Mirus Reporter

Upgrading Your Insight

Restaurant company executives carefully select best in class systems to manage their restaurant operations. Each system (Point of Sale, Inventory, Food Cost, Labor Scheduling, Online Ordering, Customer Feedback, Payroll, GL) likely does an excellent job of collecting the necessary information. However, piecing together the data from all of these transactional systems, in order to gain greater insight, is often done manually and the process is not only time consuming but also often unreliable. Ever feel like you go through the effort of collecting, sorting and entering data into a spreadsheet, but then you’re not able to access the right information when you need it? Here is when executives begin to experience frustration because they aren't always able to get the necessary answers in a timely manner (if at all). Do you find your company in the same predicament? How long does it take to get a report? And will it tie in all your restaurant data? Are you frustrated by reporting limitations? If the answer is yes, it may be time to upgrade your current restaurant reporting methods.

Restaurant organizations are increasingly turning to data to help manage their operations more effectively, improve marketing, drive revenues, increase profit margins, ensure competitiveness and grow their businesses. Unfortunately, today, the most widely implemented solutions aren’t Business Intelligence (BI) or Business Analytics (BA) solutions. No, today, the vast majority of restaurant companies rely on reports generated by the very systems used to operate (POS, BOH, etc.), their businesses.

Why? In my humble opinion, there’s a lot of confusion around terms being used to describe what any restaurant company may be receiving when it comes to their reporting. There’s Above Store Reporting (ASR), BI and BA to name a few. While they each provide a means to an end, that end is very different in each case.

What is a Restaurant Reporting Dashboard?

In layman’s terms, a dashboard is a user interface that, to some extent, is similar to an automobile's dashboard. It organizes and presents information in a way that is easy to see and understand. A dashboard is a graphic presentation of the most important data needed to accomplish a number of objectives all combined on a single screen.

A restaurant business can obtain information from any system that contains data (the Point of Sale system, a Back Office system that contains labor and inventory information, guest loyalty, accounting, etc.) and then combine it all to present all the data as though it came from the same source. The goal is to integrate information from numerous systems into a unified presentation in order to gain greater access and a deeper understanding of the business.

For the past year, reports have been consistently detailing the decline in restaurant same store sales. Mirus reporting clients, as a group, have not suffered this fate.

Mirus Index is a same store sales performance benchmark of all the restaurant companies who use Mirus reporting solutions. For the past eight years we have routinely compared the Mirus Index against the more popular indices published by companies like Black Box Intelligence, MillerPulse, Restaurant Research, and others.

How much does it cost? That’s the question that inevitably comes up whenever I’m talking with a restaurant executive about the data analytic services Mirus provides. Sometimes the timing of the question is right on; other times it’s a bit premature.

If I were selling pens or another commodity the price question wouldn’t be that big of a deal. A pen is a pen. You can touch it, you know what it does, how to use it and why you need it. Business Intelligence (BI) Software as a Service (SaaS) solutions, while not new to the restaurant industry (we’ve been around for more than 17 years), are not so straightforward. The benefits and use cases of these solutions are different depending on who you talk to.

In the Beginning

All restaurants, big or small, depend on a Point of Sale (POS) system to keep track of their business financials. A POS system can generate reports based on sales and customer information and trends that allow the restaurant operators to examine sales data along different thresholds and create promotions based on popular items or slower day parts. POS systems provide useful information to executives as their restaurant business develops.

Has Data Become More Valuable Than Oil?

Read an article on this very subject. Think about it, every day you can find something in the news about businesses using data to make more money. With that in mind, I wondered if Mirus clients were ahead of the curve? If they are, could their actions of leveraging data be paying for itself?

What's CX?

According to Wikipedia, Customer Experience (CX) is the product of an interaction between an organization and a customer over the duration of their relationship. This interaction is made up of three parts:

1. The customer's journey.
2. The brand touchpoints the customer interacts with.
3. The environments the customer experiences (including digital environment) during their experience.

In addition to the focus on hiring and retaining staff, labor and food costs, customer engagement technology and winning the guest / customer through exceptional service are among the top priorities for restaurant companies that want to win the wallet and mind of the customer.

Change Happens...

Menu changes occur all the time in restaurants. Sometimes it is a price change; sometimes it is a limited time offer. There are lots of reasons for changing your menu. Think of a menu change as an avenue to stimulating your customers. By making the change, you are hoping to achieve a particular outcome; for example, selling more of a menu item or making more money selling the menu items you already sell.

During the last administration, many changes came about that greatly impacted the restaurant industry. The Affordable Care Act and overtime rules are two that stand out and while the minimum wage increase was not a federal decision, these are all issues that had analysts buzzing with predictions and restaurateurs debating how to adapt their businesses to these modifications.

With the election of a new administration, it’s no secret that restaurant executives (and the country, in general) continue to be divided with interpretations, forecasts, fear or excitement of the future and the direction in which we’re headed. While it’s too soon to see any major changes due to the new administration (as shifts in trends and legislature take time to manifest) some top issues impacting our industry, continue to be pondered. Many restaurant executives are keeping a watchful eye while preparing for the unforeseeable future.