The Cheesecake Factory, one of the most lucrative restaurant chains in the country, is experiencing rapid growth and success, and expects to double its number of restaurants and employees in the next five years. The company attributes much of its success to its world-class training and development program.

The firm spends an average of $2,000 on training per hourly worker each year. Servers get two weeks of on-the-job training. Management candidates attend a 12-week development course. Even dishwashers are included in training initiatives. The company has modeled their program after the development tactics of premier service providers like Nordstrom and Ritz Carlton.

There are three distinct training categories: kitchen, front desk, and management. The company uses coaching, interactive games, role-playing and on-the-job training to achieve objectives in each area. Even dishwashers are given the opportunity to learn English using a program designed by LeapFrog.

Servers are the center of all training efforts, however. Servers make up 40% of the Cheesecake Factory's workforce and are the key representatives of the restaurant to most customers. Each server candidate must go through a two-week certification process before they are officially recognized. Each candidate is assigned a mentor for on-the-job training. This mentor observes how the trainee interacts with customers and deals with situations as they arise. At the end of the two-week period, servers are given an exam. They are given two chances to get an A on the exam. They must get an A to be hired permanently. After the initial training period, servers receive follow-up classes and biannual training. They are also recertified once a year.

The culture at the Cheesecake Factory supports the development initiatives in place. CEO David Overton is the son of founders Evelyn and Oscar Overton, who believed in exceeding guest's every expectation and made that their company's key philosophy. The Cheesecake Factory makes every effort to connect with their customers and their employees. Servers meet daily to discuss issues, recognize birthdays and anniversaries and celebrate jobs well done. The company gives away monetary and other prizes in quarterly drawings to help keep morale high.

Top servers are trained as serving trainers and given higher pay. The company also believes in promoting from within. All of these strategies help keep turnover down in an industry where turnover is typically very high and a significant expense. Experts estimate that for each percentage point that the Cheesecake Factory can lower turnover, it will save about $190,000. Cheesecake Factory employees receive above average compensation and benefits packages. The company also attempts to help its employees balance work and life, and has strict policies against managers working more than 55 hours in a week. All of these efforts combine to keep turnover at the 80 to 95% range, lower than the 106% average for the industry.

The company is now focusing on employee selection. Their Vice President of Performance and Development, Chuck Wensing, says that the company can train skills but it is more difficult to teach a person to smile and be upbeat. These are traits that can be identified in the selection process. The company is in the process of identifying what traits make a good Cheesecake Factory employee, one who thrives and stays in the environment. The hope is that better selection can further help to decrease turnover rates as the company continues its astronomical growth.