HR strategy delivers industry‐leading performance at Mitchells & Butlers

Purpose – The purpose of this paper is to describe how a coherent HR strategy focused on delivering the company's key strategic goals has helped Mitchells & Butlers, a UK operator of restaurants and pubs, to post industry‐leading sales and profit growth over the past three years.Design/methodology/approach – The paper explains the reasons behind the reforms, the form they took and the results they have achieved.Findings – Reports, among other things, increased employee engagement, higher job satisfaction, lower staff turnover, a 500 percent return on investment in a multi‐unit leadership program and a 5.2 percent rise in productivity.Practical implications – Reveals, for the company as a whole, an increased operating margin, growth in market share, higher customer satisfaction, lower departmental costs, a rise in like‐for‐like food sales and average profits per pub the highest in the industry.Originality/value – The paper gives an inside view of strategic transformation at a key UK company.