Case Study: How a National Chain Eliminated Kitchen Inconsistency and Saved $2.8 Million Annually
The Challenge: Labor-Intensive Sauce Prep Creating Operational Headaches
A 500-unit fast-casual chain was facing mounting challenges with one of their menu items: queso. The made-from-scratch sauce required significant prep labor and was creating problems across their operation.
The Issues:
Time-consuming prep: Each location spent approximately 1 hour melting, heating, and preparing the queso from raw ingredients
Inconsistent quality: Guest complaints about texture, flavor, and temperature inconsistency were increasing
Food waste: Batches that didn't meet quality standards had to be discarded and remade
Limited kitchen space: Multiple ingredients took up valuable storage and prep space
Training challenges: High turnover meant constant retraining on the complex prep procedure
With thin margins and staffing challenges already straining operations, the chain needed a solution that could reduce labor costs while improving consistency.
The Solution: Chile Con Queso #7605
The chain switched to our fully prepared Chile Con Queso #7605, which requires only thawing, heating, and serving.
New prep process:
Thaw overnight in the fridge
Heat to serving temperature
Serve
Active labor time: Just 15 minutes per day, per location
Labor Cost Savings
Previous process:
Active labor time: 1 hour per day per location
Annual labor hours per location: 365 hours
Total system labor hours: 182,500 hours (365 hours × 500 locations)
With Ready Foods Queso:
Active labor time: 15 minutes per day per location
Annual labor hours per location: 91.25 hours
Total system labor hours: 45,625 hours
Labor Hours Saved: 136,875 hours annually
Financial Impact
Using a conservative average hourly wage of $12/hour for kitchen staff (accounting for states with varying minimum wages), plus a 35% burden rate for payroll taxes and benefits, the true labor cost is $16.20 per hour.
Annual Labor Cost Savings:
Hours saved: 136,875
Cost per hour (with benefits): $16.20
Total Annual Savings: $2,217,375
Per-Location Annual Savings: $4,435
Additional Benefits Beyond Labor Savings
1. Eliminated Quality Issues
Removed guest complaints about inconsistency
Consistent texture, flavor, and temperature at every location
No more refunds or remakes due to quality issues
2. Reduced Food Waste
No more discarding failed batches
Precise portion control with ready-to-use product
3. Simplified Kitchen Operations
Freed up valuable prep space previously used for multiple ingredients
Reduced SKU count in inventory management
Eliminated need to train new staff on complex prep procedures
4. Improved Staff Satisfaction
Kitchen staff can focus on higher-value tasks
Less stress during peak service times
5. Faster Speed of Service
Quick reheat means product is ready when needed
No waiting for lengthy prep processes during rushes
Consistent availability throughout the day
The Bottom Line
By switching from made-from-scratch to Ready Foods Chile Con Queso #7605, this 500-unit chain achieved:
$2.2+ million in annual labor savings
136,875 labor hours redeployed to higher-value kitchen tasks
Removed quality complaints
Significant waste reduction
Simplified operations across all locations
Payback Period: Immediate—the product switch paid for itself from day one through labor savings alone.
Could This Work for Your Operation?
If you're experiencing similar challenges with made-from-scratch items that are:
Labor-intensive to prepare
Difficult to execute consistently
Creating guest complaints or quality issues
Taking up valuable kitchen time and space
Ready-to-use products might be the solution you need.
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