Don’t Eliminate the Middle Man-Add One!
Today, there are situations when we actually add a “middle
person” instead of eliminating one for increased service
efficiency. If it’s cost-effective and demand is high, then
proper market positioning will make it a worthwhile endeavor.
For example, my sister just informed me of a food delivery
service in New Mexico that will let you choose one out of many
different food outlets (all types of ethnic/fast food)- and then
guarantees delivery within a specific time period. This not only
gives the customer assurance of reliability, but more choices
for dining take –out style.
In other areas of industry, the same idea holds true. There are
electrical suppliers that no longer manufacture the product of
electricity, but now are involved only in the delivery process
of electricity to the customers. Because of market fluctuations,
the new delivery supplier will utilize many other different
energy suppliers to get the product of electricity to the
customer efficiently and at the best market price. Again, adding
the middle man seems to benefit all around.
In relating this theory to restaurants, it is the food runner
that has become popular, especially in the larger dining
establishments that rarely existed years ago. Food runners are
employees who only work the rush hours of the dining room- only
running food back and forth from the kitchen to the tables with
light dining room table interaction (condiments, fresh pepper
etc.). It is a 2-4 hr. shift, depending on how long the dining
rush lasts.
Before large restaurants existed, the waiter would complete the
process of order taking and delivering of the food. Today, the
food runner can be implemented (additional middle man) relieving
the waiter of this time consuming and sometimes painstaking
process. The waiter must share a percentage of his tip with the
runner, but in return his job is eased because the food is
delivered for him- allowing extra time to work more tables and
up sell to customers thereby increasing sales. Though, it does
remain the waiter’s responsibility to check the table for
additional diner needs-- either while the food is being placed
by the runner or shortly thereafter. The tip-out to the runner
is usually 10-15% depending on the service system, but well
worth it if waiter sales can increase by 20-30 %.
The main point is the food runner addition improves delivery
service efficiency while being cost-effective (if the sales
increase outweighs the payroll increase). Properly integrating
employees into the dining room with exact middle man connections
always makes for smooth service flow. It’s not a matter of just
blindly throwing extra employees at a service problem, but
organizing the best system possible with the minimal amount of
labor.
Adding the middle man can sometimes streamline operations in
such way that it becomes irresistible and impossible to ignore.
Always, the demand arises when delivery routes of a service
system become overloaded.
About Author :
>Richard Saporito, President, Topserve Inc.
www.topserveconsulting.com info@topserveconsulting.com
888-276-4808