Inventory Management Benefits for Restaurants

Proper inventory management helps you decrease food waste and loss, work with vendors, decrease the overall cost of goods, increase profits and keep customers happy.

  • Less food loss: Up to 10% food purchased by restaurants is wasted before it even reaches the consumer. Restaurants buy too much food at a time, so it ends up spoiling before being served to customers. Food inventory management can minimize that loss.
  • Lower cost of goods: Food costs are generally 28% to 35% of total costs for a restaurant. That goes up when food is lost or spoils.
  • Better vendor management: Restaurants can use inventory management to more closely track their food and purchases, allowing them to better manage purchases and payments to vendors.
  • Automatic inventory supply: Inventory management provides insights into a restaurant’s supply levels. The system also creates automatic processes that replenish food supplies to the appropriate amounts and avoids waste.
  • More satisfied customers: Develop repeat customers and keep them happy by keeping ingredients on hand for all the dishes on your menu.
  • Increased profits: The total cost of goods sold is a major component that determines net profits. Inventory management decreases waste, which lowers the cost of goods sold and ultimately increases profits.

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