Measuring success or failure of a system that improves decision making is challenging in many respects. But, the Same Store Sales (SSS) metric can be useful, especially when applied to a long period of time, and across thousands of restaurants. SSS is caluclated as a percentage change from last year to this year, and only uses locations that are open for both years.
Topics: Restaurant Profit, Restaurant Marketing, Restaurant Operations, Restaurant Finance, Restaurant Performance, Performance
More than two ways to skin a cat...
In a previous post, I touched on the impact human behavior has on the deployment of a restaurant back office system. Many times the most difficult part of deploying a back office system is to get the managers to change their day to day behavior to fit the new system. If everyone doesn't use the system properly, it becomes garbage in - garbage out.
So, why would we want to start such a challenging project? Two motivations to deploy a back office system are improving process controls and automating repetitive tasks. In this post, I'd like to describe some alternatives to traditional back office systems. There are layers to this onion, and you do not need to view it as an "all or nothing" game.
Topics: Restaurant Custom Reporting
Data Integration
Data integration is best described as a process in which heterogeneous data (marketing, sales, operations, customer, mystery shop, cleanliness, finance, etc.) often referred to as information silos, is extracted, transformed and combined in a data warehouse where it's accessible through a presentation layer that allows it to be used together to form more meaningful and actionable reports.
Topics: Restaurant IT
As a restaurant CMO the areas of social media, guest feedback and planning the next profitable promotion probably take up most of your time. But what about labor? Wait, Operations is supposed to take care of labor scheduling and staffing not marketing. Before you pass this very important function off to the next guy you may want to see how labor affects the marketing department's efforts.
Topics: Restaurant Profit, Restaurant Operations
Theft Happens
We all know that theft happens in the restaurant industry; heck, it happens in most industries. For example, did you know; according to a study by the National Retail Federation, 2016 was the first year ever that 100% of retailers said they were victims of organized retail theft.
Unfortunately there are numerous stats to back up the prevalence of restaurant theft:
Topics: Restaurant Loss Management
The Foundation
For the purpose of this article, let's make the assumption that the multiple restaurants you oversee have, in some form or another, a POS system, an established holiday calendar, weather data, customer satisfaction surveys, kitchen timers, and a labor management system.
If you only have a few of these systems in place, that's okay. I just wanted to name the data source systems that could be leveraged for this reporting overview.
Topics: Restaurant Profit, Restaurant Operations
It seems like an eternal question for many restaurant companies; should I dump the POS we use today in favor of a 'better' one? In our business, the POS is a fundamental system. Without a POS it is vitually impossible to run a multi-unit company. From out vantange point, it is also one of the most disliked systems. The churn in POS is not well documented but I think it is easy to say over 50% of companies choose a different vendor when their current POS reaches end of life. Shooting the POS vendor seems to be a popular sport among restaurant companies.
Topics: Restaurant Operations
A look back on 2016
Listening and Improving
I asked Dina Misener, Manager of Application Development at Mirus to share her thoughts on what Mirus has accomplished in development during the 2016 year. Here's what she had to say:
"When asked to summarize what the Mirus development team accomplished over the past year, I paused and smiled. In my 15 years as a Mirus development team member, it gives me enormous pleasure to recognize we have had one of the most accomplished years in our history. Mirus underwent a major architectural and visual overhaul. The highlight of the year included the delivery of our new Smart Dashboard and Report View. Both of which were no small task and all teams, not just development participated in making our launches in March and September, a successful one."
Time For Change?
Spreadsheets are one of the most popular tools used to organize data and manage restaurants. Why? Because when you’re starting out spreadsheets are manageable, cost effective and contain useful tools for manipulating data.
Over the past several years however, I’ve seen some pretty incredible spreadsheet usage leaving me dumbstruck by the amount of copying, pasting, calculating and linking of pages that, in turn, create massive multi-page workbooks not to mention the hours of work that goes into their care and feeding. And as a report consumer, if you can locate the information you need in one of these behemoths, it’s likely the information is out of date before you even received it.
Topics: Restaurant Performance
Measuring Marketing Strategy Efficiency
How do you assure that your marketing initiatives are headed in the right direction? What are some strategies that help improve your restaurant business? Perhaps you offer coupons or special promotions to a select group or target audience. Maybe you create a social media campaign or an email blast with offers. And once you implement initiatives, how do you measure their success to assure increased profitability? Perhaps you generate reports afterward to look at the success rate. Are you getting positive results that show growth and a solid ROI?
Topics: Restaurant Marketing