![]() ![]() They may not be as accurate as a well maintained perpetual inventory system, but if you believe in the Pareto Principle (80/20 rule), you may think that trading off a little accuracy to dramatically reduce costs and effort is a worthwhile exchange.įor example, instead of calculating theoretical food cost using the actual prices paid in each restaurant, you can calculate a " Plate Cost" for each menu item using an average price for the month across all your restaurants. There are alternatives to controlling your food costs. And, those entries you make every day need to be near perfect if the summarized numbers are going to be meaningful at the Company level. To achieve this, you must configure the system with a lot of data, like your recipes, and maintain a lot of data in near real time (at least daily). Inventory and Food Costīack office systems today are typically built around a perpetual inventory system that attempts to continually track your items on hand, the blended costing of your inventory, and the theoretical food costs. There are layers to this onion, and you do not need to view it as an "all or nothing" game. In this post, I'd like to describe some alternatives to traditional back office systems. So, why would we want to start such a challenging project? Two motivations to deploy a back office system are improving process controls and automating repetitive tasks. If everyone doesn't use the system properly, it becomes garbage in - garbage out. ![]() Many times the most difficult part of deploying a back office system is to get the managers to change their day to day behavior to fit the new system. In a previous post, I touched on the impact human behavior has on the deployment of a restaurant back office system. ![]()
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