action now for restaurants long version
Post on 19-Oct-2014
457 views
DESCRIPTION
Action Now is a presentation for restaurants to help understand the challenges and opportunities at the momentTRANSCRIPT
brandStrategy.co.za
How to get your Restaurant OUT of the dip and BACK on the road again… RIGHT NOW!
brandStrategy.co.za
Mike & The Mechanics
Michael Said
brandStrategy
brandStrategy.co.za
Mike & The Mechanics
Michael Said
brandStrategy
brandStrategy.co.za
Michael Said
brandStrategy
Michael Said
brandStrategy
twitter.com/mike_said_what#RhapsodyLegends
brandStrategy.co.za
twitter.com/mike_said_what#RhapsodyLegends
slideshare.com/mikesaidwhatRestaurantAction!
brandStrategy.co.za
The sorry state of the restaurant industryin South Africa!
brandStrategy.co.za
The sorry state of the restaurant industryin South Africa!
Are in deep, deep trouble and not getting a whole lot of help (or sympathy) right now!
brandStrategy.co.za
It gets harder and harder!
It gets harder and harder!
It gets harder and harder!
It gets harder and harder!
It gets harder and harder!
2/3
Help, It Feels Like I Am Drowning!
brandStrategy.co.za
Help, It Feels Like I Am Drowning!
brandStrategy.co.za
Help, It Feels Like I Am Drowning!
brandStrategy.co.za
Help, It Feels Like I Am Drowning!
brandStrategy.co.za
Help, It Feels Like I Am Drowning!
brandStrategy.co.za
Help, It Feels Like I Am Drowning!
brandStrategy.co.za
Help, It Feels Like I Am Drowning!
brandStrategy.co.za
Help, It Feels Like I Am Drowning!
brandStrategy.co.za
Help, It Feels Like I Am Drowning!
brandStrategy.co.za
Help, It Feels Like I Am Drowning!
7 Mistakes All Restaurants Make
brandStrategy.co.za
Mistakes That All Small Restaurants Make
1 “I am not very good at marketing”
brandStrategy.co.za
Mistakes That All Small Restaurants Make
1 “I am not very good at marketing”
2 Going in without a business plan
brandStrategy.co.za
Mistakes That All Small Restaurants Make
1 “I am not very good at marketing”
2 Going in without a business plan
3 Doing things the wrong way round
brandStrategy.co.za
Mistakes That All Small Restaurants Make
1 “I am not very good at marketing”
2 Going in without a business plan
3 Doing things the wrong way round
4 Thinking it’s all about you
brandStrategy.co.za
Mistakes That All Small Restaurants Make
1 “I am not very good at marketing”
2 Going in without a business plan
3 Doing things the wrong way round
4 Thinking it’s all about you
5 The worst number in the world
brandStrategy.co.za
Mistakes That All Small Restaurants Make
1 “I am not very good at marketing”
2 Going in without a business plan
3 Doing things the wrong way round
4 Thinking it’s all about you
5 The worst number in the world
6 Ingratitude
brandStrategy.co.za
Mistakes That All Small Restaurants Make
1 “I am not very good at marketing”
2 Going in without a business plan
3 Doing things the wrong way round
4 Thinking it’s all about you
5 The worst number in the world
6 Ingratitude
7 Following the herd
brandStrategy.co.za
Let’s Get This Thing Back OnThe Road Already!
“Start treating it like the business it is.”
“If you do not respect the business, neither will your staff, your suppliers, your landlord or your partners!”
brandStrategy.co.za
STEP #1
brandStrategy.co.za
Item 2m - 6m PA 6m - 8m PA 8m - 12m PA
Targeted Achieved Targeted Achieved Targeted Achieved
Net Revenue 100% 100% 100% 100% 100% 100%
Cost of Sales 38% 42% 37% 40% 36% 38%
Gross Profit 62% 58% 63% 60% 64% 62%
Occupancy Costs 11% 16% 11% 14% 11% 12%
All Salaries and Wages 19% 21% 19% 20% 19% 19%
Marnagement Services Fee 6% 6% 6% 6% 6% 6%
Marketing 2% 2% 2% 2% 2% 2%
Administration 0.50% 0.50% 0.50% 0.50% 0.50% 0.50%
Bank charges 1.20% 1.20% 1.20% 1.20% 1.20% 1.20%
Cleaning Materials 1% 1% 1% 1% 1% 1%
Repairs and Maintenance 1.30% 1.30% 1.30% 1.30% 1.30% 1.30%
Replacements 1.20% 1.20% 1.20% 1.20% 1.20% 1.20%
General 1% 1.50% 1% 1.50% 1% 1.50%
Insurance 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%
Utilities 3.80% 5% 3.80% 4.50% 3.80% 4%
Operating Expenditure 49% 57% 49% 54% 49% 50%
Retention 13% 1% 14% 6% 15% 12%
Item 2m - 6m PA 6m - 8m PA 8m - 12m PA
Targeted Achieved Targeted Achieved Targeted Achieved
Net Revenue 100% 100% 100% 100% 100% 100%
Cost of Sales 38% 42% 37% 40% 36% 38%
Gross Profit 62% 58% 63% 60% 64% 62%
Occupancy Costs 11% 16% 11% 14% 11% 12%
All Salaries and Wages 19% 21% 19% 20% 19% 19%
Marnagement Services Fee 6% 6% 6% 6% 6% 6%
Marketing 2% 2% 2% 2% 2% 2%
Administration 0.50% 0.50% 0.50% 0.50% 0.50% 0.50%
Bank charges 1.20% 1.20% 1.20% 1.20% 1.20% 1.20%
Cleaning Materials 1% 1% 1% 1% 1% 1%
Repairs and Maintenance 1.30% 1.30% 1.30% 1.30% 1.30% 1.30%
Replacements 1.20% 1.20% 1.20% 1.20% 1.20% 1.20%
General 1% 1.50% 1% 1.50% 1% 1.50%
Insurance 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%
Utilities 3.80% 5% 3.80% 4.50% 3.80% 4%
Operating Expenditure 49% 57% 49% 54% 49% 50%
Retention 13% 1% 14% 6% 15% 12%
Let’s Get This Thing Back OnThe Road Already!
“Anyone who does not make money selling food, should be locked up!”
“Food Cost, the last controllable expense!”
brandStrategy.co.za
Where It All Goes Wrong!
It is easy to have a problem
• Too many products in the inventory
It is easy to have a problem
• Too many products in the inventory
• Perishable products
It is easy to have a problem
• Too many products in the inventory
• Perishable products
• Too many people involved in the process
It is easy to have a problem
• Too many products in the inventory
• Perishable products
• Too many people involved in the process
• Difficult to assess losses
It is easy to have a problem
• Too many products in the inventory
• Perishable products
• Too many people involved in the process
• Difficult to assess losses
• Where is it lost?– Purchasing
– Receiving
– Storage
– Preparation
– Serving & Settlement
Where is it all lost
• Purchasing
Where is it all lost
• Purchasing– Over purchasing
Where is it all lost
• Purchasing– Over purchasing
– Under purchasing
Where is it all lost
• Purchasing– Over purchasing
– Under purchasing
– Inferior yields
Where is it all lost
• Purchasing– Over purchasing
– Under purchasing
– Inferior yields
– Kickbacks
Where is it all lost
• Receiving
Where is it all lost
• Receiving– Padded orders
Where is it all lost
• Receiving– Padded orders
– Pricing “errors”
Where is it all lost
• Receiving– Padded orders
– Pricing “errors”
– Off spec products
Where is it all lost
• Receiving– Padded orders
– Pricing “errors”
– Off spec products
– Damaged goods
Where is it all lost
• Receiving– Padded orders
– Pricing “errors”
– Off spec products
– Damaged goods
– Short weights
Where is it all lost
• Storage
Where is it all lost
• Storage– Spoilage
Where is it all lost
• Storage– Spoilage
– Spills & breakage
Where is it all lost
• Storage– Spoilage
– Spills & breakage
– Theft
Where is it all lost
• Preparation
Where is it all lost
• Preparation– Cooking errors
Where is it all lost
• Preparation– Cooking errors
– Over production
Where is it all lost
• Preparation– Cooking errors
– Over production
– Over portioning
Where is it all lost
• Preparation– Cooking errors
– Over production
– Over portioning
– “Grazing” (do the math!)
Where is it all lost
• Serving & Settlement
Where is it all lost
• Serving & Settlement–Wrong orders
Where is it all lost
• Serving & Settlement–Wrong orders
– Customer returns
Where is it all lost
• Serving & Settlement–Wrong orders
– Customer returns
– Unrecorded sales
What effects food cost
• Menu prices– Increase prices
• Recipes– Change recipes
• Sales mix– Alter the sales mix
• Product cost– Reduce cost of raw goods
• Product utilization– Improve product utilization (waste, spoilage, theft)
Remember
• Restaurants bank RANDS not PERCENTAGES!
• Restaurant owners are simply too busy to be chasing phantom food cost problems BUT if a problem exists you want to know about it because chances are it’s costing them PLENTY!
Let’s Get This Thing Back OnThe Road Already!
“It’s about YOUR people”
“But what if I go to all that trouble and expense and they decide to leave me?”
brandStrategy.co.za
If you can’t change your people… change
your people!
If you can’t change your people… change
your people!
It’s All About Valuing Your Staff!
7 Rules Of Work
Be On Time
STEP #3
brandStrategy.co.za
7 Rules Of Work
Be On Time
Don’t Steal
STEP #3
brandStrategy.co.za
7 Rules Of Work
Be On Time
Don’t Steal
Don’t Screw The Crew
STEP #3
brandStrategy.co.za
7 Rules Of Work
Be On Time
Don’t Steal
Don’t Screw The Crew
Don’t Swear
STEP #3
brandStrategy.co.za
7 Rules Of Work
Be On Time
Don’t Steal
Don’t Screw The Crew
Don’t Swear
Have Respect For All
STEP #3
brandStrategy.co.za
7 Rules Of Work
Be On Time
Don’t Steal
Don’t Screw The Crew
Don’t Swear
Have Respect For All
Make Money
STEP #3
brandStrategy.co.za
7 Rules Of Work
Be On Time
Don’t Steal
Don’t Screw The Crew
Don’t Swear
Have Respect For All
Make Money
Have Fun
STEP #3
brandStrategy.co.za
Let’s Get This Thing Back OnThe Road Already!
“Owning a business without marketing is like winking at a girl in the
dark…”
“You know exactly what you are doing BUT nobody
else does.”
brandStrategy.co.za
Let’s Get This Thing Back OnThe Road Already!
“Killing Time & The NOT-To-Do List”
“How to prevent yourself from doing the things you know you shouldn’t be
doing!”
brandStrategy.co.za
Let’s Get This Thing Back OnThe Road Already!
“Your Moments Of Truth”
“There are thousands of TOUCH POINTS within your restaurant every day, are you delivering on all of
them?”
brandStrategy.co.za
Let’s Get This Thing Back OnThe Road Already!
“Ask For Help!”
“The best time to start doing things right was always last year, the second best timeis NOW!”
brandStrategy.co.za
Actions StepsYou Can Start Today!
1 Treat It Like A Business
2 Control Your Expenses
3 Look After Your People
4 Market Market Market & Market
5 The Not To Do List
6 Moments Of Truth
7 Ask For Help!
brandStrategy.co.za
Yes You Can!
brandStrategy.co.za
Wishing You Every Success
brandStrategy.co.za
Twitter: mike_said_what
Facebook: Michael Said
Facebook Personal: mikesaidwhat
LinkedIn: mikesaidwhat
YouTube: mikesaidwhat
Website: www.strtgy.co.za
Email Me: [email protected]
Call Me: 082 449 7367brandStrategy.co.za