Every year during budget planning, hospitality managers look over their operations for ways to cut costs and make their operations more efficient. After all, every extra dollar sent to the bottom line supports the long-term stability and growth of any business.
You probably review rent, wages, insurance, and cost of goods repeatedly to find potential savings wherever possible. Meanwhile, you have to keep on top of changing trends, regulations, and competitors.
However, you might be overlooking the savings you can gain from reviewing processes. Obsolete systems, untrained employees and inefficient practices cost more than most people realise.
That is why minimising hidden costs requires more than cutting shifts or ordering cheaper products. It starts with managing the most valuable resource of all – time.
Here are some tips on how to reduce inefficiencies in your restaurant:
Extend Order Cycles
While each order might only take a few minutes to place, time spent collecting goods, packing stock, and processing invoices can quickly add up. To reduce administrative time, you can limit orders for dry and non-perishable goods to one per credit cycle.
Also, you should order at the start of your credit cycle because it maximises your payment terms, giving you more flexibility to manage cash flow.
Optimise Kitchen Layouts
A well-organised kitchen can save time, reduce waste, and improve operational efficiency with a more effective layout. Ask your employees what stops them from performing better and faster – you might be surprised how many ideas they have.
For example, perhaps the reason for a salad taking eight minutes to serve is because the prep bench is far away from the cool room. Eliminate wasted time from the production line, because every second really does count.
Improve Staff Process Training
Regular training can keep your team in top shape, ensuring employees are efficient when performing potentially time-consuming tasks. The better an employee knows their task, the faster they will get through it.
Take time to observe each process, employee, and department in your business to see if there are any potential areas of process improvement. To prompt your time-saving inspiration, you can start by mind-mapping the processes you observe with ideas for improving them.
Streamline Procurement Processes
You can also reduce overheads and save time in your procurement process by consolidating suppliers and automating orders. A supplier like Veridia, for example, can provide a wide range of goods from one place, including:
- Cutlery, glassware, crockery, and other table-setting items
- Toilet paper, paper towels, tissue, hand soap, and sanitiser
- Commercial-grade chemical systems
- Food packaging and kitchen consumables
- Automatic dispensing systems, mops, buckets, and other cleaning goods
- Hotel amenities like small shampoos, body wash, and portion-controlled food and beverages.
We tailor orders to ensure goods arrive promptly and exactly when needed, minimising back orders, consolidating invoices, and maintaining consistent low pricing.
Tailored Hospitality Procurement in Australia
Veridia supplies hygiene products, glassware, and food packaging to hospitality businesses across Australia, including pubs, hotels, cafes, and caravan parks. We simplify ordering hospitality consumables while improving customer experiences, reducing inefficiencies, and lowering costs.
To learn more about how we can implement cost reduction strategies in your hospitality business, call us on 1300 228 222 or contact us online.
