Protect your brand. Encourage innovation in every part of the organization. Invest in employee growth and education. Be thoughtful about the environment. You will be rewarded when the economy improves.

That was the advice that chef Rick Bayless offered caterers during his keynote address at the 2009 Sterno Group Advisory Board Meeting in Chicago.

"Managing longevity and customer loyalty while keeping costs down is a balancing act," said Rick Bayless, head chef and owner of Frontera Grill, Topolobampo and XOCO in Chicago. "The trick for long-term success is to know your business' core values and then stand by them."

Bayless addressed a group of North American caterers gathered in Chicago for a two-day event hosted by the Sterno Group.

"Maintaining a premium image while staying innovative, keeping employees engaged and meeting the calls for green initiatives is an uphill climb for the best in the industry," said Bruce Williamson, president of The Sterno Group.

Top Tips From Bayless
Like the makers of most premium brands, caterers want to deliver a high-quality product even when client budgets are at an all-time low. Indeed, ensuring profitability in this economy appeared at the top of the list of business challenges voiced by the Sterno advisory group. Other challenges that made it to the top of this list included: juggling staffing and training issues, acquiring new business, and maintaining customer loyalty.

1) Encourage and Reward Innovation
Bayless urged the attendees to welcome change and have a process to encourage new ideas from every member on the team. "We are nothing but an innovation machine here," said Bayless of one of the key drivers of success at his restaurants. Executive chefs can find inspiration from trends such as molecular gastronomy, precision flambé and live action cooking to keep their menus vibrant and add fresh translations to classic recipes.

2) Invest in Your Employees
Providing career growth opportunities and smart incentives can have a big impact on both the employee's performance and willingness to stay. Bayless takes some of his staff for a four-day annual trip to Mexico so they can learn firsthand about the local flavors and recipes. He also incorporates simple, low-cost training techniques into the day-to-day operations at his restaurants. Making smart investments in their people, offering the right incentives and learning to delegate meaningful work will help caterers improve employee satisfaction and reduce turnover.

3) Think Green
While there are varying levels of customer demand for green products and services at catered events, a majority of the attendees had taken some steps toward "going green." A strong supporter of buying local produce, Bayless is all for one's ecological footprint. Caterers would do well to work with professional organizations to get green-certified, insist on green products from their vendors where possible, and market their eco-friendly practices to showcase value and quality in their catering package for discerning clientele.

4) Protect Your Brand
While preserving a premium brand in a down economy is not easy, caterers must stay true to their brand and avoid any knee-jerk reactions to cut costs and price. Instead, caterers can look for ways to improve customer service and offer short-term incentives that do not devalue their brand nor risk alienating their core group of customers.