Restaurant Staffing

How do you figure out appropriate restaurant staffing?

Compare Restaurant Staffing Levels

Let’s start by looking at what comparisons are publicly available.

Buffalo Wild Wings (symbol: BWLD) is a publicly-traded stock. From their Investor Relations site I can see in the quarter ending September 23, 2012 they had $247M in revenue and Labor Costs of $69M. This means 28% of revenue went to staffing costs. $228M of the revenue was food sales so this gets closer to 30%.

Perhaps we want to widen our dataset in case Buffalo Wild Wings is an anomaly. Fortunately, Chipotle is also public. In their SEC filing we see $700M in revenue in the quarter ending September 30, 2012 with a labor cost of $162M. This gets us to 23% of revenue goes to labor costs.

What’s Next?

The next piece I might look at for restaurant staffing is ratios. These metrics would include how many chefs and line cooks it takes to support a given amount of tables during peak hours. How many bussers and host staff are needed? How many bartenders?

I’ll be looking at these issues more in depth in future posts… stay tuned!

Looking for something more specific on restaurant staffing? Tip sharing? Overtime? Scheduling systems? Average workday for the industry? Leave a comment below and I’ll try to research it for you.

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