Rising prices, shortage of raw materials, partial delivery … Tensions are rising among restaurants who are struggling to maintain their margins. What are the strategies to be used to stay on the path of profit as everything grows? Bryce Konda, co-founder of Inpulse, shares her advice with the snacking community on how to optimize food costs, a platform that revolutionizes inventory management and supplier order for artificial intelligence. Purpose: To recover margin points without going through price increases that can directly affect your brand’s audience.
Article written in partnership with Impulse
Delays in delivery, unavailable references, constant changes in raw material prices, unprecedented responsiveness to supply pressures are required! Inventory management has become extremely complex. With these constant changes only the best structured players are able to control their material costs. So what can we do? If the impact on the price of a la carte is inevitable for something, The 3 essential levers can still make a difference without approaching a systematic increase in your price:
# 1 – Concentrate effort on “Engineering Menu”
The instability is such that some restaurants change prices once or twice a week in dozens of references. In addition to the need to quickly change its price list to replace missing or expensive references, it is necessary Continue to control your component ratio and quickly identify where you are losing margins.
Short termIt’s a question of staying agile while maintaining control over its profits. “Engineering menuMake conscious choices to modify or adjust recipes, determine the most profitable and popular foods to promote them, or replace them for others.
Long termFor the restaurant chain, it’s about preparing Discuss centralized purchasing Which can be complicated. We are in a certain context where the prices discussed by the power stations are no longer respected. Network purchase data can make a difference in future discussions with quality and easy access providers.
If inflation becomes structured, which some experts fear, now is the time to prepare for future challenges through data. ” Bryce Konda, CEO and co-founderTo promote.
# 2 – Estimate Obstacles and Avoid Loss: Rely on Data, Not Your Insights During Economic Shrinkage
Placing the right supplier orders is far from easy and yet many players continue it with insights. We have developed To promote To tackle 3 challenges: Predict future sales as accurately as possible, order what is needed, access all performance indicators in real time (required in case and at headquarters for material cost control). The word master? Accuracy
By automating the material value chain, we avoid errors that can be costly. In order to order the exact quantity, all the parameters need to be considered: forecast, recipe, stock status, DLC and the condition of each supplier. This is our core business: using artificial intelligence to accurately predict future sales and combine all of these factors to ensure timely delivery.
Today, some catering professionals, who have sufficient storage capacity, use impulses to add extra volume to the tool’s recommendations for control. A buffer stock of raw materials that they consider risky. This allows them to estimate deficits and limit losses by reaching an optimal stock level in terms of economic conditions.
# 3 – Measure performance in real time to respond immediately
Data centralization is essential for decision makers to focus on analysis and effectively manage the functionality of their networks.
There 2 key performance indicators for regular monitoring To quickly identify margin losses: analyze the difference between material cost and its evolution, and actual and theoretical costs.
To carry out an effective follow-up of material costs, Regular inventory reports need to be implemented. We recommend A partial list every week To detect excessive use of raw materials, especially in expensive products. These inventory reports, combined with real-time stock movements, make it possible to accurately analyze losses, visualize inconsistencies, and identify inconsistencies directly at source.
Then, with the teams, define the values to be respectful and encourage the field staff to be more strict in declaring losses. You can then reduce this inconsistency Strongly affect the margins day after day. Is this an overdose? Are these undeclared losses? Access to the history of all sales and inventory data makes it possible to provide advice for evolution and improvement over time, over time.
Take for example Failure to comply with the technical data sheet. When a chef is hired for a long time, you can rely on his experience, but as you grow, you need to quickly join the team and be able to adjust to the situation from the first week. All the more so when salmon can grow 22% per monthThe deficit in the cost interval of 3 grams per sushi represents 261 euros per thousand trays … In a complete network, we quickly see the effect on the cost of ingredients!
Inpulse.ai revolutionizes inventory management and supplier orders: With the help of AI, your points of sale earn a margin of up to 5 points on the cost of materials. You control the performance of your network in real time to work faster. Created in 2018, Inpulse is a platform designed for theme chains such as restaurant chains, dark kitchens, bakeries and Côté Sushi, Blend, Ofc, Franks Hot Dog, Wasabi Corner or Laura Todd. Ask for your demo !.
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