Honey & Rye takes on staffing challenges in HR Next

Honey & Rye takes on staffing challenges in HR Next

When Anne Andrus learned about HR Next, an Elevate Hennepin cohort dedicated to exploring human resource (HR) issues for established businesses, her company was doing well. Honey & Rye was a favorite neighborhood bakery in St. Louis Park with a robust coffee business, catering, baked goods, and retail store featuring locally made products.

Behind the scenes, however, Anne had a lot of questions about how to operate a larger business. One key issue was staffing. Like many food service businesses, Honey & Rye saw higher employee turnover and fewer applicants after the pandemic.

"I was really proud of our track record because we had very low turnover," said Anne. "But as we grew and coming back from COVID, the workforce shrank and so many people left the food industry in general. And we weren’t prepared to hire and train even more than one person at a time."

She said when the company did hire a small group of new employees, the old onboarding process was "a disaster."

Anne looked around for some kind of support. She had done cohorts and utilized business training before. So, when she saw HR Next and a focus on hiring and retention, she applied.

She joined a group of second-stage founders working through the same kinds of challenges.

"I wasn’t in a room with other food industry owners who could relate to my specific issues, but I found it’s all the same," said Anne. "Especially when HR is the focus, it’s all about managing, supporting, and how to have these kinds of conversations. It was helpful to have outside perspectives, because we all could see the same issues in a different light."

Anne said she and the group dug into a wide range of HR topics with facilitator and Elevate Hennepin advisor Dina Simon from Simon Says HR, but she focused close on better strategies for her hiring and recruitment process.

During the 8-month cohort, she worked through everything from developing a clear job description to screening questions, enhancing the overall interview process, and then filling in gaps to improve her onboarding process. Above all, it was a deep dive to hire and retain the right person in the bakery and the office.

It was plenty of work for her and her leadership team, and new strategies required some testing and iteration along the way, but she said it was worth the effort.

"One of the big things I learned is the cost that goes into the wrong hire," said Anne.

She also found ways to expand employee benefits to become a more competitive employer, including a health savings account, retirement benefits with company matching, and better resources for employees, and a clear career trajectory. Now, an entry-level barista can see all their benefits and a clear career track from day one to becoming a general manager. That means every Honey & Rye staffer can see their job as a step on a career ladder, not just a paycheck.

Anne said any growing employer would find a lot of value in HR Next, and she appreciated how Hennepin County listened to the community and invested in HR support for growing businesses where there are bigger questions and higher stakes. She continues to work with Elevate Hennepin HR consultants and other advisors as she grows and enhances her business.

"I feel like really having the support for us in that second phase of business is powerful. It feels like there are just as many unknowns," said Anne. "And all the stakes are higher with the questions that come at the stage, right?"