Restaurant Management
A 100-seat fully equipped casual dining restaurants may cost ______ per seat.
$6,000-$10,000
If a restaurant offers a steak on the menu that costs $5 and sells for $14.95, the contribution margin is __________ for every steak sold.
$9.95
How to change a restaurant concept while the business is running?
1. Define the problem 2. Create a plan for your new restaurant that addresses all the things that are not working for your restaurant 3. Prepare loyal customers for the change 4. Purchase everything needed for the concept change 5. Choose a date for the transformation and close your doors early 6. Reopen the following day with the new concept already installed
7 common problems that restaurants face
1. the menu 2. customer service 3. no unique selling point 4. poor management 5. hiring and training staff 6. marketing 7. capital
Turnover rate for hourly workers in full-service operations is __________.
100%
How long will restaurant patrons travel to reach a hotel, steak, full-menu, or fish restaurant?
15 to 18 minutes
Luxury and table-service restaurants require ________square feet per seat while cafeterias need just ____________ square feet per seat or per stool.
15 to 20/10 to 12 sq. ft.
At age __________, teenagers may legally work at any job.
18
Combined, the beverage pouring cost should be __________ of beverage sales.
23 to 25%
Many licensed casual and upscale restaurants have beverage sales of __________ of total sales.
25 to 30%
The normal pouring cost for beer is about __________.
25%
Wine should have a pouring cost of __________.
26 to 30%
A restaurant's profit is typically only __________ of total revenue.
3 to 9%
The typical restaurant's percentage cost for wines is __________.
30%
If the opening food costs are $66,666 and total sales are $200,000 the food cost percentage is __________.
33%
Quick-service restaurants are likely to spend __________ percent of their income on advertising, more than is spent by the casual, fast casual, or family restaurant, or the dinner house.
4 to 5
Surveys show that _______to________ percent of all table service customers arrive in pairs.
40 to 50
When receiving fresh and frozen meat, the temperatures should be which of the following?
40°F/0°F
Today, there are ____________people with disabilities in the United States and, as the population ages, the number will increase steadily over the next several decades.
43 million
Prime costs should be close to __________ of sales.
55 to 60%
Onboarding improves employee retention rates by as much as ______ %
58
______% of restaurants fail within the first year
60
When combined, prime costs should not go above __________ of sales.
60%
What is the range for prime costs?
60-65%
Generally, in a table-service restaurant, there should be at least __________ entrées.
8
The margin of profit on a fountain drink is?
85%
According to Brian Wilber, district manager of Bon Appétit Management Company, a chef is responsible for __________ of its food costs.
95%
A franchise is
A restaurant that has a branded product that the owner promotes, markets and sells under a specific contract.
Which does the behavior modification theory urge?
An immediate reward for whatever behavior is desired
Which involves the highest risks overall?
Building
Which concept has the most sales of all the segment ratings?
Burgers
Which is the difference between the sales price and the cost of the item?
Contribution margin
Who created the Hersey-Blanchard Situational Leadership Theory?
Dr. Paul Hersey and Ken Blanchard
Effective leaders have six traits that distinguish them from non-leaders:
Drive, the desire to influence others, honesty and moral character, self-confidence, intelligence, and relevant knowledge.
__________ power is derived from an individual's personal charisma and the respect and/or admiration the individual inspires.
Expert
Strategies for boosting your bottom line
Feature affordable quality Review your produce specifications Join a purchasing group Make sure your comparisons are accurate Do more in-house prep work contract your prices with vendors Don't let your crew's errors affect your profits 80% of your food costs come from 20% of your items Root out hidden costs
Which refers to the cuisine and service provided in restaurants where food, drink, and service are expensive and usually leisurely?
Fine Dining
In the recent past, most food-service millionaires have been __________.
Franchisers
Which of the following is not an advantage of Independent restaurants?
Greater advertising clout
When asked by the author and others what helped most 'in getting where you are today," which of the following was the number one factor?
Hard work
What are the responsibilities of a franchisee?
Hiring employees and operating the store
Which is not a reason for entering the restaurant business?
Holidays off
Which of the following questions are not allowed during a job interview?
How old are you?
__________ is credited with being the first restaurant to franchise.
Howard Johnson's
What is the Hersey-Blanchard Situational Leadership Theory?
Instead of using just one leadership style, successful leaders should change their leadership style based upon the people they are leading and the details of the task or situation
The __________ ethnic restaurant category represents the largest in number.
Italian
The Affordable Care Act scheduled to go into effect in____________. Under that law, companies employing more than _______people must provide affordable health insurance to employees working an average of at least 30 hours per week or face thousands of dollars of fines.
January, 2014/ 50 people
What is/are the advantage(s) in running a family-owned restaurant?
Lower cost and less danger of theft are both correct.
Four types of Maturity Levels
M1 (bottom of the scale), M2 (might be willing to work on a task but don't have the skills to do it successfully), M3 (ready and willing to help but not confident in their abilities), M4 (able to work on their own)
__________ assumes that customers change and that they want new menu items, new atmosphere, and sometimes new service.
Marketing
Which of the following is not a part of a franchise restaurant set up?
Paying the payroll
Most restaurants use the back bar to add atmosphere by displaying the __________.
Premium-brand liquor
Which of the following represents a sustainable practice when purchasing food?
Purchasing beef and pork raised in pastures versus confined enclosed spaces
The most profitable restaurants are in which category?
Quick-service
Which of the following would be considered a knockout criterion?
Restaurant is situated behind two buildings off of the street
Boulanger believed that __________ was the cure to all sorts of illnesses.
Soup
Liquor inventory tips
Take your count the same way every time Keep your inventory periods consistent Find a method that works for you Take inventory while the bar is closed Properly train your employees
A restaurant concept is devised to interest a certain group of people, called a(n) __________.
Target market
Four types of Leadership styles
Telling, Selling (selling their message to their team), Participating, Delegating
True or False: With higher end spirits, your margin is typically lower but your profit per unit is higher
True
True or False: draft beer can be one of the most profitable drinks with profit margins between 85-90%
True
Usually, the busiest periods in the restaurant business are during the __________.
Weekends
Prime locations vs. ordinary locations usually cost __________.
a good deal more
What is a good pour cost?
about 20-30%
By definition, an on-sale general retail license authorizes the sale of __________.
all types of alcoholic beverages—namely, beer, wine, and distilled spirits—for consumption on the premises
Which is not a consideration in menu planning?
capabilities of the servers
The formula for doing the food cost percentage is __________.
cost ÷ sales × 100
A daily flash report shows
daily sales
Restaurant corporations of excellence regard their ______________________ as their most valuable asset and competitive advantage.
employee resources
Using part-time employees can be a drawback except that __________.
employers do not have to pay for benefits
What is the first goal for an orientation program?
explain the company history, philosophy, mission, goals, and objectives
Grapes for making wine are harvested in the __________, after they have been tested for maturity, acidity, and sugar content.
fall
Psychologists tell us that inserting constructive criticism between two __________ softens the criticism while at the same time working the criticism.
favorable comments
Red wine gains its color during which process?
fermentation
Prime cost is the cost of __________.
food and labor
Written standards for food that are based on a forecast of sales are called __________.
food specifications
The first step in putting together a purchasing system is to determine the __________.
food standards
The first thing restaurant managers do is to __________.
forecast how many guests are expected
The first step in the planning process is __________.
forecasting
Which partnerships have complete liability, but full management rights?
general partnership
Which are the three typical market segmentations?
geographic, demographic, and behavior
When a guest is seated, the number one rule for a server is:
greet the guest in one minute
Menu tips
group most profitable items together don't use $ let your menu be a tour guide keep your menus clean update your menu and prices at least once a year build your menu around popular items make sure your staff is thoroughly trained and has memorized the menu
If you are the only person in a group that holds a different viewpoint, you will probably end up conforming to the group and not speaking your opinion, known as __________.
group think
Experience has shown that the most practical and immediately beneficial way of training restaurant employees is the __________ method.
hands-on
What does the product mix show?
how many items were sold
According to the text job specifications __________.
identify the qualifications and skills needed to perform the job
In full-service restaurants, the largest variable is __________ costs.
labor
Marketing efforts are most needed __________.
low periods
The location of the restaurant is generally to be of _________ importance.
major
________ are the most expensive item served in most restaurants.
meats
According to the text, which should be front and center in the restaurant business?
menu
According to the text, food-cost percentage should be calculated at least __________.
monthly
Beverage sales yield __________ as food sales.
more profit than food sales
__________ refers to what makes people tick: the needs and desires and fears and aspirations within people that make them behave as they do.
motivation
How to keep labor costs low without losing staff?
offer a cancellation fee to staff you schedule but send home; you'll pay for the staff not working but pay less than if they had stayed doing little or no work
Under third party liability
owners, managers, bartenders, and servers may be liable under law if they serve alcohol to a minor or people who are intoxicated
The amount of food to be ordered and stocked can be built into the purchasing system based on __________.
past records
The most effective way to check an employee's references is to follow-up by __________.
phone
When developing a wine list, the selected varietals of white wine could include all but which of the following:
pinot noir
Which conveys to the customer the best face or image of the restaurant, what people like most about it, or how it stands out from the competition?
positioning
The cost of ingredients must equal the __________.
predetermined food cost percentage
Which grade is used for the best meat product available?
prime
In the marketing plan, goals need to be set for the four Ps, which are __________.
product, price, place, and promotion
A good mission statement should contain the following three things:
purpose, values, and goals
__________ authority is conferred on your subordinates, and you have to earn the right to lead them.
real
According to the textbook, a restaurant has two potential values, its:
real estate value and value as a profit generator
Economies of scale can __________.
reduce food, labor, and overhead costs
The economic factor(s) that differentiates fine dining from the average restaurant is/are __________.
rents can be quite high Correct!: all answers are correct meal prices are high labor costs can be high
The points that indicate more food should be ordered are called __________.
reorder points
The length of time an item can be stored without appreciable loss in quality or weight is called __________.
shelf life
Which training method allows the learning to be absorbed and avoids fatigue?
spaced training
Behavioral scientists urge that
specific behavior be emphasized rather than general praise
A job _________________lists the education and technical/conceptual skills a person needs to satisfactorily perform the requirements of the job.
specification
Consistency in food preparation is achieved by
standardizing recipes and cooking procedures
Formula for liquor inventory usage
starting inventory + received inventory - ending inventory = usage
Onboarding
starts the first week but continues throughout the stages of one's career; it is about adjusting new hires to the realities of the job
The "S" in SWOT analysis stands for __________.
strengths
The "S" in SWOT assessment stands for __________.
strengths
Which can be converted into job instructions?
task analysis
According to experts, an employer who is irritated and unhappy with an employee's behavior should __________.
tell the employee about it
The magazine Restaurant Business publishes an annual Restaurant Growth Index, the purpose of which is to list:
the best and worst places to open a restaurant in the United States
In the usual restaurant who decides on product specification and selects purveyors?
the manger, in consultation with the chef
One of the most popular reasons why thousands of people seek to go into the restaurant industry is
the possible financial rewards
When an organizational chart is said to be "flat", what does this mean?
they have fewer levels
Which approach to task and job analysis must be used in new restaurants because there are no existing employees to analyze?
top-down
Theme restaurants, such as Hard Rock Café and Planet Hollywood should be located near __________.
tourist attractions
Much of labor turnover occurs within the first few __________ of employment.
weeks
Orientation
begins before the first day and ends in the first week, it usually is focused on paperwork, organization, and introductions to the company
How to reduce waste?
buy in bulk but have orders delivered in multiple shipments to avoid spoilage