Sunday, March 30, 2008

Article #3: Breaking Down the Fudge Factor

Article #3: Breaking Down the Fudge Factor
By Lisa Terry
http://htmagazine.com/ME2/dirmod.asp?sid=8D86DF469BD74C098382D9532C904D8E&nm=Magazine&type=MultiPublishing&mod=PublishingTitles&mid=3E19674330734FF1BBDA3D67B50C82F1&tier=4&id=DC7F23D694C042F18099F4A010BC770F

The article discusses how restaurateurs are currently implementing “new menu analysis and forecast driven production systems” into their restaurant operations. These types of technologies provide restaurateurs with the convenience of not having to play the guessing game when forecasting sales, quantities, portions etc. In a nutshell, restaurateurs are cutting costs with cutting edge technologies.
According to the article, restaurant operations usually see a four to seven point reduction in food/labor cost. These new technologies are helping restaurants operate at maximum efficiency, which in the end will result in a positive experience for the customer. Specifically, the article mentioned one company that stood out. Internet Restaurant Technology Inc. provides a program that offers a detailed menu analysis tool. By simply entering a recipe into the program, the analysis tool does all the thinking for you. Based on one recipe, the tool displays the items impact on “food costs, paper costs, revenues and gross profit.” This provides managers with a quick look at how certain menu items may benefit and contribute to the overall operation.
The article stresses how convenient products like this can be to restaurateurs. The only thing is that proper training is necessary in order for establishments to benefit completely from such tools. If management is using these tools properly, the benefit of these technologies definitely outweighs any financial burden.
Overall this article was good in that it introduced a potential great restaurant technology. At the same time, the article was honest in stating that it is important for management to be well trained in the program so that they can get full use out of it. With the combination of decreased food cost and labor cost, restaurants can not go wrong in purchasing tools like the ones mentioned in the article. It seems that the restaurants of the future will be operating at maximum efficiency, which is a great thing. Perhaps important tools like these will cause less new restaurants to fail.
I have worked in several restaurants and currently work in one where there is limited technology. I feel with an addition of a tool like the ones mentioned in this article, the business could save itself a great deal of money. When someone is using a technology that does a majority of the thinking for them, the sky is the limit.


Source: Terry, Lisa. “Breaking Down the Fudge Factor.

Thursday, March 13, 2008

Article #2: Keeping Kitchens Humming

Article #2: Keeping Kitchens Humming
By Lisa Terry
http://www.htmagazine.com/ME2/dirmod.asp?sid=8D86DF469BD74C098382D9532C904D8E&nm=Magazine&type=MultiPublishing&mod=PublishingTitles&mid=3E19674330734FF1BBDA3D67B50C82F1&tier=4&id=321C62497A1848C8BC24CF5E65CD4BC6

In the article “Keeping Kitchens Humming” , Lisa Terry outlines several different methods currently being used in restaurants that are ensuring overall quality in their product and service. The restaurant business is one that is extremely fast paced and based on customer satisfaction. The article highlights several technologies that are helping restaurants successfully turn out their food orders. Some key examples of these technologies are highlighted below.
A seemingly large breakthrough in restaurant technology would be a new method implemented by a restaurant named Bone Daddy’s. At Bone Daddy’s orders move through a computer system that shows cooks not with just words, but pictures to show how to cook the food properly and how long. The result is an increase in overall productivity. Food is coming out of the kitchen at a faster pace and with an exceptional amount of quality. Another technology seems to be rather helpful is a tool that tells cooks how long it takes to cook an item and when items should be cooked in regards to the other items on an order (Terry, 2008).
Overall, technologies like these seem to be an enormous step from the days when restaurants did not even have computers in their establishments. As a result of the various technologies being implemented by Bone Daddy’s Texas BBQ Chain, they have already seen a five percent increase in sales. It seems that the technologies being used in their kitchens are efficient and effective.
Technologies such as the ones listed above seem to be rather helpful for day to day kitchen operations. According to Terry, sales are increasing which is what companies obviously like to see. Also, with these technologies food is probably being served in a much more consistent manner. What I mean when I say this is that the dishes most likely look and tastes exactly the same every time they are cooked and brought of the kitchen and onto the customers table. This is very important for building and maintaining a certain standard of quality at any food and beverage operation.
The computers with pictures and guidelines on how and when to prepare food items leave little room for error. Tasks are becoming simplified as a result of the computer technology in kitchens and this overall will ensure quality. This has potential to really help quality, consistency, and overall sales in a restaurant as demonstrated in the article. The price is not mentioned but I imagine it will be rather expensive for many restaurants to use this technology. This still does not take away from the fact that these technologies are extremely beneficial.

Source:
Terry,Lisa. “Keeping Kitchens Humming”. http://www.htmagazine.com/ME2/dirmod.asp?sid=8D86DF469BD74C098382D9532C904D8E&nm=Magazine&type=MultiPublishing&mod=PublishingTitles&mid=3E19674330734FF1BBDA3D67B50C82F1&tier=4&id=321C62497A1848C8BC24CF5E65CD4BC6

Sunday, March 2, 2008

Article#1: NEW LOYALTY STRATEGIES

Article#1: NEW LOYALTY STRATEGIES
By George Koroneos
http://www.htmagazine.com/ME2/dirmod.asp?sid=&nm=&type=MultiPublishing&mod=PublishingTitles&mid=3E19674330734FF1BBDA3D67B50C82F1&tier=4&id=32BFFF5D7A1648F7AEC89AD3B94593A3

The article “New Loyal Strategies” by George Koroneos, deals with the abundant amount of companies who offer rewards programs/loyalty memberships today. According to the article, Americans subscribe to over 1.3 billion loyalty memberships (Koroneos, 2008). Many may look at that statistic and wonder why companies offer so many discounts to customers via rewards programs.
According to the article, the answer is simple; rewards programs are put into place especially at restaurants in order for the operators to be aware of pertinent customer information. Some pertinent customer information according to the article may be “knowing what the guests favorite dishes are, how much money they spend in the establishment each month, their names, birthdays, and of course-their e-mail addresses.”(Koroneos, 2008) This is seemingly rather creepy, but utterly brilliant at the same time.
The article further discusses issues with rewards cards subscribers whose accounts remain idle. In the case of T&J Restaurants, when an account is idle, an e-mail with a personalized coupon will be sent to the idle rewards card holder. In another instance if a customer has a bad experience i.e. food being sent back an e-mail is sent with a coupon in hopes of rekindling the relationship between T&J Restaurants and its customer. This all says a great deal about the benefits of rewards programs.
This article was informative and makes sense. It is wise for companies most especially restaurants to put loyalty/rewards programs like these into place. It focuses on a theme that is tossed around often in today’s society, “lifetime value of a customer.” The information that is obtained by handing out these rewards programs cards seem to be rather beneficial in personalization each customer’s experience. In hospitality, the goal is to always exceed the customer’s expectations and having valuable information about customer’s may do just that.
I was more astonished at the fact that certain restaurants actually e-mail customers who have had a negative experience and provide them with a coupon. This is also a very smart and courteous business move that once again, focuses on the lifetime value of a customer.
The personalization of guest’s experience is so easily captured when a company is able to obtain direct records of buyer behavior. This is a very basic “give a little and take a little” relationship. In essence, companies are giving occasional discounts to its rewards members in exchange for their valuable information, which will be beneficial to them in the long run. It will most likely not be long before every company no matter how big or small puts these programs into practice.

Source:
Koroneos, George. “NEW LOYALTY STRATEGIES”.<http://www.htmagazine.com/ME2/dirmod.asp?sid=&nm=&type=MultiPublishing&mod=PublishingTitles&mid=3E19674330734FF1BBDA3D67B50C82F1&tier=4&id=32BFFF5D7A1648F7AEC89AD3B94593A3>