Tag : restaurant data analytics

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Really Know Your Customers And What They Want

In this interview, we talk with Rob Siegal who owns Trajectory Insights, a consumer marketing and branding firm. He talks about how brands use this information to make more informed decisions and change themselves to stay relevant with their current and aspirational customers. www.trajectory-insights.com/

Trajectory Insights About Us: Trajectory Insights uses both data-driven quantitative and deep understanding qualitative research approaches to provide actionable growth strategies and tactics based on consumer and customer behaviors to set our clients on growth paths.

The Value of Operations Data at Your Fingertips

Operations data are the data points that are generated every meal period in a restaurant that directly affect sales and profitability.  Let’s break it down:

  • Marketing activities remind your customers that you still exist. 
  • People come in to eat at your restaurant. 
  • You serve them food (operations)
  • They pay and leave either happy or sad, eager to share their experience with their friends or trash you on Yelp. 
Your restaurant’s operations: the food, service, speed, perceived value, cleanliness, and safety standards all determine how your guests will feel when they walk out of your establishment. 

Remember we are restaurant operators and operations are our business. Operations data points are the measurement of our operations. Until this time in the restaurant industry it has been next to impossible to capture, organize, and analyze operations data for even a single restaurant location never mind a national chain.

There are two main reasons for this, the first is that we aren’t a completely automated business. We are predominantly a human business where people, not automated machines are the means of production. Number two the technology didn’t exist or it was too expensive to capture the data.

With the invention of tablets and smart phones we now have powerful handheld devices that can be used to capture operations data. A smartphone used every day to consistently capture operations data can feed a data analysis initiative that can drive down waste and increase profitability.

In the spirit of ops data and running better operations we are giving away our ebook, SMART Inspections, Drive Big Data. Click here to get it delivered to your inbox.

I will leave you with this thought. As technology becomes more prevalent in the industry, the companies that can identify, test, and implement new solutions more quickly will have a distinct competitive advantage in the marketplace.

Maybe You Shouldn’t Do Checklists

How could paper checklists be bad?  Paper checklists are bad because people pencil whip them or lie on them.  We recently conducted a survey of over 100 restaurant owners and managers.  94% of respondents believed that their teams weren’t completing their checklists accurately.

Which raises the question; why would a sane person have their team complete checklists that they know are being lied on?

A sane person wouldn’t, because they know that it is a waste of time and money.  It costs money to develop checklists.  It costs money to print checklists.  It costs money to complete checklists.  It costs money to file and store checklists and when it is time to get rid of them it costs money to shred and recycle checklists.

Yet as an industry we do spend money to have people complete checklists on paper even though we know they are being pencil whipped. Why do we do that?

The limitations of paper checklists aside, the fact that we still have people pencil whipping checklists in our businesses is because even a 30% accurate checklist is better than no checklist.

Let’s stick with the thought that even a partially completed checklist is better than no checklist.  A person who completes a line check 30% accurately is still checking 30% more items than a person who skips their line check.  They have a better chance of catching an error in preparation or finding an unsafe item and correcting it before it get’s someone sick.

Imagine a world where restaurants employees completed all of their checklists accurately and when they didn’t you were at least able to catch that they didn’t and coach them about the importance of doing them correctly.  How much better would your restaurant run?

If every shift your team checked everything that was important enough to make it on a checklist.  They checked every temp, tasted items, checked sanitation and portion controls.  The restaurant when opened was clean and ready for guests.

Do you think that running better operations would translate into more sales, safer restaurants, happier guests, and most importantly more profits?

Of course running better ops would accomplish all of that.  If running better operations couldn’t do that then we wouldn’t spend a penny on training or any operational initiative, we would only spend money on marketing because the only way to get sales would be to con people to come to your restaurant one time.

By the way, this is what the restaurant managers and owners told us on our survey.  100% of them agreed that checklists could help them run better and safer operations.  That is right 100%.

Because checklists when completed diligently and followed-up on work.

The problem with paper checklists is that you can’t tell when they were started, when they ended, who did them, and if they were pencil whipped.  Basically paper cannot help you hold people accountable.  Also, this is for multi-unit owners who cannot be in every location every day, you can’t magically see paper hanging on a wall in a restaurant from your office.

What our industry needs is a checklist solution that is as easy to complete as paper checklists but allows us to hold our managers accountable and get visibility into our daily operations.

This solution would need to do the following things to be effective:

  • Needs to hold managers accountable by tracking time, location, response cadence, and  actual geo location.
  • Needs to be able to identify unsafe operating conditions and communicate that to management.
  • Needs to as easy as paper to use, with minimal training time.
  • Needs to be as flexible as paper being able to capture different types of information, not just True and False questions.
  • Needs to be better than paper allow you to utilize mobile technology to take pictures and leave additional comments.
  • Most importantly you need to be able to get at the data you are collecting and start using it to make better operations decisions.

A solution that could replace paper checklists and hold people accountable at the store level up through the corporate level of a system could drive better, safer, and more profitable restaurants.

A restaurant company that could deploy a solution like this and start holding their unit managers more accountable and harness this new feed of operations data could optimize their operations and beat their competition by running more efficiently and making better decisions.

Think about the data that corporate restaurant management has access to today.  They have register, inventory/ordering, and customer service data and they use that data to make the best decisions that they can.  If you used a checklist solution to capture pertinent operations data at the store level, which would drive better operations.  You could also use the date with your other data feeds such as sales, inventory, and customer service to create a complete picture of how your restaurants were operating. Remember that operations affect sales, inventory, food costs, and customer service, its not he other away around.

It would be a major competitive advantage for any restaurant system that took advantage of operations data.  Look at how companies like Walmart, FedEx, Nordstrom, and Google use data to streamline operations and generate increased profits.  Restaurant chains could do the same thing if they had the data, which they have, but just need to get it into an accessible, usable format.

How do you do this in your chain?  You should implement the OpsAnalitica Inspector platform in your system for daily operations checklists and corporate inspections.  The OpsAnalitica Inspector will hold your managers and teams more accountable at the restaurant level and our custom reporting and data warehouse will provide you with the data that you need to optimize your business.

The future of the restaurant industry is possible today for those chains that are bold enough to take the first step forward.  If you are interested in learning more please click here and set up a call with our team.

Alerting, Forced Comments, and Task Management in Checklists

Thermometer

A lot of our prospective clients ask us if we can force comments, create alerts or tasks when there are safety violations on their checklists.  We don’t offer these features, not for technical reasons, but for liability and management reasons.  I’m going to use this blog to explain our thinking on this subject.

Alerts and tasks sound great on paper, the reality is that they open you up for additional unnecessary liability and work.  It has a lot to do with how and when restaurants conduct checklists and the nature of our business.  Let’s start from the beginning.

An alert is a way of drawing attention to an issue, but it doesn’t require that you take any action.  Because it doesn’t require you to take action, it is often ignored.  Also, and this is a theme throughout this topic, there is a limitation in computer logic that may create false alerts.

Let’s discuss false alerts quickly by using the example of 50-degree mayonnaise on your line.  If this mayonnaise had been in a cooler all night, and you took it’s temperature, and it was 50 degrees this is a critical violation and probably a sign that your cooler is broken and everything that goes along with a broken cooler.

There is also another example where 50-degree mayonnaise is not a critical violation.  Some mayonnaise is shelf stable and can sit at room temperature indefinitely until opened. At that point, it needs to be refrigerated, and you have 4 hours to get that mayonnaise down to a safe temperature.  If you were out of mayo and opened a new container and stocked up your line, then this would not be a critical violation until that Mayo had been in the danger zone for 4 hours or more.

How would a computer know this?  It can’t know that the Mayo was safe or not safe it can only look at the temperature and create an alert based on whether or not that temperature is in or out of range.  But in this case, the alert is a false alert, it is busy work that requires a person to look at something that isn’t an issue.  This is one question out of possibly 50 to 150 questions.  We have several clients with 150+ item line checks.  How many real vs. false alerts could be generated on a 100 question line check per shift?

Think of yourself in this situation, how many false alerts would you look at before you stopped looking?  Look at your cell phone and your app badges, those little numbers that tell you that there is something in the app that requires your attention.  How often to you see those and think, I need to do something about this?

In our opinion alerts are useless because: they don’t drive accountability at the user level.  Also, the lack of context that the systems have and the dynamic conditions that exist in a professional kitchen make it hard to reduce false alerts.

Forcing Comments when a temperature is out of range, or a safety violation is discovered is another thing that feels like a good idea but when it is done has some potentially negative consequences.  Forcing a comment is extra work for the person conducting the checklist.  It is extra work that is only incurred on questions when there is something wrong.

When I type in a 42-degree temperature, I have to do this extra work but when I type in a 39-degree temperature I don’t.  Have you ever heard of the Hawthorne Effect; it posits that people act differently when they know they are being observed.  Have you heard of the Lazy Ass effect; where people are lazy and if they don’t understand the importance of what they are doing might be tempted to alter answers to not have to do as much work, such as lower temps by a degree or two to not have to enter a comment.  Have you heard of the I Don’t Want to Get in Trouble Effect; where a person doesn’t want to be the person who answered the question that was obviously wrong so much so that the app forced me to explain what was happening?

All of these effects are real and happen.  Look at how many people pencil whip their paper checklists today because they know, no one can catch them.  Our concern is that by forcing comments, we are reinforcing a negative and incentivizing people to take the easy way out and not to give us accurate data.  Data accuracy is of paramount importance to completing checklists, especially when they have to do with safety.

In our platform, we allow people to enter whatever temperature they recorded with a thermometer without any prompting for a comment or the creation of an alert.  When they submit their checklist, the score of the checklist may be altered based on optional scoring rules but that is for each client to decide.  We encourage our client’s to train their teams to enter comments explaining why a temperature was out of range, but it is not mandated.  Training to enter a comment is a small but important difference between mandating and managing to this standard.

It is a lot like the reverse psychology I have to use to on my 3-year-old.  If I want her to stop doing whatever she is doing that is going to cause me to spend thousands of dollars at the urgent care. I can tell her to stop, she won’t listen to me and will continue doing it or modify her behavior just enough to have me move on.  This in my mind is like the mandating the comment because I’m forcing it to happen and it is a negative interaction, one that she would like to avoid.

If I go to her and say “hey, we aren’t going to watch Princess Sophia if you keep jumping on the bed.” She will stop jumping immediately because she made the decision herself and because she wanted something and she sees it as a positive interaction.  That is what we want from the person completing the checklist.  We want them to identify unsafe conditions an let us know what actions they took to fix those issues voluntarily and with praise from management.

There is also value to the organization in seeing which of your manager’s are following through on these types of issues.  It provides insight into your managers work performance and provides opportunities for training and coaching.

If you are going to use tasks to measure your compliance and to prove that you are addressing all safety issues, then you can’t do it halfway.  It’s an all or nothing proposition.  It becomes a standard at which you have to manage to, 100% or nothing.  Here is a scenario that could happen when using tasks.

Most line checks and temp logs are conducted right before service starts for a shift. We often see line checks being completed up to 10 minutes after a restaurant is open for business.  It is a common occurrence that a restaurant could get slammed right as it opens and that the manager who just conducted the line check might not have time to complete and close all tasks before they are called away to run their shift.

You now have a situation where you identified a potential food safety issue, notified a manager, but did not address it before the food was served to customers.  In reality, that manager may not have time to get back to their computer or tablet and close those tasks until the restaurant has slowed down several hours later.  You know, and I know that the restaurant may have fixed that issue before service or that the food wasn’t in the danger zone or any other reason that a restaurant professional would know.

How would that look to the media or a lawyer who is trying to sue you for getting their client sick?  I think that it would be used against you.  Tasks work great for knowledge workers who are at their desks and computers for their entire shift and can quickly get tasks resolved and close them.  Restaurant managers are in constant motion during their shift and are wrong if they are in the office during service; their job is to be managing out in the restaurant.  Tasks for restaurant managers that are time sensitive could pose issues for a company from a liability perspective.

Another weakness of tasks in the restaurant industry has to do with a number of questions and locations.  Let’s say you want tasks to go to your district/area managers when restaurants have a critical temp issue.  If I’m an area manager with 50 locations, our area managers back at Quiznos had 50 or more locations.  You conduct 4 to 5 temp logs a day; you get one temp task per temp log, and you could be looking at 250 tasks a day that needs to be addressed and closed.  It isn’t uncommon to have a 1 item that is in the danger zone on a 20 or 30 question temp log or line check.

Once again you have to close these tasks if you are managing by tasks.  There is no halfway; you can’t not close tasks if that is how you are tracking compliance.  Managing the resolution and closing of all these tasks becomes untenable for larger organizations.

At OpsAnalitica, we replace alerting, forced comments, and tasks with summary reports. Summary reports allow our inspectors to conduct inspections quickly and then in the background we group like issues together and email them to area managers on a schedule.  These reports allow the area managers to look at the issues and the comments and use their judgment on how they are following up with their restaurants without overwhelming them with communication.

Ultimately the goal of using an automated checklist app is to collect great operations data and to run safer restaurants.  You don’t want to do anything that is going to take away from those goals or puts you or your organization into a situation where you were trying to do the right thing, but you increased your liability.

 

OpsAnalitica’s Managed Service Offering

There are two things that I know to be absolutely true:

  1. If you use the OpsAnalitica Inspector to automate your checklists – YOUR RESTAURANTS WILL BE SAFER!
  2. Restaurant managers don’t have time to take on additional projects no matter how important they are.

That is why we have created our Managed Service License, the first in the industry.

When the restaurant tech industry is going in the direction of do-it-yourself – we are going in the direction of restaurants by providing you with more personal service.

You will get all the benefits of having safer, better, and more profitable restaurants without having to find an internal resource to learn how to run and administrate the platform. For as low as $10/month/location you can offload this work to us.

With a Managed Service License, we’ll take care of everything related to the set-up, daily administration, and report building for your organization.

The only technical thing you will need to know how to do is tell us what you want.  It is that simple.

You and your organization will be able to focus on conducting inspections, checklists and reviewing reports.

There is no other easier way to run safer restaurants and get better visibility into daily operations than the OpsAnalitica Inspector Managed Service.

The craziest thing is that our managed service license is only $10 a month more than our Inspector + license.  That is nothing.  We are going to be the cheapest employee you have that doesn’t go on vacation or require any benefits.

Click here to watch a video message from Tommy Yionoulis, one of the founders of OpsAnalitica, to learn about our new managed service offering.

NO MORE EXCUSES, YOU CANNOT AFFORD TO WAIT ANOTHER DAY WHEN IT COMES TO ENSURING RESTAURANT SAFETY.

A restaurant safety issue could wreck everything that you are working so hard to build . Could your system survive a 30% drop in sales?  My guess is not many of us could.
We didn’t want to just talk about our amazing new  Managed Service offering,  Click here to get our white paper:  4 Daily Must Do Steps to Running Safer Restaurants.

If you have any questions give me a call or send me an email any time. Or if you are interested in seeing an OpsAnalitica demo, click here to schedule.

How Checklist Tags Help Reduce Food Cost

Question and response tagging. 

Sounds great doesn’t it? 

Well… What is it?  

Ok let’s take a look at what question and response tagging is and what it means to your checklists and operations data. It is hugely beneficial and saves you one of your most precious resources. Time. And we all know what time is.  

Let’s say you wanted to see a report with all of your not safe refrigeration temperatures across your chain. Question and response tags make this so unbelievably easy. 

With OpsAnalitica you can get this report generated and emailed to you on a schedule as often as you need. For this particular example we hope that the report is empty. No news is good news. 

Tagging facilitates management by exception. By tagging your questions with a common attribute(s) it allows you to quickly look at those questions across your chain regardless of which checklists/inspections they are associated to or the location.  

To narrow this report down some you might want to only look at temps that are not safe or safe, but not optimal. See, analyzing your temp data over time and comparing it to food cost you might find that there is an optimal temperature range for your operations where you see less spoilage. 

So even though some of your locations might recording safe temps on a daily basis, they may not be in the optimal range. With OpsAnalitica’s dynamic scoring and response tagging you can tag and score temp responses appropriately based on the temp recorded in the line check.  

For example you might give 0 points and the not safe and not optimal tags for temps above 40 degrees Fahrenheit, 5 points and the safe tag for temps that are between 33-34 and 38-40, and finally 10 points and the safe and optimal tags for temps between 35-37.  

Now you can focus your time on getting all your locations to the optimal range, thus reducing food spoilage and increasing profits 

This is just one example. There are tons more. Staff readiness, FOH cleanliness, any metric that you feel is important, etc.  

The goal is to maximize your time and expertise on the areas and locations that need you the most. Provide you with the actionable data that you need without all the distractions.  

2016 is right around the corner, and we all want to start it off right. Watch our 14 minute recorded demo by clicking here to see how OpsAnalitica uses question and response tagging to help restaurant operators across the world run better operations.   

Commit to running better, safer, and more profitable restaurants with OpsAnalitica in 2016.  There is still time, we can have most organizations up and running within 1 business day.   

If you would rather see a live demo and get all your questions answered, click here to schedule 

If you have any questions give me a call or send me an email any time.

Inspection, Managerial and Custom Reports

We have spent all of 2015 to get to this point; our data warehouse is up and running, and we are releasing our first set of managerial reports.

Let me explain how reports work in the OpsAnalitica platform. We have three types of reports: Inspection, Managerial and Custom:

Inspection Reports: consist of summary views of all the checklists that have been submitted and the question and answer views of the individual checklists.
These are very powerful reports because you can see the frequency, duration, and scores that your individual restaurants are getting. Plus you see the actual checklists and individual answers that your team is capturing.

Managerial Reports: these reports span your entire organization and can look across all locations and checklists to bring you summary data. The power in these reports is that they have advanced filtering so you can drill in and get the information you need to make better decisions.

Custom Reports: we can now build you custom reports out of the data warehouse to give you the exact information you need to run your business. We will get on a web meeting and will build you the report just like you build a custom pizza.

I would like to invite you to check out some short videos on our new reports by clicking here. You’ll be able to see:

  • Pencil Whippers Report
  • Refrigeration Question Tag Report
  • Trend Line Report
  • Demo of the Inspector in Action

2016 is right around the corner, and we all want to start it off right. Watch our report videos today.

Commit to running better, safer, and more profitable restaurants with OpsAnalitica in 2016. There is still time, we can have most organizations up and running within 1 business day.

Don’t have time for videos but want to see a live demo, click here to schedule.

5 Reasons Why You Should Automate Checklists

We have recently received more proof from our clients that automating checklists and conducting manager follow-up are increasing restaurant profits.  Our customers see a 1/2 to 1% reduction in food cost when their restaurants conduct daily line checks and  follow-up with the OpsAnalitica platform.

Automation and apps add value that’s why they’re everywhere. They make things easier, more efficient and provide a ton of usable data like exception reports that can show your managers where they need to focus their attention on a daily basis.

Here are five reasons why you should digitally conduct your daily line checks, restaurant audit checklists and inspections:

  1. Paperless – less time spent doing the busy work of printing, looking for paper, replacing toner, troubleshooting printer malfunctions, hole punching, and filing of inspections.
  2. Rich Data – tablet based inspection platforms can allow you to capture photos, temperatures, and comments in addition to answering questions.
  3. Reporting – Data is available immediately in the cloud and can be used to drive better decisions.
  4. Accountability – digital checklists provide an auditable data stream that you can use to hold managers accountable.
  5. Better Operations – when checklists are completed, and managers are held accountable, the result is better operations.

Check out the video below to learn how our clients are saving food cost with daily line checks and follow-up.

Screenshot 2015-11-18 05.29.49

Free Management by Exception Webinar

We would like to invite you to our Running Better Restaurants in Less Time webinar, on 11/5/2015 at 3:00 pm Centralclick here to register.

This webinar is going to be packed full of best practices around managing your restaurants by exception.

Management By Exception (MBE):  is a practice where only significant deviations from set standards, ex: unsafe temperatures or operating conditions, are brought to the attention of management. The idea behind it is that management’s attention will be focused only on those areas in need of action and immediate follow-up.

We are going to cover the following topics:  

  • Management by Exception for Restaurants
  • The Power of Exception Reports & Dynamic Scoring
  • How to Implement Exception Reports in your Company
  • Building Exception Reports in the OpsAnalitica Report Builder

This webinar is going to be full of good information, and you are guaranteed to leave with some ideas that you could implement in your business immediately.

Register Here – act now as these webinar’s fill up quick.

We all know that the only way to get location managers to do what we need them to do is to hold them accountable and follow-up.

Implementing a MBE program in your chain will give you the tools to follow-up quickly and consistently.

Webinar:  Running Better Restaurants in Less Time

Time & Date:  11/5/2015 3:00 pm Central

Click to Register

Face the Facts: It’s a Drag and Drop World – Part III

Here’s part III of the series, the final installment. To catch up on part I click here, part II click here.

How to Craft a Workflow Strategy

  • Seek out a check-list driven workflow app provider that has restaurant specific knowledge.
  • Examine the pedigree of the management of the app provider.  The restaurant business is perhaps the most idiosyncratic business in the world.  Do they really know what goes on in the kitchen and on the floor?
  • Don’t be a guinea pig for a company that’s trying to break into the restaurant sector with new app development.
  • See how quickly the workflow app provider can implement you with their “off the shelf” apps, and how quickly they can customized a new workflow app for you.  Sometimes, as with OpsAnalitica, it’s as simple as upoading a spreadsheet.
  • Make sure your provider offers dashboard views of procedure compliance.
  • Make sure your provider offers analytics of your operations, because they are the “window into the soul” of your business. 

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Maximizing Your ROI

  • Technology at any cost is worthless unless it quickly pays back your investment.
  • Accountability management workflow apps, like those from OpsAnalitica, are famously quick to earn back initial investments… in part because they are relatively inexpensive to put in place to begin with.
  • When searching providers, be sure to look for an ROI calculator, or case studies that show how quick the earn-back was.

Finally, ask your accountability management workflow app provider for their input on which apps will do the most to optimize your restaurant locations.

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