22 Mar Financial Dashboards for Restaurant and Franchise Businesses
Restaurants have access to vast amounts of data from a multitude of channels. The key is homing in on the data that matter most and turning it into actionable insights that will help you drive successful business outcomes. In this guide, we discuss using financial dashboards for restaurant and franchise businesses.
The constantly evolving COVID-19 situation, increasing customer expectations, slimming margins, and stalling indoor dining re-openings, among other pressures, are causing restaurant finance leaders to look for smarter financial management techniques.
These techniques are about gleaning insights from vast amounts of ever-changing data and then enabling action. They provide the ability to set goals aligned with a greater objective – whether it’s customer satisfaction, employee retention, food quality, marketing impact, or others – and track progress towards them.
Tracking your business to metrics on a day-to-day basis has never been more important. Having the right measurable data at your fingertips will enable you to chart a course forward.
Managing performance with your strategic goals
The profitability and long-term success of your restaurant business depends on grasping financial and operational criteria, and acting decisively. And in today’s environment, selecting the appropriate strategic investments and having the ability to track their performance at various levels are vital to a speedy recovery.
While keeping a pulse on your business day-to-day by, for example, tracking cash flow, prime costs, and revenue can help inform your strategy, you may want to broaden your scope and look at other financial and non-financial data to show a rich picture of business performance. Besides tracking the KPIs that help you measure performance today, here are just a few ways KPIs can help you look long-term and strategize on focus areas:
- Investigate why certain store locations outperform others and analyze the root cause of problems at underperformers, so you can share the learnings across all locations.
- Experiment with various digital ordering methods to inform investment decisions regarding your restaurant’s digital ordering platform.
- Measure customer satisfaction and the impact of loyalty programs on long-term value.
KPIs and metrics can span countless categories, not all of which are financial – but they can help you identify revenue, spend, cash flow, and others. Restaurants get their best results by measuring across multiple dimensions within a unified dashboard that presents both financial and statistical data. With a single source of truth, restaurants can continuously adapt and improve.