A clean, lean and properly managed supply chain lays the foundation for a restaurant’s success. Good relationships with suppliers help to lower food costs and maintain the quality and consistency of your food and service.
For more extensive operations, the complexity of supply chain management increases exponentially, making your choice of suppliers critical to your success. According to the 2024 State of the Restaurant Industry Report, 60% of restaurants have shopped for new suppliers to save costs. However, choosing the suitable suppliers and maintaining good relationships takes solid planning and hard work.
In this article, we’ll look at six steps to help you find the best restaurant suppliers for your business. And we’ll answer the most commonly asked questions around supply chain management and supplier relationships.
Why Restaurant Suppliers Are Important
Before discussing the importance of selecting suitable suppliers, we must explain the procurement cycle.
The procurement cycle is a six-step process that foodservice operators use to control food costs and maintain or improve product quality.
- Outlining Policies & SOPs: Define standard operating procedures to ensure consistent and efficient purchasing practices across all locations.
- Determining Demand: Use historical sales data and inventory levels to forecast and determine the necessary quantities of ingredients and supplies.
- Deciding on Vendors: Evaluate and select vendors based on price, quality, and delivery reliability to meet your specific needs.
- Placing Orders: Generate and place purchase orders based on forecasted demand and current inventory levels to maintain optimal stock.
- Receiving, Monitoring & Storage: Inspect all deliveries for accuracy and quality, and store items appropriately to ensure freshness and minimise waste.
- Verifying Invoices & Payments: Match invoices with purchase orders and delivery records to verify accuracy before processing payments.
Proper supplier selection is fundamental to implementing the six steps successfully. Reliable suppliers allow you to maintain the quality and consistency of ingredients, which is crucial for delivering a quality dining experience.
Ultimately, choosing the right suppliers and maintaining strong relationships with them is essential for achieving purchasing excellence and sustaining profitability.
How to Find the Right Restaurant Suppliers for Large Operations
Now that we’ve explored the importance of supplier selection and relationships, let’s examine practical ways to find the right suppliers for your restaurant.
1. Understand your restaurant supply needs
Start by evaluating your restaurant’s specific needs, considering the required volume, quality, and type of ingredients. Will you need speciality suppliers or more general wholesalers that provide a wide range of items?
Multi-site restaurants with central production kitchens often have more complex logistics. These large organisations benefit from a robust system for centrally managing internal ordering.
Smaller independent restaurant chains might use a larger number of specialty suppliers, which complicates managing and communicating with vendors. Digital procurement tools keep the orders to different vendors organized in one place, making the purchasing process much more efficient.
Accurate forecasting and planning are also essential to ensure a consistent supply of ingredients and prevent shortages or excess inventory. Apicbase’s inventory management software helps you stay in control and understand precisely what you need to order using real-time data. The system also feeds you insights into future demand so you can plan ahead and fulfil demand without overstocking.
2. Focus on the correct type of supplier
A fine-dining restaurant might have 30 specialised suppliers, each dealing in a particular product. On the other hand, large foodservice operations are likely to order the bulk of items through a small number of suppliers with a broader range of products.
More extensive operations often opt for large national suppliers equipped with advanced technology to ensure proper food safety and efficient service. For instance, major suppliers like Bidfood or US Foods can provide a broad range of products and have reliable delivery schedules.
Apicbase supports seamless coordination with a range of local and national suppliers. By integrating with a diverse selection of vendors, Apicbase allows you to manage orders efficiently without the hassle of phone calls or outdated pricing.
3. Look for restaurant suppliers in the right places
Finding the right suppliers means looking in the right places. Here are the most common ways to find a range of options:
- Online directories and marketplaces – offer extensive lists of potential suppliers and contact details.
- Industry trade shows and events – attending relevant events offers valuable opportunities to connect with suppliers face-to-face and try their products before you buy.
- Networking – meeting peers within your restaurant community, such as through local restaurant associations or forums, can lead to trusted recommendations.
- Direct search – most suppliers have comprehensive websites where you can learn about their offerings and request more information.
Apicbase’s supplier management module simplifies tracking orders, deliveries, inventory movements, and supplier performance. It consolidates orders from various suppliers into one platform, making managing your purchases simple.
4. Evaluate potential suppliers
When comparing potential suppliers, focus on reliability, quality, cost, and delivery frequency. Note: You can do this in Apicbase. Testing the products ahead of time and visiting the supplier’s warehouse gives you an accurate idea of what it would be like to work with them.
Visiting suppliers helps you understand their operations and product standards. And ensure they have the necessary certifications and comply with food safety standards.
Apicbase’s analytics, dashboards and reporting features can assist in evaluating supplier performance, offering valuable insights into cost comparisons and overall supplier effectiveness. This helps you make informed decisions and maintain a consistent, high-quality supply chain for your restaurant.
5. Use the right technology for supplier management
With proper purchasing software for restaurants, your teams can better manage the procurement process and communicate clearly with suppliers.
You go from “Deliveries have been below par lately. Can you do something about it?” to “The delivery notes of 12th and 16th December did not match the purchase orders. On the 5th, we had to throw away the cod because the packaging had broken. We expect a refund on the next invoice.”
The right technology brings clarity, improves efficiency and reduces costs. You also have the data to support price negotiations and delivery schedules.
Cloud platforms provide multi-site restaurants with centralised control over order tracking and inventory management. Using a single system to monitor stock levels, track orders, and manage supplier relationships, you can reduce errors, prevent stockouts, and maintain optimal inventory levels across all locations.
The latest technology has all the tools you need to make all your procurement processes more efficient. Digital platforms like Apicbase offer comprehensive inventory and procurement management tools that simplify supplier interactions and ensure a smooth supply chain.
6. Build and maintain strong relationships with suppliers
Reliable suppliers provide a steady flow of ingredients, which is crucial for maintaining the quality and consistency of your dishes. Building solid relationships with suppliers helps you negotiate better terms and get priority service and early access to new product lines.
Building these relationships requires consistent and transparent communication. Keeping suppliers informed about your needs, expectations, and changes in your operations prevents misunderstandings.
Apicbase offers advanced purchasing tools and automated workflows that help maintain strong vendor relationships. Features like direct ordering with suppliers and tracking order status in real time make it easier to manage orders, track deliveries, and maintain transparency.
Managing Restaurant Suppliers is a Breeze With Apicbase
Efficient supplier management is essential for maintaining the quality and consistency of your restaurant’s offerings. With Apicbase’s comprehensive platform, you can improve procurement and supply chain management by managing essential functions on one digital platform.
Apicbase helps you avoid purchasing mistakes, monitor real-time stock, and ensure seamless coordination with all your suppliers.
Take the Next Step
By leveraging Apicbase’s advanced procurement and supply chain management features, such as consolidated purchase orders, centralised procurement, and inventory integration, you can more easily build and maintain strong relationships with your suppliers, enhancing efficiency and profitability.
FAQ
What is a restaurant supplier?
A restaurant supplier provides the necessary ingredients, products, and equipment that restaurants need to prepare and serve food to their customers.
What are the types of restaurant suppliers?
Restaurant suppliers include speciality vendors, importers, local farmers, direct manufacturers, and wholesale distributors.
Why are suppliers important for restaurants?
Suppliers are crucial for restaurants because they ensure a consistent and reliable supply of high-quality ingredients and equipment, essential for maintaining customer satisfaction and operational efficiency.
Can you negotiate with restaurant suppliers?
Yes, you can negotiate with restaurant suppliers. Negotiating terms can help secure better pricing, payment terms, and delivery schedules.
