The other day I was talking with Vito, the owner of a local Italian Deli in my home town. We were discussing a business that I recently reviewed and Vito said to me “what you put into your business is what you get out of it."
I was telling him about a restaurant I was recently hired to review for why the business was losing money. Upon completion, the owner received a very detailed evaluation offering over 10 different perspectives covering the good and the not so good of his business. The material was written to focus on the most significant reasons why the business is not profiting, which was the main concern by the owner.
What I found.
The final evaluation offered a plan to reduce payroll, which included the owner taking over the scheduling responsibility from the manager and accepting responsibilities in the workload to reduce costs. I suggested a competitive vendor and saved him over 60% on the costs of the vegetables they were purchasing. I helped create new menu items with higher profit margins, and an afternoon combination concept. We cost out many of the recipes so that they knew how each item sold contributed to profits, which also disclosed they were regularly pushing the lower profit items. I highly recommended controls placed on the keys.
What you can expect when there is no implementation or follow through.
What my friend Vito said to me could not have been said better, and this story reflects common issues that are observed in restaurants and throughout the hospitality industry. If you do not become invested into the success of your business, there is only one person in the mirror you can complain to.
THE STORIES OF HOSPITALITY
Lopolito Hospitality Consultants, Corp. (LHC) is a New York based consulting firm that offers forward thinking solutions to businesses in the hospitality industry.