How to Calculate and Establish Meals Per Labor Hour (MPLH)

1 Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriHow to Calculate and Establish Meals Per Labor Hour (MPLH)Presented by: KymmS Mutch, MS, RDN, ProTeam Foodservice Advisors Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriAffiliation or Financial DisclosureKymmS Mutch, MS, RDN VP of Products and ServicesCorporatePartners: Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriImportance of Key Performance Indicators (KPIs) Stay on Budget Measure and Compare Prepare Reports that Rock Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St.

2 Louis, MissouriToday s Learning Goals Calculate Meal Equivalents MEqsfor use in MPLH formula. Calculate MPLH using the Institute of Child Nutrition s Essential Key Performance Indicators (KPIs) for School Nutrition Success. Use MPLH to evaluate cafeteria staffing and manage Labor budgets. Understand how MEqsand MPLH are the backbone of other KPIs Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriMEASURING OPERATIONS Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriKPIs to Measure School Food Operations Food Cost Per Revenue Food Cost Per Meal Breakfast Participation (District-wide) Breakfast F/RP Participation Rate Fund Balance as % of Revenue Labor Costs Per Revenue Lunch F/R Participation Rate Lunch Participation Rate (District-wide) Total Costs as % of Revenue Costs Per Meal Meals Per Labor Hour Inventory Turns Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St.

3 Louis, MissouriExternal Benchmarking -SNAThe School Nutrition Association s (SNA) Operations Report is compiled every other year. This report provides some industry KPI benchmark information, specifically average daily participation. 2018 SNA Operations Report Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriFull-Paid Meal Prices -SNA Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriInternal Benchmarking -ICNE xamples: Participation between like schools Participation month to month, YTD, and year over year Sick time Inventory turns Meals per Labor Hour (MPLH)Collecting and analyzing KPI data from a single school or schools within a district over time for comparison to itself for measuring school or district , K.

4 (2017). Essential KPIs for School Nutrition Success. Hattiesburg, MS:Institute of Child Nutrition, Applied Research Division Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriWhy tracking MPLH is Important Measures financial success of the SN program Monitors the Labor efficiency of operations Determines appropriate staffing levels Drives the Labor budget Makes the case for a operational change central kitchen, vended Meals , staffing patterns transition to scratch cooking Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St.

5 Louis, MissouriDefining Meals Per Labor Hour (MPLH)Institute of Child Nutrition (ICN) DefinitionThe number of meal equivalents (MEQs) served per Labor hour represents the primary measure of productivity and , K. (2017). Essential KPIs for School Nutrition Success. Hattiesburg, MS:Institute of Child Nutrition, Applied Research Division Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriMEqValuesRushing, K. (2017). Essential KPIs for School Nutrition Success. Hattiesburg, MS:Institute of Child Nutrition, Applied Research Division(1) Lunch or Supper = 1 MEQ (student or adult)(1) Breakfast = MEQ(1) Snack = MEQNon-program food sales Free lunch reimbursement rate+ Current USDA Foods value = 1 MEqPlanned Productive Labor Hours (PPLH) PPLHs include the amount of Labor planned by an SN program for managers, kitchen staff, and cashiers.

6 Paid hours for substitutes are included, but not paid hours for sick, personal, or holiday leave. Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriICN MEqspreadsheet example Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriHow to Calculate MPLHMPLHs are calculated based on actual productive, paid Labor hours assigned to a site.# of Meals or Meal Equivalents (MEqs) # of Planned Productive Labor Hours (PPLH) Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St.

7 Louis, MissouriMPLH Industry StandardIndustry Standards 14-18 MPLH If the MPLH for a site is inside this range, adjustments are likely not necessary MPLH 18 or above -Evaluate, and adjust as needed If MPLH is below 14 -Evaluate, and adjust as needed Keep in mind special circumstances Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriCase Study -Robla, CA MPLHA CEP Elementary District Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriCase Study -Robla, CA MPLH ProTeam Recommendations Develop new work schedules Continue cross training and rotating staff Hold employees accountable for their assigned work Promote and celebrate the collaborative approach to customer service that has teachers, paras, and custodians supporting meal service Provide MPLH to managers monthly and adjust when warranted Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St.

8 Louis, MissouriCase Study XYZ District MPLHMPLH Assessment as part of a Fresh Eye Review Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriCase Study -ECC, MN MPLHE astern Carver County, MN Director aware that Labor hours in similar districts were lower Were ECCs high schools not as efficient? What might be learned from an on-site observation? Developed a similar district comparison study Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriCase Study -ECC, MN Enrollment, Attendance, & Participation Rates Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St.

9 Louis, MissouriCase Study -ECC, MN Participation Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriKPI comparisonMounds View IronwoodHastingsStillwaterMahtomediCente nnialChanhassen ChaskaTotal MEq1,3531,4631,2391,2067391,3631,5251,29 2 Daily Rate79%92%91%59%66%72%103%99% Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriUsing MPLH to determine staffingMounds ViewIronwoodHastingsStillwaterMahtomediC entennialChanhassenChaskaTotal assigned MEq1,3531,4631,2391,2067391,3631,5251,29 2 MPLH Goal1818181818181818 Total recommended staffing MEqMPLH Goal= Recommended Staffing Hours Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St.

10 Louis, MissouriCase Study -Survey ResultsVariance between 8 HS s Reg. scheduled staff:8 19 Daily Labor Cashier positions:3 -6 Lunch entr e choices:5 Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St. Louis, MissouriTop KPIs to Measure -Questions? Food Cost Per Revenue Food Cost Per Meal Breakfast Participation Rate(District-wide) Breakfast F/RP ParticipationRate Fund Balance as % of Revenue Labor Costs Per Revenue Lunch F/R Participation Rate Lunch Participation Rate(District-wide) Total Costs as % of Revenue Meals Per Labor Hour Inventory Turns Copyright 2019|School Nutrition Association |Annual National Conference|July 14-16, 2019|St.