The recession has pushed restaurant management into survival mode, and now it’s time to think about strategies to effectively emerge from the slowest period while still optimizing resources. By thinking strategically and investing in improvements to workforce management, restaurant executives can strengthen their current finances and be better prepared to profitably handle the enhanced demand once the economy improves. To put it briefly, restaurants have a choice right now: Either limp out of a recession or sprint out of it.

By investing in workforce management, restaurants can address five areas that will have a direct impact on their success:

Improving hiring practices. Your staff is the face of your business, so it is critical to hire the right people. Sourcing may or may not be a challenge, depending on the state of the economy, but hiring the best fit is always a challenge. Improving efficiencies in the selection and hiring process and reducing turnover costs and improving retention also are key considerations. While the economy is down now, restaurant industry employment is projected to grow to 15.1 million jobs by 2018, and over the next 10 years the labor force will not keep pace with job growth. By having workforce management tools that enable you quickly to source, qualify and identify the candidates who are most likely to succeed, you will be able to select, hire and retain employees that will help expand your base of repeat customers.

Focusing on employee satisfaction. One of the keys to accommodating employee satisfaction is considering employee preferences and balancing them with business needs. In addition to feeling acknowledged and respected, employees appreciate it when business rules are fairly applied. An automated workforce management solution can apply consistent payroll policies across an entire employee population. Higher employee satisfaction equates to reduced turnover and avoidance of the costs associated with recruiting, interviewing, training, relocation, and new workers’ inefficiencies. Finally, satisfied employees provide better customer service, enhancing repeat business and the bottom line.

Eliminating unnecessary labor costs. An automated forecasting solution can match labor to demand, reducing overscheduling. The automated workforce management solution also can significantly reduce the time managers spend on scheduling in a manual system, enabling them to spend more time on the floor where they can evaluate performance and develop ideas for possible improvements as well as mentor staff.

Helping ensure compliance. Federal, state and local regulations, court cases and rulings all have contributed to making compliance a complicated issue, particularly for the restaurant industry. Its service sector model doesn’t fit the mold of the factory or manufacturing industry that served as the backdrop for most labor legislation. When restaurants are busy, cooks and servers do not take breaks and often put in more than eight hours; some start working before they clock in. Managers pitch in and perform duties done by hourly workers. Young employees under age 17 stay later than they should. Server and bartender tips are shared with unqualified employees. While a busy restaurant can bode well for a business, some practices also can get operators into legal trouble. An automated workforce management solution can be used to keep data accurate, up-to-date and in compliance.

Improving customer service. Inefficient scheduling practices impact the bottom line, not just in the extra time they require from managers but also in the mismatch they perpetuate between business needs and actual labor costs. By placing the right people in the right jobs and making sure they are staffed appropriately, restaurants can provide a high level of service, which will encourage repeat customers and favorable word-of-mouth. Enterprise-level automated forecasting and scheduling software requires investment, but these dollars are quickly recouped through the highly improved use of labor dollars. Since labor dollars account for such a large percentage of a typical restaurant’s budget, the savings add up fast. That money can be invested elsewhere in the business. Investing in workforce management software such as automated forecasting and scheduling software invariably results in a compelling return on investment.

Thinking differently about your workforce. Given the current downturn, it is easy to resist investing in enhanced workforce management solutions. Indeed, it takes time and money, and you might say, “We’ve always managed our workforce this way.” But the truth is it has never been more important to think strategically about your workforce. When you understand the impact of your staffing decisions, you can get a handle on what is working and what is not, ultimately leading to enhanced productivity, reduced waste and a stronger bottom line. There are just too many moving parts in today’s restaurant to handle without a sophisticated workforce management solution. When you consider that wages and benefits represent a median of 33 percent of table-service and 30 percent of quick-service restaurant sales, according to the National Restaurant Association, it just makes good business sense to leverage the full value of your workforce.

Kara Barker is director of Retail and Hospitality Vertical Marketing for Kronos Inc. E-mail her at Kara.barker@kronos.com, or visit online at www.kronos.com/diningimprovements4 .