With the increasing number of restaurants, cafeterias and eating joints, the food service industry has seen tremendous changes in the past few years. Undoubtedly, peer competition has increased but what’s more concerning is the complexity to manage such a wide variety of perishable food items while ensuring that other parts of the business targets are consistently met. Restaurant Management Software has been helping reduce the burden by automating various tasks.
With the demand for timely delivery schedules, managing incoming raw materials, adhering to strict food safety regulations and coping with low margins, it gets extremely significant to put in place a robust infrastructure that not just streamlines the delivery operations by using strategic engineered plans but also accelerates performance, boosts efficiency and reduces delays. Even Hotel Management Software has specially designed verticals for these managerial tasks.
It can get tricky for the food service industry to smoothly manage all these requirements when profit margins are small. Having an effective Supply Chain Management Software (SCMS) in the system can help the businesses to manage the various aspects of the production line. Many businesses in the food service industry have already embraced the technological advancement to manage their supply chain segment. Here are some of the many advantages of implementing the automated system for supply chain management:
- Real-Time Visibility
Clear visibility leads to timely decisions in business. With software managing the supply chain of a business it gets easy to get real-time visibility of the delivery operations. This information can be utilized to up-sell the customers during delivery time. Also, it gets simple to coordinate with the truck and sales staff to reach at the same time and exploit the situations for up-sell opportunities.
- Proactive Management
The supply chain Management software enables the food service businesses to find the solution to a problem even before the problem arises. As the real-time field data is captured, it gets easier to tackle with issues such as incorrect product picks or returns. Besides this, the food service management professionals can determine which distributor is running out of inventory early, where the trucks are or when is the estimated time for their arrival. Getting all such information beforehand saves a lot of overhead expenses. With Hotel management Software, getting supplementary information which aids smooth functioning, becomes easier.
- Accurate Sales Forecasting
For a food service business to excel, it is essential to forecast the sales. By automating this facet, businesses can get accurate sales predictions, which in turn help to grow the food service facility. In addition to this, they can predict impacts in cost due to changes in commodities, volumes or operational processes. The food service businesses can also keep a track and control of cost metrics related to performance throughout the supply chain.
- Monitoring the Logistics Performance
Supply chain management software allows the businesses to frame a plan and even track it in the real-time for reducing miles, optimizing efficiencies and maximizing the stops per paid hour. Many automated solutions are equipped with analytical functions to enable the professionals to assess the planned as well as real drive and service times. This information helps to analyze scheduled adjustments, maximize the productivity of driver and resources on road. In this way, Supply chain management software aids the restaurant management software.
- Analyzing Driver & Customer Performance
With automated supply chain software, food service industries can compare the performances of driver and customer to determine the issues causing delays and where the expectations are repeating. This data helps the businesses to make adjustments in the delivery schedule and increase the performance.
- Better Partner Relations
The distributors in the foodservice industry are now focusing more on the contract loading process as they are aware of the fact that businesses today use automated supply chain management software that can detect the errors easily. Also, the software helps in managing the distribution, movement, sourcing of cost-effective products along with their operational performance.
- Improved Invoice Control
Owing to supply chain management software, the businesses in foodservice industry are able to check a huge amount of distributor invoices without manual efforts. Further, this helps in improving the productivity of team as the time which was earlier spent on clerical tasks is utilized on analysis work.
- Improved Negotiating Power
The data generated through supply chain management software helps the businesses to negotiate the contract with their suppliers. As the suppliers need historical performance data, it is useful to collect such large data and change it to small level data.
Using paper invoices, spreadsheets or various electronic systems to manage the supply chain in the foodservice industry can surely turn out to be a disastrous recipe. Fortunately, by using robust supply chain management software, businesses can reap the benefits of improved ROI and high profits from their sales.
Author Name : Utsav Upadhyay
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Author Bio : I am currently advising clients how to create and manage effective advertising campaigns in accordance with the principles of Inbound Marketing. I offer Inbound Marketing auditing services, which are a great way of determining what your company’s strong and weak points are. I also provide Inbound Marketing training and consultation sessions via callhippo Marketing Sessions. In Free time I research about restaurant and hotel management services.