I was seeking advice for a client from a restaurant "turn around" expert the other day and he gave me a great tip. I've been able to help a few restaurants add to their profitability so this is not unfamiliar territory for me. But Mike opened my eyes to a new way to approach improving a restaurant or any business. "I start by looking in the garbage. That's where the profit goes at many restaurants."
At first, this seemed somewhat superficial. I always start with an evaluation of the business. I look at how it "feels" to me. Clean? Hip? Busy? Slow? Out of step?
Then I look for ways to improve business. Readers of this blog know I'm not a cutter. I'm a builder. I'd rather grow a business than cut expenses. But Mike wasn't talking about cutting, he was looking for waste. This would be
real waste. Many businesses cut personnel to reduce cost but I don't consider 'most' people to be waste. But, what is in the garbage truly is waste. Mikes message is to utilize more of what you've got---waste less. That move will add immediately to the bottom line.
Great thinking, Mike.
Mike Kaplan operates a restaurant consultancy firm in the Washington, D.C. area. He'll go to any restaurant in the country. He's worth the fee if you want to operate a profitable restaurant. You can reach Mike by email at:
firstpay01@yahoo.com In the meantime, think about what's in your garbage.
Chris Reich, Author of TeachU's Business Talk Blog
Chris@TeachU.com