There are two family restaurants in this small city.
Owner operated – good quality – family fare – reasonable prices –
But that’s where the similarity ends.
It starts with the owners. Arun is exhausted. He rarely gets a day
off. He is overworked because of staff turnover. Training takes too
long and is too expensive. Seems Arun is the only one who can do
things right. And if jobs are so scarce these days, why do people
Across town is Ravi.
Ravi’s business is in good shape. he has good staff because he
has fair and consistent policies in place. His training manuals are up
to date and they help new staff get on board quickly. And margins
are good enough so he can pay them fairly. Ravi even gets regular
Arun is making a lot less money than last year. Costs have risen
and revenue is shrinking. Arun is no idiot and he knows food costs
are too high; he just can’t pinpoint exactly where the problem is. Arun needs a better system, but he isn’t sure where to get it (and
he’s worried it will be expensive or difficult).
Ravi understands his food costs because his restaurant has a
system in place for calculating it weekly and tracking his key products
every day. He also implemented some good ideas he found about
improving portion control and reducing theft.
Both restaurants would like to see more business. But at least
Ravi is seeing some growth. He implemented a new marketing tactic that
is putting more people in seats during week day hours. That was a
And Ravi avoided an expensive advertising program after a fellow
owner warned her against it when his own similar attempt failed…..Advice like that is priceless.
Unfortunately for Arun, he doesn’t have anywhere to go for good
advice – or to even bounce ideas around. He certainly can’t afford