Top Pain Points of Restaurant Owners Without Using a POS System

Running a restaurant is no walk in the park. The food industry is like a never-ending sprint, where everyone’s trying to outdo each other. If you're a restaurant owner, keeping everything smooth can help you win and make sure your customers leave happy and full! 

That’s where you need a tech solution: POS systems. After all, they do everything from writing down orders to making sure you don’t run out of ingredients. But some restaurant owners are still doing things the old-school way, manually. And that’s where the problem starts. 

This blog explores the top restaurant owner challenges restaurant owners to deal with when they don’t have a restaurant POS system and how it can really hurt their business success.

What’s Really Messing Up Your Restaurant’s Flow?

Writing down orders on a notepad, guessing how much stock you’ve got left, and crunching numbers with a calculator – running a restaurant can get messy when you're doing everything by hand. It's a recipe for restaurant owner challenges! 

You end up with customers waiting forever, getting the wrong dishes, and leaving with disappointment instead of smiles. It doesn't just disturb the flow; it hits your profits too. When operations slow down, you can't serve as many people, especially during busy hours. And if customers aren't happy, that’s going to hurt your profits.

Every Day Restaurant Owner Challenges

1. Food Spoilage

58% of restaurant owners are trying to keep an eye on food waste, but only 30% have a game plan to hit this goal. On the show Kitchen Nightmares, Gordon Ramsay, a famous British chef, restaurateur, and television personality, often found restaurants with serious food spoilage. They weren’t managing their inventory properly.

With no POS system, keeping track of inventory in real-time can be a real headache. It’s easy to lose track of what you have in stock. You either end up buying way too much or forgetting to use what you’ve got. Next thing you know, you’ve got a fridge full of spoiled food. The cost of spoiled food can quickly add up, eating into the restaurant's profits and contributing to waste.

2. Too Many Tablets

When Taco Bell, the Mexican-inspired Quick Service Restaurant, didn’t have a POS system to keep things in check, it often ended up with a bunch of tablets — each one connected to a different delivery or online ordering system. 

Trying to handle orders from all those different tablets can get pretty chaotic. You might miss an order or mix things up without an mPOS. Before you know it, customers are unhappy.

3. Low Customer Retention

Suppose your pizzeria relies on handwritten orders and manual customer records. A regular customer visits and orders their favorite pizza, but the staff forgets to note it down correctly. When it doesn’t arrive, the customer is frustrated. For such a scenario, having a Kitchen Display System is a must.

Restaurant loyalty is already one of the key restaurant owner challenges. Keeping track of what your diners like, their order history, and their feedback is tough without a POS system. This makes it almost impossible to give them a personalized experience or run clever marketing campaigns. If customers don’t feel the love, they might just ghost you, and you’ll miss out on repeat business. 

4. High Labor Costs

When your restaurant manages staff manually, you hire more people to handle orders, payments, and inventory, including:

• Cashiers to process orders and payments by hand
• Inventory clerks to keep track of stock levels manually
• Order runners to take orders from the floor to the kitchen and vice versa
• Bookkeepers to handle financial records and payroll

This bumps up your labor costs since you’re spending more on people who a feature-rich POS system could replace. Plus, juggling staff manually means you might end up with a crowd of workers on a slow day or not enough during rush hour, which hits your labor costs and cuts into your profits.

5. Frequent Menu Updates

Being a part of the competitive restaurant market, keeping your menu hip and happening is a must! This ensures you match what customers want and what's in trend. But if you don’t have a POS system, menu management can be a real hassle. You’ve got to:

1. manually tell your staff about the changes
2. print new menus and replace old ones at tables
3. revise menu information on your website and delivery platforms
4. modify inventory orders to align with new menu items
5. make sure the ordering process reflects the change

This takes a lot of time and can easily lead to mix-ups, leaving your staff and customers confused.

6. Restaurant Staffing Issues

Scheduling shifts, training new hires, and keeping track of how everyone’s doing can get unmanageable without an Android-based POS system. If you’re still doing it all by hand, you’re likely dealing with double shifts, understaffed dinner rushes, you name it. Plus, tracking who’s doing what or sorting out payroll add more stress to your plate.

7. Order Management Issues / Managing Stock in Multiple Branches

During a peak dinner rush, servers can accidentally mix up two orders, resulting in the wrong dishes being prepared. If you've got more than one restaurant, juggling orders and inventory across all the spots is a challenge. 

Without a cloud POS system to keep track of stock levels, transfer inventory between branches, and manage orders, you might end up with chaos – one branch is starving for ingredients while the others have a pantry full of everything. And that’s how you get disappointed customers who didn’t get what they wanted.

8. Supplier Management

Your restaurant’s supply chain might be looking like this:

1. Order ingredients from suppliers.
2. Get them delivered to the kitchen.
3. Prep the food.
4. Serve it to customers.
5. Pay the suppliers. 

Without a POS system, keeping track of orders, deliveries, and invoices can get pretty confusing. You end up with late ingredients, wrong orders, and unhappy suppliers. Plus, without clear data on what you’re buying, you might miss out on better deals or ways to make your supply chain run smoother.

9. Stock Theft

It's a sad truth, but stock theft is something a lot of restaurant owners have to deal with. In fact, 75% of employees admit they've stolen something at least once from their employer. 

Without a POS system keeping track of inventory in real-time, it's tough to spot discrepancies between recorded stock levels and actual inventory. This lack of oversight means theft can easily slip by unnoticed, which hurts the restaurant's bottom line and raises costs.

10. Demand Forecasting

Guessing what customers want helps keep track of inventory and cut down on waste. Without a POS system, restauranters are stuck with old records and guesswork to predict what’s needed. This can be pretty hit-or-miss, which might lead to having too much or too little stock. If you don’t get it right, popular dishes might run out during busy times, leaving customers unhappy.

11. Inventory Management Problems

Keeping track of inventory is super important for managing costs and running a restaurant smoothly. Without a POS system, you’re basically playing a guessing game with stock levels. This can mean ordering way too much or running out of stuff, causing kitchen chaos, slow orders, and annoyed customers. Plus, all that wasted food just makes your budget hurt.

12. Billing and Payment Inefficiencies

Handling restaurant payments by hand can be a real hassle and prone to mistakes. Staff have to do all the math, apply discounts, and process payments manually. This can slow cash management down, especially when it’s busy. Plus, mistakes like wrong charges or missed payments are more likely, which can upset customers and hurt the restaurant’s bottom line.

13. Staff Management Difficulties

Without a POS system, scheduling shifts, tracking hours, and handling payroll manually can be a real headache. You might end up with shift conflicts or mistakes in tracking hours. Plus, without data on how your staff is performing, it’s hard to spot your top workers or deal with those who aren’t pulling their weight.

14. Customer Relationship Management

Building good relationships with your customers helps get them to come back and talk positively about your place. Without a POS system, keeping track of what customers like, their feedback, and their loyalty can be tough. You’ll miss out on making their dining experience special and setting up loyalty rewards for repeat customers. So, you might miss out on chances to create lasting connections with your customers.

15. Lack of Automation

Automation makes running a restaurant way easier and less stressful for the staff. Otherwise, you’re stuck doing everything manually — taking orders, managing inventory, and handling billing. This means more time spent on tasks and higher labor costs, which cuts into your productivity. Plus, without OneHubPOS restaurant POS features, service can be all over the place and wait times can drag, making your customers less happy.

16. Faulty Profitability Calculations

With no POS system, tracking sales, costs, and inventory is likely to get messy. Take a bistro, for example — the staff might jot down sales and expenses by hand, but they’re likely missing out on important details like ingredient costs or best-selling items. This sloppy data makes it tough to figure out real profits. The result? Bad pricing or missed chances to save money! 

With OneHubPOS, you can take charge of your restaurant’s profits and menu engineering. 

Try our food cost calculator and start improving your earnings with ease.

How a POS System Can Fix These Restaurant Woes

A reliable POS system offers you lots of useful features whether you're running a restaurant, food truck, or small retail business.

1. Take Control of Orders

A POS system keeps all order information and updates in one place. This speeds up processing, cuts down on mistakes, and makes serving customers quicker. Plus, you can manage orders from your restaurant, online, and delivery all from one spot, so you don’t need a bunch of different devices. 

2. Master Your Inventory 

With a POS system, you can keep an eye on your inventory as it updates in real-time. This helps avoid running out of stock, cuts down on waste, and makes sure your cloud kitchen runs smoothly. Plus, it helps you figure out what you’ll need based on past trends. Consequently, you’re not over or under-ordering. So, you don’t end up with 50 pounds of cheese and no one to eat it!

3. Ease Your Billing and Payment Processes

A POS system makes payments contactless. It crunches the numbers, dishes out discounts, and takes care of payments for you. No more mistakes and super-fast checkouts mean happy customers. Plus, it works with cash, cards, and even QR code mobile payments, so everyone can pay how they like.

4. Manage Your Staff Better 

A POS system eases handling staff. It takes care of scheduling, tracking hours, and payroll automatically. It makes sure shifts are spot on and helps keep track of who's doing great or needs a bit of a boost. Moreover, adopting self-ordering kiosks reduces the need for employing huge staff. 

5. Amazing Customer Relationship Management

A POS system knows what your customers like, what they’ve ordered before, and their thoughts on your food. This way, you can deliver exactly what they crave and present them with promotions that actually makes them excited. It helps make stronger connections with your customers, potentially turning one-time visitors into regulars. Plus, it can handle loyalty programs to reward your regulars and keep them coming through your doors.

POS System to Make Your Life Easier 

Running a restaurant without a POS system is like asking for trouble. You're so likely to face chaos with orders, sky-high labor costs, and inventory disasters. Your customers will be disappointed, you’ll waste resources, and your profits will take a hit. 

OneHubPOS features can fix all this! Once you get it, order chaos is sorted, billing is done with a snap, and inventory is under control. It’s an amazing investment that makes your restaurant more efficient and enjoyable for your customers. Basically, it’s a smart move for a more organized and profitable business. Book a call with OneHubPOS today.