Developing a Profitable Food Operation CMAA
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Transcript of Developing a Profitable Food Operation CMAA
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Before We Start...
• This will be a discussion-based session
• Assumptions– strong knowledge of controls– understanding of the menu engineering concept
• Is there an expert in the house?
• You know your operation
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Menu Planning &Analysis
Developing a Profitable Menu Mix
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Open Menu Planning• Create a creative environment
• Do your research
• Utilize your resources
• Solicit input
• Develop incentives
• Cross-train for understanding
• Support your team
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Creating the Profitable Mix
• Use Open Menu Planning
• Utilize Under-Utilized Products
• Create Visual Value Perception
• Merchandise Menu Items
• Analyze the Menu
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Menu Analysis
• Developed over 20 years ago
• Good concept…based on averages
• Should be used as a tool…not a rule
• Can’t do it in your head
• Can use it for multiple outlets
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CM $ vs. FC%
• Bank dollars
• Judge by percentages
Computers• Just another tool
• Can’t make decisions - only information
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Which Would You Rather Sell?Ribeye Chix. Florentine Lobster
Sold 15 25 8
Sales $284.25 $267.50 $280.00
Food Cost $99.48 $57.75 $112.00
Labor @ $8 (2hr) $16 (3 hr) $24 (1/2 hr) $4
Total Cost $115.48 $81.75 $116.00
ICM $11.25 $7.23 $20.50
TCM $168.77 $185.75 $164.00
TCM= (Tot. Sales – Tot. Costs) / # Sold
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Menu Engineering - Some Issues
• 70% rule
• Categorical dispersion
• Interpreting item rankings
• Taking action - making the change
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The 70% Rule
Each competing item should achieve 70% or better of its equal share to be considered to have a high popularity
index.
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The Menu Engineering Grid
70%
ACM $
XX
Puzzle
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The Puzzle
• High Average Contribution Margin
• Low Menu Mix Percentage
What are some examples?
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The Menu Engineering Grid
70%
ACM $
XX
X
X
Puzzle Star
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The Star
• High Average Contribution Margin
• High Menu Mix Percentage
What are some examples?
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The Menu Engineering Grid
70%
ACM $
X XX
X
X
X
Puzzle Star
Plowhorse
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The Plowhorse
• Low Average Contribution Margin
• High Menu Mix Percentage
What are some examples?
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The Menu Engineering Grid
70%
ACM $
X X
X
X
X
X
X
X
X
Puzzle Star
Dog Plowhorse
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The Dog
• Low Average Contribution Margin
• Low Menu Mix Percentage
What are some examples?
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Interpreting Item Rankings
• Don’t ditch the “dogs”
• Use the whole worksheet– Potential Food Cost– Menu Contribution Margin
• Start with the numbers
• Find the reasons behind the performance
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Menu Engineering Worksheet
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Categorical Dispersion... Not all dogs are bad
70%
ACM $
X X
X X
X
X
X
X
X
Puzzle Star
Dog Plowhorse
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Menu Engineering Worksheet
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Menu Planning &Analysis
ProductUtilization
Developing a Profitable Menu Mix
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Utilize Under-Utilized Products
• Move from primal to sub-primal cuts
• Use “lesser-known” seafood products
• Know your vendors and product sources
• Use regional and seasonal products
• Be creative
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Menu Planning &Analysis
ProductUtilization
Managing theCycle
Developing a Profitable Menu Mix
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Manage the Cycle: • Set Standards
• Monitor Product Quality
• Ensure Consistency
• Control REAL Costs
• Build your team
• Play an active role
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Menu Planning &Analysis
ProductUtilization
Managing theCycle
MenuMerchandizing
Developing a Profitable Menu Mix
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Profitability Flow Chart
Cost $$
Price $$
Flow
Presentation
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Merchandise Menu Items
• Make “Culinary Music”
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Roast Beefwith horseradish mashed potatoesand sautéed fresh garden vegetables
Culinary Music
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Culinary Music
Slow Roasted Sirloin of Beef
with horseradish whipped potatoes and bouquetiere of fresh garden vegetables
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Herb Infused Roasted Sirloin of Beefand horseradish potatoes
with organically grown macerated vegetables
Culinary Music
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Culinary Music
Hand Selected Sirloin of Beefdry aged and seasoned with chef's selection of fine herbs, slow roasted, served with Yukon gold whipped potatoes flavored with fresh Oregon grated horseradish and confit of vegetables
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Merchandise Menu Items
• Make “Culinary Music”
• Create “High Real-Estate Values”
• Use change as an asset
• Remember your markets
• Explore new territories
• Take calculated risks
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The Profitable Menu MixMenu Planning &Analysis
ProductUtilization
Visual Value
Perception
Managing theCycle
MenuMerchandizing
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Create Visual Value Perception
• Plate size, shape, color, style
• Functional garnishes
• Portion sizes
• Excitement
• Culinary blueprints
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Gravlax with Mustard Dill Sauce
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Curly Endive
Dill Sprig Puff Pastry Strip
Apple SmokedBacon Strip
MustardSauce
25 yr. OldBasalmic Vinegar
Beluga Caviar
Gravlax
Tortilla Ring
Gravlax with Mustard Sauce
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Gravlax with Dill Sauce
Dill
Puff Pastry Strip
Bacon
Sauce
Vinegar
Caviar
Gravlax
Tortilla Ring
Endive
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Let’s Review
• Why plate presentation?
• What is plate presentation
• How do I develop and implement:– plate presentations
– plate demonstrations
• What is the impact of presentations in the operation?
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What is Plate Presentation?
• Balance
• Contrast
• Visual excitement
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Baked Fillet of Seabasson piquante tomato sauce with aged balsamic vinegar and potato-olive tart
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Developing and Implementing Plate Presentations
• Use Plate Diagrams
• Ask Questions
• Use Functional Garnish
• Train, Train, Train
• Use the Right Equipment
• Follow-up
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The Basics
Creativity
Qu
alit
y
Training Consistency
•Staffing/Training
•Quality Control–Culinary Blueprints–Organizational Meetings–Communications
Quality, Creativity, and Consistency
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Purchasing/Receiving
• Bid process/contacts
• Receiving/security
• Quality Standards
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In the Storeroom
•Continue the Quality Quest
•Label and Date all Product
•Enforce Product Rotation Policy
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Food Production Includes…
• The Butcher Shop
• Hot Food Preparation
• A la Carte
• Banquet Production
• Pastry and Baking
• Chef’s Tables
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The Butcher Shop
•Quality
•2-Day Product Turnover
•Full Product Utilization
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Hot Food Production
• Organization
• Training
• Technology
• Product Utilization
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Garde Manger
• Recipes
• Quality
• In-House Production
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A la Carte
• Food Safety
• Consistency
• Creativity
• Teamwork
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Banquet Production
• Planning
• Culinary Blueprints
• Consistency
• Creativity
• Quality
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Culinary Blueprints
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1
2
3
45
6
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Banquet Production• Planning
• Culinary Blueprints
• Consistency
• Creativity
• Quality
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Developing and Implementing Plate Presentations
• Use Plate Diagrams
• Ask Questions
• Use Functional Garnish
• Train Train Train
• Use the Right Equipment
• Follow up
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The Idea
Final Product
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Implementing Plate Presentations in Your Operation
• Consistency
• Morale
• Planning
• History
• Win-Win Situation
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Consistency• Purchasing
• Receiving
• Storage
• Pre-prep
• Production
• Service
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Morale
• Employee
• Member/Guest
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Planning
• Catering Department
• Manpower
• Equipment Needs
• China, Glass, Silver
• Smallwares
• Station/Line Setup
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History• Events
• Food Items/Plate Diagrams
• Library
• Customer Inquiries and Referrals
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Win - Win Situation
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Summary
Plate presentation contributes to:
• consistency
• profitability
• visual stimulation
• high employee morale /development
• customer satisfaction