to be meaningful in this community for the next hundred years.
Charles Johnson:And so you know, that.
Charles Johnson:That.
Charles Johnson:That's a responsibility that you care and you take.
Charles Johnson:And I think I have that responsibility.
Charles Johnson:I think many of our staff have that responsibility.
Charles Johnson:We see it as we're stewards, and it's a responsibility of ours to be meaningful about the way we do things, you know, and.
Charles Johnson:And we want the last great meal ever to be served here at the dac, you know, if that ever goes, if fine dining ever goes, finally goes away.
Charles Johnson:The last good meal we want be done here.
Charles Johnson:And so we just take that.
Charles Johnson:We take our place in the community extraordinarily important.
Charles Johnson:We take our place in food service and hospitality incredibly important, and see it as just a responsibility of ours to make sure that we shepherd that through to the next generation.
Nick Portillo:Sure.
Nick Portillo:Amazing.
Nick Portillo:Charles, thank you for taking time to come and share your story and talk about the dac.
Nick Portillo:And hopefully, next time I'm in Michigan, maybe I can stop in and say hello to you.
Charles Johnson:Oh, we'd love to have you.
Charles Johnson:That'd be great.
Charles Johnson:Thanks for having me here.
Charles Johnson:The DAC is a special place anytime I can talk about that.
Charles Johnson:Happy to do so.
Charles Johnson:On behalf of all of our 5,000 members or 500 employees, thank you.
Charles Johnson:And since we started this way, I'll finish with a gol.
Nick Portillo:I love it.
Nick Portillo:I love it.
Nick Portillo:Thank you, Charles.
Nick Portillo:All right.
Charles Johnson:Thank you, Nick.
Charles Johnson:Have a great day.
Nick Portillo:You too.