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For many novices to the industry the science of operating a bar or restaurant can seem daunting. As well as being responsible for the day to day operations of the business, key factors such as Cash Flow, Profit and Loss, Stock Variances and future planning also fall under the general operators wing. No wonder an 8 hour working day is a dream for most involved in the running of a Hospitality establishment. With that in mind, here’s the top 5 best tips I’ve learnt along the way:
1) Never lose sight of the single most important thing: Your customers.
From my experience of being involved in the management of several bars and restaurants one of the most essential tools of the Hospitality Operator is the ability to ‘walk’ in the customers shoes and understand their needs. Let’s face facts; the Gross Profit you have forecasted may be ideal and you may be in the perfect spot for the after work crowd, however this is all irrelevant if you can’t meet your revenue deadline. It could be as simple as the volume or type of music being played or staff not interacting (or over-interacting) with customers. By seeing your establishment through your customers eyes you can stop potential revenue from walking out your doors before reaching its full potential.
2) Get out from behind your desk
When I first started in the industry I was under the impression that the key decisions and general running of the business was behind a computer in the office. How wrong I was! The best bit of first-hand advice I could pass on is to set your work station on the floor of your establishment and watch. The purchase of a laptop could be the best investment in your business only if it gives the opportunity to sit at an unpopular table and watch how your revenue is being made and what opportunities are being missed. For example, how many times are your customers consistently asking for a top-up of aioli for their fries or being left a few minutes to long for another round? Being able to identify and provide solutions to these small issues can be the key to retaining a group of customers or fixing what could be a fault in the eyes of your customer. It also saves the unnecessary hassle of gaining a reputation you don’t want (people these days love to point out faults). At the end of the day everything in your establishment revolves around what is happening on that floor and that bar so it makes sense to watch it as closely as you can.
3) Stay ahead of the game
It’s a simple thing, but staying abreast of current trends ensures you maximise all revenue opportunities. For example from my region (Wellington, New Zealand) an interesting trend has been the movement from Sauvignon Blanc as the desired white to Pinot Gris being all the craze in the more educated market. Being across this earlier than your competitors gives you a huge advantage.
4) Surround yourself with other successful industry people
My best advice would be this: It can’t be stressed the importance of surrounding yourself with strong experienced people in the industry who are also going to give the clear-cut information you need to know. You need systems in place where you are regularly getting the information you require, addressing immediate concerns and analysing your sales and stock. Having an honest source giving you tips on pricing, profit, stock on hand and future forecasting allows you to concentrate on making revenue.
5) Take time out to refresh and reflect
Time is money, but time is also your personal life. You need to avoid tunnel-vision and fatigue which can lead to a long slow death in this dynamic, ever-changing industry. In my opinion the majority of operators and managers are spending too much time doing the hard graft when they should be having the time away to refresh and also rethink and re-forecast. Implementing systems that allow you to regularly step away from you business to reflect is absolutely priceless.
Menz Pearce
Operations Manager
Bevinco Wellington, New Zealand
