Monday, December 21, 2009

Moe’s Franchisee Adds $250k to Bottom Line

Mickey Bailey knows there’s a accomplished band amid befitting his Moe’s® Southwest Grill barter blessed with the portions they are served while ensuring reasonable profits for his restaurants. He believes his company, Red Hawk Restaurant Group, has accomplished both—and in the action is extenuative as abundant as a quarter-million dollars a year as a aftereffect of implementing RTIconnect™ aback appointment software from Restaurant Technology, Inc. (RTI).

Before his Alabama restaurants began application RTIconnect in April 2009 to clue aliment and activity cost, the ambassador and co-owner of Red Hawk Restaurant Group (RHRG) anticipation the company’s numbers were appealing fair—as compared to his peers. Now he thinks they’re excellent. “We’re actual blessed with the software,” said Mr. Bailey. “It exceeds our expectations, and that comes with a little bit of embarrassment, because we were appropriate up there with some of the best in agreement of authoritative aliment amount in the Moe’s system. So to acquisition out there were opportunities to lower aliment cost, to be able to accomplish these kinds of results, is absolutely advantageous and enlightening. RTIconnect has essentially bigger our abundance economics by as abundant as 3.4%—for an anniversary accumulation arctic of $250,000.”

Food Cost Lowered by 2.4%
The better accumulation was in aliment cost, he said, which accounts for 70% of the absolute savings. Using RTIconnect’s Daily Food Variance Report to chase the seven highest-cost aliment items, they apparent and analyzed variances amid ideal acceptance (what should accept been acclimated based on sales and recipes) and absolute acceptance (what was acclimated based on account counts and purchases). Once managers advised the variances, they bent that advisers were over-portioning. Unlike added quick-serve restaurant concepts, area allocation ascendancy is somewhat complete by advantage of card items—such as sandwiches—Moe’s barter advance through the southwest barbecue restaurants’ cafeteria-style-serving-line area servers bowl up the customized aliment at several stations.

“The software became the ‘daily account flash’ as to what was traveling on with the aliment variance,” said Mr. Bailey, who does double-duty as ambassador and accouterment operational abutment information. With this knowledge, administration adapted training procedures to ensure that servers are “ever alert that there is a antithesis to be reached, amid giving the chump the appropriate allocation based on the amount and not shorting them, but at the aforementioned time alienated over-portioning—just to consistently accomplish abiding they’re accepting ‘more’ than enough.” Based on both actionable chump acknowledgment and the Moe’s accumulated “Questar” chump analysis program, Mr. Bailey said efforts to abstain over-portioning were positive. “We accept accustomed beneath than 5 complaints from our customers, out of tens-of-thousands served, apropos servings not affair expectations.” Mr. Bailey acclaimed “This is astonishingly below the amount it was active above-mentioned to any accent on allocation control!”

Another aftereffect of the about-face address was a afterpiece watch on aliment waste, he said, such as accepting advisers pay afterpiece absorption to things such as absolutely elimination the accoutrements of queso cheese dip, or coring and acid tomatoes added anxiously to abstain accidental waste…and there are abounding added examples.

Red Hawk, which has marketing/operations offices in Birmingham and controlling offices in Atlanta, operates three Moe’s in Montgomery, three in Birmingham, and one in Tuscaloosa. When the growing aggregation began analytic for a aback appointment band-aid to alter their amassed of spreadsheets, Mr. Bailey said they searched for software that would advice them accomplish three primary goals: bigger adviser and administer aliment amount to advance profits, abate activity with bigger advice to plan and agenda needs to accommodated projections while continuing to accommodate accomplished service; and third, accommodate added automation and affiliation of the banknote and advice administration system. Recommendations from several Wendy’s franchisees, a allotment of others, led them to RTIconnect.

“Having looked at several competitors, RTI absolutely nailed our needs. Its account acceptability was impeccable, they had a ample and ample chump account accouterment a solid acquaintance base, and the software was convenient and analytic priced. In a amount of 90 canicule managers implemented all modules and in the 60-90 aeon accomplished the targeted accumulation in aliment cost.”

Matching Labor to Sales Saves Another 1%
Within two weeks of implementing the Labor bore of RTIconnect Mr. Bailey said they were seeing “about a 1% accumulation over what we would accept appointed for activity had we just been accomplishing it about like we were in the past.” Previously, he explained, while the aggregation had actual abstracts on sales, they had no automated agency of bulging sales and analogous activity to volume. “We were scheduling the appropriate amount of humans but beyond our needs during non-peak hours.”

RTIconnect collects alternate sales abstracts and generates sales trends to advice managers activity sales for the accessible week. Before application RTIconnect, he said, they may accept appointed 5 humans for 11 a.m. to 4 p.m. Now, by seeing the accustomed declivity in alternate sales afterwards lunch, managers see they don’t charge to accumulate added advisers than bare through the afternoon so adjustments are fabricated to bout volume.

The third RTIconnect module, Cash, is giving them the automated cash/information controls they sought. “Although they were bulky and clumsy and adequately intricate, we had a alternation of spreadsheets that affectionate of emulated what RTIconnect now does for us automatically.” The better advance in their banknote management, he said, is that the software makes it easier to clue paid-outs and paid-ins, such as banknote affairs for accouterment accumulation fees or accouterment accounts receivable—which the aggregation needs for 1099 preparation.

Management Support; Tools for Growth
Mr. Bailey emphasized that none of these accomplishments in RHRG’s seven-store portfolio was accomplished after the “dedication, persistence, and absorbing teamwork generated by anniversary abundance administrator and his/her committed agents members.” As a aftereffect of implementing RTIconnect—and this committed buy-in from the stores, he said, Red Hawk has apparent “phenomenal savings,” bigger efficiency, and a “heightened faculty of acquaintance and albatross in key operational areas.” What’s aswell impressive, he said, is the company’s acknowledgment on its investment in the software: “an absurd 2,000% ROI.”

With this success comes re-energized affairs for growth. Mr. Bailey said RTIconnect gives Red Hawk a aggressive bend and a stronger faculty of confidence—a agency to advice the aggregation aggrandize while growing sales and profits.

About Restaurant Technology, Inc. (RTI)
RTI (www.internetRTI.com) is a arch developer of technology solutions for the restaurant industry, and a Microsoft Gold Certified Partner. Today over 10,000 restaurants, including abounding of today’s best accepted brands, await on a ample apartment of RTI accommodation solutions. Application of RTI solutions enables restaurant operators to aerate efficiencies in their restaurant operations, abate operating costs, and advance account to guests, which ultimately yields added assisting restaurants. Incorporated in 1985, the aggregation is headquartered in Atlanta, Ga.

Contacts:

Greg Waddell
Vice President, Sales & Marketing
Restaurant Technology, Inc. (RTI)
ph: 770-590-4300
greg.waddell@internetRTI.com

Mickey Bailey
Controller, Partner
Red Hawk Restaurant Group, LLC
mickey@welcometomoes.net

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