3-minute read ---
Labor savings is a critical component of running a successful restaurant, and it can make all the difference between profitability and failure. The restaurant industry is notoriously competitive, and with rising food costs and overheads, operators need to find ways to cut costs wherever possible. Labor is a significant expense for restaurants, and finding ways to reduce labor costs without compromising the quality of food or customer service can be vital to a restaurant’s long-term success.
Here are 5 ways restaurants can save money on restaurant labor costs without sacrificing customer service:
1. Automate Where Possible
Automation can help to reduce labor costs in many ways. For example, customer-driven ordering and payments can help to reduce the number of staff required to run the front-of-house:
These solutions eliminate the need for cashiers and servers to take orders and process payments, and minimizes losing important order details that can be missed in busy or loud environments. Additionally, modern POS systems can help restaurant owners automate their inventory tasks, saving managers time and eliminating tedious work so they can focus on enhancing customer services.
Here are 5 ways restaurants can save money on restaurant labor costs without sacrificing customer service:
1. Automate Where Possible
Automation can help to reduce labor costs in many ways. For example, customer-driven ordering and payments can help to reduce the number of staff required to run the front-of-house:
- Self-order kiosks: customers can enter their orders, which are then sent directly to the kitchen
- QR code-based Online Ordering: customers view colorful images of menu items, customize their order, and complete payments online
These solutions eliminate the need for cashiers and servers to take orders and process payments, and minimizes losing important order details that can be missed in busy or loud environments. Additionally, modern POS systems can help restaurant owners automate their inventory tasks, saving managers time and eliminating tedious work so they can focus on enhancing customer services.
2. Cross-Train Employees
Rather than having specific roles such as a cook, dishwasher, or server, restaurants can “cross-train” their staff to do multiple jobs. For example, a server can also help with dishwashing during slower periods, and a cook can help with food prep when the restaurant is not busy. This flexibility can help restaurants to better manage their labor costs and ensure that they have enough staff to meet demand during peak times.
Combined with a digital labor module, restaurants set employee labor schedules based on employee availability and predicted customer traffic.
3. Use Scheduling Software
Scheduling software can help restaurants to better manage their staff's schedules and reduce labor costs. With scheduling software, such as a digital labor module, managers can quickly create schedules that take into account the restaurant's expected customer traffic and staff availability. This software can also track staff hours and ensure that the restaurant is not overstaffed during quieter periods. Additionally, some scheduling software can predict future demand and suggest appropriate staffing levels, which can help restaurants to optimize their labor costs.
4. Optimize Kitchen Operations
An inefficient or poorly managed kitchen leads to operational mistakes, profit loss, and bad customer experiences. One way to optimize your kitchen’s efficiency is by using a digital Kitchen Display System (KDS) that integrates with your point of sale, online ordering solution, and self-service kiosks. Whether used independently or alongside traditional kitchen printers, KDS screens effectively communicate all in-store and online orders. This synchronizes your front-of-house and back-of-house staff, streamlines order processes, and can reduce labor costs by making your staff more efficient.
5. Outsource Where Possible
Outsourcing certain tasks can help restaurants to reduce labor costs. For example, many restaurants outsource their payroll processing and accounting functions. Outsourcing these tasks can help to free up time for managers and reduce the number of staff required to manage these functions. Additionally, outsourcing certain food preparation tasks, such as baking bread or desserts, can help to reduce the number of staff required to prepare food in-house.
Restaurants can also digitize these everyday tasks with native or third-party applications that integrate directly with their point of sale.
Aldelo Express POS offers dozens of native customer-facing and merchant-facing point of sale solutions:
- Self-Service Kiosks
- Screen-Based Customer Displays
- Mobile Handheld POS for Order and Pay at the Table
- Kitchen Display System (KDS)
- Native Masa+ Online Ordering - QR-code digital storefront, menus, ordering, and payments
- Masa+ Secure Digital Wallet - integrated credit cards, e-Gift, Loyalty and Rewards
- Delivery Module
- Labor Scheduling Module
- Inventory Module
- and Much More!
Ready to learn more? Contact an Aldelo representative today at [email protected] or 877-639-8767
Restaurants that use ultra-competitive Aldelo Pay or Aldelo Partner Merchant Services obtain access to a Centralized Multi-Store Restaurant Technology Platform that includes Masa+ Online Ordering, Unlimited Software Releases, Unlimited Software Upgrades, and 24/7 Technical Support! *** Please contact an Aldelo representative today for more details, including a free Aldelo Express POS demo trial [email protected] | 877-639-8767 | [email protected] |
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