Expert Advice on Hospitality Topics

ARE YOU REALLY READY TO OWN AND OPERATETO OWN AND OPERATE A BAR

Posted by Nick Kaoukis on Mon, Apr, 11, 2011 @ 14:04 PM

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e-mail: "bjbarhop@aol.com, web page  
www.BobTheBarGuy.com

“There Is a World of Difference Between ‘Running’ a Bar and ‘Managing’ a Bar.”

Part 1:

Many people get into the bar business thinking they are going to be great owners/ managers and will naturally be good at this line of work.

Unfortunately, in many cases, their egos will prevent this from happening. If only these people would just set their egos aside
and say, “I’m obviously a very talented individual. I could become good at owning or managing a bar, but I have to be willing to learn. I have to be willing to open my mind to the possibility that I’m wrong and to listen to other people—especially the qualified professionals.” To paraphrase from an article written by professional poker player Annie Duke, in USA Today: Commenting on why CEO’s make lousy poker players, she says, “Their egos get in the way.”

Well, most owners/managers of bars make lousy operators (and poker players) for the same reason. This is a tough realization for someone to accept, particularly someone who has risen to the top in another profession. “Don’t tell me what to do! After all, I’ve been in business for 27 years!” or, “Running a bar is not rocket science—anyone can do it!” or, “Hey, I own this joint! Who are you?!”

Well, I’m here to tell you that there is a world of difference between “running a bar” and “managing a bar.” Anyone can own or run a bar, but very few can correctly operate and manage one. Don’t kid yourself—you don’t just walk in, take over, and start
telling staff what to do. You have to know what you’re talking about. Just because you may have been successful in another business does not mean you will be successful in the bar business.

If you think owning or managing a bar is easy, continue reading. Bar management skills are learned, not inherited. I think you’ll eventually come to the profound realization that you really have to know what you’re doing. Making too many mistakes because you don’t know what you’re doing could possibly put you in jail, out of a job, and out of a lot of money.

Before anyone decides to buy a bar or take a step up to management, I suggest you put your ego aside and read the following pages about what it takes to be successful in the bar business. Trust me—this is a difficult business, and it’s not for everyone. 

MANAGEMENT
Bar manager is a skill position that requires years of careful
observation, studying, experience, and know-how; yet, its importance has long been underestimated by owners in the hospitality industry. Even hospitality management schools place little importance on the subject of bar management, often making it an elective rather than a requirement for students graduating with what is considered food and beverage proficiency. Their definition of proficiency typically centers on knowledge of wine—which is nice, but has little to do with a nightclub or bar.
    

Before a head bartender or an entry-level manager accepts the job of bar manager, they should have a complete understanding of what the job entails. And, yes, bar managers should be former
bartenders. An in-depth knowledge of professional bartending is the starting point from which one learns bar management. It’s hard to be a truly effective bar manager unless you have a complete understanding of how to tend bar. “The gift of gab,
the casualness, and the caring, friendly service a bar manager gives to his customers comes from a bartending background,” says Bob Schwenker, former General Manager of Hooligan’s Pub in Miami, Florida. “A good bar manager has the ability to
make people feel comfortable. You shouldn’t make
the progression to bar manager without being a
bartender first.”

Topics: bar business, Bar Management, hospitality jobs

Establishing Effective Purchasing & Receiving Strategies

Posted by Nick Kaoukis on Mon, Feb, 14, 2011 @ 10:02 AM
By Elizabeth Godsmark
Atlantic Publishing

Part 7 of 7: Reduce Purchase Costs

reduce purchase costsThe purchasing department is the linchpin when it comes to reducing costs. It is much easier to control costs in this area than anywhere else in the operation. The bottom line is that astute buying techniques offer the best opportunity for a business to increase its overall profits.

  • Monitor market trends. An upsurge in popularity of a certain beverage can lead to increased competition amongst vendors. Play them off against each other occasionally. Negotiate. You have nothing to lose!
  • Welcome new ideas. Purchasers should always be on the lookout for new ideas and new ways of reducing costs. Don't close your door to sales rep­resentatives. They may genuinely have something of interest to your establishment. Consider their promotional discounts.
  • "Opportunity buys." Don't rule them out. Take a look at items that may soon be discontinued or overstocked merchandise where a supplier has simply miscalculated demand. You could make big savings.
  • Cooperative purchasing. Consider "pool" purchasing with other enterprises. It can give you added purchasing power.
  • Change purchase unit size. Buy drinks in larger volumes. This can trim costs considerably, particu­larly in the case of liquor purchases where sell-by dates tend to be more generous.
  • Place multiple orders. Consider buying your full range of drinks from one wholesaler. It may offer you amazing reductions, especially if it's keen to do business with you on a repeat basis.

Topics: liquor inventory, inventory managers, Bar inventory, liquor purchasing, managing liquor inventory cost, bar business, Bar Management, Liquor Inventory savings, inventory control, managing liquor costs

Establishing Effective Purchasing & Receiving Strategies

Posted by Nick Kaoukis on Mon, Jan, 24, 2011 @ 15:01 PM
By Elizabeth Godsmark
Atlantic Publishing

Part 2 of 7: Buy Quality

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The quality of the merchandise purchased sets the tone and standards for the whole establishment. Don't leave quality to chance. Mistakes can be expensive. Word spreads fast and you want a good reputation!

  • Be up-front about quality. Make a conscious decision to purchase "quality" merchandise at the stage when the goals of the business are being established.
  • The products you are buying must be suitable for their intended use. Studies have proven that the more suitable a product, the higher its quality. Make sure that the quality of any product measures up to the needs of your establishment.
  • Quality must apply throughout the establish­ment. When it comes to quality, don't concentrate on alcohol beverages alone. Of course the types of wines, spirits, beers and liqueurs you sell are all crucially important; but don't forget the non­alcoholic beverages, such as quality coffee and soft drinks. Consumers in this sector of the market are a discerning and vociferous bunch! Something as simple as a poor cup of coffee can drive a customer away, never to return.
  • Don't compromise on quality. Don't be distracted by poor-quality "offers" or bulk buys that you think, on the spur of the moment, might just "do." They won't. You'll end up regretting the purchase.
  • Evaluate each product's quality in relation to cost. The most expensive product is not necessarily the best product for your enterprise. When making purchasing decisions, there is no need to sacrifice quality.
  • Look at quality from a clientele perspective. What level of quality do your guests expect? Meet their requirements.
  • Review your vendors for quality. Do you suffer from wastage due to poor quality products? Assess the quality level of potential vendors by first asking for samples. Document quality specifications to vendors. It is important to avoid misunderstand­ings.

 

Topics: liquor inventory, inventory managers, Bar inventory, bar inventory levels, liquor purchasing, bar business, Bar Management, Bar products, inventory control, managing liquor costs