Post the outbreak of Covid-19, restaurateurs all around the world are going through challenges they have never faced before. As per the surveys, around 40% of the restaurants may shut down permanently due to the disruption caused by the pandemic. In this scenario, restaurant inventory management assumes greater importance as it makes a significant impact on your business.
In simple terms, restaurant inventory management is the process using which you track the inventory coming in and out of your restaurant. Though inventory loss may seem negligible in the short term, it can make a huge dent in your profits in the long run.
7 effective methods to manage your restaurant inventory
- Monitor your stock religiously
- Keep a check on the raw materials
- Effective recipe management
- Establish a central kitchen
- Better shelf life management
- Assign roles and responsibilities
- Make use of reports and analytics
Let’s delve deep into the various techniques practiced by restaurateurs in managing restaurant inventory effectively.
Monitor your stock religiously
Before placing a fresh order you need to check the present stock of raw materials judiciously. As manually calculating the daily count of inventory is a cumbersome task, the best way to deal with this problem is by investing in inventory management software. Thanks to India’s leading cloud based inventory management platforms such as inresto SCM, now it’s quite easy to monitor your stock status live from any location. Based on your orders, the inventory status is updated automatically and you will receive timely notifications. One more benefit is that at any point of time you will receive alerts on minimum threshold quantities so that the stock quantities can be replenished easily.
Keep a check on the raw materials
As the cost of raw materials is on an upward spiral, the wastage of raw materials should be cut down as much as possible. In the case of perishable food items, you can implement the minimal stocking approach as the wastage of such items can burn a hole in your pocket. With the help of inventory management software, you can cut down wastage by 25%.
Effective recipe management
Have a standardised recipe in place that prescribes the exact amount of ingredients required for each dish and the method of preparation. Wastage of an expensive chocolate sauce or dry fruits can prove costly for you. With the help of inresto, you can make optimum use of the kitchen resources and reduce overall grocery cost and grocery requirement.
Establish a central kitchen
If you are running a chain of restaurants, it’s always better to go for a central kitchen or base kitchen. Based on the requirements from various outlets, the food items are semi-processed and distributed to the various locations. The main benefits of a central kitchen is that it helps to maintain consistency, have better control over inventory and cuts down chances of inventory loss, theft and pilferage. Restaurant POS software helps in optimising your kitchen’s turnaround time by streamlining all the operations from the central kitchen.
Better shelf life management
With the outbreak of Covid-19, diners have become too concerned about the hygiene and quality of food served. Depending on the raw materials or the ingredients used in the kitchen, their shelf life may also vary. You cannot afford to use an ingredient that has crossed the expiry date. As it’s impossible to track the expiry date of each and every item manually, the best solution is to enter this information into the POS software. It alerts you on the expiry date of all the items well in advance so you can plan and manage the activities accordingly.
Assign roles and responsibilities
To curb the issue of internal theft in the restaurant inventory, you can implement a robust inventory management software. Pick some reliable staff members and make them responsible for monitoring the inventory. Various roles can be assigned in the software and grant them permission to access the important data.
Make use of reports and analytics
With the help of valuable insights provided by the inventory management software, you can easily forecast the future requirement for raw materials and plan your operations. Based on stock variance and pilferage, reports are generated that helps you identify the discrepancies and irregularities quickly.
As restaurants are struggling to stay afloat, effective inventory management can lead to enormous cost savings. As discussed above, choosing the right inventory management software that fits your needs can help you significantly in streamlining inventory.