I’m a huge fan of the weekly publication Nation’s Restaurant News. This week’s edition had a great article in the Opinion section titled “Stopping employee theft a fast, cheap way to boost profit” by Kevin Lynch.
The article does a wonderful job detailing how a reduction in shrink of just 1% (as a percent of sales) can lead to a 20% increase in profit. This is at the core of the MVaaS payback calculation which is typically around 4 months. As Kevin continues to illustrate, the alternatives to a 20% boost in profit by increased sales would include considerable expense in marketing, build-outs, remodleing, etc…
Nice work Kevin, I’m sure we’ll be speaking soon.