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Equipment and Productivity
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When It Comes to Design: Size Matters
May 29, 2008 | Link This | Email this | Comments (1)
At the NRA show, there was a panel discussion about kitchen design. When asked how big a kitchen should be, Rick Tramonto, the culinary director of Cenitare Restaurants in Chicago, quipped, “as large as possible.” In a subsequent Chain Leader write-up on the panel, Dave Farkas mentioned that the kitchen for Tru, one of the kitchens that Rick designed, is 50 percent of the restaurant footprint.
Even though Tru is a fine-dining kitchen, I think it’s important to point out that Rick Tramonto’s comments are not representative for the industry. In addition, they don’t make financial sense. The kitchen, in fact all the operating areas, should be kept at less than 50 percent of the facility’s total square footage in limited service and less than 40 percent in casual dining. Bear ...Read More
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A Bad Economy Is No Excuse To Give Up
May 5, 2008 | Link This | Email this | Comments (0)
I just returned from a conference in New York, where I had the opportunity to discuss a wide range of issues with restaurant executives, as well as listen to the perspectives of Jim Cramer of MSNBC’s “Mad Money” (who, by the way, has earned his “Madman” moniker). While there is a lot of excitement about the opportunities in Asia and Russia, the general mood among executives was “doom and gloom.” But I don’t buy into it.
So, people are not spending money now. We’ve been through this before. It will end.
Capital expenditures to remodel and expand are not a top consideration. But having the right plan in place so that when the economy breaks loose — that’s very important. In order to do that, you must use what you have wisely and to its fullest.
Labor Deployment
Be careful not to pare do...Read More
Recent Posts
Are You Sitting Down?
April 30, 2008 | Link This | Email this | Comments (0)
Unfortunately, the slowing economy is the topic of discussion. We are clearly seeing the trend toward remodel and retrofit vs. new build, and a heightened focus on tightening up unit-level economics by re-engineering work processes and better labor deployment.
Maybe brands can’t expand right now, but they can still innovate! Operators are busy developing new ways to "change the game" and differentiate themselves from competitors. A round of applause for the Burger King Whopper Bar -- one of the most interesting "big ideas" I’ve seen. It's a highly simplified operation with a much smaller footprint that will put BK into new places. In addition, there’s a lot of international growth going on in China and Eastern Europe. (See my post from Moscow)
So, what can...Read More
Industries: E&S Applications, Economic Outlook, Foodservice News, Foodservice Trends
Recent Posts
Observations on Russian Foodservice
February 13, 2008 | Link This | Email this | Comments (0)
I recently returned from spending a week in Moscow, as part of work that we are doing with Rosinter, a large multi-unit operator in Russia. Rosinter is collaborating with a multi-national restaurant brand, as well as developing some of their own concepts.
The majority of Moscow's restaurants are small mom-and-pop places, or restaurants that cater to the new super wealthy. However chains are discovering that there's a lot of pent-up demand for well-run operators offering consistently good food for a good price. McDonald's has been in Russia for quite a long time. KFC, Planet Sushi and Il Patio, a casual Italian concept, are very popular, and often have long lines to be seated. I have to believe that any well-managed, well-run concept will grow. The Russian economy has been growing at 8 ...Read More
Recent Posts
Improving Foodservice Performance Part III
January 23, 2008 | Link This | Email this | Comments (0)
Improving the performance of foodservice will be critical to maintaining financial performance in the years to come. Foodservice operators from every segment continue to feel the pressures brought about by growing menu price inflation, rising labor costs and other operational factors that affect their ability to deliver a final product to their customers.
That's why today I present the third and final installment of questions various foodservice operators and their suppliers should ask as they try to become more effective and efficient in the ways they go to market.
Today's points include:
Is the facility designed to meet the operator's financial goals? Make sure the facility has "right sized" resources, and an efficient operations platform to minimize capital investment, maximize throughput capacity, and improve RO...Read More
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