Mendota Heights-based Restaurant Technologies Inc. has taken the dirty-to-dangerous job of delivering and disposing of cooking oil and turned it into a technology-driven growth business that employs 750 workers at 41 depots that cover the country's largest metropolitan areas.
And this "green" recycling business, which will sell millions of pounds of used grease to the biodiesel industry this year, also is generating green for its owners.
The privately held company, with anticipated sales of about $450 million this year, is growing revenue and profits at a 10 percent-plus clip, said CEO Jeff Kiesel, who joined RTI in 2005.
But the secret to success is not just in the hand-held computers, expensive trucks and efficient handling of product for thousands of restaurant and institutional kitchens daily.
"How we treat front-line employees and their success is reflected in how they treat customers," Kiesel said. "The cost of any turnover and new employees is very expensive. We're growing employment by 10 to 15 percent a year. We want a well-trained, satisfied base of employees, two-thirds of whom are hourly. And we want to retain 85 percent of them."
Don MacPherson, president of Modern Survey, does employee surveys and in-depth reviews for dozens of client companies annually, including RTI. MacPherson has been talking since the Great Recession of 2008-09 about the record-low state of employee morale. That's partly due to stagnant wage rates received by those who survived layoffs but who have been working harder during the slow recovery that has sent corporate profits to record levels. And not much recognition from management.
But MacPherson said the employee-engagement scores at RTI, essentially a measure of employee loyalty to the company, is very high. He shared those results with the company's permission.
"RTI has 37 percent of employees fully engaged compared to the U.S. benchmark of 10 percent and they demonstrate the practices that other organizations should have in place," MacPherson said. "That means management has fewer headaches. They are easily in the top 2 percent.''