Restaurant management: a comprehensive guide for English restaurateurs

As restaurant managers know, their jobs involve spinning many plates — literally.

The restaurant industry has become increasingly complex, with more to think about than ever: from post-COVID health and safety regulations to the continuously evolving digital marketing strategies, restaurant management can often feel like a world in itself, far removed from daily operations. Nevertheless, tasked with securing the economic and financial future and operational needs of their staff, the job of any restaurant owner requires a comprehensive skill set. 

Multitasking is essential for a restaurant to flourish. To help keep up, we’ve collated a comprehensive guide for restaurateurs, keeping you and your profit margins ahead of the curve. 

Restaurant management: what it involves

Restaurant management and operations can be divided into the elements associated with any successful business: services, staffing, and financial strategy. Tackling each in detail will enable you to approach modern restaurant management dynamically.

Restaurant management: not just food & drink

When it comes to restaurant business management, choosing your menu may seem straightforward. However, behind every mouthwatering main and refreshing drinks list is a catalogue of managerial processes. 

Choosing suppliers

Quality ingredients are vital, but bar and restaurant management also involves sourcing items like till systems, kitchen appliances, table linen — even toilet paper! Invest in robust warranties and quality branded products for one-time purchases. 

Before finalising regular vendors, check their products. Request samples and ask questions about the freshness of produce, delivery frequency, and where they source their ingredients if selling a secondary product. 

Calculating food costs

To calculate food costs, add together the costs of buying, producing, and selling each menu item to calculate the cost per serving.

Restaurants should aim to keep food costs between 25% and 30% of a dish’s menu price to protect profit margins. 

Consider prioritising quality produce that can be used across various dishes to reduce vendor costs. Provide a smaller menu and regularly evaluate wastage to limit undue spending and reduce food waste. 

Evaluating staffing requirements

As a manager, it is your responsibility to streamline operations by providing enough staff for meal services. Ask yourself how many tables your restaurant has and how many customers it will serve. 

Roles and responsibilities in restaurant management

The most valuable commodity for any restaurant is reliable and well-trained staff, and an effective restaurant management team is essential — even the most experienced restaurateur can’t do it all alone! A restaurant requires professionals with diverse skills to manage daily operations, including restaurant managers, skilled kitchen staff, customer service representatives, marketing managers, and the best possible chef.

The key roles of management in hospitality

The restaurant industry expects a lot from its managers, as key figureheads for any successful business. From staffing to general operations to coordinating processes, restaurant managers are expected to have total oversight and are ultimately responsible for financial success. 

Supervise staff management and training

Restaurant managers are accountable for staff on the restaurant’s payroll from the moment they are hired. As such, all management styles need to set procedural standards.

• Hiring well takes time, but reduces staff turnover rates, boosting customers’ experience and improving operational efficiency. Look for skills and experience, but also a good attitude that aligns with brand values.
• Training staff in-house can radically improve productivity and morale when all employees know the business's standards and expectations. 
• Managing staff requires a careful balance of firmness and approachability. A successful restaurant should champion open communication and reward hard work.

Ensure operational efficiency and food safety

Management plans need oversight across all areas, but one crucial objective is the implementation of food safety standards. From food preparation and inventory management to equipment maintenance, restaurant operations management involves establishing systems and processes to streamline operations.

Although the kitchen carries out daily food preparation, the restaurant manager is responsible for compliance with food safety standards legislation. For restaurants in the UK, the key regulations are:

• The Food Standards Act 1999
• The Food Safety Act 1990
• The Food Information Regulations 2014

The Food Standards Agency also provides plenty of helpful information on General Food Law.

Promote financial success and customer satisfaction 

The ultimate goal of a restaurant manager is to safeguard financial success and customer satisfaction. Without these, a business will cease to function.

A restaurant’s business plan relies on developing sales strategies to increase profits and delight customers. The other side of the coin is controlling costs, keeping expenses low and profits high. 

Ultimately, a good restaurant manager should always be thinking: how can I save money while making more?

Operational restaurant management

A restaurant is a chaotic environment. With semi-autonomous areas, it’s hard to connect and streamline services. Nevertheless, armed with a catalogue of restaurant operations management best practices, operational efficiency is possible. 

Simplify daily operations

Simplifying and optimising daily activities is critical for successful and productive restaurants. Consider streamlining:

• Reservations: Are bookings flying in from every direction? Implement a centralised booking system or sign up for TheFork Manager’s ready-made service. 
• Table Assignments: Optimise your floor plan. Save seats where you can and be ready to accept walk-ins at a moment’s notice. 
• Order Processing: Automate order processing, removing any chance of miscommunication between kitchen staff and servers. 
• Customer Service: Keep customers happy — fast service is good service. 

Optimise these processes to ensure efficient workflow and impeccable customer service.

Optimise inventory and purchasing

As part of their financial and food standards responsibilities, restaurant managers must pay close attention to inventory levels and outgoing expenses to ensure proper financial control and prevent food waste.

Monitor stock levels carefully by recording wastage and adjusting future orders accordingly. TheFork Manager optimises stock automatically with a host of efficiency-boosting features to track and control your inventory using data from Digital FloorPlan. 

Enhance customer service and experience

Interactions with staff directly affect the customers’ experience, which in turn affects the success of your restaurant. To boost satisfaction, try:

• Training staff thoroughly in soft skills to promote excellent customer service. 
• Make customers feel welcome by anticipating their needs with these 7 tips. 
• Promptly handle customer complaints by acknowledging problems quickly.
• Resolve issues to demonstrate attentiveness. 

Secrets of revenue management for restaurants

Restaurant revenue management involves striking a balance between outgoing costs and appealing menu prices. Below are some straightforward revenue management strategies:

• Effective pricing strategies: Menu pricing is key to profitability. Use market data, cost analysis, and competitor reports to make informed decisions and establish optimal prices that maximise profits. 
• Menu planning and promotions: Maximise revenue with well-planned menus and promotions that target new customers. Revolving seasonal menus, special offers, and capitalising on culinary trends all boost customer interest. 
• Monitor performance to make data-driven decisions: Sales data, industry trends, and customer feedback all provide valuable insight into enhancing restaurant operations and marketing strategies.
• Boost your output: Capitalise on your available resources by maximising your table turnover.

Revenue management strategies generate profit for restaurant owners. To find out how TheFork Manager could help increase your restaurant’s earning potential and automate processes, check out TheFork’s array of revenue management resources. 

Promoting customer relationships in the restaurant industry

The restaurant industry is all about attracting customers, making it crucial to engage with people through impactful marketing and communication. Implementing a Customer Relationship Management (CRM) strategy to pull in business through data-driven software analysis will collate and organise customer information, personalising experiences with tailored communications and offers. 

Once footfall reaches your doors, collect and analyse customer feedback through surveys, rating cards, and online reviews that identify your restaurant's strengths and weaknesses. Prioritising your strengths and resolving errors goes a long way to keeping customers coming back, but why not also invest in loyalty and customer retention? By joining a well-structured loyalty programme like Yums from TheFork Manager, businesses can prosper from repeat customers’ valuable trade, who often have higher average table spends, and offer guaranteed sales. 

Summary

Restaurant management is a diverse and inspiring career that’s never short of a new challenge. In a dynamic industry that rewards innovation, restaurateurs should take a novel and varied approach that generates profit on all fronts through a coordinated strategy of cost-cutting and customer acquisition. 

To implement all of our tips (and more!) with the best restaurant management platform in Europe, contact us at TheFork Manager today. 

Learn how to automatically maximise your restaurant’s operations and visibility with our 360-degree restaurant management software, leaving you free to dream up the next great culinary trend or marketing knockout. From online reservations to reporting, creating offers and promotions to collecting reviews, our comprehensive customer benefits programme Yums, to the nitty-gritty of table payment systems and restaurant floor planning, find out how you could have it all with TheFork.