Managing multiple venues in the hospitality industry is a complex endeavor, particularly when each location has unique characteristics, turnover levels, and product mixes. For one of our clients, this means balancing four very different venues: an Australian pub, an Irish pub, a bar, and a steak restaurant. Despite these differences, each venue fits seamlessly into the PERI principle—Plan, Execute, Review, and Improve—and benefits from comparative analysis across key performance indicators (KPIs). This structured approach has not only improved the performance of each venue but has also given the owner the confidence to expand, knowing he can apply the same level of reporting and achieve similar success with new venues.
1. Plan: Setting Financial Goals and Venue-Specific KPI Targets
The first step in PERI is planning, where financial goals and KPIs are tailored to each venue’s distinct qualities. For this client, each venue has its own targets based on factors like product mix and turnover levels. This individualized planning provides each venue with realistic goals that align with its unique business model.
- Consolidated Reporting with Venue-Specific Details: By consolidating reports across venues, the owner can see overall performance while still reviewing individualized targets for each location, making it possible to tailor strategies based on venue-specific insights.
- Setting KPI Goals for Unique Venues: Each venue, whether it’s a bar, pub, or steakhouse, has KPI benchmarks appropriate for its focus—such as labor-to-sales ratios for pubs or food cost targets for the steak restaurant—ensuring each has a clear path to profitability.
2. Execute: Implementing Strategies with Consistency and Flexibility
Execution brings the budget and planning to life. In multi-venue operations, it’s crucial to maintain a consistent approach to executing financial strategies across venues, while still allowing each to leverage its unique strengths.
- Unified Standards with Room for Flexibility: For example, while the pubs and bar share some standard practices, the steak restaurant may require unique cost controls for meat purchases. PERI supports unified financial standards with flexibility, allowing each manager to adjust strategies to best suit their venue.
- Real-Time Performance Tracking: Execution also involves tracking KPIs in real-time across all venues, giving the owner immediate insights into whether each location is on track with its financial strategies and goals.
3. Review: Analysing Consolidated Reports and Comparative KPIs
Regular reviews are a critical part of PERI, allowing the owner to analyse each venue’s performance against both its internal goals and other locations. For this client, comparative analysis across different types of venues provides valuable insights, as well as a sense of friendly competition among managers.
- Comparative KPI Analysis for Diverse Venues: By comparing KPIs across venues, even with their differences, the owner identifies which location is excelling in particular areas, like labor efficiency at the Irish pub or food cost control at the steak restaurant. These insights help pinpoint best practices that can be shared across all locations.
- Weekly Improvement Meetings with the Owner: In weekly meetings, we review each venue’s performance with the owner, suggesting tailored improvements based on the data. This regular discussion allows for continuous adjustments and keeps the owner informed on where each venue stands.
- Building Confidence for Expansion: The consistency in reporting and the clear view into each venue’s numbers give the owner confidence to acquire more locations. Knowing that each new venue will follow the same reporting structure and fit within the PERI framework reassures him that he can replicate success as he grows his portfolio.
4. Improve: Refining Strategies and Sharing Best Practices Across Venues
The final step in PERI is improvement, where insights gained from reviews are used to refine strategies and optimize each venue. Improvement includes both adapting successful tactics from one venue across others and making venue-specific adjustments.
- Transferring Success Strategies: If one venue excels in a particular KPI, like increasing customer spend at the bar, these tactics are shared across other venues, creating a culture of shared success.
- Continuous Improvement with Future Growth in Mind: With a clear PERI model and structured reports, the owner is positioned to not only improve current venues but also apply this approach toany future acquisitions, confident in the replicability of his success.
Using PERI to Support Multi-Venue Expansion and Financial Success
For hospitality owners with multiple, diverse venues, the PERI principle—Plan, Execute, Review, and Improve—provides a structured framework that adapts to each location’s unique needs. Through consolidated reporting, comparative KPI analysis, and regular improvement meetings, PERI enables owners to align each venue with broader financial goals while catering to individual characteristics. With the clarity and consistency that PERI provides, this owner has not only improved performance across his four venues but has gained the confidence to acquire more, knowing he can rely on PERI to support growth and success across his expanding portfolio.
