Voice of the Restaurant Industry®
Challenge
Hey fellow independent restaurant operators? We have a challenge on our hands. I'm not talking about the 'Bobby Flay throwdown challenge' but a real one that is threatening our very existance.
Yes, we have seen rough times before in the restaurant business and I'm sure we all believe the economy will eventually turn around. But do we have the horsepower to ride things out until that happens? Many do not.
On January 1, 2009, I'm challenging you to a throwdown. Are you ready to challenge yourself and your business right now? Tough questions about your restaurant business practices must be asked and, more importantly, answered right now.
Lets start with labor. Are your kitchen workers as efficient as possible? If you had to restaff your restaurant from scratch based on the business you currently have would it look like it does today? Are your managers pulling their weight? If any of these questions gave you pause you better deal with it because it could be costing you tens of thousands of dollars over the course of '09 and beyond.
Food and supply purchasing. Before some of you misinterpret what I'm about to say please listen carefully. Never do I advocate buying inferior product for your restaurant, okay? Now, if you really want to get serious about food cost as it pertains to purchasing (there are many other factors such as waste management, portion control, recipe/menu engineering, etc.), you have to shop hard for your products on a weekly and sometimes daily basis. You cannot be married to one broadline supplier. Use at least two and chart their prices weekly on an Excel spreadsheet then divide the order based on low price so they each get an order every week. This will create competition for your purchases and drive prices down. If you're not comfortable shopping for certain items for quality concerns then buy those items from just one vendor. There are many other items that can be shopped effectively. This disciplined approach to purchasing will save you thousands of dollars annually. It must be done if you are to prosper.
I think you get the picture. The bottemline is every dollar you spend in '09 must be spent carefully whether it be on labor, food, supplies, utilities, insurance or any other expense. Challenge old norms and you will be surpised by the positive impact on your profit margin.
If you challenge yourself to change now you just might see the economy 'turn around' quicker than you think.
Yes, we have seen rough times before in the restaurant business and I'm sure we all believe the economy will eventually turn around. But do we have the horsepower to ride things out until that happens? Many do not.
On January 1, 2009, I'm challenging you to a throwdown. Are you ready to challenge yourself and your business right now? Tough questions about your restaurant business practices must be asked and, more importantly, answered right now.
Lets start with labor. Are your kitchen workers as efficient as possible? If you had to restaff your restaurant from scratch based on the business you currently have would it look like it does today? Are your managers pulling their weight? If any of these questions gave you pause you better deal with it because it could be costing you tens of thousands of dollars over the course of '09 and beyond.
Food and supply purchasing. Before some of you misinterpret what I'm about to say please listen carefully. Never do I advocate buying inferior product for your restaurant, okay? Now, if you really want to get serious about food cost as it pertains to purchasing (there are many other factors such as waste management, portion control, recipe/menu engineering, etc.), you have to shop hard for your products on a weekly and sometimes daily basis. You cannot be married to one broadline supplier. Use at least two and chart their prices weekly on an Excel spreadsheet then divide the order based on low price so they each get an order every week. This will create competition for your purchases and drive prices down. If you're not comfortable shopping for certain items for quality concerns then buy those items from just one vendor. There are many other items that can be shopped effectively. This disciplined approach to purchasing will save you thousands of dollars annually. It must be done if you are to prosper.
I think you get the picture. The bottemline is every dollar you spend in '09 must be spent carefully whether it be on labor, food, supplies, utilities, insurance or any other expense. Challenge old norms and you will be surpised by the positive impact on your profit margin.
If you challenge yourself to change now you just might see the economy 'turn around' quicker than you think.
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