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PROFITABILITY Concept profitability starts with your team and with making sure you have the proper management that understands the operational environment and control process of the Food and Beverage industry.  Areas of knowledge include, day to day operations, labor, cost of goods related to your menu. Technology can also aid in overall profitability, especially when it comes to the cost of goods on a daily, monthly, and quarterly basis.


COG Cost of Goods and doing business should never be a surprise to you or the people who are working for you.  Be sure to educate your staff on the actual cost of items they use daily. The misconception that most employees have when it comes to costs of goods can impact your profit on a large scale. Make sure to show your teams that they have a huge impact on overall profitability and how it relates to them.  Once cost controls have become a part of your brand and your team's identity, they will be more conscientious and aware of waste in that department.


RECIPE & FORMAT A regulated recipe format has several positive influences. It will produce an agreed upon quality and quantity of food preparation and help management control efficiency. The recipe should specify the ingredients, brands, grades, and varieties; the preparation and cooking procedures; the yield and portion size; and in some cases, the equipment, utensils, pots, pans, and even the flatware required for service.  Customizing these documents to your concepts’ needs is required for consistent production..



KEEP THEM COMING BACK One of the most cherished and basic ways to achieve sales growth is to keep your customers coming back more often.  It's about frequency and your goal is to delight your guests, gain their trust, and create loyalty rather than simply trying to increase the average sale per person.  You need to stop focusing on how much your guests spend and start focusing on increasing the number of times they visit. You want to know your guests and the more often they visit, the better your team will get to know them.


VARIETY Offering menu variety is not just a numbers game. Offering a large variety of entrees, salads, and sandwiches does not constitute a “variety” if half of these choices don’t appeal to your guests. This situation can have the opposite effect and result in significant waste from unsold ingredients. Listing too many items on the menu may also  contribute to an inability to forecast accurately. Review product mixes on a weekly and monthly basis to help you and your kitchen manager/chef decide what should be on your menu.



  1. Organize the storeroom shelf to sheet. This requires that all the items, as your work your way down the shelves, should be in the same order on your inventory taking sheets.

  2. Print inventory forms ahead of time and ensure the shelf to sheet form is in order.

  3. Set your inventory sheets in the same order that you will be taking inventory.  I.e. Walkin Cooler, Freezer, Dry Storage etc.

  4. Always count with two individuals, one to count the items and one to record the amounts.

  5. Food and Beverage inventory should be taken monthly at a minimum and a perpetual inventory should be taken of certain items that are higher in cost.

  6. Double Check, Triple Check.  Always be sure of accuracy before submitting your final counts.

  7. Review the inventory sheets with fresh eyes the next day to ensure nothing has been missed.


Why proper inventory will be helpful:

  • You will become quicker at it

  • It will be easier for the chef and kitchen staff to find items

  • Purchasing will become easier without risk of over ordering

  • You can better reduce/control loss/theft



PRICING Pricing objective is to identify the price that will increase customer counts, the average check, and gross profit, while, at the same time, optimizing overall sales revenue relative to achieving the lowest overall food cost percentage. Remember: Low prices put tremendous pressures on operating margins. Given the choice, take higher margins over lower margins every time.




  1. Become aware that an employee's performance could be more effective. Obtain this knowledge by observation and/or reports from customers or from the employee directly.

  2. Gather all the necessary data, going beyond your personal perception of the employee.

  3. Meet with the employee to get his or her perception of the problem, while at the same time making sure the employee understands your expectations.

  4. Explain in detail the performance issues. Be clear and direct. Make sure your comments are helpful and encouraging.

  5. Determine if the employee can be coached into resolving the issue. Explain the consequences of their unsatisfactory behavior.

  6. Decide what the employee needs to do to get the desired results. Both of you need to agree upon the required results.

  7. Map out a plan with the employee that includes a set of goals to achieve the desired results.

  8. Monitor the employees progress.

  9. Make additional suggestions and refinements if necessary.

  10. Recognize achievement, no matter how small. Above all, praise.