May 17, 2021
Regardless of whether you run a small, local restaurant or are the head of a multi-state chain of establishments, improving overall efficiency is essential. A restaurant dedicated to efficient practices will keep waste and unnecessary spending in check, translating to better returns. One of the most effective ways to boost your eatery’s efficiency is by lowering labor costs. Not sure where to start? We share industry tips, training advice, best practices for purchasing supplies, and more to get you on the road to success.
Tips on Reducing Labor Costs from Our Restaurant Suppliers
Focusing on labor costs not only saves on your bottom line but can also assist restaurant owners in developing strategies for maximizing efficiency overall. Are you looking to reduce wasted hours and learn techniques for keeping staff and customers happy? Check out the recommendations below.
Increase Employee Retention
It may surprise restaurant owners to know that avoiding staff turnover is a reliable way to maintain labor costs. High turnover rates can pencil out to nearly $5,000.00 per employee in costs! By boosting employee satisfaction, you are more likely to secure a dedicated team of professional staff.
Here are just a few ways to help keep your team feeling appreciated:
- Help the employee maintain a healthy work-life balance by offering flexible scheduling or determining schedules far out in advance.
- Come up with some incredible incentives, like gift cards or extra vacation days, to show appreciation for your crew.
- Avoid understaffing. In an effort to save on labor, some owners and managers undercut the amount of staff on shift. This can lead to exhausted employees that burn out quickly. Plus, service can suffer, leading to customer complaints.
- Resist overstaffing. Not only do excess servers on the floor eat into profits, but overstaffing can also result in your waitstaff missing out on more tips.
If you don’t know where your staffing sweet-spot is, consider investing in some tech to help you track peak times and staff accordingly.
Invest in Technology Trends
Utilizing automation can be an asset to running your restaurant efficiently. Don’t worry, we aren’t talking about robots taking over your establishments! However, certain automated technologies help button up unnecessary labor hours and can create buzz. For example:
- Self-ordering kiosks
- Mobile ordering
- Automated drink service or self-pour stations
- Tabletop POS systems
Allowing technology to help take over some of your general operations reduces the amount of staff on the floor. This frees them up to focus on important tasks like cleaning, providing in-house deliveries, and more.
Create Comprehensive Training Protocols
Training a new employee can be a time consuming process and often isn’t given the attention it needs. However, a well trained employee is a massive benefit to your business. From dishwashers to managers to bartenders, all of your staff are individuals who work together to make your establishment work.
If one of your employees isn't adequately trained, then they can’t work to their full potential. This means your restaurant can’t reach its full potential or reap the highest possible profits. Some studies suggest that organizations that prioritize training see 24% higher profits over companies that chose not to.
Crafting and sticking with an effective training program allows staff to learn new skills, perform better, and be consistent across all shifts. To establish an exhaustive training campaign, always:
- Develop a comprehensive employee manual that includes all aspects of service and proper procedures.
- Cross train your staff, so everyone can jump into a new position in a pinch if needed.
- Design checklists for all standard procedures. Post them in employee areas for staff to reference as needed.
Buy Pre-Made and Bulk Foods to Save on Prep Time
It’s always important to evaluate your prep hours and see if you are overstaffing or spending too much labor money on tedious tasks. To help reduce unnecessary labor, visit your restaurant supply store and stock up on frozen or ready-to-use ingredients.
Maximize Profits with Restaurant Supplies from US Foods CHEF'STORE
At CHEF’STORE, we stock exceptional, professional-quality ingredients to help you keep food costs low and profits high. With grocery delivery available, you can even save on shopping hours and further control labor costs.
We invite you to visit one of our many convenient locations near you to learn more about all our latest products. Don’t forget to sign up for our customer card, which helps you manage your receipts and streamline your accounting.
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