Communications in franchise organizations
Efficient communication is essential to a proper cooperation based on franchising. Cooperation in a franchise is no one-way traffic. The franchisor is responsible for the policies and decision making in the franchise. The franchisor needs to know the specific interests and issues which keep franchisees busy. This specific information from the basis is what enables a franchise to remain competitive. The franchisee wants to be heard, look after his interests and provide suggestions.
Starting franchise organisations
In a young, small franchise communication can be informal because the distance between the franchisor and franchisees is small. 'The lines of communications are short.'
Developing franchise organizations
As a franchise organization grows, the lines of communications lengthen and a franchise council is often established: a consultative forum of the franchisor and franchisees which periodically discusses issues which are relevant to both parties. In most franchise organizations, the franchise council only has an advisory role. However, this does not mean that the franchise council is without obligations. The franchisor needs to take the advice seriously.
Large franchise organizations
In larger franchise organizations, there is sometimes an association of franchisees. The only members of this association are franchisees. A delegation of the association, often the board, has a seat in the franchise council and handles the consultations and discussions with the franchisor.
Read on about the growth rate of franchising in the Netherlands.
