A New Menu Analysis Approach: Time-Driven Menu Engineering (TDME)

ABSTRACTThis study aims to develop a new menu analysis model using a time-based activity-based costing method which allocates costs to activities. In this new menu analysis model, in addition to food and beverage costs, labor and general production costs are taken together while calculating contribution margin. In this study, a mixed research method was utilized. An a la carte restaurant is considered in the study. Interview and observation techniques, which are qualitative research methods, were used to determine the activities in the restaurant. The activities were determined by a descriptive analysis of the interviews with the employees of the restaurant. In the quantitative part of the study, job sampling was used to determine the duration of the activities in the restaurant. Because job sampling is used to distribute the costs incurred in the restaurant to the activities, this method is not yet used in the field of gastronomy. Therefore, the durations that were previously used as estimates were actually determined. In this study, the aboyeur activity was also added to the activities in restaurants for the first time. As a result of the study, a new menu engineering model that enables cost-based menu analysis in restaurants is introduced. In this model, all costs incurred in restaurants are included in the cost analysis, and a contribution margin is calculated accordingly. In this respect, the model brings a new approach to menu analysis.KEYWORDS: Job samplingmenu engineeringtime based activity based costingfood and beverage businesses AcknowledgmentsI wish to thank Prof. Dr. Semra GÜNAY for her constructive suggestions in revising the manuscript, her support and encouragementDisclosure statementNo potential conflict of interest was reported by the author(s).Data availability statementData will be made available on request.DisclaimerNeither the research content nor the authors’ intentions were altered in any way during the proofreading process. The authors are free to accept or reject my suggestions and changes in the proofread document. However, I do not bear responsibility for revisions made to the document after my proofreading.Implications for gastronomyMenu analysis is a vital element for restaurants. In this context, it would be good to develop menu analysis for restaurants within the scope of current issues. This study combines the application of contemporary financial accounting with the application of menu engineering and brings a new perspective to menu engineering. The most important contribution of the study is to guide restaurants in the managerial process by providing accurate and effective cost calculation. Another contribution of the study is the use of scientific methods at each stage of the creation of this new model; determining the activities, determining the duration of the activities, and analyzing the costs and menu engineering.Additional informationFundingThis study was supported by Anadolu University Scientific Research Projects Coordination Unit under Grant (Project Number 1806E229).