managing revenue 2
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MANAGING YOUR REVENUE: Module 2DURATION MANAGEMENT
INTERNATIONALCULINARY CENTERThe ChallengeManaging duration without compromising the guest experience!
INTERNATIONALCULINARY CENTERManaging Restaurant Revenue(c) Cornell University2
Basic Approaches to Managing DurationMenu design Process design Communication toolsFacility design
INTERNATIONALCULINARY CENTERManaging Restaurant Revenue(c) Cornell University3
Using the Menu to Help Manage DurationMake it easier for the guest to orderPrint out or post specialsClearly explain menu items on the menu (freeing up the server for other tasks)Minimize decision-making through good menu design
INTERNATIONALCULINARY CENTERManaging Restaurant Revenue(c) Cornell University4
What Not to Do!
INTERNATIONALCULINARY CENTERMinimizing Decision MakingGood
Not so goodRigatoni with traditional veal ragu Just like Nonnas!Fettuccine Duso a creamy garlic and cheese sauce with basilFarfalle Primavera Butterflies with fresh pea shoots, asparagus, morels, and herbsPick any pasta and any sauce:
PASTA CHOICESSAUCE CHOICESRigatoniTortelliniRaguArrabbiataFettuccineBucatiniDusoBurro e SalviaFarfallePiciPrimaveraVongoleLinguineRadiatoreAmatricianaPomodoro
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INTERNATIONALCULINARY CENTERManaging Restaurant Revenue(c) Cornell University6
Make it easier to the staff to prepare the dishDegree of pre-prepEquipment throughputComplexity of preparation and/or plating
Using the Menu to Help
INTERNATIONALCULINARY CENTERManaging Restaurant Revenue(c) Cornell University7
Process Design
Make the menu available before guest is seatedTake the food order before guest is seatedSmoothly transfer the tabDrop the check with the coffee (if appropriate!)Process check tableside (if possible)Make it easy for the host to see status of the table
INTERNATIONALCULINARY CENTERManaging Restaurant Revenue(c) Cornell University8
An Aside: the Role of HostGreeting guestsManaging reservationsAssigning guests to tablesSeating guestsKeeping the stations balanced
The host is your primary revenue manager!
INTERNATIONALCULINARY CENTERManaging Restaurant Revenue(c) Cornell University9
Reduce Time Between CustomersCommunications:Between server and busserBetween busser and hostService improvements:Rapid bussing and reset How complicated is the reset process? Can it be simplified by design?Table management:Letting the host know the table is freeManaging party size S. Kimes
INTERNATIONALCULINARY CENTERManaging Restaurant Revenue(c) Cornell University10
Reduce Arrival UncertaintyForecast arrivalsHave well-documented reservation policiesHave the right mix of table sizes to match your customer party mixTake credit card depositsApply cancellation penaltiesCall and remind customers of reservations S. Kimes
INTERNATIONALCULINARY CENTERManaging Restaurant Revenue(c) Cornell University11
Environment and DurationUsing music
Using seat placement
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INTERNATIONALCULINARY CENTERGUEST GREETED BY HOSTTABLE READY?PROCEED TO BARGUEST SEATED AT TABLEDRINK ORDER TAKENDRINK ORDER DELIVERED APPETIZER DELIVEREDMEAL ORDER TAKENGUEST SEATED; DRINKS TRANFERREDAPPETIZER CLEAREDENTRE DELIVEREDENTRE CLEAREDDESSERT MENU PRESENTEDDESSERT/COFFEE ORDER TAKENCOFFEE DELIVEREDDESSERT DELIVEREDCHECK DELIVEREDPAYMENT METHOD PRESENTEDPAYMENT PROCESSEDCHANGE/RECEIPT RETURNEDGUEST DEPARTSTABLE BUSSED AND RESETNOYESPRE-PROCESSPOST-PROCESSIN-PROCESS