Imagine this: A dinner during peak season, and your restaurant is in full swing. Your kitchen is running rampant, orders are coming in, and customers are happy. But nobody knows what is going on in your pantry behind the scenes; your stock has gotten low; and all that keeps you guessing is how many times you can use it. A restaurant inventory management software can save you all the trouble.
What do you do? You conduct a stocktake.Stocktaking, or inventory counting, refers to the process of tallying and updating the records of what goods or products a business has in stock. It is fundamentally an indispensable practice for any business dealing with tangible goods but takes on specific relevance in the restaurant and hospitality industry.
In this blog post, we delve deep into what a stocktake is, why you may need it, and the process in which the stocktaking process is done and how to conduct a stocktake properly. After reading this, by the end of it, you will understand the process and how modern solutions such as StockTake Online can change the way you manage your restaurant's inventory.
Table of Contents
- What is Stocktake?
- Why do you need to Stocktake?
- The Process of Stocktaking
- Types of Stocktaking Process
- Problems in Stocktaking
- How to Improve Stocktaking Efficiency
- What is StockTake Online?
- Conclusion
On the most basic aspect, stocktake is essentially an exercise of tallying your stock. It is really much like a headcount for your inventory - it checks on what you have, how much is available, and if it matches the records in your system. Maybe one could say that stocktake is how your shelves, refrigerators, and storage rooms would not lie to you.
If you are running a restaurant, bar, or café, it is easily lost amidst the daily operations. Short counts? Spoiled inventory? All of these issues actually come under the zone of poor stock control. You can realise and track shortages like missing stock and incorrect orders by frequent stocktakes.
Is it as simple as that? Well, yes – and no.
Why Do You Need To Stocktake?
You are probably thinking, "Why bother with stocktaking?" Can you not just order more when things run out? Of course you can with the right restaurant inventory management software. Just imagine how chaotic it will be to constantly run out of key ingredients. Worse still, you could run out of perishable items and end up wasting food, money, and even precious time.
Benefits of stocktaking that make a difference:
Stockout Prevention: Ever been caught off guard with running out of a key ingredient mid-service? Stockouts mean unhappy customers and lost business.
Overstocking Prevention: But overstocking wastes away all the stuff, especially the perishable items. It is a little bit like overstocking your fridge at home-you end up just throwing half of it by the end of the week.
A right stock means that your money lies in your inventory: the most detailed stocktaking will bring out physical inventory to tally with financial records. Restaurant stock control systems can make all the difference in your financial statements and help you better manage cash flows.
Cutting on Shrinkage: Shrinkage from theft or spoilage, or from poor management can be a big hole in your profits. Your stocktaking will help you identify where shrinkage occurs, so you know what to correct.
Optimising Re-ordering: If you have an accurate count of your stock level, you re-order the correct products at the right time, and you will never over-order or under-order.
The Process of Stocktaking
Now, how does stocktake work? As mentioned earlier, the process may change depending on your size of restaurant or establishment, but the general steps follow a similar order. But once you understand the importance of stocktaking you know you are heading in the right direction.
Prepare for Stocktake: Prior to counting, make sure that everything in stock is neat and classified. Clustering them by type, such as fresh produce, canned goods, and beverages will reduce the chaos of counting. Assign the parts also to the different members of the team to shorten the time span of counting.
Count Physical Stock: The labour-intensive part is to actually walk around the shelves and freezers and pantries, literally counting how many of each sits in there. Businesses do either by weight or volume and some even count items individually.
Record the Data: Record what you counted on a stocktake software or digital platform. It is here where accuracy really matters because mistakes made here will throw your whole stock control system off.
Compare with System Records: After you have counted your physical stock, you can now compare these to the records existing in your POS or restaurant inventory management system. You will identify where the differences are.
Investigate Discrepancies: Any variance found between physical stock and the record in the system must be investigated. Have you lost something? Have you been robbed? Has your stock gone bad? These problems solved today will not repeat tomorrow.
Types of Stocktaking Process
Do you know that there are actually several methods by which you can undertake a stocktake? It cannot be a one-size-fits-all situation, and you have to adapt it according to the needs of the restaurant. There are four most common stocktake methods.
1. Periodic Stocktaking
That is the traditional method in which the stock is counted at regular intervals, maybe monthly or quarterly. It is time-consuming, but then again, you get a snapshot of your inventory at specific points.
2. Perpetual Stocktaking
Under this more contemporary model, stock levels are recorded in real time whenever items sell or arrive. This means that it is mostly an automated process and gives with current details about your stock levels without requiring you to count them on a periodical basis.
3. Cycle Counting
Stocktaking is not conducted entirely in one instance under the cycle counting method. Cycle counting in stocktake splits your stocktaking into smaller amounts. You may well count a different category each week, thereby ensuring everything in your book is counted over time.
4. Spot Checks
Sudden checks in your inventory can save you from more trouble than you can imagine. They can help you discover if any item is going bad or if something is not being utilised properly. It can be completely unscheduled and done for any specific area.
Problems in Stocktaking
Stocktaking is also not a stress-free process. Restaurants, for example, face numerous challenges in stock counting. Restaurant stock control system assures that they do not suffer.
Time-Consuming: Stocktakes may take hours or even days to occur. For restaurants, which have customers daily, time to conduct stocktakes is a logistical nightmare.
Human Error: Mistakes will occur. Errors can be in the countings or in the entry of data. Human error will definitely be there in the discrepancies of your stock records.
Perishable Goods: Restaurants would not have most of the items seen in retail stores, items with reasonably short shelf lives. They do require more care when dealing with them during stocktaking.
Staff Resistance: Face it – stocktaking is not everyone's cup of coffee. And even the most reluctant employees can pose a challenge for stocktaking consistency.
How to Improve Stocktaking Efficiency
Stocktaking does not have to be an ordeal. It can be streamlined into a process that saves hours with proper effort and gives relevant results.
Stock management software can save hundreds of hours on stocktaking. Applications like StockTake Online can update stock levels in real time, while minimising manual counting.
Train Staff: The fewer mistakes the staff make, the easier it is to manage stock. Your staff needs to know what counting and recording of stock actually entails.
Scheduling Regular Stocktakes: You should not wait until your stock levels get so wildly out of control that you feel overwhelmed by the task of carrying out a correct stocktake. Frequency can help prevent or at least control discrepancies and ensure that it's not an arduous task.
With a barcode system, doing stocktakes becomes as easy as scanning an item, which reduces the chances of human error and makes count time faster.
What is StockTake Online?
StockTake Online can change your life, now that you know why stocktaking is so vital.
STO is a complete inventory management software tailored just for hospitality. Whether you own a restaurant, have a bar, or even a nightclub chain, StockTake Online simplifies the entire stocktaking process, and it will make it faster, more accurate, and a headache of a task that it originally was. It is like having that superpower for your inventory-giving you total control right at your fingertips.
Features
Stock Control System: Know in real time how you are faring with regards to your stocks. This will save you from stockout and overstock at the same time.
Product Procurement: Order easier and aligned through reordering and vendor management
Recipe Management: Understand exactly how much of an ingredient you are using so that the recipe can be priced right, saving waste and profits
Order & Delivery Management: Manage your incoming and outgoing orders to ensure seamless workflow and timely operations
Supplier Administration: Track how your suppliers are doing, including product quality, so you can make better buying decisions
Reporting & Analysis: Access real-time data relating to your KPIs so you can make decisions to be even better.
Multi-location Transfers: Transfer stock automatically between multiple locations of restaurants to ensure that you have optimum stock levels.
Enterprise Functionality: Compare and view data from multi-outlet stores for greater control over your business.
Why StockTake Online?
StockTake Online is more than just any ordinary software-it is a complete solution for the hospitality industry. By automatically taking stock and providing instant visibility into your inventory, StockTake Online reduces waste in your inventory, gets you to order the right volumes, and increases profits. Moreover, with its feature of multi-location support and detailed reporting, it is ideal for all kinds of businesses, small café to large restaurant chain.
Conclusion
And if you are dealing in hospitality, then stocktake is not just a boring task; it is your lifeline. Poor inventory management might leave you out of stock, over-ordering, or even lose that all-important profit. In this world of haste and worry, stocktake becomes a breeze with the help of tools such as StockTake Online Book Now Free Live Demo! Count manually or take advantage of automated solutions-there should always be stocktake as part of your operations. Your bottom line will thank you!
