Trade offs: One problem and a thousand justifications:
In such a situation, he decides to call a meeting with the members of the Board of Directors to carry out a Insights of what happened and project the income and expense budget for the next period. Once all the summoned are present, the new gerente He begins the meeting explaining the causes that motivated him to carry out the meeting and proceeds to ask a question to which, as if it were a death sentence, the team members react instinctively: Why were income plans not met and expenses overdrawn?, obtaining responses such as:
- The menu is aged.
- Prices are high compared to the competition.
- Customers have changed.
- Suppliers have increased the price of products.
- Inexperienced staff have been recruited.
- Experience staff is unmotivated.
- Many promotions have been made with discounts to attract customers.
- Smoking has been prohibited inside the restaurant.
- Kitchen firepower is less than demand.
- The use of office supplies is abused.
- Not all supplies are available for the service.
- The furniture is old and worn.
- The company demands an increase in revenue plans of 5% compared to the previous year without taking into account the changes that are taking place.
And so, so as not to let it slumber, an endless number of justifications.
The department Accounting. When projecting the budget, it does not take into account the different states of nature that may arise in the business, and this document is based on historical bases, which, although they are an important source of information, are not in themselves a determining element.
The commercial department projects services without evaluating the carrying capacity or the workforce qualified for it.
The area logistics (warehouses and transportation) is projected in order to minimize inventory levels, scheduling the departure of products with a certain degree of aging and projecting purchases in correspondence with minimum stocks or non-existent stocks, which theoretically is an excellent idea, but practically Sometimes it becomes a serious concern for the productive areas (kitchen - bar) and services (living room - commercial), which by their nature require finding solutions to the sudden exhaustion of certain main raw materials and the response to a current demand.
Trade offs in restaurants?
- Each department strives for the highest allocation of financial resources.
- The cost indices set for a point of sale or service area are discordant for others.
- Performance standards (income, expenses) are established for the different departments that, to achieve this, may jeopardize compliance with the selected strategy (commercial, butcher's, warehouses, etc.).
- Each department has a different perception of which is the most efficient service for the company.
When conflicts arise we are obliged to look for alternatives that we had not previously considered.
- It forces us to review the methods used to define the organization's strategy and the functions of the departments, because it alerts us that something is not marchdo correctly or as expected and we must rectify it.
- It forces the organization and its members to demand more of themselves and this leads to growth as a company and as a staff
- Stimulates creativity
- It shows us capacities that we did not exploit before
Not distinguishing important roles individually to departments or areas, but rather that your discourse is collective, making each department see the degree of involvement it has in the results of other departments. (Commercial - gastronomy - commercial- finance - gastronomy - commercial)
Focus all actions and strategic that they be adopted in the short, medium or long term in a purely economic sense. (expected benefits, projected costs)
Evaluate the alternatives to control the results in strategic periods of time(high and low season, holidays, etc.).
Educate the heads of departments through training, workshops or on-the-job training in activities that are not related to their functions but that will allow them to have an understanding of how the others work. (For example, accounting staff may receive theoretical training on food processing)
Communicate the organization's strategy to all your employees. (will make them feel responsible for the results)
Relax to change. (Amend the strategy whenever the changes that occur in the environment warrant it).
Create an economic culture. (Don't just emphasize income and expenses, let each department and its workers see the meaning of each weight that is generated in the company).
Don't just grow. (Success is short-lived if opportunities are not seized and weaknesses are mitigated.)
Evaluate results differently (The failure of one department may be due to the effect of actions taken by another department)
Avoid giving guidance informally, by sight, or orally (document your strategy and ideas)
Write general procedures, define processes, implement systems of management, but do not mechanize (At the end of the day we are not perfect and better ways can always emerge to do what is written without altering the quality of service and customer satisfaction)
Keep your customers informed about changes that may occur (clients are lost if they do not know the reasons for certain changes: temporary closure for example)
Keep the restaurant concept above any modification or need to change.
Don't underestimate the competition even if you feel like you have the power.
Treat everyone the same way. (If family members work in your restaurant, they are employees, therefore they contribute or hinder the achievement of the objectives).
Don't marry a management in particular. apply those that are necessary and compatible with your business (Multi-criteria analysis offers a deeper insight into reality)
Every weight counts.
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