Why would a restaurant do inventory?
Nothing can bring the profitability of a restaurant to a lower level like carrying the wrong amount of inventory. An inventory tracking system as part of a point of sale system is a great way to assist a business know exactly when to order inventory to prevent stock outs and to never order more than can be used inventory, which can ultimately eat into profitability. In other words, inventory management as a software feature helps and supports with tracking your restaurant’s stock and supply. How?
- Less Food Waste
Food spoilage is a bigger problem than you think. Up to 10% of food purchased by restaurants is wasted before it even reaches customers. Generally, restaurant owners buy too much food at a time, so it ends up spoiling before being served to consumers. Besides, food costs are generally a third of total costs for a restaurant. That can definitely go up when food is spoiled or lost. Hence, the right food inventory management tool can minimize that loss.
- Automatic inventory insights
Restaurant inventory management provides insights into a restaurant’s supply levels to monitor the ingredients and supplies to the appropriate amounts and avoid carrying too much or too little inventory.
- More satisfied customers
Empty shelves are a real problem. An out-of-stock situation gets your customers frustrated and costs you not only money but also customers’ loyalty. You can avoid this and keep your customers happy by keeping ingredients at your fingertips for all the categories on your menu by using the right inventory management software.
- Increased profits
The total cost of goods sold is the main component that determines your restaurant’s net profits. The aforementioned decrease in food waste will in turn lower the cost of goods sold and ultimately increase profits. It tells you exactly when to order inventory and how much to order at any given time.
- Less paperwork, less effort, less errors, more time, more calculated decisions and more efficiency
A point of sale system with a good inventory management feature helps significantly with forecasting via inventory tracking. Therefore, you will no longer be in need for a person to do a manual count of your inventory to verify and update information on your system. Both sales and inventory reports can be generated in real-time and for any time period.
- Allows for remote management
A multi-location business owner? Having more than one location is no problem with a good inventory management software. Being the owner or manager of a multi location restaurant, you don’t have to worry about inventory theft since the POS system keeps track.
Finally, we all know how difficult it is for a business owner to track the effect of promotions for instance, unless they use a user-friendly efficient POS inventory management system. You can track the effect of coupons, discounts, and any other promotions easily. Having enough inventory to drive sales while minimizing waste will improve your net profit and keep your customers happy