Any amount of money you save is money earned. However, for your restaurant to make money, you have to find a way to cut costs. You need to modify how you do business if you want to stem potential losses. Here are five ways to decrease your restaurant expenses.
- Lower Inventory Levels. There is a limit to how much you can reduce the inventory levels. However, most restaurants often have more food than they need on their shelves. Analyse your inventory levels product by product. Reorder your levels based on how much you think you will use until the next scheduled delivery. You may add a small but reasonable safety amount. Reducing excess inventory reduces waste and spoilage. You might also notice that your staff will begin to do a better job.
- Remove Trash Cans in the Kitchen. Every restaurant risks losing good and usable food products to their kitchen trash cans. In case there is a training gap or your staff are careless when slicing, dicing, or prepping anything in the kitchen, useful and usable products could end up in the trash cans. Some operators occasionally remove all the trash cans in the kitchen and replace them with clear plastic food boxes. They instruct each employee to put all their waste into their box. At the end of the shift, the manager inspects all the boxes. If he/she discovers any usable product, the manager brings it to the attention of the staff. The staff may receive some on-the-spot training.
- Install a Video Camera in your Dumpster Area. Dishonest employees will often steal steaks, bottles of liquor, or other expensive items by concealing them in coats or purses. However, for one to steal a whole case of product, the best method is to throw it in the trash and retrieve it at the end of the shift. Item inventory counts at the end of the shift will isolate missing products, but no one will ever know how the item was stolen. Having a camera pointed toward the back door, and dumpster area will allow you to play back the suspicious periods of occurrence.
- Consolidate Purchases. The trend of buying a large portion of products from one supplier is more common in highly profitable restaurants that it is in marginally successful ones. When you consolidate the major purchases with one supplier, the vendor tends to offer discounts on some items. Prime vendor relationships can help reduce your expenses. The supplier will agree to a certain percentage of “markup” over their cost for a certain amount of time.
- Alternative to Opentable. Consider using an alternative to opentable to increase your income. An alternative such as SevenRooms will create opportunities to generate more money upfront during reservation booking and market your restaurant email referencing. Opentable alternatives will also give you a view of your guest’s profiles including visits, allergies, and preferences.
Armed with these tips, you are five tips closer to reducing your expenses. Make your business more profitable and the at same time satisfy your staff and customers,