How restructuring and collaborative effort for Restaurants could be the right survival and sustainability strategy in food service business
Eating out is definite human need and socialization in a perfect definite need. This is not going to change. So, if all restaurant operators were sitting there and nervous my first message to you is whenever you start opening up you will opinion makers, people will love your food and restaurants who start coming in. So, that’s the fundamental of this and we would say there are a lot of changes which would continue to happen and we need to be ready for those changes on every aspect.
There are three big changes which happen to every business and it continues to happen, apart from COVID-19 last two to three years the industry was in a certain amount of pain and this has actually increased and disruptions were coming like first we were all fighting out while delivery has come in, the dining has reduced, somewhere fighting out rentals gone up, malls been charging experimental renters and so we were having this industry which was loved by entrepreneurs, investors they always wanted whenever they made money they wanted to own a restaurant and there were some seasoned professionals also.
Now, we are in a multiplication situation, as this is a great reflection to go back on the business model itself and say ‘How do we really make business funds going forward, more sustainable and more ready for these changes which keep our surprising restaurant operators?
Because we have not changed our mindset from many years for running the business, we which we need to run and anytime any change came to us or any objection came to us, we were not ready for it. Delivery was one of the big disruptions where lot of people are still not ready for adapting the change.
First thing is we will have a lot of state of confusion which would continue to happen over three to four months and anybody guess if it goes beyond but you should have ‘live by the day strategy’ and that’s something which business owners should do so we should not be bunkers. We have to come out and take control of our business and live by the day strategy. So, whatever we do we need to really create the plan for the day, execute for the day and count that how you’re successful and also continue to test and measure what is working for you and not working.
Second challenge which we are all going to face is productivity, manpower, occupancy issue with your restaurant you will get lesser people, deliveries etc., overall this productivity of your business would come down. Now at this stage if you even try to please consumers you will do your best, you will have to spend more on safety, a lot of new packaging, lot of other things would also start coming in too.
Re-opening of Restaurants: Advancement, Transformation, Customization
1. Tips for the Safety of Employments and Guests
- Screening of Employees – Background checks should be carried out on potential employees, in particular, if the keys to the site are to be provided. Guidance on behavior should also be provided and any infringement will result in appropriate discipline.
- Security Design – Restaurant security experts will tell you those aesthetics are important, but safety should not be sacrificed for the sake of good looks. Obstructions should not be present along with the entry and exit points. Plus, outdoor security cameras should be installed and used.
- Training of employees – Employees should not only be taught internal security procedures but should also know what to do in times of emergency. It is equally important to spot crucial red flags and to know how to act on them.
- Securing the premises – CCTV cameras should monitor cash registers, entry and exit points, and other vulnerable areas. It also helps to have a safe room equipped with communication devices and an internal locking door. Alarms should be put in place to ensure that security personnel is able to respond during the burglary. Glass windows with clear window film for protection should also be applied.
- Changing safety controls – Passcodes, keys, and other access-enabled items should be changed when an employee leaves the business. It is also advisable to give keys and other access items to essential staff.
2. Cultivating Diversity and Inclusion and a positive workplace in a highly stressful time
Culture is the environment around us all the time. The culture of the workplace is the shared values, belief systems, attitudes and assumptions that people share in the workplace. This is shaped by individual education, social and cultural contexts. However, in the workplace, leadership and strategic organizational direction and management have a huge impact on the culture of the workplace. A positive culture of the workplace improves teamwork, increases morale, increases productivity and efficiency, and increases the retention of the workforce.
- Establish clear ethos and values for the organization;
- Encourage collaboration and communication
- Create an inclusive working environment
- Create clear objectives and rewards for employees
3. Liquidity of Cash flow Management in Restaurants
They say cash is king, and when it comes to keeping the restaurant running, it’s certainly true. But cash flow can be a tricky thing to deal with when you have so many other demands on your time. Here are seven easy cash flow management tips to help make your restaurant more profitable.
1. Have a forecast of cash flow – First and foremost, have a plan in place. The cash flow forecast will give you a lot of warning before money goes out, so you can better manage your cash flow. Using the cash flow forecast, you’ll know when cash comes in and out, so you know when you can let yourself be stretched and when it’s time to be frugal. Forecasting your cash flow will also allow you to create seasonal budgets that are very important for restaurants.
2. Use your forecast to set up seasonal budgets – Annual budgets are not always the most efficient for businesses in the restaurant sector. The seasonal nature of business makes budgeting a necessity on a more frequent basis. Using the cash flow forecast as a guide, it is easier to budget several months ahead of the seasonal upswing.
3. Streamline the overheads – If you find yourself in frequent cash flow difficulties, it may be time to consider reducing overhead costs. This includes , among other things, payroll , inventory and utilities. By adopting flexible work, you can further reduce overheads. This allows you to have fewer people in slower times, but more people in busy periods to help maximize sales.
4. Don’t count on credit – Credit is useful to get any business off the ground, but it’s dangerous if it’s going to be a crutch. When paying back debt becomes the largest part of your overheads, it can cause a restaurant to fall into a spiral that leads to a closure, so be careful!
5. Sort your books – Many small restaurant businesses have dropped their accounting to the side of the road. It’s just natural. If you’re in the kitchen or serving your customers all day, you rarely have time to do the books. Ignoring your books means that bills are not being paid and invoices are not being chased. That leaves you out of pocket in both directions.
6. Don’t keep all of your eggs in one basket – As the owner of the restaurant, one of your lifelines is a reliable vendor who delivers orders on time , every time. If delivery is not delivered, it costs money, it costs business, it costs reputation.
7. Anticipate the issues before they happen – In addition to your own cash flow forecast, keep an eye on other things happening around you that might affect your restaurant.
4. Local and Healthy Menu
Cost avoids one of the biggest barriers to restaurants offering healthier menu options. Fast food chains like McDonald’s have made their fortune by offering food with a long shelf life that tends to be less healthy. But there are restaurant chains that buy locally and see great success.
Not every restaurant will abandon its current menu to offer kale smoothies and sprinkled bread with organic carrot butter. That doesn’t mean that they can’t start offering healthier options alongside pub fare and cream sauce pasta. But is it possible for an average independent restaurant to offer healthy menu items that actually sell?
To promote healthy items in a less obvious way, there are many steps restaurants can take to build a better menu, including by using terms like succulent, delicious and fresh instead of healthy, low-fat or low-sodium. Staff can also help move healthy menu items, just as they would if they were up-selling drinks and desserts. When clients ask for a recommendation, servers can promote a healthy item rather than a steak or burger.
5. Franchise restaurant and assistance
Starting a food business is just one step. But building a recognizable brand name that attracts customers around the world takes years of work. An entity that purchases business rights and operates its day-to-day operations. Franchising is selling instructions to clone your restaurant to others so that they can open and run a restaurant just like yours. You get the benefit of multiple brand recognition locations and additional revenue streams. Most franchisees provide assistance, training and cooperative marketing to their franchisees. There are a number of things you need to franchise your restaurant.
6. Supply and Demand Drives
As consumers continue to spend more of their money in restaurants, it may come as no surprise that food service sales are expected to reach record highs this year. Restaurateurs are often passionate people who pour their food love into their businesses. But passion alone is not going to build a successful restaurant. Supply and demand govern all businesses in the market economy, including restaurants. You need to understand how these forces impact you to be successful in the food business.
Restaurateurs are often passionate people who pour their food love into their businesses. But passion alone is not going to build a successful restaurant. Supply and demand govern all businesses in the market economy, including restaurants. You need to understand how these forces impact you to be successful in the food business.
Supply does not mean anything on its own. You need to consider this in the light of demand. In the restaurant industry, demand is driven by the patrons of restaurants who sell. There is only an oversupply of restaurants if the number exceeds customer demand. For example, in a small town where few people spend money eating out, a dozen restaurants may exceed local demand.
7. Food Safety Operations
All restaurants should develop and implement a culture of food safety that emphasizes safety, cleanliness and well-established protocols. Ensure that your food safety culture begins at the top, with a buy-in from the leadership. Demonstrate that food safety is a priority that must be taken seriously by every employee, every shift and every meal. By stressing its importance of food safety, your employees will continue to work towards the mission you have carried out.
8. Drive-Thru and Takeaway Restaurants
Drive-thrus account for about 60 percent of sales for Quick Service Restaurants, but the drive-thrus is easily neglected in favor of dining-updates in the dining area. Competition is so fierce. Diners have more options and their priorities are changing. In order to remain competitive, companies must observe these changes and find ways to make their brand stand out if they want to keep their customers happy.
What are India's top restaurants? Safe and Hygiene Food
1. How can restaurants and chefs ensure food safety
Whether the cause of the outbreak is due to contaminated food or unclean surfaces, food safety in these fast-service chains, which feed almost all Americans at least once a week, must be regarded as a top priority. Restaurants have an obligation to ensure that customers are protected against food-borne illness, which affects too many Americans.
2. What all needs to be done for safe packaging and delivery
There is little evidence to support the fact that COVID-19, a disease caused by a novel coronavirus, can be transmitted through food or food packaging, according to the Centers for Disease Control and Prevention and the Food and Drug Administration (though, of course, nobody is absolutely sure). However, the risk for delivery workers who have to travel and interact with people may be much higher. In an ongoing effort to ensure ‘better food for more people,’ Zomato recently introduced Zomato Safely Sealed; 100% tamper-proof packaging to add an extra layer of food safety.
3. How to get food delivered safely
Since the lockdown was imposed to control the spread of coronavirus, everyday life has become much more complicated. Getting food is one of the biggest challenges it has created. A task as simple as taking out orders has become full of questions as people are left wondering if it’s safe. Do not order from a place that was below the standard food, or that caused you to be sick before. Big restaurants would also have a set of guidelines on their website, outlining the measures they have taken to ensure cleanliness during the pandemic.
4. Food Safety Training
Food Safety and Standards Authority of India (FSSAI) has set up a Food Safety Training & Certification (FoSTaC) system to ensure comprehensive and effective training for food businesses across the value chain. This system will train and certify the Food Safety Supervisor of each Food Establishment as intended to make it a regulatory requirement. This means that a food safety license is mandatory for tea stalls, dhabas, fruit and vegetable vendors, grocery stores, canteens, catering establishments, restaurants , hotels, food processors in the national capital. Guidelines on their website, presenting the measures they have taken to ensure cleanliness during the pandemic.
5. Managing Traceability and Recalls: Are You Prepared?
The FDA expects a company to make every effort to remove unsafe food from the marketplace in the shortest time possible. Successful recall requires disciplined execution using reliable information on raw materials, distribution and retail contacts. The time you need to test your recall / traceability capability is not during a real recall. Has your recall and traceability program proved to be effective? Does it include all regulatory inputs from the FDA, such as reporting requirements, regional contacts, use of guidance documents, recommended forms and reporting with the FDA and/or state agencies?
These are essential requirements that require a gap analysis to show that an organization is prepared, personnel are trained, responsibilities are defined and that alternates can complete the required actions in the absence of key personnel. A thorough review of your recall / traceability program and your ability to remove product effectively from the marketplace will provide internal and external confidence that regulatory requirements will be met and that legal risk has been effectively reduced.
6. Developing and Leading an Effective Food Safety Team
Food safety professionals are expected to lead food safety teams. The establishment of a multidisciplinary food safety team is one of the first steps to be taken before the development of the HACCP plan. The on-going team is useful for the effective implementation of a food safety management system. Unfortunately, not all teams are efficient. Some teams have members who work together, collaborate well and contribute to positive action.
But what happens if people don’t show up? What if they’re not paying attention when they’re here, or they’re arguing about what’s going on? What happens if a new member joins the team? In this webinar, you will learn about the normal phases that teams are going through, options for communicating the importance of food safety to people in different departments, and ways to engage team members by connecting at a different level. This can help optimize team effectiveness and improve the culture of food safety.
While key attention has been paid to personal hygiene , food safety , social distancing, reinforcement of GMPs, enhanced sanitation and compliance with food safety regulations to address the challenge of controlling the threat of the virus.