Fine Dining Restaurant
Fine Dining caters to an upscale clientele and provides high quality offering at a higher price point. Planning and consistency are critical success factors given the food cost of menu items and complexity of preparation; break downs in consistency are often directly correlated to profitability and service delivery.
Striking the right balance between guest experience and profitability is a primary focus for many of our clients, particularly those in the fine dining segment.
An award winning fine dining client brought Carpedia Hospitality in to help improve their planning procedures and help establish new brands standards. Forecasting inaccuracy at the restaurant was often an issue, making it difficult to schedule the correct staffing and production levels from day to day. Staffing guidelines were based on past practices and fixed which created challenges to properly plan according to volume demands. Inadequate layout and organization caused storage issues and procedural breakdowns that negatively impacted service delivery. In addition, the client was concerned that individual menu offerings were not generating adequate profitability.
The client was focused on creating an atmosphere of continuous operational improvement, but was concerned about aligning operational changes with the brand’s current standards and past practices. Carpedia Hospitality was brought in to help implement a sustainable improvement strategy that not only provided a measurable operational benefit, but also helped develop improved standards that satisfied each of the stakeholders.
The following changes were installed to help realign the restaurant’s processes and systems with its operational requirements:
- Improved the forecasting model and labor standards to better align staffing with demand and service requirements
- Developed dynamic production lists for the culinary team that aligned to their forecasted day, which helped to reduce food waste and preparation time
- Developed tools to allow leaders to have increased visibility to daily performance
- Installed daily results meetings to review previous days results, current day progress, and outlook into the future
- Completed a comprehensive menu mix analysis to define contribution margins by menu item and identify menu opportunities to improve profitability
- Redeveloped the purchasing and ordering requisition process to reduce excess travel to the main storage areas
- Installed side work assignment lists for the Server team to streamline dining room setup, including implementing a new brand standard for table arrangement
- Reviewed and modified their steps of service to include only value-added activities
The program resulted in a number of improvements that had a positive impact on profitability and consistency of delivery. Enhanced forecasting and labor management best practices achieved a 7% improvement in salaries and wages. The program achieved a 2.7:1 ROI in the first year, with a break-even of point at 6 months (improvement vs. fees).