How Improved Data Management Practices Can Limit Operational Risks and Improve Forecasting

Comprehensive Data Management Practices

Front of house, back of house, point of sale, customer loyalty programs, and more all provide a wealth of data. Franchise operators often feel overwhelmed by the amount of data, though. Disconnected data leaves the burden of connecting the dots to the franchisee. Even then, it’s difficult to get a complete picture of operations and the best course of action.

With business intelligence technology that connects the dots for you and surfaces the right insights, operators are empowered in their decision-making.

Here are a few examples:

Example 1: Mitigating risks posed by staffing challenges.

An unprecedented 920,000 foodservice employees resigned in November 2021 alone. Understaffing played a role in those resignation numbers as it meant dealing with frustrated customers who expect faster service.

With business intelligence, you can gain insight into the volume of demand. That way staffing schedules can accurately reflect the number of employees needed for peak and non-peak hours, seasonal changes in demand volume, and other external factors like foot traffic from surrounding events.

Data accessibility empowers franchisees to make decisions that positively impact profitability. It’s especially critical in this age of labor shortages.

Example 2: Achieving accuracy in forecasting and planning.

Any franchisee knows that under or over-supplying inventory in a quick-service restaurant wreaks havoc on profit margin. Under-forecasting results in being unprepared and potentially putting a wrinkle in customer relationships or losing a sale when their favorite menu item is out-of-stock.

On the other hand, over-forecasting results in food waste, disposal costs, and unnecessary expenses to the business. Getting it just right is an ongoing challenge that comes down to forecasting and planning with accuracy. That’s difficult to do when you’re working across multiple systems. Business intelligence steps in to provide a holistic view and better manage inventory across all locations.

Data accessibility empowers franchisees to make decisions that positively impact profitability. It’s especially critical in this age of labor shortages.

Learn more about how business process automation technology can provide franchisees with the ability to navigate market dynamics in our latest eBook, 3 Ways Franchisees Can Use Technology to Improve Operational Flexibility & Profitability.