Operating System Development
Foodservice operators are often faced with a key management challenge—improving unit performance and profitability. We have helped operators enjoy significant improvement in their bottom line by examining their existing operations and providing actionable solutions that make a real difference.
When existing units are underperforming, we can help you identify the reasons why and recommend steps to enhance their profitability. Specifically, we can assist you by:
- Evaluating over 100 operating attributes to benchmark your units' execution against industry standards or that of key competitors.
- Identifying where short-term profit improvements can be made and quickly implemented.
- Conducting consumer research to assess how customers perceive and rank your concept.
- Evaluating existing operating systems to ascertain where inefficiencies are restricting profits.
- Creating (or updating) monitoring and coaching systems for Quality, Service and Cleanliness (QSC).
Examples of how we have helped other clients.
A top quick-service restaurant chain was concerned about declining average unit volumes in their c-store units. They asked Technomic to identify the factors behind the decline and recommend ways to improve volumes.
Results? We determined that marketing programs were not the primary cause of the sales decline. Rather, the problem resulted chiefly from operational and organizational issues within the franchisee organization and structural problems related to the chain's c-store field support. Utilizing our recommendations, average unit volumes subsequently increased 3 percent. The client also retained Technomic to conduct other studies.
A regional chain of ice cream shops was experiencing production bottlenecks that resulted in slow customer service. They hired Technomic to evaluate the existing situation and recommend actions for improving the efficiency of their units. Technomic developed and analyzed optimal production and customer flow models. Our recommendations were then incorporated into the chain's foodservice and retail components.
Results? The new store design had a positive impact on retail sales volume. Having proven the value of Technomic's new model, the chain subsequently began retrofitting all existing units with the new design.
A regional supermarket chain was experiencing substantial losses in their foodservice operations. We conducted an evaluation of the chain's foodservice, deli and bakery operations. The client received a 60-point action plan covering five key categories–product quality, product cost, labor cost, human resource development, and systems measurements.
Results? Significant changes to the product offering lowered shrink while focusing customer interest on higher margin items. The new program generated a 5 percent increase in samestore foodcourt department sales and a 7 percent improvement in profit contribution.