Restaurant Inventory Management Software
Streamlining your operations with a modern and efficient inventory management system can provide your restaurant or ghost kitchen business with many benefits. With the rise in online ordering, food prices, rents, and minimum wage, your cost management strategies need to be impeccable. Nearly 80% of restaurant owners say that technology helps them increase sales, profits, and productivity. In addition, inventory management is one of the leading causes of thin profit margins and high food costs. Thereby, you can manage costs more accurately with the use of a software, as you can track your stock levels in the convenience of one dashboard, and spend more time on more important things, such as enhancing the customer experience.
Using a comprehensive inventory management software can significantly help you with minimizing costs, reducing food waste, and keeping track of price changes in your supply. In this article, we have shared the benefits of using a software to help you confidently navigate your journey towards effective inventory management.
Using an Inventory Management Software for your Restaurant or Ghost Kitchen
Adopting technology to streamline these processes can help significantly reduce costs and help establish a sustainable business model. By using an inventory management software, you can track your goods throughout your entire supply chain. All the way from purchasing the supply to end sales with an efficient and simplified tracking system. You will be able to get a better idea of the food costs your business incurs periodically and the software will do all the important calculations for you. This means that placing orders and checking an inventory is no longer an inconvenience as it can be done with the simple click of a button on your computer, tablet, or phone.
NextGen Kitchens offers a comprehensive inventory management software. The software is capable of handling and separating inventory across brands and locations to accurately track waste and track costs across multiple operations on one dashboard. In addition, inventory tracking can be used to measure your profitability and also be used as a loss prevention tool for your restaurant, whether you have your inventory stored in one or multiple different locations.
Benefits of Using an Inventory Management Software
Taking control of your restaurant or ghost kitchen’s inventory will bring you a number of benefits. Here are just a few ways that inventory management software will streamline your inventory processes and help you boost profits.
Save Costs by Reducing Waste
Did you know that the UN reports that 1.03 billion tons of food produced is wasted globally every year? This equates to one-third of the food produced in the world getting lost or wasted on an annual basis. These alarmingly large numbers go to show that food waste is an issue worth addressing. Especially considering that almost 10% of food purchased by restaurants becomes kitchen loss before even reaching the consumer. In addition, a survey showed that 88% of consumers want brands to help them be more environmentally friendly. This shows that the demand for brands to take action on improving their sustainability is crucial to satisfy the consumer.
You will be amazed at how much you can save monthly by using an automated inventory tracking system. Gaining insight into what items are being wasted can help you know exactly what and how much to order from suppliers to adjust stock levels to your actual usage. This helps ensure that you are not facing a loss on potential sales and also minimizes food wastage.
Improve Customer Satisfaction by Efficiently Track Inventory in Real-Time
An inventory management software automates many parts of the inventory tracking process so that you can spend your time on more important tasks such as providing an excellent customer experience.
It allows you to see exactly how much inventory you have left at any given time of the day to help ensure you never run out of food items. In addition, it allows you to minimize time spent counting and ordering inventory, as well as provides a systematic and accurate way to track inventory items
Nearly 84% of businesses that put in the effort to improve their customer experience report an increase in their revenue. In addition, 96% of customers say customer service is crucial in their choice of loyalty to a brand. Thereby, with the use of an inventory management software, you will have time to enhance the customer experience in-person to help build brand loyalty.
Convenient and Tailored to your Unique Business
Whether you own a small independent restaurant, food truck, a multi-location franchise, or multiple brands under one roof (ghost kitchen, commissary, or food courts), our inventory management software helps keep track of inventory across each business.
For instance, if you are a ghost kitchen or digital restaurant, you can organize your inventory across all locations. You can also decide what ingredients to share between multiple brands and divide them accordingly in your storage spaces all in the convenience of one dashboard.
Whether you own a small restaurant, a multi-location franchise, or multiple brands under one roof, our software keeps track of inventory across each business.
Use Past Inventory Insights for Future Orders
Having full access and control over your inventory can help improve decision-making for your restaurant or ghost kitchen. Businesses that use data-driven decision-making are 19 times more likely to be profitable in comparison to those that make decisions based on “instincts”. By analyzing which ingredients and foods are underutilized or over-utilized according to your inventory management software, you can make informed ordering decisions. You can optimize your inventory orders by planning accurately and efficiently based on your historic sales data. Easy access to food costs and sales data helps you decide which menu items to keep and which to get rid of based on profitability. This can help you with generating healthier profit margins.
Lower Food Costs
Poor inventory control is one of the main leading causes of unnecessarily high expenses for restaurants. Many foodservice businesses are losing huge amounts of money due to not updating their menu prices to reflect increased inventory costs. Increased visibility into your inventory means your business can see exactly where you are losing money and how you can rectify those issues.
To reach a lower COGS, you must find ways to buy fewer ingredients or lower your food costs by finding new suppliers. With an inventory management software, you have the flexibility to adjust your menu, expenses, and have a better view of how each order impacts the overall profitability of your business. You will receive analytics and insights to help you see where and why you are losing inventory and ways to solve the issue in the future.
On top of this, food prices in Canada are expected to increase by 5-7% within the next year due to the pandemic and ongoing supply chain issues. Therefore, it is important for restauranteurs to accurately manage inventory to save costs where they can. Since food prices can fluctuate a lot due to supply chain disruptions and inflation, it is important that you base COGS on present times because data from a year ago may not accurately reflect the costs you are incurring.
By having this information in an inventory management software, you can increase prices accordingly or look into other suppliers with lower prices. In addition, being able to track these price changes can allow you to address the issue right away and adjust menu prices accordingly so that you can keep profit margins healthy and not face any unnecessary losses.
Track your Supplies
By using an inventory management software, you can check your dashboard and follow low stock alerts to quickly get your new inventory on the way. By knowing your inventory well, you can prevent your restaurant from running out of stock and disappointing customers.
This is particularly useful and important for delivery and online orders. By having access to your sales and inventory counts, you can ensure that customers are not ordering items that are out of stock. You can communicate that a major recipe item is out of stock instead of the possibility of having to give a full refund to a customer due to not being able to provide them with an update quickly enough. By knowing what you have in stock in real-time, you can offer alternatives or inform customers that you are out of a menu item ahead of time. This can help keep profit margins healthy and eliminate unnecessarily high expenses.
Streamline Inventory Tracking for your Restaurant with an Inventory Management Software
A modern inventory management software can significantly help minimize costs, reduce food waste, and keep track of price changes in your supply all in one convenient place. NextGen Kitchens has developed innovative inventory management software that includes features such as precise counts, sales reports, in-depth analytics, and much more. This is a comprehensive inventory management system that is capable of handling and separating inventory across brands and locations to accurately track waste and track costs across multiple operations on one easy-to-use dashboard.
Managing inventory is critical within the restaurant industry and failing to do so properly could lead to a number of issues such as food items being wasted and unnecessarily high food costs. This could also significantly impact your restaurant’s bottom line in the long run. inventory management is clear if you’re looking for more ways to raise your bottom line. A good inventory management system can help you control and organize every aspect of your stock, maintain a smooth flow of supply, and help you boost your overall profits.
Our software takes care of all these time-consuming and overwhelming processes for you.
For more information on NextGen Kitchens inventory management software contact our team through the form below: