Getting More From Employees: How to Improve Performance and Decrease Labor Costs
Human Resources, labor costs, staff turnover – not the most exciting parts of the restaurant world, but employees are the lifeblood of your business.
In terms of staff, that means improving employee performance and decreasing labor costs. Smart restaurant operators know that focusing on one at the expense of the other isn’t the answer.
In this ebook we discuss the importance of both improving performance and decreasing labor costs then provide tips, tricks and proven methods of improving your operation through better practices. Topics include:
- How to improve employee engagement
- How to train and motivate employees to upsell
- How to create successful employee promotions
- How to reduce overtime costs
- How to decrease how many hours employees are scheduled without decreasing service
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Excerpt from the Ebook
In terms of staff, that means improving employee performance and decreasing labor costs. Smart restaurant operators know that focusing on one at the expense of the other isn’t the answer. In order to maximize your return, you need to both invest in your employees through training, incentives and good hiring practices, as well as keep a close eye on the bottom line and run the operation in a manner that keeps labor costs where they need to be.
In that spirit, we have organized this ebook into two sections, Improving Employee Performance and Reducing Labor Costs. We discuss the importance of both and provide tips, tricks and proven methods of improving your operation through better practices. Enjoy.
Reducing Labor Costs
Labor cost is possibly the most challenging variable for managers/owners to control.
Real estate is a set fixed cost for a period – say a three year lease (or mortgage payments). It is, for better or worse, very stable and predictable. Food and beverage costs are a pain, but are generally controlled by one or two people. Real-estate is fixed, while food and beverage cost variables are largely based on units sold; labor costs are mostly independent of either.
Labor is a different challenge. Scheduling staff who have different roles, responsibilities and skill sets can be painful and an exercise in guess work. If you are selling a lot of hamburgers, you can prep more hamburgers in a fairly short period of time. However, if you get a rush and are short staffed, it may not be possible to get someone in on short notice.