Tag: Staffing
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Sales Per Labor Hour (SPLH): The One Labor Metric Every Restaurant Operator Needs

Labor percentage alone only tells half the story. Sales Per Labor Hour (SPLH) connects your staffing decisions directly to revenue outcomes — and it’s one of the most actionable metrics in restaurant management.
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Staffing Needs
Understanding staffing needs is a vital aspect of running a profitable restaurant. Unlike traditional office roles where employees might work a standard 40-hour week, the restaurant industry demands flexibility to meet fluctuating customer demands, avoid overtime costs, and cope with inevitable turnover. For example, if you have eight employees working…
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What are Labor Expenses?
In the dynamic world of restaurant operations, labor expenses are one of the most significant and complex costs. These expenses can be broadly categorized into several key areas that we will explore in detail: associate or crew labor, which encompasses the frontline staff working directly with customers; management labor, including…