If you watch a restaurant before they open you will see a slew of delivery trucks and repair people needing the attention of the managers and chefs. Each of which include a paper invoice. Invoice management is a big topic in the restaurant business today. Operators want to get rid of the paper and automate the bill paying process. What should you be thinking about before you automate this process? What best practices should you put into place?
Before you start the process of invoice management you should identify the software components that need this information to help you run your business. You may just need the invoices to flow into your accounting software or you may need an inventory software that manages your cost of good. Some restaurants have an inventory management software for food that’s separate from liquor, beer and wine.
So, step one, create a diagram for the flow of data. You may find that your diagram is large and complex. If this is the case, it may be time to look at a total solution that will streamline your technology.
Once you understand how the automation will impart your business and where the data needs to flow, then you need to identify how you will be using the data. Different ways to use the data include:
- PO to Bid Price Management
- Price updates for Inventory Costing (FIFO, Last Price, Average Price)
- Price updates for Inventory Costing (FIFO, Last Price, Average Price)
- Accounting Integration
- P & L Management
In the coming blogs I will focus on how to use the invoice data to streamline your operations and Increase Profits.
