Video Blog: Where Can Restaurants Best Control Cost or Cut Cost?
March 3, 2010 by Jonathan Munsell
Filed under Restaurant Cost Reduction, Restaurant Financial Management, Restaurant Issues, restaurant cost control
Video Blog
This video is part of a series of videos where I, Jonathan Munsell, answer questions and offer hard hitting comments that you can use to improve your restaurant immediately!
If you are seeing this you probably don’t need to go to RestaurantGoldMine.com to get hooked up with me. If you are not already a member of Restaurant Success System or Restaurant Success Monthly a good place to start is by grabbing some FREE information by clicking HOME and then click on the Free Kit Image to the right.
Where Can Restaurants Best Control Cost or Cut Cost?
Hey it’s Jonathan Munsell with Restaurant Success Systems. I wanted to talk about a question that I get asked fairly often and it’s something that we all need to be conscious of and it has to do with cutting costs.
I always getting asked, “Where’s the best place for a restaurant to cut costs?” and it’s always an odd question for me because I know that traditionally it stems off of profitability so the first thing I always do is when I talk with restaurant owners is talk about their prime costs. Where are your food costs coming in? Where is your labor costs coming in? What does that look like when you roll those two together, adding your payroll taxes and adding your workers’ compensation because you should take the time to map this out and actually check it for yourself to see if the numbers work.
You take your labor, you take your food costs, you take your payroll taxes and your workers’ compensation, and you roll that number together and you divide that by your sales. Highly Profitable restaurants traditionally run around 60% or better. The more you can drive that number, you’ll find the better and more profitable you are. I think it would be difficult to get to far below 50%. Maybe there are some restaurants out there, but traditionally hours and dollars and sales are affected by your labor and all that stuff getting tied together.
We use a schedule by sales dollars and we actually know by how many dollars in sales in our restaurants how many people we should have. So the first place to start when you’re looking at cutting costs is:
1) Are your prime costs in check?
As long as your prime costs are in check, then you can manage those and that’s a number that you focus on and you manage it and we manage it weekly. We have systems and tools that we use and we do an inventory every single week and it’s actually very simple if you have it organized and we have a financial summary that we use and it’s available to all the members of Restaurant Success Systems.
But besides that, even if you’re just calculating on a monthly basis, make sure you manage those numbers.
2) The other thing you start to look at is you look at all the other costs.
Are you getting the best utility rates, are you using the right paper products? I actually have in The Restaurant Success System a Cost Control Manual. I have over 500 ways that you can cut costs in a restaurant. Everything matters. Everything costs money; everything that we do from the paper napkin that goes in the to-go bag to the dollars that we spend on marketing.
But I think the place to start is make sure your prime costs are in line and then literally go line by line down your P&L and figure out what’s going in there and exactly what you’re spending and if there’s opportunity.
Cost-cutting is a solution traditionally one time and you can only cut so far. It’s not like you can come back and do it again in six months because the biggest thing that you don’t want to do is you don’t want to effect the quality and you don’t want to effect what the people are used to, meaning your guests.
So be cautious in your cost-cutting. I think we all can tighten our belts, even myself and I have. As time goes on we always look at ways to save money. But at the end of the day don’t cut so far that you actually jeopardize your business.
But look at your prime costs, analyze your P&Ls, and go through and figure out things that maybe you can knock down. Even if you’re able to cut some things down by 10%, that would really help you.
If you enjoyed this video and you’d like to receive 20 more of the top questions that people ask me about the restaurant business, and you can also get a copy of my free report, How to Make any Restaurant into a Super-Powerful Cash Machine, which has ten secrets not included in any of the videos about the characteristics of a successful restaurant owner, go to www.restaurantgoldmine.com.
Related Posts -
Inspire Your Restaurant Staff The NRA has produced an inspirational six-minute video as a tribute to what restaurants do... - Video Blog: What to have in Your Restaurant & Catering Operating System Video Blog This video is part of a series of videos where I, Jonathan Munsell,...
- Restaurant workers are starved of benefits, report says I found the statistics shared in this article interesting and thought you might enjoy this. ...
Restaurant & Catering Super Summit January 13, 2010
December 14, 2009 by Jonathan Munsell
Filed under Catering, Catering Tools, Coaching, Customer Service, Guides and Plans, Health & Energy Management, Human Resources, Leadership Development, Low Cost No Cost Restaurant Marketing, Operations Tools, Restaurant Cost Reduction, Restaurant Financial Management, Restaurant Issues, Restaurant Marketing, Restaurant Marketing - Online, Restaurant Marketing Tools, Restaurant Start-up, Safety & Sanitation, Systems, Systems & Operations, The Program, Training: Management, restaurant cost control
Veteran Restaurant Owner Reveals His Tested Multi-Million Dollar Generating Road-Map To Success So You Can..
Double Your Restaurant & Catering Profits
…even in the toughest economic times.
The trauma in the economy isn’t anywhere near over, in fact, it might turn even uglier, and if you just mush on doing the same things, the same way, in the same business, you’re slaughter waiting to happen. NOW is THE time for new, better opportunity and very bold action.
I am writing this the day after one of my, intense meetings with 20 top Restaurant Owners from all over the country. I am up at the computer at the unconscionable hour of 5:40 A.M. even after a long day working with this elite group from 7:00 A.M. until 9:00 P.M. ….I woke up 2 hours ahead of the alarm clock….with what I wanted to say to you absolutely clear in my head.
PLEASE give this somewhat lengthy letter your attention and full consideration…your prosperity DEPENDS on it
Life-Changing Money Makers Revealed Through 7 Building Blocks …
Dear Fellow Restaurant Owners and Catering Professionals,
Making a nice chunk of change during the busy season is typical for restaurant owners. And increasing those huge profits during that time sure goes a long way to keeping a smile on your face ‘til the next season. But, having an opportunity to make
Life-Changing Money with little to No “Busy Season” Stress only comes to those who know … the SECRETS of Real Restaurant & Catering Success!
I have done the research. I own three restaurant brands, I operate restaurants and two catering companies today. I am on the board of directors for the North Carolina Restaurant & Lodging Association and I have personally consulted with hundreds of restaurant owners. I have over 2,136 Members in my Restaurant Success System. If anyone knows and understands the major problems restaurant owners deal with year in and year out, it’s me.
Even better yet …
I have the answers to the most common problems that restaurant & catering company owners face, and I’ll reveal the top 7 during this ONE FULL-DAY SEMINAR
… these 7 simple Secrets Will Change Your Life Forever!
Be a part of the elite few (Only 97 Spots Available) that will be allowed in this closed door tell all summit. This is for those owners and professionals that understand the true value of this don’t miss opportunity and want to make 2010 the best year ever!
You can’t afford to miss this!
I have been in the restaurant and catering business since I was 13 years old. This whole Restaurant Super Summit is my way of giving back and saying THANK YOU and showing my appreciation, to our industry for the support I have received over the years. I think this is the best platform to share the knowledge that I have learned through my investment of hundreds of thousands of dollars through the school of hard knocks and Real Life OJT as an Owner. I know you can relate.
And for me, the best way I know how to say “thanks” is to give you what you want most. And for the majority of Restaurant Owners, that is …
MORE MONEY-MAKING STRATEGIES TO TAKE YOUR RESTAURANT BUSINESS TO THE NEXT LEVEL, REDUCING YOUR STRESS AND HEADACHES AT THE SAME TIME!
So I’ve created a jam-packed, full-day intensive Seminar, “Restaurant & Catering Super Summit—How to Double Your Profits … Even in the Toughest Economic Times!”
I am holding nothing back.
I promise you, it will change your life too!
I will spill the beans about this successful restaurant & catering profit system – unconventional as it may be – so you can start making way more MONEY, take more TIME OFF, and have way more FUN running your restaurant or catering operation!
Let me give you a few examples of what you’ll take away from my Super Summit Event:
|
1. How to get your hands on the EASIEST MONEY in your restaurant and catering business sitting right under your nose! 2. The most important data you must collect and why.[Your business is dead without this info] 3. Common Thinking About Customers Within Our Industry That’s COMPLETELY WRONG! [How to change your mindset or it’ll cost you a fortune.] 4. How to make sure your Website Doesn’t SUCK! 5. How to get your systems in place so you can simply and easily handle double your current volume. 6. MEGA MISTAKE: If more owners fixed this one brain-dead, easy problem in their customer list, their profits … …would increase by 50% or more! 7. The secret to using profitable promotions you can put on autopilot. 8. How to hire and retain a superstar staff. 9. How to avoid the big mistake that costs restaurant owners thousands of dollars a year. 10. How to transform your 11. Two ways to get people to flock to your business that cost you nothing. |
12. How to build and dramatically increase your catering and takeout business. 13. What to do if you don’t have a current customer list and how to develop one overnight. 14. How to get truly FREE Advertising. 15. How to beat the cheapest price restaurants & avoid price competition altogether. 16. How to lock a titanium cage around YOUR customers so your competitors can’t steal them and to make sure they keep coming back. 17. How to double the profits on your existing customers. 18. How to use Social Media Marketing (twitter, Facebook, etc) so you have a line out the door during your slow times and get your guests begging to do business with you! 19. Why boring, traditional advertising is a waste, how to avoid using it forever and how to quit being a victim of advertising sales reps. 20. How to dramatically increase the value of your entire business! Plus much, much more!
|
|
MY COMPLETELY RISK FREE GUARANTEE: If, in the first 3 hours, what I share with you is not worth 10 times the value you pay or you honestly believe you’ve made a mistake and that you don’t belong here or you are otherwise disappointed, you need only say so to receive a FULL 100% fee REFUND, PLUS up to $50 toward your documented travel. PLUS… I know things can happen so I have it set up so you can even get 100% refund on Cancellations 12+ Days before the SUMMIT. Why would I make a guarantee like this? Simple – You are going to love it and secretly you will think that I don’t even charge enough. Just so you know I want you to feel that way You have nothing to lose! |
I got an email from a Restaurant Owner, Izzy Schachner, Multi Unit
Owner in Cleveland Ohio. Listen to what he said,
“My business was outright failing! Sales were down every year.
Jonathan was literally the breath that brought me back from the dead. He put me back in the right frame of mind by refocusing my short and long term agendas. The materials I received helped me reorient my thinking I never XXXXXXXX in 12 years. Now that I am I feel so much more connected to my customers, and they feel the same. The marketing pieces that I use include XXXXXXXXX. With Jonathan’s help, I have been able to lay down a solid foundation
that has, so far, lead to 10% increase, but will grow even more in the next 6 months.”Izzy Schachner
Multi Unit Operator
~Izzy;s Lunch Box
~David’s Deli
~Cleveland Corporate Catering
Cleveland, OH
“Since beginning work with RSS, we have seen a steady increase in daily revenues and a marked increase in the public’s awareness of our establishment.”
Jonathan’s coaching has injected a positive, experienced voice into our marketing planning. His ongoing interest and frequent follow-up make the RSS program a key part of our growth strategy.
We have implemented strategies relative to XXXXXXXXXXXXXXXXXXXX. These components of RSS are what Jonathan refers to as ’softballs’, meaning easy to implement initiatives that provide quick results. By engaging these softball strategies, we have seen an immediate uptick in sales and customer count.”
Jarrod Davis
Acadia Northstar,
Rutherfordton NCThe XXXXXs represent some of the Killer Top Secret Strategies, I will
only share with those who attend on January 13th ~Jonathan
I have assembled the best team ever of top performers that will share the stage with me, all are ready to reveal the secrets to Make You Real Money in the Restaurant Business
Guest Speaker
|
|
 This Man Knows How To See Into The Soul of a Potential Hire - Want to know how he does it? |
Jay Henderson, the founder of Hiring ROI, has a passion for coaching hisclients on leadership, management, sales development and hiring high performers, based on the Hiring MRI. I have been in the room countless times to hear Jay speak and he is truly a Master. He is going to blow everyone’s mind when he discusses:
How to avoid the 7 hiring mistakes that can easily allow the wrong people in your business. Instead of taking hiring too lightly, beware of these seven hiring mistakes! Jay began his corporate training career with the Covey Leadership Center, helping to launch Dr. Covey’s best selling book, First Things First. |
| He has helped many organizations implement Covey Leadership Training.He also is a certified instructor of Dr. Covey’s three nationally recognized programs:Principle Centered Leadership, 7 Habits of Highly Effective People, and First Things First.While Jay has studied with other specialists in areas of Organizational and Human Performance, he is most proud of his work with the science of Axiometrics.
If you don’t know what Axiometrics Jay is going to blow your mind with what he can tell you about the people that work for you today and he will also teach you the secrets of only hiring superstars from this moment forward. |
|
Guest Speaker
|
|
| Cynthia is one of those few who really know – from actual experience – how to make all this free media pay. It is mandatory that you discover how to effectively leverage this new form of word-of-mouth marketing..
Cynthia is going to show you exactly how to take advantage of all the low cost and even NO-cost ways of reaching out to new customers, more frequently communicating with present customers, and getting prospects and customers involved in dialogue and interaction rather than just static, “push” selling by you. If you are serious about succeeding, about high income, about longevity in the restaurant industry, this special session I’ve asked Cynthia to put together for you is NOT A LUXURY; IT IS NECESSITY! |
|
Guest Speaker
|
|
 Besides the 9 Secrets I am going to share with you, I am also going to review with those lucky enough to get a seat at this event "The 5 Must Have Website Components", without them you should pull your site off the internet right now - It may be doing you more damage than good! |
Teddy Garcia, Founder of Cybermedia Marketing and GearedLocal.com. Teddy is a true Internet Marketing Master and has been building websites and helping small business owners generate more business online since 1996. He manages huge online marketing campaigns with 900 moving parts at any one given time for some of the world’s top internet marketing “guru’s”. His specialty is helping business owners bridge the gap between their marketing goals and the technical challenges they face when implementing them. The former owner of a local offline business (a bicycle store), Teddy understands the challenges faced by using traditional media such as yellow pages and newspapers to drive people into your business and will be showing you a easier, quicker, more effective, and more accountable way to achieve amazing results using online media.
“The 9 Secrets to Marketing Your Restaurant or Catering Company Online” How To Quickly & Easily Get More Teddy will provide some simple actions you can implement right away to see some immediate improvement in your local search engine rankings. Find out why Teddy will tell you to – “Stop Wasting Money on the Yellow Pages.”He will reveal the secrets of how to get tons of customers call you, walk into your business or provide you with their contact information so you can develop a relationship with them. |
In addition to this Packed Day long Super Summit, Every Participant receives, included as part of their registration, a Restaurant Success Tool Kit Valued
at easily over $600!!!!!!!
- Workbooks for ALL 7 Secrets Revealed – every single session ($59 per session*7= $413 )
- One Month FREE – Inner Circle – Online Membership ($47 Value Free), after your month you can choose to stay at that same low rate without any registration cost, you can cancel anytime.
- Complete Restaurant Success Assessment Package – CD and Workbook outlining 101 Key Restaurant Success points ($99)
- Special Report: How To Explode Your Catering Through A High Profit Targeted Niche – Doctors Offices & Pharmaceutical Reps – PRICELESS
Super Bonus: ONLY AVAILABLE TO THOSE THAT SIGN UP BY DECEMBER 15th. Everyone that registers before December 15th will also get my Goal Setting Workshop, where we will actually work together and develop your goals for 2010 – You will have written goals and a plan for how to achieve them, before your competitors even have time to make News Year Resolution.
…the bonuses alone are worth coming to this AMAZING EVENT!
Single person Registration
for this event is ONLY $199
You may bring guests from your company for only $69 per person
NCRLA ADDED BONUS
I am coming out a day early, Tuesday January 12th, to host a special program in conjunction with the general meeting~ FREE to All NCRLA Members
This special session is titled
Catering: “Today’s Hottest Trend to Improve Your Profits”
I am going to speak on how to break into catering BIG TIME! If you have never catered before or have been doing it for years I guarantee that the strategies I share in this bonus session will definitely SKYROCKET you Income and Profits for many years to come!
Non NCRLA members may attend this special session for a $49
it will be added to your Super Summit registration.
But Wait there is even more…
EXTRAORDINARY NETWORKING with Restaurant Owners and Catering Professionals both local and from all parts of the country. Our peers…welcoming and generous with their time and conversation with ‘first-timers’….renewing friendships….this is THE fraternity of Food People!
EXPERTS’ EXHIBIT HALL where you can meet the vendors and experts that I and many Restaurant Success System Members rely on, find solutions to your particular needs, the right people to help you get things done, and new opportunities and moneymaking tools you never knew existed!
Q&A Hot Seat Session – a golden opportunity to pose your questions and get answers just as if you had unfettered access to Jonathan and his panel of experts for private consulting.
DOOR PRIZES will be given away all through out the day, including books, Strategy Manuals, Gift Vouchers and even CASH MONEY!
This is hands down the don’t miss event of the year. This is the only event of it’s kind and it would be a crying shame if you missed it and if you had to struggle unnecessarily any longer than you have to.
Time is running out and space is limited so I encourage you to take action and sign up TODAY!
Success comes to those who
Take A-C-T-I-O-N!
I look forward to seeing you in Charlotte!
Respectfully yours,
Jonathan Munsell
Founder & Creator
Restaurant Success System
Restaurant Success Monthly
PS: Again, I can not stress enough how You can’t afford to miss this! For $199 or less you get the most packed One Day Life Changing Money Making Immersion Training on the Planet and I am even throwing in over $600 in bonuses that will make you countless thousands of dollars, immediately! “That’s the Icing on the Cake”!
PSS: Don’t Forget I am really tight on seats for this event and it won’t surprise me one bit if it sells out completely before Christmas – So don’t waste another second, register today! (Do it before your competitor steals your seat and then after the Super Summit steals all your guests with what he/she learned)
PSSS: Don’t Forget I have extended you MY COMPLETELY RISK FREE GUARANTEE: If, in the first 3 hours, what I share with you is not worth 10 times the value you pay or you honestly believe you’ve made a mistake and that you don’t belong here or you are otherwise disappointed, you need only say so to receive a FULL 100% fee REFUND, PLUS up to $50 toward your documented travel. You really do have have nothing to lose and tons to gain!
PLUS… I know things can happen so I have it set up so you can even get 100% refund on Cancellations 12+ Days before the SUMMIT.
Single person Registration
for this event is ONLY $199
You may bring guests from your company for only $69 per person
You get the most packed One Day Life Changing Money Making Immersion Training on the Planet and I am even throwing in over $600 in bonuses that will make you countless thousands of dollars, immediately!
NCRLA and RSS Member please proceed
to the second set of registration links
Click Here to Register with 1 additional guest
Click Here to Register with 2 additional guest
or call 919.334.6800 (24hours/ 7 days a week)
If after signing up for the Super Summit, you Join the NCRLA I will Pay $100 towards your NCRLA membership. Simply, drop me a line and let me know that you did it. This offer is valid until 30 days after the Charlotte Super Summit ~ Jonathan
NCRLA and Restaurant Success System Member RegistrationSpecial Pricing ONLY $99 $39 for guests from your company The NCRLA and I have a special relationship, without them this event may not not have been possible. I am on the Board of Directors, a Restaurant Member and and Allied Member of the association. Through this special relationship I have arranged for NCRLA Members to have special pricing. Of course, I also extend this pricing to Restaurant Success System Members (Inner Circle, Top Tier Coaching and Super Performer Mastermind Group) Restaurant Success Monthly “Free Members” are not eligible for this discount If you are a member of either of these groups I encourage you to use the *Special Discounted Registration* below: RSS / NCRLA Member Registration RSS / NCRLA Member Registration plus 1 guest RSS / NCRLA Member Registration plus 2 guests or call 919.334.6800 (24hours/ 7 days a week) |
Related Posts - Restaurant Success Secret #1.1 Responsibility and Accountability for Where You Are There's a big link between responsibility and success. ...
- Do you Deliver Totally Outrageous Service? Totally Outrageous Service is the all about the guest. As you well know, we are...
- Restaurant Success Secret #6 Know Your Numbers. Not just in your marketing, but in all the things that are...
Expert Interview: Jonathan Munsell Interviews Equipment Specialist Lenny Douglas from Tundra Specialties
Best Practices for Restaurant Owners and Industry Professionals Monthly Benchmarking and Money-making Teleseminar:
How To Insure You Have The Best Restaurant Supply, Parts and Equipment Company For Your Start-up and Existing Restaurant
Jonathan Interviews Lenny Douglas with Tundra Specialties.
Opening and maintaining a restaurant is always a challenge. This conversation will help you on your way to building a success from the start.
- We talk about the very basics (The Restaurant Development Process) of starting with a drawing, mapping out the plan in order to get a good understanding of the goal.
- We talk about understanding the options from big equipment, to counter equipment and storage, all the way to small ware.
- We even talk about what to look for in an equipment vendor.
About your Hosts:
ABOUT THE AUTHOR: Jonathan Munsell owns two restaurant brands and a catering company. Jonathan Munsell works with current and aspiring restaurant owners specializing in restaurant startup and growth. In 2007, Jonathan launched Restaurant Success System conducting national seminars and professionally speaking on restaurant startup, restaurant operations, restaurant marketing and finance. Learn more about Jonathan by visiting www.RestaurantSuccessMonthly.com
Lenny Douglas is the Sales Manager for Tundra Specialties, which is a company that specializes in restaurant parts, supplies and equipment. Lenny grew up in Tampa Florida. He moved to Colorado in 1997, waited tables and was bartender for several locations. Lenny attended University Colorado in 1999 for Computer Science, then made a change in direction and left engineering school. Lenny then worked for a foodservice sales position with Old Timer Foods working with Regional Restaurants selling a variety of food products. He met Rob Fenton, part owner and Sales Manager with Tundra, and has been working for Tundra Specialties since January 1, 2003, starting in the Outside Sales Team.
You can find out more about equipment and connect with Tundra Specialties by visiting their website www.etundra.com or check out their blog “The Back Burner”
Their blogs about the foodservice industry at The Back Burner, which is written by the employees of Tundra Specialties, a company specializing in restaurant equipment and food service supplies.
Related Posts -
Immediately Effective Cost Control Tips & Tactics - 81-90 This is the 10th post in a number of posts I will be providing to... - Immediately Effective Tips & Tactics - 51-60 This is the 7th post in a number of posts I will be providing to...
- Inspire Your Restaurant Staff The NRA has produced an inspirational six-minute video as a tribute to what restaurants do...
Restaurant Success Story: Creative Compensation In Your Restaurant
October 24, 2009 by Jonathan Munsell
Filed under Coaching, Customer Service, Restaurant Cost Reduction, Restaurant Financial Management, Restaurant Success Secrets, Restaurant Success Stories, restaurant cost control
I was just reading a reading a great compensation article from Greg McGuire and the The Back Burner Blog and wanted to add in my two cents from a member I recently spoke with.
The Back Story
One of my coaching members was looking to reduce payroll. He had done a lot this year to increase sales and manage costs. He knew if he could shave a couple points on payroll and more importantly get his payroll to the proper level it would make a big difference for him and the future growth of his restaurants. Evidently, after years of not monitoring it and managers giving raises out of his now established pay increase guidelines his payroll was out of whack.
Details on his reduction plan
In this case his restaurant is fast casual and does counter service at some very high volumes. He accepts tips if the guests put them on the credit card slip but he does not have a “Tip Jar” actually he has always been against it. We talked about what a reduction in payroll would look like and it was significant. Also the unsolicited credit card tips were significant, and the cashiers were taking it for themselves. He decided that changing his tip policy but in a creative way could work to bring in more for his staff, thus justifying him reducing pay by 10%.
How He Managed It
First he wrangled everyone together for a “attention to detail / State of the Restaurant Address”. He talked about successes, the great job they all do, the opportunities for improvements, the increases in sales for the year, the increases in cost for the year then he dove tailed into a Cost by Category discussion. First Food Cost, then Labor. He discussed the management of time and sales by hour was effective but payroll was the big economic hang up. He mentioned that if the store did not figure out how to creatively reduce cost and suggestions were welcome that salary reduction were an option. You can image what the reaction was. Everyone was a buzz for a day or two, but he did not immediately cut salaries. He allowed for their input and a good many suggestions came up to help the restaurant improve, but they were mostly longer range plans then he was looking for.
After a conversation with me we put our creative tip plan in place – Solicit tips but do it in a non soliciting way. Here is what we came up “Gas Money for the Crew”. We even came up with a neat way to display it. He his new tip capturing device out (before he reduced any salaries). He wanted to see if he could prove a point.
What was the Point?
He wanted to see if he could have his patrons generate the difference in his salry reduction and have a net zero effect on his staff. Do you think it could happen?
What actually happened
He found that people would throw money in his bucket. Was it enough? At this early stage it seems like it will be a straight wash, if not a win for his employees. Actually the tips have averaged over $1 per person per hour. If he reduced each member of his hourly staff by $1 it would be a wash, in reality they would win. They would make the same and have some cash in there pockets.
He did reduce salaries
This might be the toughest part of the whole thing but he handles it like a champ! After his initial findings he did reduce salaries by 10% which brought the majority of folks down about a dollar. Any new hires, hired at the proper salary guidelines, or folks close to minimum wage he did not reduce.
He sat each person down with the manager of each restaurant and had a candid conversation about what he was doing, their performance and individual expectations and improvements. He also guaranteed that for the initial 2 weeks he would monitor the tips and make sure they were at their previous pay (salary+Tips= past pay). He agreed to make up the difference during this period if there was a short fall.
What does he expect
He has already seen a HUGE boost in service and attention to the restaurant as a whole. His sincerity must have paid off and his people recognize that the service they deliver will effect the business and them directly. His people understand that they may not get a tip today from past guests not accustomed to tipping, but once they blow them away with service they will know the next time that the tip jar is there and they can reward great service.
He expects the tips to improve and create a situation that actually gives each of his people a pay raise. What a WIN WIN – Improved service and guest attention with a side of pay raise!
Please share with me your Restaurant Success Stories. I love to hear them and would love to share them with my members and the world!
Related Posts - More Innovative Ideas for Challenging Times Don't be afraid to hit up your vendors. Work with your vendors on dual-promotion events...
-
Immediately Effective Tips & Tactics 31-40 This is the 5th post in a number of posts I will be providing to... - Immediately Effective Cost Control Tips & Tactics - 101 - 110 This is the 12th post in a number of posts I will be providing to...
Immediately Effective Cost Control Tips & Tactics – 131-142
August 17, 2009 by Jonathan Munsell
Filed under Restaurant Financial Management
This is the last post in a number of posts I will be providing to offer cost effective tips and ideas for your restaurant biz.
Included Categories:
1. Food Costs and Kitchen Management
2. Bar, Cellar and Beverages
3. Packaging, Paper and Consumables
4. Cleaning Costs
5. Labor Costs
6. General & Administrative
7. Utilities
8. Repairs and Maintenance
9. Event Management
10. Safety
[Content protected for Inner Circle members only]
Could have used these great tips in your restaurant business, consider joining our awesome group here at Restaurant Success Monthly.
please click on the “Add to Cart” button to register through our secure shopping cart.
Related Posts - Immediately Effective Cost Control Tips & Tactics - 121-130 This is the 14th post in a number of posts I will be providing to...
- Immediately Effective Cost Control Tips & Tactics - 111-120 This is the 13th post in a number of posts I will be providing to...
- Immediately Effective Cost Control Tips & Tactics - 71-80 This is the 9th post in a number of posts I will be providing to...
Immediately Effective Cost Control Tips & Tactics – 121-130
August 17, 2009 by Jonathan Munsell
Filed under Restaurant Financial Management
This is the 14th post in a number of posts I will be providing to offer cost effective tips and ideas for your restaurant biz.
Included Categories:
1. Food Costs and Kitchen Management
2. Bar, Cellar and Beverages
3. Packaging, Paper and Consumables
4. Cleaning Costs
5. Labor Costs
6. General & Administrative
7. Utilities
8. Repairs and Maintenance
9. Event Management
10. Safety
[Content protected for Inner Circle members only]
Could have used these great tips in your restaurant business, consider joining our awesome group here at Restaurant Success Monthly.
please click on the “Add to Cart” button to register through our secure shopping cart.
Related Posts - Video Blog: Where Can Restaurants Best Control Cost or Cut Cost? Video Blog This video is part of a series of videos where I, Jonathan Munsell,...
- Immediately Effective Cost Control Tips & Tactics - 111-120 This is the 13th post in a number of posts I will be providing to...
- Immediately Effective Cost Control Tips & Tactics - 131-142 This is the last post in a number of posts I will be providing to...
Immediately Effective Cost Control Tips & Tactics – 111-120
July 29, 2009 by Jonathan Munsell
Filed under Restaurant Financial Management
This is the 13th post in a number of posts I will be providing to offer cost effective tips and ideas for your restaurant biz.
Included Categories:
1. Food Costs and Kitchen Management
2. Bar, Cellar and Beverages
3. Packaging, Paper and Consumables
4. Cleaning Costs
5. Labor Costs
6. General & Administrative
7. Utilities
8. Repairs and Maintenance
9. Event Management
10. Safety
[Content protected for Inner Circle members only]
Could have used these great tips in your restaurant business, consider joining our awesome group here at Restaurant Success Monthly.
please click on the “Add to Cart” button to register through our secure shopping cart.
Related Posts - Immediately Effective Cost Control Tips & Tactics - 91 - 100 This is the 11th post in a number of posts I will be providing to...
- Immediately Effective Cost Control Tips & Tactics - 71-80 This is the 9th post in a number of posts I will be providing to...
-
Immediately Effective Cost Control Tips & Tactics - Tips 6-10 This is the second post in a number of posts I will be providing to...
Immediately Effective Cost Control Tips & Tactics – 91 – 100
July 29, 2009 by Jonathan Munsell
Filed under Restaurant Financial Management
This is the 11th post in a number of posts I will be providing to offer cost effective tips and ideas for your restaurant biz.
Included Categories:
1. Food Costs and Kitchen Management
2. Bar, Cellar and Beverages
3. Packaging, Paper and Consumables
4. Cleaning Costs
5. Labor Costs
6. General & Administrative
7. Utilities
8. Repairs and Maintenance
9. Event Management
10. Safety
[Content protected for Inner Circle members only]
Could have used these great tips in your restaurant business, consider joining our awesome group here at Restaurant Success Monthly.
please click on the “Add to Cart” button to register through our secure shopping cart.
Related Posts - Restaurant Success Story: Creative Compensation In Your Restaurant I was just reading a reading a great compensation article from Greg McGuire and the...
-
Restaurants Offer Free Food, Discounts on Tax Day If there's little tax relief for you on April 15, the restaurant industry is at... - Immediately Effective Cost Control Tips & Tactics - 71-80 This is the 9th post in a number of posts I will be providing to...
Immediately Effective Cost Control Tips & Tactics – 101 – 110
July 29, 2009 by Theresa
Filed under Restaurant Financial Management
This is the 12th post in a number of posts I will be providing to offer cost effective tips and ideas for your restaurant biz.
Included Categories:
1. Food Costs and Kitchen Management
2. Bar, Cellar and Beverages
3. Packaging, Paper and Consumables
4. Cleaning Costs
5. Labor Costs
6. General & Administrative
7. Utilities
8. Repairs and Maintenance
9. Event Management
10. Safety
[Content protected for Inner Circle members only]
Could have used these great tips in your restaurant business, consider joining our awesome group here at Restaurant Success Monthly.
please click on the “Add to Cart” button to register through our secure shopping cart.
Related Posts - Restaurant Success Story: Creative Compensation In Your Restaurant I was just reading a reading a great compensation article from Greg McGuire and the...
- Immediately Effective Tips & Tactics - Tips 11-20 This is the third post in a number of posts I will be providing to...
- Health Care Reform Continues to Be a Moving Target As many of you know I am a Board Member of the North Carolina Restaurant...
Immediately Effective Cost Control Tips & Tactics – 81-90
July 5, 2009 by Jonathan Munsell
Filed under Restaurant Financial Management
This is the 10th post in a number of posts I will be providing to offer cost effective tips and ideas for your restaurant biz.
Included Categories:
1. Food Costs and Kitchen Management
2. Bar, Cellar and Beverages
3. Packaging, Paper and Consumables
4. Cleaning Costs
5. Labor Costs
6. General & Administrative
7. Utilities
8. Repairs and Maintenance
9. Event Management
10. Safety
11. Equipment and Smallwares
[Content protected for Inner Circle members only]
Could have used these great tips in your restaurant business, consider joining our awesome group here at Restaurant Success Monthly.
please click on the “Add to Cart” button to register through our secure shopping cart.
Related Posts - Immediately Effective Cost Control Tips & Tactics - Tips 21 - 30 This is the 4th post in a number of posts I will be providing to...
- Gift Certificate Marketing Basics The Gift - Savvy Merchant A Must for Independent Retailers, Restaurateurs and Service Establishments By...
- Immediately Effective Cost Control Tips & Tactics - 111-120 This is the 13th post in a number of posts I will be providing to...
