Restaurant Management System: A Complete Guide

Updated on Apr 28th, 2023


Undoubtedly, the effectiveness and overall strength of a restaurant’s administration are key factors in the establishment’s success.  

Although architectural designers entice restaurant owners with promises of creating the ideal ambiance and comfortable surroundings, they frequently overlook restaurant management, which is the most crucial component of running this type of business. Any facet of a restaurant’s operations that is improperly managed might eventually result in its downfall, including inventory management, shift scheduling, and food pricing. 

But, improvements in efficiency using a restaurant management system can produce long-term success.  

Any café or restaurant that wishes to streamline and improve its management procedure will find this blog to be highly useful. 

In this blog, we’ll discuss all restaurant management system software and also its benefits, must-have features, and how to develop a custom restaurant management system for your business.  

So, let’s start with,  

What is Restaurant Management System Software? 

A standardized system termed a restaurant management system aid in planning and controlling all of a cafe’s or restaurant’s back-end operations. A restaurant management system may also include inventory management, payment processing, employee management, reservation management, shift monitoring, sales monitoring, data analytics, etc., depending on its scope.  

The system can also calculate the revenue generated by the restaurant. Additionally, it will display your profit for the day based on the transactions. In addition, a restaurant management system, especially for high or fast-food restaurants, could generate reports for each cashier, depending on shifts. The system can assess how well employees are performing.  

As you’ve seen an overview of the restaurant management system, let’s now discuss some top benefits of the restaurant management system.

Also Read:  How to Develop an Restaurant Management Platform Like Lunchbox?

Why Do Restaurants Require Restaurant Management Software in 2022? Top Benefits! 

Figures demonstrate the industry’s expansion as more and more restaurants feel compelled to invest resources in related technologies. 

Moving forward, here are some of the main advantages that we believe a custom restaurant management system will bring to any restaurant:


1. Higher Flexibility 

The flexibility of cloud-based restaurant management system software is a huge plus. This system enables you to control and handle the information and data in one location, even if you’re using multiple or various units, devices, and platforms. Although switching to cloud-based technology may seem like a difficult task, the advantages will become apparent in your regular operations. Additionally, a cloud-based restaurant management system displays data in real time and enables you to access it whenever and wherever you are. This might be especially important if you aren’t always in the restaurant. 

2. Boost Your Performance  

A restaurant management system can keep track of all the menu items and recipes and give details about the profitability of anything you serve there. You could perhaps be able to use it to compare your expected procurement expenses with your actual price of raw materials and get a thorough report that you can use to take appropriate action. It also helps in the long term, lowering ingredient costs, preventing food waste, managing portion sizes, and precisely forecasting your restaurant’s demand will lower wasteful costs and boost your profitability.  

3. Simplifies Operational Activities 

The ordering process involves assigning and structuring the order by table number. A cloud-based restaurant management system should be able to group orders according to table numbers. Additionally, even if several diners are seated at multiple tables, their orders can still be combined and recorded on a single invoice. Reservations for tables are handled by a restaurant management system, too! 

You can quickly handle payments with a restaurant management system, whether made with cash, a credit card, or even promotional products like reward vouchers.  

4. Ensures Full Utilization of Resources  

Every restaurant wants to maximize inventory levels, keep a high inventory turnover rate, prevent stockouts, dramatically cut overstocked items, and avoid the negative effects of complications like missing items and lost inventory that causes stock-taking errors, expiration, and other issues.  

Lowering emissions and conserving resources, following the suggestions of the restaurant management system and structuring your procurement activities better will help your restaurant and the entire globe.  

5. Easy to Track Sales Records 

In general, restaurants process numerous cash and credit card transactions. Thus, using high-quality restaurant management software will make it simpler for you to keep all sales records. You can keep track of all the products you sell with the help of the sales reporting you’ve got, which will enable you to make more informed judgments about your business. For instance, knowing who the most excellent servers are and the busiest times for your business will enable you to make changes to your menu based on the minor or most popular products sold.  

6. Ensures Better Communication & Collaboration 

Employees prefer to work for a business that promotes open communication. With restaurant management software tailored to individual communication needs, your team can maintain contact whether discussions require table management or navigating restaurant pos software. 

Also, by using a management platform that can transmit notifications on a mobile app in real time, employees will be better equipped to engage with customers. Conversations may be easily accessed and stored on a cloud-based restaurant management system for further use.  

There are various benefits of using a cloud-based restaurant management system in your restaurant. Yes, having restaurant system software guarantees it will be a worthwhile addition to your business. 


Also Read: How to Develop Cloud-based POS Software?

Top Must-have Features of the Restaurant Management System! 

The key features that you must include in your restaurant management system software are: 


a. Real-time Dashboard

Users of restaurant management software gets immediate and real-time access to various system-generated data. Even if you are miles away from your restaurant, you can monitor its operation using the real-time dashboard.  

b. CRM Integration

With a CRM system, you can keep track of customer communications and preferences. These details can be used to create marketing reports and improve customer service. A CRM system and restaurant management system software can be connected, giving you a complete picture of your clientele.  

c. Data History

You can use this functionality to store data in the cloud, which can then be retrieved as needed. Even if a record is lost, damaged, accidentally deleted, or the system malfunctions, the sales and transaction data remain secure. Cloud-based restaurant management systems can process any volume of data without distorting or losing that data. 

d. Accounting

The accounting and sales reports will be automatically generated daily for you to follow up on the metrics if you integrate this function into your restaurant management system software. You can analyze the sales report and analytics when automating data, and this information may be able to guide your company’s growth in the proper direction. 

e. Reserve Table

With this functionality, you’ll be able to manage all of your table reservations from your restaurant management system and accept bookings from your system. You can indeed keep a close eye on the guest list and wait times. An additional benefit is being informed when devoted consumers are on their way to you. 

f. Push Notifications 

For customers who pre-order food or anticipate a delivery, this feature is vital. Push notifications are also useful for notifying clients of upcoming reservations for tables. They might also receive updates on seasonal deals, special occasions, and holidays. Consider pushes as little interactive flyers that continuously update the customer.  

g. Payroll Management

The payroll process is automated by a good payroll. Additionally, it can produce pay stubs and tax reports and maintain track of individual time and deductions. Your payroll system can be connected with restaurant management system software to reduce time and guarantee accuracy. 

h. Inventory Management

The practice of monitoring and controlling stock is known as inventory management. You may track inventory levels, minimum and maximum stock levels, and reorder points using inventory management software development. This will indeed ensure that you never run out of supplies and that you always have a sufficient amount on hand.  

i. Online Payment

Give customers the chance to pay online with one click and a variety of payment methods when developing a restaurant management system (from debit-credit cards to payment gateways like PayPal, Stripe, and many more). Add a separate check payment feature after that. It’s a practical solution for those who want to order dishes in larger quantities.  

j. Loyalty Management

With the aid of this feature, you may offer your loyal customers better rewards. A good rewards program will also encourage your new consumers to become devoted clients.  

Now that you are aware of what to look for in restaurant management software let’s discuss,  

refer and earn with matellio

How to Develop a Custom Restaurant Management System for Your Restaurant Business? 

Follow the below-mentioned four key points steps in order to build an efficient restaurant management system software from scratch for your business.  

1. Do Some Research 

The pre-development phase includes both research and planning. Write a business plan with a unique business strategy in mind, or take ideas from the rivals. Try to find the answer to the below-mentioned points during competitive research: 

  • Check their offerings 
  • Explore functionalities 
  • Check their target audience 

Additionally, you must thoroughly understand the benefits that you anticipate gaining from the restaurant management system software development. Remember that not all software ideas can result in a profitable product. Set business goals, consider the critical KPIs, and look for the most effective approach to get the desired outcomes. 

2. Consider MVP Development  

Building an MVP version with basic features is ideal if you intend to save resources. Depending on the requirements, the software may be further developed and given more functionality. The beta testing phase, a necessary stage in the product development cycle, must be completed once the project is finished.  

3. Hire a Software Development Company 

Finding a reputable and proficient software development company is not a task you should overlook. This is why you need to approach this issue thoughtfully and pick a trustworthy company that has expertise working on projects similar to your business and has already developed a cloud-based restaurant management system.

Also Read: How to Hire Developers for Startup?

4. UI/UX Design 

Customers will be able to interact with the software through intuitive navigation and visually appealing boards, thanks to UX and UI design. Since the fundamental goal of a successful restaurant management system is to resolve actual problems, it should feature an easy-to-use user interface and a minimalistic design, also denoting a client-focused, interactive UI/UX design.  


You can manage and continuously enhance your restaurant with the aid of a dedicated restaurant management system. There are numerous approaches to designing a solution for your business. Also, you can partner with a top software development company to build software that is perfect for your restaurant business. Book a FREE 30-minutes consultation with our experts to get restaurant management solution. 

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