How to Save Money in Your Restaurant's Food Operations: A Guide for Kenyan Entrepreneurs

Food cost control is a critical aspect of restaurant management that can make or break your business. With tight margins and numerous variables at play, even a small leak in your food cost structure can lead to significant losses. Let’s dive into the primary areas where you could be losing money and how to avoid these pitfalls.

Sourcing Supplies: The Do's and Don'ts

1. Overbuying

Stocking up more than needed may seem like a good idea, but it can lead to waste, spoilage, and even theft. A robust supply chain system can help you keep track of your inventory needs. At BulkBox, we offer an all-in-one supply chain solution that ensures you get the right quantity at the right time.

2. Underbuying

Running out of essential items can be a nightmare. Not only do you risk losing customers, but you might also end up buying supplies at inflated retail prices. Plan your purchases efficiently to avoid this scenario.

3. Compromising on Quality

If you’re not specific about what you need, you may end up with inferior products. Always set clear specifications for your suppliers.

4. Paying More Than You Should

Be wary of suppliers offering "too-good-to-be-true" prices, especially for high-use items. You might end up with substitutes that cost more in the long run.

5. Watch Out for Kickbacks

In Kenya, like anywhere else, kickbacks can be an issue. Always ensure that procurement is transparent and accountable.

Receiving: Attention to Detail Pays Off

1. Padded Orders

Always check the delivered quantity against your order. Accepting extra supplies ‘because you’ll need them’ equates to over-purchasing.

2. Hidden Costs

Be cautious of price discrepancies between quotes and invoices. Always cross-verify to avoid paying more.

3. Quality Checks

Make it a routine to inspect the quality of goods received. Sub-par products can lead to a host of problems, including customer dissatisfaction.

Storage: The Backbone of Your Operations

1. Spoilage

Improper storage can lead to spoilage. Use a first-in, first-out (FIFO) system to ensure products are used before their expiry date.

2. Breakages and Spills

A careless move in the storage area can result in spills and breakages. Train your staff to handle items cautiously.

3. Security

Theft is a common issue in restaurant storage areas. Secure your inventory to avoid losses.

Preparation and Service: Where Skill Meets Execution

1. Cooking Blunders

Mistakes in the kitchen can cost you. Whether it’s the wrong ingredient in a dish or overcooking, the impact is immediate and usually irreversible.

2. Over-Production

Prepare food based on realistic consumption estimates. Excess food often ends up in the trash, hitting both your pocket and the environment.

3. Portion Control

Ensure that your cooks follow the exact portion sizes to avoid wastage and increased food costs.

4. Employee Snacking

Unauthorized nibbling can add up. Make sure there are clear rules about employee meals and snacking.

Conclusion

While it may seem daunting to control all these factors, it's entirely doable. By focusing on key drivers that affect your food costs, you can streamline your operations and positively impact your bottom line. At BulkBox, we’re committed to helping you plug these potential holes with our comprehensive supply chain solutions.