the restaurant from concept to operation fifth edition John R Walker, DBA, CHA, FMP McKibbon Professor of Hotel and Restaurant Management University of South Florida JOHN WILEY & SONS, INC This book is printed on acid-free paper Copyright  2008 by John Wiley & Sons, Inc All rights reserved Published by John Wiley & Sons, Inc., Hoboken, New Jersey Published simultaneously in Canada No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, 978-750-8400, fax 978-646-8600, or on the web at www.copyright.com Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, 201-748-6011, fax 201-748-6008, or online at http://www.wiley.com/go/permissions Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose No warranty may be created or extended by sales representatives or written sales materials The advice and strategies contained herein may not be suitable for your situation You should consult with a professional where appropriate Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages For general information on our other products and services, or technical support, please contact our Customer Care Department within the United States at 800-762-2974, outside the United States at 317-572-3993 or fax 317-572-4002 Wiley also publishes its books in a variety of electronic formats Some content that appears in print may not be available in electronic books For more information about Wiley products, visit our Web site at http://www.wiley.com Library of Congress Cataloging-in-Publication Data: Walker, John R., 1944The restaurant : from concept to operation / John R Walker.—5th ed p cm Includes index ISBN 978-0-471-74057-5 (cloth) Restaurant management I Title TX911.3.M27W352 2007 647.95068—dc22 2007001279 Printed in the United States of America 10 To Donald Lundberg, Ph.D., my mentor, colleague, and friend Don was admired and respected in the halls of academia as a scholar and pioneer of hospitality and tourism education And to you, the professors, students, and future restaurant owners, wishing you success and happiness contents Preface vii Acknowledgments part one Chapter Chapter Chapter part two Chapter Chapter Chapter part three Chapter Chapter Chapter part four Chapter 10 Chapter 11 Chapter 12 Chapter 13 Chapter 14 Chapter 15 Chapter 16 ix restaurants, owners, locations, and concepts Introduction Kinds and Characteristics of Restaurants and Their Owners Concept, Location, and Design 53 18 business plans, financing, and legal and tax matters 103 Restaurant Business and Marketing Plans Financing and Leasing 136 Legal and Tax Matters 175 105 menu, kitchens and purchasing 205 The Menu 207 Planning and Equipping the Kitchen 237 Food Purchasing 263 restaurant operations and management 281 Food Production and Sanitation 283 Service and Guest Relations 314 Bar and Beverages 334 Technology in the Restaurant Industry 360 Restaurant Operations, Budgeting, and Control Organization, Recruiting, and Staffing 409 Employee Training and Development 444 Glossary Index 467 477 383 preface Opening a restaurant is a distinct challenge It is also a thrill that gives one the opportunity for tremendous creative expression Developing the menu, creating a new dish, designing the decor, attending to your level of service or establishing an ambiance—these factors all contribute to exceeding the expectations of your guests However, there are numerous hurdles to overcome before opening day The good news is that with careful planning, including the writing of a solid business plan, coupled with perseverance and a touch of BAM, the chances of success are improved The opportunity to be the boss and call the shots is appealing To be responsible for the buzz created and orchestrated is a rush Maybe the concept will have legs If successful, a restaurant operator might become a small-town, or even large-town, dignitary The twenty-first century finds the restaurant business enjoying record sales but also rising labor and other costs The conditions for restaurant success may change quickly, leaving financial scars on some operators There are several new styles of restaurants, and delivery of their products and services has changed as well Foods formerly considered exotic are now routinely accepted and expected Taste titillation comes by offering interesting foods and flavor combinations that challenge chefs and owners Helping to meet the continuing restaurant challenges is the oncoming wave of students who have studied the culinary arts and restaurant management and who view the restaurant business as a career of choice A restaurant can be fun to operate, and the profit margins can be substantial It is interesting to learn that at least one billionaire, Tom Monaghan, made his fortune in the pizza business, and that dozens of millionaires have acquired fortunes in restaurants Some of their stories are told in this book The chapters of The Restaurant, Fifth Edition, are organized into four parts: Part Restaurants, Owners, Locations, and Concepts Part Business Plans, and Financing, Legal, and Tax Matters Part Menu, Kitchens, and Purchasing Part Restaurant Operations and Management The chapters within the parts take the reader step-by-step through the complicated process of creating and opening a restaurant For The Restaurant, Fifth Edition, there is an increased focus toward the independent restaurateur; greater emphasis has been placed on restaurant business plans Each chapter has been revised, updated, and enhanced with numerous industry examples, sidebars offering advice, charts, tables, photographs, and menus All improve the contents and look of the book A new Chapter 10 on food production has been added to this edition, and the important topic of sanitation has been viii ■ preface brought back Another feature new to this edition is the introduction of a profile of a restaurant at the beginning of each part of the text An Instructor’s Manual (ISBN: 978-0-470-13605-8) and set of PowerPoint Slides to accompany this textbook are available to qualified adopters from the publisher, and are also available for download at www.wiley.com/college John R Walker, DBA, CHA, FMP McKibbon Professor of Hotel and Restaurant Management University of South Florida acknowledgments For their insightful suggestions on this and previous editions of the text, I thank Ken Rubin, CPA; Dr Cora Gatchalian, University of the Philippines; Volker Schmitz of California Caf´e Restaurants; Dr Jay Schrock of the University of South Florida; Dr Ken Crocker of Bowling Green State University; Karl Engstrom of Mesa College, San Diego; Brad Peters of Mesa College, San Diego; Dr Andy Feinstein of University of Nevada, Las Vegas; Dr Karl Titz, University of Houston; Anthony Battaglia, Glendale Community College; Dr Paul G VanLandingham, Johnson and Wales University; Dan Beard, Orange Coast College; Marco Adornetto, Muskingum Area Technical College; Thomas Rosenberger, Community College of Southern Nevada; C Gus Katsigris, El Centro College; Karl V Bins of the University of Maryland—Eastern Shore; Marcel R Escoffier of Florida International University; H G Parsa of The Ohio State University; and Chef John Bandman of The Art Institute of New York Thanks to the National Restaurant Association and to the restaurants that allowed me to include their menus or photos, and to these restaurant companies for their provision of resource information: Burton M Sack, Past President of the National Restaurant Association Charlie Trotter John Horn Red Lobster Restaurants Gary Harkness TGI Friday Stephen Ananicz The Lettuce Entertain You Group The Hard Rock Caf´es David Cohn and the Cohn Restaurant Group Dick Rivera Sean Murphy, The Beach Bistro Holly Carvalho Jim Lynde, Senior Vice President People, Red Lobster The Garcia Family John C Cini, President and CEO of Cini Little U.S Bank The Childs Restaurant Group Danny Meyer Culinary Software Services Outback Steakhouse, Inc Union Square Hospitality NCR ALOHA Technologies SYSCO Food Service index Celebrities, restaurant ownership, 61 Centralization, 50 Centralized home delivery restaurants, 50–51 Chain restaurants, 19, 20 Champagne, 345 serving, 348 storage, 346 Changing menu, 246 Chapeau, Dominque, 13 Character determination, 163 projection, 55 Charity affairs, 133 Charlie Trotter’s interior, 44f menu selection, 226–227 table setting, 324f Chart House, opening, 130–131 Chattel mortgages, collateral, 163 ChefEx, usage, 361 Chef-owned restaurants, 45–49 Chef-owners, tradition, 45 Chefs, 293 purchases, problems, 357 ChefTec example, 362f–364f inventory, 366f software solutions, 365 usage, 361 ChefTec Plus software solutions, 365 usage, 361 Chemical contaminants, 304–305 Chemical sanitation, 303 Chez Panisse, 47 menu, 231, 232f Child, Julia, 287 Child care leave, usage, 195 Child’s Restaurants, size, 67 Chili’s concept, ambiguity, 58 franchise costs, 21 ownership, 28 Chili’s Grill and Bar, mission statement, 82 Chinese restaurants, 40–41 Chipotle Mexican Grill, 30 Cholesterol, consideration, 215 Chuck E Cheese’s Pizza Parlors, focus, 60 Cini, John C., 238 kitchen equipment trends, 239, 241 City Restaurant, addition, 48 City Zen Restaurant, 12f interior, 74f Civil Rights Act of 1964, 197–198 Title VII, violations, 197 Civil rights laws, 429–433 Cleanliness program, setup, 306f Clientele, sale approach, 321 Clinkerdagger, mission statement, 82 Closing inventory, 213 Clostridium perfringens, 298 infection, 299 Coco’s location, sharing, 72 name, impact, 56 Coffee selection, 278 Coffee shops menu listings, 225 provision, 77 COGS See Cost-of-goods-sold Cohn, David/Leslie, 179f Colicchio, Tom, 64 Collateral forms, 163 usage, 162–163 Color, importance, 97 Columbia (restaurant) flamenco dancers, usage, 58f temperature-controlled wine cellar, 340f Co-makers, collateral, 163 Comfort level, 210 Common area maintenance (CAM), 95 costs, 166 Comparison benefit matrix, 117f execution, 117 Compensating balance, 152 Competition analysis, 113, 117 price, 125 Competitive pricing, 126 ■ 479 Complaints handling, strategies, 328–330 responses, 326 Complementary restaurants, adjacency (concept), 119 Compressors, location, 255 Compris WinPOS POS application, flexibility, 377f usage, ease, 377 Concept adaptation, 68–69 aspects, impact, 60 change/modification, 69 clarity, 55–57 components, 54–55 copying/improvement, 69–70 defining, 59–61 description, 107 development, 68–69 planning decisions, relationship, 80–82 failure, 71 Internet exercise, 101 location, relationship, 83–84 matching See Location mistakes, education, 54 review questions, 100 sequence, 72–74 success See Restaurants support, population (necessity), 90 Concept restaurant, term, 58 Condemnation clause, 166 Consistency, ensuring, 209 Construction codes, 99 initiation, 72 loan, 138 Consumer Credit Protection Act, Title III, 196 Consumer Fraud and Identity Theft Complaint Data (FTC), 373 Contracts, bidding, 72 Contract services, legal aspects, 198 Contribution margin, 216 Contribution pricing, 126–127 Contribution theory, 208 480 ■ index Controllable expenses, 145 inclusion See Income statement usage, 396–397 Controls See Liquor Internet exercise, 408 problems, 353 review questions, 408 usage, 392–394 Convection ovens, 249 See also Forced-air convection ovens microwave ovens, combination, 249 Convection steam cooker, 249 Conventional oven, 252f Convertible bonds, sale, 162 Cook-chill technique, 248 Cooking line, importance, 293 Cooks, capability, 208, 209 Cooley, Tom, 440 Co-op buying, 273 Copycat, 69–70 Core product, function, 121 Corner Bakery Caf´e, growth, 61–62 Corporate forms, comparison, 183f Corporate ownership, disadvantage, 181 Corporation See S corporation; Thin corporation entity, 181–182 status, 181–184 Cost-based pricing, 125 Cost control, relationship See Productivity Cost-of-goods-sold (COGS), 404 Co-tenancy clause, usage, 167 Coupons, usage, 129 Cover letter, usage, 160 Cover sheet, 106 Credit, stockpiling, 159 Credit card transactions, problems, 357 Creditors, liability, 176 Crew member, thanking, 392f Crime/employee dishonesty insurance, 170 Critical control limits (CCLs), 306 Critical control points (CCPs), 306 hazard analysis, 305–307 CRM See Customer relationship management Croce, Ingrid, 177f Cross-contamination, 308 Cucina Paradiso, features, 44 Culinary heritage, 284–285 Culinary history See French culinary history French chefs, domination, 286–288 Curbside appeal, 384 Customer relationship management (CRM), usage, 379–380 Customers identification, 80 number, potential, 85 service, commandments, 322 victim, 355–357 D Daily flash report, 384 daily sales, inclusion, 385f Daniels-Carter, Valerie, 49 Data-entry pads, 378 D&B See Different and better Debt service, 148 Deep-fat fryers, 249, 250, 252 Deep-frying equipment, 250–252 illustration, 251f Degustation menus, 226–228 Delmonico’s, restaurant initiation, Demand, reduction (compensation), 131–132 Demand/supply, relationship, 124, 126 de’ Medici, Catherine, 285 Demographics importance, 85 information, obtaining, 87 Demographic segmentation, 116 Department of Alcoholic Beverage Commission (ABC), 335 Department of Labor (DOL) conditions, 194 cooperative task force, 426 time sheets, checking, 196 Depreciation, 148 See also Accelerated depreciation; Straight-line depreciation allowance, 188 cash flow, relationship, 188–189 Design See Menu criteria, 96–98 Internet exercise, 101 novelty/attractiveness See Restaurants review questions, 100 Design and Equipment for Restaurants and Foodservice (Katsigris/Thomas), 243 Desserts inclusion, 224 tray, presentation, 120f Dessert wines, serving, 348 Deuces See Two-tops Development See Employees; Restaurant development Different and better (D&B) concept, 54 Digital thermometers, investment, 307 Dining area, layout, 98 Dinner house, relationship/skills (complexity), 315 Dinner-house menus, 225 Dinner house/restaurant organization chart, sample, 419f Dinner menus, 226 Diplomacy, 329 Disability, definition, 431 Dish machines, repair, 259 Dive in Las Vegas, submarine illusion, 42–43 Dobson, Paul, 129 DOL See Department of Labor Downtown location, suburban location (contrast), 90–91 Drainage, importance, 88 Dram shop laws, 352 Drive-through service, streamlining, 405 Driving under the influence (DUI), 335 index Drucker, Peter, 108 business purpose, definition, 109 Dry-goods storeroom, f291 Dry storage, space dimensions, 244f Due diligence, 138 DUI See Driving under the influence E Earl of Sandwich, franchise costs, 21 Eating speed, correlation See Restaurants time, 76–79 Eat positive, encouragement, 215 Economic Development Administration (EDA), borrowing, 162 ECR See Electronic cash register EEO See Equal employment opportunity EEOC See Equal Employment Opportunity Commission E-learning (computer-based training), 368–369 Electric equipment, presence, 247f Electricity, gas (contrast), 82 Electronic cash register (ECR), usage, 378 Eleven Madison Park, opening, 64 Ells, Stephen, 30 Empathy, 329 Employee Benefit Liability Insurance, 170 Employees check-in stats, 372 development, 448–456 combination See Employee training Internet exercise, 466 review questions, 465–466 discharge, complications, 199 hours, overstatement, 357 information, 195–196 meals, treatment, 401 orientation, 420, 445–446 preparation, 411 productivity/labor costs See Restaurants profiles, 423–424 recruitment sources, 421 selection, 81 See also Hourly employees; Older career employees; Part-time employees sources, 428–429 status determination, documents (usage), 428 Employee training, 277, 446–456 See also Hourly employees aids, 450 details, 410 development, combination, 451 Internet exercises, 466 methods, 456–459 review questions, 465–466 theory, 454–456 Employers goals, employee goals (overlap), 423f registrations, applicability (determination), 185 Employers’ liability insurance, 170 Employment federal laws, 193–198 interview, example, 430f Employment Retirement Income Security Act (ERISA), 197 Endorsers, collateral, 163 Enlightened hospitality, 63 Entity See Business choice, 176 Entr´ees service, 386 usage, 224–225 Entrepreneur, changes, 93 Environmental permits, obtaining, 185 Equal Employment Opportunity Commission (EEOC), 414, 426 agreements, 430 Equal employment opportunity (EEO), 430–431 Equipment See Kitchen equipment ■ 481 capacity/layout, 208 combination, 239 installation, 209 job, de-skilling, 248 life expectancy See Restaurants matching See Menu; Production ordering, 72 planning, 72 schedules, 73 selection, 246–248 stars, 249–258 Equipment breakdown insurance, 170 ERISA See Employment Retirement Income Security Act Escherichia coli 0157:H7, 298 Escoffier, George Auguste, 287 Ethics, code, 83 Ethnic restaurants, 37–41 Evaporative coolers, 257–258 Evvia Estiatorio, decor, 44 Exhaust air extraction/intake requirements, 74 Expected payroll amounts, projection (form, usage), 400f Expenses See Controllable expenses; Pre-opening expenses items, knowledge, 150 sample, 141f External audit service, receiving, 353–354 F Fado, visit, 43 Fair market share, 112f Falls/injuries, compensation, 201 Family income, impact, 89 Family partnership, formation, 95 Family restaurants, 19, 30 layout See Freestanding family/casual restaurant layout Farmer’s Home Administration, bank loan guarantee, 162 Fast casual restaurants, 19, 29–30 482 ■ index Fast-in, fast-out (FIFO) system, 292 Fat content, concern, 214 Fazoli’s, self-description, 39 FDA See Food and Drug Administration Federal child labor laws, 196 Federal Equal Pay Act of 1963, 196 Federal income taxes, 176 Federal Insurance Contribution Act (FICA), 192–193 Federal Labor Standards Act (FLSA), 193–195 Federal taxes, 192–193 Federal Unemployment Tax Act (FUTA), 193 Federal wage/hour law, 193–195 Feninger, Susan, 48–49 Fermentation, 345 Fertel, Ruth, 137 FICA See Federal Insurance Contribution Act Fictitious business name, filing, 186 FIFO See Fast-in, fast-out Financial data, 107–108, 160 Financial questions, 139 Financial reporting, technology (usage), 368 Financial responsibility See Lease Financial statement See Personal financial statement Financing arrangement, 72 Internet exercise, 174 review questions, 173–174 usage, 137 Fine dining economics, 33 reference, 32 Fine dining restaurants, 19, 32–33 Fining process, 345 Fire insurance, 171 Fixed costs, 140 list, 148 sales volume, nonimpact, 143 Fixed menu, 246 Flash freezing, 264 Flavor, sensory impression, 216 Flay, Bobby, 209 Floor plan, 73 FLSA See Federal Labor Standards Act FMP See Foodservice Management Professional Food acidic reaction, 304 batch preparation, 308 contamination, toxic metals (impact), 304 costing, 365 handling, errors, 301–302 hazards, checklist, 306 ingredient, 121 practices, inclusion, 302 preparation, decisions, 81 presentation, 120f product specification, example, 267f–268f protection, 310 practices, 298 quality standards, 269 safety approaches, 309–310 mistakes, 307–308 sales cost, projected/actual See Projected/actual food/beverage sales cost sanitary handling, 305f sanitation Internet exercises, 313 review questions, 313 service, theft, 356–357 specifications, 266 standards, 266 wine combination, 348, 351 matching/pairing, 224–225 Food and Drug Administration (FDA), 277 Food-borne diseases, outbreaks, 304 Food-borne illness, 297–305 cases, 299–300 causes, 298–302 paradox, 301 Food contamination/spoilage insurance, 170 Food-cost percentage, 208, 212 calculation, 213–214 formula, 395 usage, 393–394 Food production, 293–295 Internet exercise, 313 review questions, 313 Food purchasing Internet exercise, 280 review questions, 279 specification, impact, 269–270 system, 266–272 operator, identification, 269 setup, 264 steps, 266f Foodservice design, legislation/public policy, 239 equipment, 74 electrical requirements, 73 elevations, 74 kitchens, dimensions, 243f operator, cultural background consideration, f299 plumbing requirements, 73 teams, 320 Foodservice Management Professional (FMP) Credential, 450 Foodservice Purchasing Managers Executive Study Group (NRA), 265–266 Forced-air convection ovens, 252 Formality, informality (contrast), 322–323 Formal product, function, 121 Format, copying, 69–70 Fortified wines, 346 Forum of the Twelve Caesars, 41 Four-page menu, focal point, 231f Four Seasons Restaurant, 317 France, influence, 285–291 Franchisee/franchisor relationships, 23 Franchise restaurants, 19, 20–24 costs, 21 franchisor provisions, 22 requirements, 20–21 index Free advertising, travel guides, 132 Freebies, 210 Freestanding buildings, restaurants (location), 119 Freestanding family/casual restaurant layout, 92f Freezers, 255–256 Freezing techniques, 264 French chefs, domination See Culinary history French culinary history, French Culinary Institute, course costs, 14 French sauces/seasonings, 288–291 Fresh fruit, purchasing, 274–277 Fresh vegetables examination, 275f purchasing, 274–277 Friends, loan source, 153 Fringe benefits, 182 Front bar, 338 Front of the house operation, 384–391 Front-of-the-house technology, 369–372 Fruits See Canned fruits/vegetables purchasing See Fresh fruit/vegetables Full-door reach-ins, 244f Full-line purveyors, purchasing, 273 Full-service ethnic restaurant, 60 Full-service restaurant comparison, 34 layout, 238 Furnishings, ordering, 72 Fusion cuisine, 290–291 FUTA See Federal Unemployment Tax Act G Gamesmanship, 317 Geddy’s Pub, owners, 295f General liability insurance, 170 General Mills restaurant mistakes, 11 restaurant purchases, 67 Geographic segmentation, 116 Gift card programs, 279–380 Glass washing, 342 Goals, inclusion See Marketing Godzilla, name change, 59 Gonzmart, Richard, 340f Good Karma, 215 Government assistance, eligibility, 186 regulations, interpretation/clarification, 200–201 Grammercy Tavern interior, 65f opening, 64 Grand Menu multicourse variety, 228f offering, 227 Grand opening, selection, 81 Grand Taverne de Londres, Graphics, expense, 70–71 Greenberg, Adam, 374 Greeters, 318–319 role, 331 Griddle, 249 requirement, 250 size, determination, 250 tops, 249–250 Grill, popularity, 253f Gross profit, 139, 145 Guarantors, collateral, 163 Gubbins, Amiko, 66 Guests check control, 404–405 count, 384 data, 115 difficulty, 328–330 interaction, 386f loyalty, 124 decline, impact See Pricing needs/desires, 208 order, number, 393 problems, solutions, 110 relations Internet exercise, 333 review questions, 332–333 satisfaction, improvement, 112 seating, 151–152 services, 380–381 ■ 483 H HACCP See Hazard Analysis of Critical Control Point Harassment, forms, 197 Hardee’s, quick-service food chain, 23 Hard Rock Caf´e (HRC) concept success, 62–63 rock-and-roll nostalgia, 122 theme, 62f, 78f Hard sell, soft sell (contrast), 321–322 Hazard Analysis of Critical Control Point (HACCP), 306–307 Hazard checklist, 306 Health inspector, meeting, 260–261 Heavy-duty electrical equipment, operation, 257 Hepatitis outbreak, 304 Heritage Restaurant, inspection report, 311f HFE See Human Factors Engineering High-end operations, customer base requirements, 35–36 High-protein foods, poisoning, 300 Highway/street access, importance, 88–89 Hiring decisions, 420 objectives, 439 questions, 420–421 Hobee’s Franchising Corporation, action tips, 328–329 Hoffman, Korianne, 172 Holding area, 225 Hors d’oeuvres, 290 Hot-food holding tables, 254–255 Hot foods cooling, 307 internal temperatures, minimum, 303f Houlihan’s, concept (ambiguity), 58 Hour audits, 200 Hourly employees, selection/training, 72 Hours, working, 195 484 ■ index House, back (dimensions), 245f House of Blues, ownership, 61 HRC See Hard Rock Caf´e Human Factors Engineering (HFE), 369–370 Hurst, Mike, 129 HVAC negotiation, 154 I Ice machines, 256 Ice-sizing guide, temperature climate suggestion, 256f Income statement, 143 See also Projected income statement projected/actual controllable expense, inclusion, 398f sample, 145 Independent (indy) restaurants, 19, 20 Individual Retirement Account (IRA) plans, establishment, 189 Induction heating, 239 Informality, contrast See Formality Information, sources, 86–88 See also Location Infrared cooking equipment, 254 In-house advertising, 132 Insurance, 148 See also Restaurants obtaining, 185 relationship See Leasing Interest rates See Real interest rates comparison, 152 Intermediate loans, 138 Internal Revenue Service (IRS) claim, 182 publications, 191–192 reporting tips, 199 Internal temperatures, minimum See Hot foods Interviewing, 423–425 advice, 440 Interviews approach See Multiple interview approach goal, 423 questions avoidance, 433–436 usage, 436–438 rating form, 424 Inventory amount, determination, 270–271 control, technology (usage), 361–362 control devices, 378 extensions summary, 367f Investment commonness See Million-dollar investments Investment, loss, IRA See Individual Retirement Account Italian restaurants, 38–39 Italy, influence, 285 J Jack-in-the Box chain, 28 Job analysis, 410–414 Job description, 410, 414–417 detail, 440 example, 415f–416f writing, guidelines, 414 Job functions, 418f Job instruction sheet, 416–417 Job organization, 417–419 Job profile, usage, 440 Job sequence, 411f Job specification, 410, 416 sample, 417f Julien’s Restaurant, opening, K Kasavana, Michael, 229 Katsigris, Costas, 243 KDS See Kitchen Display Systems Kentucky Fried Chicken (KFC), single-concept chain, 71 Keogh plans, 189 Key result area (KRA), 387 Kickbacks, 355 Kids’ menus, 221 Kinkead, Bob, 4f Kitchen See Open kitchen floor coverings, 244–245 flow, 238f hood exhaust, knowledge, 154 manager, 293 planning/equipping Internet exercise, 262 review questions, 261–262 space, limitation, 208 Kitchen Display Systems (KDS), 362–369 Kitchen equipment, 245–248 categories, 246 inclusion, 241 maintenance, 258–260 trends, 239, 241 Knockout criteria, 88–89 KRA See Key result area Kroc, Ray, 6, 115–116 L Labor costs, 140 See also Restaurants reduction, 72 relationship See Sales percentage usage, 398–404 Labor management, 367–368 Labor pro-forma, execution, 399 La Campagne, name (suggestion), 56 La Cuisine Classique (Urbain-DuBois), 287 La Folie, 241–242 Lagasse, Emeril, 222 Land, ownership, 162 Landlord, borrowing, 162 Last-in, first-out (LIFO) system, 292 Las Vegas, restaurants, 228–229 La Varenne, Franc¸ois Pierre de, 286 Lawry’s, concept (division), 71 Layout See Menu planning, 72 objective, 238 Lazaroff, Barbara, 45–46 partnership See Puck LCI See Learner-controlled instruction Leadership, 459 Leading sauces See Mother sauces Lead sheet, list, 387 Learner-controlled instruction (LCI), 457–458 index Lease assignment, 163 costs, 165 creation, 165–167 decision See Restaurants description, 107 financial responsibility, 168–169 importance See Short lease length, 167–168 maintenance agreement, 169 municipal approval, 169 quality, 164 signing, advice, 154–155 specifics, 168–169 statements, inclusion, 166–167 term, 168 terminology, 167–168 Leasing, 164–171 insurance, relationship, 169 Internet exercise, 174 review questions, 173–174 LeBec Fin, food service, 320f Le Champ d’Oiseau, opening, Le Cuisinier Franc¸ois (La Varenne), 286 Legal matters decisions, 176 Internet exercise, 203 review questions, 202 Le Guide Culinaire (Escoffier), 287 Le Perroquet, 48 Les Dames d’Escoffier, 49 Lessee, considerations, 166 Lettuce Entertain You Enterprises concept creation, 61 training program, 447 Liability, 151 Licenses application process, 336–337 description, 107 identification, 185 Life insurance, collateral, 163 Life of the Restauranteur, The (Chapeau), 13 LIFO See Last-in, first-out Lighting, importance, 96 Limited partnerships, 180 fund sources, 153 Linux servers (IBM), 376 Liquor controls, 353–358 importance, 394–396 liability insurance, 170 pouring costs, 394–395 Little, Cini, 238–239 Loan applicant, qualifications, 157 application, details, 159 guarantees, 158 interest over prime lending rate, 155 lines, openness, 164 package outline, sample, 161f securing, 152–164 sources, 153 Loan application, preparation, 138–145 Local banks, fund source, 153 Local government, borrowing, 162 Local health departments, activity, 193 Local savings and loan associations, fund sources, 153 Local taxes, 192–193 Location See Takeover locations concept, matching, 91 cost, 94, 96 criteria, 84–98 See also Restaurants list, 85, 89 desirability, change, 87–88 information checklist, 98–99 sources, 86–88 Internet exercise, 101 relationship See Concept review questions, 100 takeover, advice, 165 Long John Silver’s, name (suggestion), 56 Long-term investor, impact, 137–138 Losses, control, 354 Loss-leader meals, usage, 131–132 Low Doc Program (SBA), 156 ■ 485 Low-temperature dishwashing machines, 260 Low-temperature ovens, 252 Loyalty programs, 379–380 See also Point-based loyalty programs Lunch menus, 226 Luxury restaurants, seating requirements, 79 M Maggiano’s Little Italy, celebrity visitors, 118f Magic Pan Crˆepes Stands, 62 Magic phrases, 325–327 Mailing list, development, 133 Maintenance agreement See Lease Maitre d’, experience, 323 Making the turns, 172 Ma Maison, 46–48 Mama Mia’s, name (suggestion), 56 Management behavior, improvement, 461 Management plan, 160 Managers bonus, calculation, 403f coach, role, 458–459 effectiveness, characteristics, 461–462 minimum wage, relationship, 194–195 responsibilities, 198 Market analysis, 160 analysis/strategy, 107 assessment, 113–117 market demand, relationship, 113–116 defining, 59–61 demand, 113–117 distance, 85 population, 89 potential, 113, 116 segmentation, 116–117 share See Actual market share; Fair market share calculation, 111 goals, 112 486 ■ index Market (continued) size, support, 84 Marketing action plan, 117 assessment (meeting), 115f director, plan preparation, 109f efforts, 131–132 initiation See Business mix, 118–127 philosophy, 10 plan, goals (inclusion), 111 planning sequence, 114f planning/strategy, 111–113 prices, relationship, 115–116 sales, contrast, 110–111 strategy, 113 Marketing plan Internet exercise, 134 review questions, 134 Matching/pairing See Food McCleery, Kay (action tips), 328–329 McDonald’s concept/image, 57–59 franchise costs, 21 single-concept chain, 71 Meat, purchasing, 274 Mentally challenged people, hiring, 432 Menu See Changing menu; Fixed menu; Kids’ menus accuracy, 208, 216, 221 analysis, 160, 229–230 recommendation, 229 design/layout, 230–231 determination, 72 equipment, matching, 246–247 focal point, 231 format, sample, 227f ingredients, consistency/availability, 208, 210 Internet exercise, 236 limitation/extensiveness, 81 management, 361 technology, impact, 365, 367 planning, considerations, 208 price, seating cost (relationship), 78 pricing fixed markup, usage, 213 guidelines, 230 strategies, 212 review questions, 235–236 selection, price (impact), 210–214 size, 246 suggestions, discussion, 265f types, 225–228 inclusion, 226 Menu items, 221–224 sales, projected volume, 246 selection, 222 decision-making process, 222f MenuLink, Back Office Assistant feature, 367 MESBICs See Minorities Enterprise SBICs Mexican restaurants menus/decor/music, 37–38 success, 70 Meyer, Danny, 63f, 222 James Beard Awards, 66 restaurants, machine analogy, 387 success, 63–64 Miami Subs, franchise costs, 21 Mickey Mouse, name recognition, 57 MICROS Alert Manager, 381 Microwave cooking, advantages/disadvantages, 253–254 Microwave heat, 303 Microwave ovens, 252–253 combination See Convection ovens disadvantage, 253 Miller, Jack, 229 Milliken, Mary Sue, 48–49 Million-dollar investments, commonness, 10 Minimum wage regulations, 200 relationship See Managers Minorities Enterprise SBICs (MESBICs), 156 Minors employment, 426–428 restrictions, 426–427 liquor sale, regulation, 199–200 night restrictions, 427–428 work hours, maximum, 427–428 Mise-en-place, 296 Mission statement, 82–83 explicitness, 83 usefulness, 83 writing, 69 Mobil Travel Guide, restaurant location, 132 Mom-and-pop operations, 87 Monaghan, Thomas (rededication), 24 Money, sources, 162 Morton, Peter, 62 Mother sauces (leading sauces), 288 list, 288f Motivation, part ownership (impact), 464 Motown Caf´e, design, 42 Multiple-concept chain, 71–72 Multiple interview approach, 438 Municipal approval See Lease N National Aeronautics and Space Administration (NASA), illness protection program (development), 305–306 National Labor Relations Act (NLRA), 199 National Restaurant Association (NRA), 129 Barcode, 352 Educational Foundation, 450 EEOC, partnership, 426 employment expectations, 14 equipment manufacturer display, 245 membership, 191 minors, work restriction, 427 publication, 145 traveler/visitor percentage, study, 132 NCR 7454 POS Workstation, 376, 377 index Nexology, usage, 381 Niche Restaurant, concept, 205–206 Night restrictions See Minors NLRA See National Labor Relations Act Nook-and-cranny locations, 89–90 Nordhem, Bill, 439 Nouvelle Cuisine (New Cuisine), 290 example, 290f NRA See National Restaurant Association NSF checks, 357 Nutritional awareness, 247 Nutritional value, 208, 214–215 O Occupancy, description, 166 Occupational/health requirements, fulfillment, 185–186 Occupational Safety and Health Agency (OSHA), 199 Odd-cent menu pricing, 230 Off-hour dinner discounts, 129 Off-sale beer/wine retail license, 335 Off-sale general retail license, 335 Older career employees, selection, 81 Olive Garden chain, units (number), 38 On-sale beer retail license, 336 On-sale beer/wine retail license, 335 On-sale general retail license, 335 Opening, selection See Grand opening; Quiet opening Opening inventory, 213 Open kitchen, 241–244 drawbacks, 243 floor plan, 242f Operating costs, 140 Operating ratios, 151f, 406f Operational costs, accounting format (establishment), 139–140 Operations experience, 239 Internet exercise, 408 review questions, 408 Ordering, mechanics, 271 Order taking, 324–325 Organization ability, 417–419 Internet exercise, 443 review questions, 442–443 Orientation See Employees program, goals, 445–446 Original cost, contrast See Total cost OSHA See Occupational Safety and Health Agency Outback Steakhouse, 31–32 mission statement, 31 Oven See Forced-air convection ovens; Low-temperature ovens; Microwave ovens; Stove/oven combination See Convection/microwave ovens steamer combination, 239 Overhead costs, 125 Overseas markets, quick-service chains (involvement), 23 Overtime pay, 195 Owners legal/personal relationships, 176 liability, 180 P Pagers, function, 378 Paid advertising, selection, 81 Panda Express, growth, 40f Panera Bread Company, 29 Panificio Caf´e and Restaurant, concept, 103–104 Papa John’s chain, wealth, 38 Parallel 33, creation, 66 Parasites, impact, 301 Par levels, 293 Par stocks, 266, 270–271 pre-prepared foods, basis, 271 Partners, buy-sell agreements, 184 Partnership, 180–181 dissolution, 180–181 fund sources See Limited partnerships ■ 487 Part-time employees selection, 81 training, 448 Passot, Roland, 241–242 Pasta-making machines, 256–257 Pathogenic bacteria, 298 Paul and Bill’s, sale, 38–39 Paypalt, Jean-Baptiste Gilbert, Payroll categories, 400–404 contrast See Actual payroll costs, projection, 399 example, 401f Payroll theft, 357 Pegler, Martin M (restaurant descriptions), 42 People handling, 456 organization, 417–419 Permits identification, 185 obtaining, 185 Personal digital assistant (PDA), inclusion, 365 Personal financial statement, 159 example, 140f Personality, 318 Personality restaurant, success, 86 Personal liability, avoidance, 164 Personal property, 162–163 Personnel See Services hiring, 72 physical examination, 309 selection, 439–441 Peter Luger Steakhouse, 35 P.F Chang’s China Bistro, 41 Phantom bottle, 355 Phantom employees, 357 Phoney walkout, 355 Physically challenged people, hiring, 432 Pizza, origination, 38 Pizza Factory Express, franchise costs, 21 Place/location, 118–119 Place/location, Product, Price, and Promotion (4 Ps), 118–133 Plan approval, agencies (impact), 99 488 ■ index Planet Hollywood, popularity (short cycle), 41–42 Planning decisions, relationship See Concept Point-based loyalty programs, 380 Point-of-sale (POS) systems, 362, 364, 369 recordation, 395 selection process, 369–372 service/control facilitation, 378f Pork, parasite support, 301 Port, serving, 348 POS See Point-of-sale Positioning, 116–117 Positive cash flow, enhancement, 148 Posting requirements, meeting, 186 Potomac Pizza, 374 Pouring brand liquors See Well brand liquors Pouring cost See Liquor; Wines Power supply, usage, 154 Practitioners Publishing Company’s Guide to Restaurants and Bars, 354 Prado, storage, 272f Pre-employment physical/drug examinations, 441 Pre-employment testing, 420 usage, 422–423 Pre-made desserts, 273f Premium-brand liquors, display, 338–339 Pre-opening expenses, 148 Pre-prepared foods, basis See Par stocks Preservatives, usage, 304 Pre-service briefing, 412f Pressure fryers, 250 Price, 124–127 See also Place/location, Product, Price, and Promotion exorbitance, 119 factors, 124–125 impact See Menu quality, relationship, 127 setting, psychological aspects, 125 strategy, 208 value, relationship (importance), 126 Price-value perception, 210 Price-value-quality equation, 139 Pricing See Competitive pricing; Contribution pricing; Cost-based pricing equation, demand/supply relationship, 126 factors, 211 guest loyalty decline (impact), 126 levels, setting, 127 policy, objective, 125 strategy, 208 See also Menu Produce grades See United States Department of Agriculture Product See Place/location, Product, Price, and Promotion analysis, 121 concept, levels, 122f development, 122–123 experience, 121–124 function See Augmented product; Core product; Formal product levels, 121 life cycle, 123 representation, 125f mix execution, 393 reports, 372 positioning, 123 quality, 210 specifications, development, 266 technical knowledge, 318 uniqueness, 210 Production See Food production completion, 296 procedures, 295–297 schedule, equipment (matching), 246–247 sheet, 293 usage, 391–392 work sheet, 294f Productivity See Restaurants analysis, cost control (relationship), 150, 405–406 Profit, necessity, 125 Profitability, factor, 82 Profit-sharing plans, participation, 178 Projected/actual food/beverage sales cost, 397f Projected income statement, 144f Projected payroll, contrast See Actual payroll Promotion, 127–133 See also Place/location, Product, Price, and Promotion conducting, 127–128 expenditures, 79–80 illustration, 79f success, 128–129 Promotional campaigns, goals, 127 Promotional programs, forms, 128 Property/building insurance, 170 Property taxes, 148 Property zoning, changes, 94, 96 Proposal, sale, 159–160 Public dining room, nomenclature, Puck, Woflgang, 45–46, 222 advice, 47–48 Lazaroff, partnership, 48 Pull handle, display, 339 Purchasing See Food purchasing cycle, 269 flowchart, 269f dynamics, 264 technology, usage, 361 types, 273–274 Purpose, projection, 55 Q Qualified pension plan, participation, 178 Quality control, importance, 12–13 Quick-service ethnic restaurant, 60 Quick-service food chains, 23 Quick-service restaurants (QSRs), 19, 27–29 chef, classification, 424 index domination/competition, 94 seating cost, 78 segment, inclusion, 28–29 Quiet opening, selection, 81 R Rainforest Caf´es, decor illusion, 42 Raw Energy Organic Juice & Caf´e, 215 Raw fare, craze, 215 Real estate collateral, 163 taxes, 169 value concern, 94 determination, 171–172 Real interest rates, 152–153 Real POS21 (NCR), biometric device (addition), 370 Real 70 POS System (NCR), 370f, 376 Reasonable return on investment, 190 Receiving, importance, 291 Receiving areas, space dimensions, 244f Recession, impact, 71 Recipes, standardization, 235 Recruitment, 421 Internet exercise, 443 review questions, 442–443 sources See Employees Red Lobster chain, shrimp processing, 12 development plan, 451f management selection flow, 422f name, suggestion, 56 recruitment process, 420f restaurant, service, 36f Red wine, serving, 348 Refrigeration requirements, 74 Refrigerators, 255–256 Relatives, loan sources, 153 Remi, interior, 97f Remodeling, initiation, 72 Rent, questions, 165–166 Reorder points, 266, 270–271 Repeat business, encouragement, 329–330 Reservations, sheet (usage), 318 Responsible alcoholic beverage service, 335, 351–352 programs, 352 Restaurant, etymology, 287–288 Restaurant business buyout potential, challenge/lifestyle, entertainment, relationship, 90–91 entry, reasons, 4f money, incentive, plan Internet exercise, 134 review questions, 134 production/delivery elements, 13 self-expression, opportunity, socialization location, work environment, change (enjoyment), Restaurant development concept/market hub, 60f sequence, 72–74 timeline, 73f Restauranteur customers, relationship, 128 knowledge, 114 terms, 93 Restaurant Hospitality magazine, Best Kid’s Menu in America contest, 221 Restaurant Manager POS (ASI), 374 Restaurant operation challenges, 7–9 energy/stamina, Restaurant owners challenge, Internet exercises, 52 review questions, 51 victim, 354–356 women chefs, involvement, 48–49 Restaurants ADA, impact, 431 atmosphere, 85 balance sheet, example, 146f–147f ■ 489 bars design factors, 337 placement, 339 birth See American restaurants building, community moratoriums, 87 buy/build/franchise/manage, advantages/disadvantages, 11f buy/build/lease/franchise, decision, 81 buying/selling, rule, 138 career/investment options, 9–13 flowchart, 10f chains conglomerate purchases, 67 location specifications, 91–92 characteristics, 19–34 Internet exercises, 52 review questions, 51 classifications, 27f seat turnover/eating speed, correlation, 76–77 competition, 89 concepts, 54–59 success, 61–68 construction, impact, 87 corporation status, 181–184 decline, reasons, 67 denominators, 74 designs/buildings, novelty/attractiveness, 67 differentiation, 123 employees, productivity/labor cost, 80f equipment, life expectancy, 259 experience, differences, 110 financial rewards, 14–15 first impression, importance, 453f franchise concepts, 22 grouping, 119 insurance, 170–171 Internet exercises, 17 leases, specifics, 168–169 location criteria, 84–98 self-creation, 86 machines, analogy, 387 490 ■ index Restaurants (continued) management alert systems, 381 name importance, 55–57 protection, 57 necessity, 114–115 opening, 13–14 requirements, 55 operations See Operations principles, 322–323 promotional ideas, 128 purpose, 75 rating, 331f return on investment, success, review questions, 16 row/cluster concept, 89 seat turnover levels, 76f segment rankings, 19f service, levels, 75f sites, failure (reasons), 91 staffing, 419–429 success, duplication (belief), 20 summary, 15–16 symbology, 70–71 theaters, analogy, 209 theft, process, 354–358 topographical surveys, 94 travel time, average, 91 types, 19–34 value, determination, 171–173 Restaurant Shopper’s report, 388f–391f Restaurants Unlimited, 82 Retail licenses, types, 335–336 Retirement tax shelters, 189–190 Return on investment See Reasonable return on investment Ritz, C´esar, 287 atmosphere, creation, 70 Roadside restaurants, location, 84 Robotlike behavior, 449 Romano’s Macaroni Grill, 28, 39f Roof warranty, preservation, 154 Round Table for Women in Foodservice, 49 Roux-thickened sauces, 290 Row/cluster concept See Restaurants Roy’s New York City bar interior, 336 floor plan, 339, 341f Ruben’s, location (sharing), 72 Rule of 72, 189–190 S Salads, variety, 223–224 Sales accounting format, establishment, 139–140 budget forecast, 142f contrast See Marketing cost, 139 forecast, 140–143 chart, 143f mix, 124 importance, 127 tax, 187 volume, 142 Sales percentage, labor costs (relationship), 80 Salmonella bacteria, 298, 300 Sanitation Operations Manual (NRA), 299–300 Santa Claus, name recognition, 57 S&A Restaurant Corporation, 352 Sauces See French sauces/seasonings; Mother sauces; Roux-thickened sauces partial list See Small brown sauces Savings accounts, collateral, 163 SBA See Small Business Administration SBICs See Small Business Investment Companies Schnatter, John, 38 Scoozi, interior, 68f SCORE See Service Corps of Retired Executives S corporation, 182, 184 Seafood restaurants, 36–37 Seasonings See French sauces/seasonings Seating cost See Quick-service restaurants relationship See Menu layout, 74 number, 78–79 turnover, 76–79, 406–407 consideration, 150–152 correlation See Restaurants rates, relationship See Square-foot requirements Seeger’s Restaurant, bar interior, 347f Self-cleaning hoods/ventilators, 239 Self-Employment Retirement Plans (SEPs), 189 Self-employment tax, payment, 178 Selling price, decisions, 211 SEPs See Self-Employment Retirement Plans Server attention, 315 characteristic, 318 checks, bookkeeper totals, 405 experience, 319 handheld device, usage, 374 independent businessperson, 319 job, involvement, 411 manager/owner support, 419f phrases, usage, 325–327 sales, 372 viewpoint, 327–328 Server-buser relationship, 320 Service Corps of Retired Executives (SCORE), 156 Service relations Internet exercise, 333 review questions, 332–333 Services accompaniment, 121 convenience, 210 encounter, 316–317 limitation/extensiveness, 81 offering, degree, 75–76 personnel, 330 planning, 73–74 reliability/consistency, 210 speed, 246 steps, 319 Serving area, 240f index Seven Grains, name (suggestion), 56 Sewage, importance, 88 Sexual harassment claims, 198 perpetration, 187 Shake Shack, opening, 64 Shigella dysenterial threat, 300 Shopping mall locations, 89–90 Short lease, importance, 88 Short ring, 355 Signature food items, 31 Silent partners, fund sources, 153 Single-concept chain, 71–72 Single-page menu, focal point, 231f Single-use real estate loans, 138 Slogans, usefulness, 452 Small brown sauces, partial list, 289 Small Business Administration (SBA), usefulness, 153–159 Small Business Administration (SBA) loans, 155 eligibility, 157 making, 157 securing, sequence, 158–159, 158f solicitation, 156–157 Small Business Investment Companies (SBICs), 156 See also Minorities Enterprise SBICs Smith, Donald, 229 Social distance, providing, 315 Soft sell, contrast See Hard sell Sole proprietorship, 178–180 advantages, 178 disadvantages, 178, 180 legal existence, 180 Soups bases, 277 number, adequacy, 223 Sous vide technique, 248 Space-per-guest requirements, 77f Spaghetti cookers, 257 Spago Beverly Hills, decor, 46f Sparkling wines, 345 Specialty cooking equipment, 257 Speed gun, usage, 341–342 Speed rack, 339 Square-foot requirements, 77 turnover rates, relationship, 77f Staffing, 419–429 Internet exercise, 443 level, downsizing, 399 number, determination, 401, 404 review questions, 442–443 scheduling, 297 steps, 421f Staphylococcus aureus, 300 symptoms, 301 Staphylococcus poisoning, 300 Start-up cost estimates, 141f Start-up restaurants, sales goals, 112 State registration, 187 State sales tax permit, obtaining, 185 State taxes, 192–193 State Unemployment Tax Authority (SUTA), 192 Steak, attraction, 35–36 Steak and Ale, 28 Steakhouses, 34–36 Steamer, combination See Oven Steam trap, 259 prevention, 260 Step-by-step training, 452–453 Stocks, collateral, 163 Storage importance, 291–293 space dimensions See Dry storage temperatures, guide, 292 Stove/oven, 249–250 Straight-line depreciation, 188–189 Strategies list, 112 usage, 109 Strengths, weaknesses, opportunities, and threats (SWOT) analysis, 113, 113f Streptococcus food infection, 300 Strictly Roots, 215 Student programs, specifics, 426 Sublet clause, example, 166 ■ 491 Substance abuser, screening, 441 Suburban locations, 89–90 contrast See Downtown location Subway benefits, 25 Doctor’s Associates, ownership, 24 example, 24–27 franchise capital requirements, 26f franchisee responsibilities, 25 history, 27 initial fee, 26 menu selection, 27 units, number, 25 Suggestive sale, 386 Supervision, subtleties, 462–464 Sure POS 700 series (IBM), 376 Surroundings, desirability, 85 SUTA See State Unemployment Tax Authority SWOT See Strengths, weaknesses, opportunities, and threats Syndicates, loan sources, 153 T Tabla, opening, 64 Table management, 373–379 management solutions, 364–365 payment process, 373–379 setting, 323–324 Table d’hˆ ote menu, offering, 226 Table Service (Aloha), 375f–376f Table-service restaurants customers, surveys, 78–79 seating requirements, 79 Taco Bell, discount value strategy (nonpromotion), 129 Tact, usefulness, 332 Takeover locations, 93 example, 95 Tapas Barcelona, features, 44 Target markets, 116–117 identification, 80 segmentation, 116f Task analysis, 410–414 492 ■ index Task breakdown, 413f example, 434f–435f Taxes See Business; Federal taxes; Local taxes; State taxes deductions, 190 evasion/avoidance, contrast, 191 return filings, obtaining/arrangement, 186–187 Tax matters decisions, 176 Internet exercise, 203 review questions, 202 Team orientation, 318 Teamwork, 460f Technical tasks, variation, 412–414 Technology Internet exercise, 382 review questions, 382 usage, 361–372 web sites, 380–381 Teenagers, confrontations, 330 Telephone references, effectiveness, 438–439 Tenant, description, 166 Term loan, 138 negotiation, mistakes, 148 TGI Friday’s concept, ambiguity, 58 control rule, 295 image, 55–56 success, 61 Theme, projection, 55 Theme Restaurant Design (Pegler), 42 Theme restaurants, 41–45 Thin corporation, 182 Third-party liability, 353 Thomas, Chris, 243 Tie-in offers, 210 Tie-ins, usage, 131 Tihany, Adam (design), 97f Tilting skillets, 249 TimePro, usage, 368 Tinseltown Studios, entrance, 43 tip income, reporting (IRS rule), 189 Tipping policy, 464 Too Hot Tamales, series, 48 Top-down method, 410 Total cost, original cost (contrast), 247 Toxin-mediated infection, 298 Trader Vic’s, popularity, 41 Traffic cop, role, 331 Traffic generators, 88 Traffic speed, excessiveness, 88 Trainer, hiring, 454 Training See Employee training; Step-by-step training Trinity system, usage, 381 Trotter, Charlie, 222 Turnover See Seating 21 Club, The, 32f, 35f private dining room, 338f table-side service, 326f Two-for-ones, usage, 131 Two-page menu, focal point, 231f Two-tops (deuces), 318 U UDAG See Urban Development Action Grant Umbrella/excess liability insurance, 171 Under bar, 338 Undocumented aliens, employment, 428 Uniform System of Accounts for Restaurants (USAR), 145–152 Union Square Caf´e menu, 217f–220f ranking, 64 Union Square Hospital Group, impact, 64–66 United States Department of Agriculture (USDA) information, providing, 274 wholesale produce grades, 276–277 United States Public Health Service disease identification, 297 high-protein foods, classification, 298–299 Urbain-DuBois, Felix, 287 Urban Development Action Grant (UDAG) program, borrowing, 162 USAR See Uniform System of Accounts for Restaurants USDA See United States Department of Agriculture Utensils, sanitary handling, 305f Utilities, importance, 88 Utility, pleasure (contrast), 75 V Value, importance, 121 Variable costs, change, 143 Vegan servings, 215 Vegetables See Canned fruits/vegetables purchasing See Fresh vegetables Vegetarian servings, 215 Vendors, kickbacks, 357 Vintage wines, 345 Viral infections, 301 Viruses, impact, 303–304 Visibility criteria, 96–98 importance, 85 necessity, 118 Voice, control, 329 von Bidder, Alex (personal phone calls), 317 Vongerichten, Jean-Georges, 222 Voting, time off (allowance), 200 W Wage audits, 200 Wage Garnishment Act, 196 Walk-in boxes, 255 Walk-ins, dimensions, 244f Water-borne diseases, outbreaks, 304 Waters, Alice, 47 Web-based enterprise portals, usage, 379 Web sites, usage, 380–381 Weighted average approach, 212 Well brand liquors (pouring brand liquors), display, 339 Wendy’s advertisement, 116–117 index cost-cutting mode, 400 White wine, serving, 348 Wholesale produce grades See United States Department of Agriculture Wilber, Brian, 420 Wine/liquor license, usage, 167 Wines See Aromatic wines; Fortified wines; Sparkling wines; Vintage wines clarification, 345 combination See Food experience, 348, 351 inventory, 344–351 list creation, 344 selection process, 347–348 making, 345 pouring cost, 394 service, enhancement, 31 tasting, 347 Wolfgang Puck Food Company, expansion, 46–48 Women chefs, involvement See Restaurant owners Word-of-mouth advertising, selection, 81 Work centers, arrangements, 241 Workers’ compensation, 170, 201 Work hours, maximum See Minors Working blueprints, development, 72 ■ 493 Working capital, usage, 137 Working conditions, regulations, 200 Would-be restaurant operators, work/experience, 14 W.R Grace, restaurant purchase, 67 Y Yellow Pages advertising, 132–133 Z Zoning changes See Property zoning importance, 88 ... of The Art Institute of New York Thanks to the National Restaurant Association and to the restaurants that allowed me to include their menus or photos, and to these restaurant companies for their... offers its own rewards to the operator This book shows the logical progression from dream to reality, from concept to finding a market gap to operating a restaurant Along the way, it gives a comprehensive... a touch of BAM, the chances of success are improved The opportunity to be the boss and call the shots is appealing To be responsible for the buzz created and orchestrated is a rush Maybe the concept