Restaurant automation is not new. Owners and managers have put processes in place that empower teams to get more done with less, and with the rise of artificial intelligence, we’re seeing a massive push for AI in restaurants.
But at a time when margins are shrinking, restaurant AI has proven unreliable.
Owners assume that the labor problem is solvable once they add a layer of artificial intelligence to their workflows, but the technology has failed to deliver any real value.
Why AI Projects Fail
Artificial intelligence isn’t to blame for many of the failures in the industry. Operators are often asked to:
- Solve problems
- Be the “manager” of these tools
- Do more with less
AI can solve problems, but when the fundamentals have cracks, that’s where any technology fails. Operators are meant to solve very specific problems rather than look at the root cause of many of these issues, so the fundamentals remain the same while the issues AI is meant to solve inevitably reappear.
Managers often abandon the tools that they’re so eager to use because they don’t take the time to know how to use them properly, and they normally aren’t part of a solution to their own problems.
Tool Evaluations Take Place in Boardrooms
Restaurant technology trends are often evaluated without the input of managers. Vendors pitch owners or stakeholders who assume that the technology will save them money and don’t fully understand the daily experience of managers.
Guest expectations are rising, compliance constraints exist and last-minute callouts are all part of the operational burden that managers know firsthand.
AI tools often lack the tangible value that really makes a difference in the operations where managers have real problems. And what happens when these tools don’t produce value? They become extra “noise” or burdens that add to the manager’s day rather than burdens that they remove.
Managers also have another complaint that’s been overlooked:
- Tools must help make decisions rather than add steps to a person’s day.
- Charts and insights are nice to have, but when managers need to export and analyze the data, it becomes a cumbersome process.
If AI in the restaurant industry is to succeed, the tools must be analyzed and chosen with care to ensure that they’re also user-friendly. Managers already have enough on their plates to worry about learning new software every other day.
Fragmented Data in the Restaurant Industry
Restaurants often cobble solutions together to fit very specific requirements and then add other pieces over time to fix other issues that they’re experiencing. For example, you may have half a dozen or more options that include:
- Scheduling
- Point-of-sales
- Labor
- Payroll
- Timekeeping
- Compliance systems
While data for all of these tools is available, it’s fragmented, making it challenging to understand what each means.
Without data cohesion, AI’s usefulness may be overstated for many of these eateries.
So, what can you do?
Consider AI tools that are able to be trained on how to best understand metrics in every format. Managers prefer these types of tools because they align with what’s happening inside of systems and increase adoption rates.
Unfortunately, many tools in the industry also promote ”AI” but lack any of the real features and functionality that this technology truly provides. You may think that you’re integrating a robust solution that can identify your needs and grow with you, but you’re receiving traditional software that uses “AI” as a marketing term rather than offering anything of substance.
Vendor Accountability Gap
Vendors are there to sell stakeholders on a solution without worrying about the actual performance. For example, contracts often avoid outcome-based benchmarks, so there’s no guarantee of:
- Accuracy
- Labor savings
- Reduced turnover
Operators have the onus of using the tool in a way that helps their business succeed. One way around this gap is to ask the vendor for case studies and examples of the solution working in other restaurants.
If the vendor cannot provide concrete examples and give you proof of their software working, push back on long-term contracts.
Short-term contracts, or at least long trial periods, allow you to test-drive these tools without the commitment. If a vendor won’t budge and demands long-term contracts without any viable case studies, you can pass them up on their offer.
AI Works Best When It’s Not the Core
Managing all of your core tasks with one AI tool is a tall order. You’ll find that many vendors promise the world but fall short on delivery because it’s hard for a single tool to do it all.
So, where does AI fit best?
Well-defined tasks. For example, a single solution may work well when it centers completely on scheduling optimization and conflicts. You may also find specific solutions that look at pain points, such as ingredient costs, to pinpoint where prices are rising.
One error, or misconception of AI for restaurant operations, is that these tools should replace operational judgment.
Managers still need to manage teams, use emotional intelligence and perform tasks that AI cannot replace. If a manager doesn’t know what they’re doing, there’s also the inverse problem that artificial intelligence will not make them stronger leaders .
Instead, AI can cause more problems than it solves for inexperienced managers who don’t know if the output is reliable or not.
Integration Tax
Artificial intelligence in the restaurant industry - or any for that matter - has an “integration tax.” Data feed corruption can occur, IT may have issues with integration and employees may spend excessive time learning tools that are destined to fail.
Restaurants that are serious about AI and want to avoid it failing in their restaurants must bring managers on board as decision makers. Your manager should sit down with you when you talk to vendors so that they can determine if this tool solves any current problems or if it will only add to them in the long-term.
Artificial intelligence has its place in the restaurant industry and can save you time and money, or it can be a failed experiment. Work with your managers and vendors who have experience in the industry (with proof) for the best outcomes.