The holiday season is an excuse for many to get out and enjoy a drink or two and a bite to eat at their favorite restaurants. While that’s great for business if you work in hospitality, the universal influx in demand might also take a toll on your supply chain.
You have to be strategic if you want to avoid the typical supply chain disruptions that plague many restaurants this time of year, especially when you consider that Americans tend to order around 440 extra calories per serving during the holidays.
With this in mind, let’s learn about seven ways you can avoid supply chain disruption at Christmas for a smooth-running front-of-house.
Diversify Your Supplier Relationships
If you’re solely reliant on a single supplier, you might be fine during the year, but at Christmas, when demand is at an all-time high, it’s possible that you’ll face issues outside of your control, which can affect your supply chain.
To avoid this issue, it’s best to diversify your supplier relationships so you have a contingency in the case of supply chain issues during the festive season. Even if you prefer one or two trusted suppliers, you can still have backup vendor lists, so you know who to turn to in a pinch.
Invest In Smart Inventory Management
With around 11 percent of the U.S. hospitality sector expecting significant shortages this holiday season, you should expect a similar high level of demand as a restaurant owner.
This is when inventory management becomes crucial if you want to ensure that your restaurant runs at full capacity for the entire festive season.
However, this doesn’t call for a complete inventory revamp; instead, you can use a good restaurant POS to deploy smart inventory management practices.
A good restaurant POS can provide you with:
- Real-time tracking
- Predictive analytics
- Automated reordering
All of these can help you avoid stockouts, conduct strategic forecasting, and stay on top of your inventory needs. Most POS systems will flag when certain stock is low with automated alerts and can be programmed to reorder so you can keep up with consumer demand.
Implement Advanced Forecasting Techniques
Predictive planning can get you out of alarming supply chain issues before they arise.
If consumer concerns are anything to go by, you’ll run into supply chain issues unless you’re prepared, as just 17 percent of consumers aren’t concerned at all by stock-outs during the festive period.
By leveraging historical data and taking current market trends into account, you can forecast future demand and make sure you’re fully prepared for the festive season.
The right advanced forecasting solution will allow you to anticipate seasonal demand fluctuations, adjust your menu according to the availability of certain ingredients, and make informed purchasing decisions based on past POS data.
Embrace Technology-Driven Flexibility
To succeed as a restaurant in modern times, you need to leverage technology that affords you a degree of flexibility.
You can invest in a cloud-based POS system, for example, which will allow you to remotely manage your inventory and stay on top of demand. You can also establish secure digital supplier communication channels to help you streamline orders and track deliveries.
Data shows that better prevention and a swift response to supply chain issues can save organizations an average of $37 million annually.
Adapt Your Seasonal Menu
Being flexible with your menu at this time of year is a good idea if you’re concerned about the seasonal demand placing pressure on your supply chain.
If you have a modular menu design, whereby you can easily swap out ingredients based on availability, you can stay prepared throughout the year regardless of the season.
Alternatively, you could develop your menu around seasonal ingredients that customers are more likely to want during the festive period.
Plus, don’t forget to use historical data to project which ingredients are most likely to be affected by supply chain issues at Christmas.
Stay in Touch With Your Suppliers
Maintaining clear and transparent communication with your suppliers is a great way to navigate the increased demand during the festive season.
Schedule regular check-ins and use an integrated POS system that allows you to communicate directly with your suppliers to avoid any unforeseen issues. Work together with your suppliers to create contingency plans in the case of potential disruptions down the line.
Invest in Staff Training
Your technology and supplier relations will, to a large extent, determine how ready you are to navigate potential supply chain issues at Christmas. But what about your staff?
By training staff on new POS technologies and creating awareness around inventory management in the ranks, you can prevent a bottleneck from forming around key decision-makers in the business.
Confidently Handle Increased Demand During Christmas
The holiday season doesn’t have to mark a period of heightened stress for restaurant owners. By implementing a good restaurant POS, working on your relationships with suppliers, and training staff on inventory management – you can confidently navigate this busy period.
Rebecca Barnatt-Smith talks about all things technology. Writing for popular publications like Real Business and Maddyness, she writes on the power of growing your business using the latest tech innovations and how the digital world continues to change hospitality strategies across the globe.
