The restaurant sector is the third largest among India’s service sector. A great deal of interaction with consumers goes on in this industry. Here, satisfaction of customers is a measure of efficiency and effectiveness of a business. It is that part of the service where people are a part of the product. Thus, employee’s behavior, accuracy, attitude along with the food served determines customers’ reaction towards a restaurant. This makes surviving in this field a pretty tough one compared to other parts of the service fields.
And since last few years, where people are well aware of the global fashion of dining, the expectations are going quite have been on a hike. Customers demand services that meet their expectations. With growth of economy, standards have been growing too. And restaurants too are trying best to push all the limits and provide services that are beyond imagination.
And very often, many restaurants shut down due to lack of proper customer base. Undoubtedly, restaurant industry is one of the hardest to survive even with large potential customers. But, observing the situation from behind the desk, we notice that failing to acquire customers or getting good reviews were never the problems. They were the results of many other challenges which were not tackled in time. These are the challenges everyone in the restaurant industry faces from the day when they lay down the first brick. Therefore, let’s have a look at these basic problems restaurant industry faces:
When employees interact with customers, their attitude represents the service they are providing. People will return unsatisfied even if the food is good but the waiter is snobby.In a restaurant business, people are products too. Therefore it is crucial for a manager to hire the right staff who can deal with all types of clients. Employees, who are lazy, make mistakes on a regular basis and are not skilled enough contribute a great deal to a failed service .
But even if the workforce is competent, the risk of turnover is more. There has been 29% turnover since the last decade in restaurant industry due to various reasons like lack of opportunities, inadequate remuneration and low salary. Those who are in the arena know the importance of skilled and loyal workers. The solution here, is to never stop searching. There is always someone better and more skillful. Give more light on the training procedure and organization culture. Because happier the staff, finer the service.
- LACK OF AUTOMATION:
When all the competitors out there are expanding their business by taking online orders and reaching out to potential customers, isn’t it a natural loss that we are expecting them to walk through our door? Also, not having an AI based system adds a lot of burden to the manager’s desk. A modern POS application generates bill according to Kitchen Order Ticket eliminating mixing up of orders and bills. An automatic bill ensures there are no delays, improving the customer service. It takes online orders and reduces hassle in seating with its online booking feature. Now imagine, why would waste time waiting at your restaurant when they could get fast and effortless service at another one? The IMUVON POS is the perfect application for maintaining the bills and records. It also prepares an e-menu to keep your menu digital and manage table, order and delivery from one place.
- THEFT AND PILFERAGE
Almost 23% of the employees in restaurant industry have admitted to stealing from employers. This key problem is programmed to unnoticed. Managers fail to find out the reason why sales register and money in the register is not matching. The employees who do these are often very clever. From bars to cashiers to kitchen, there are objects which may be tempting to employees. Employees who take food items to home, employees who give free items to someone they know and who take a bite or two to taste the food may seem pretty harmless but these practices ruin organization code of conduct. Such glitches must be observed very keenly or it may badly affect the service.
- INEFFICIENT STAFF
A customer orders a vegetarian dish and receives a chicken platter instead; now the chicken dish is wasted needlessly. People expect immaculate services and these mistakes if made repeatedly do not work well for the brand image of the restaurant. It may be because workers are not motivated to work or simply not interested. Inefficiency of staff directs to lack of proper training and inability of employees to feel responsible for the profit making. In this case, managers are required to constantly monitor the activities of workers and track their growth in the workplace.
- OVER PRODUCTION
Producing more than demand leads to wastage. For perishable products like food materials, storage time is minimal. There is no way to reverse it into something useful. When restaurants do not keep a track of their unused products, they do not know how much money went down the drain unnecessarily. Therefore, there must be a proper waste management system which will help tracking why and how there is difference between demand and production.
- RAW MATERIAL COST
The price of the raw materials vastly impact the revenue generation. Due to limited number of vendors, there is very less to compare and goods are bought at whatever rate they are asking for. In most cases, restaurants pay more than what is required, which is acceptable if the quality is good enough. When the price is high and quality is low, both customers and restaurant suffers as they have to spend money non essentially. This subsequently affects the image of the restaurant.
So, we now know that the key problems lie behind the line of visibility. Imuvon offers solutions to people working in the restaurant industry like hiring the right people, manage the inventory and getting raw materials at lower cost than the vendors. It makes tacking with the challenges so much easier when you have to download just the Imuvon app. And what’s better? It all comes free of cost!! Finishing all of them at once may not be possible but with proper actions, they can be reduced to great amount.