5/3/2018

1

Key Performance Indicators to Drive

Success in Child Nutrition Programs

MASBO Annual Conference

Presented by: Jean Ronnei, SNS, Senior Consultant

May 11, 2018

Jean Ronnei, SNS, Senior Consultant

ProTeam Foodservice Advisors

Corporate Partners:

Affiliation or

Financial Disclosure

5/3/2018

2

Importance of KPIs

Stay on Budget

Measure and Compare

Reports that Rock

• Council of the Great City Schools (CGCS) Managing for Performance

• 97 Foodservice KPIs

• Benchmarking against member districts

• Gain access to useful tools

• ICN, SNA, ActPoint KPI

• Top KPIs to measure to make data- driven decisions

4

Today’s Learning Goals

5/3/2018

3

CGCS - Managing for Results

Establish a common set of key performance

indicators (KPIs) in a range of school operations,

including business services, finances, human

resources, and technology.

Use these KPIs to benchmark and compare

performance of the CGCS school systems and use

the results to improve operational performance.

Managing for Results in America's Great City Schools, 2017, Results from Fiscal Year 2015-2016.

▪ 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

Top KPIs to Measure

6

5/3/2018

4

TOTAL KEY PERFORMANCE INDICATORS

Each metric is measured annually. 512

POWER INDICATORS

High-level strategic metrics. The equations for these metrics

often have many variables and provide a good starting point

for examining performance.

63

355

ESSENTIAL FEW Mid-level metrics which are provide both strategic and managerial level information. The equations for these metrics often have fewer variables than Power Indicators and provide information of the performance different functions of the department.

KEY INDICATORS

These metrics are granular in nature. The equations have very

few variables and allow users to identify the factors that

create the performance of other metrics.

94

CGCS KPI Methodology

▪Council of the Great

City Schools(CGCS)

97 Foodservice KPIs

Internal & External Benchmarking

8

5/3/2018

5

Description:

Total food costs, divided by the total meal count of all meal types. Breakfast meals are weighted at one-half; lunch meals at one-to-one; snacks at one-fourth; and suppers at one-to-one.

Factors that Influence:

▪ USDA Menu & Nutrient requirements

▪ A la carte items

▪ Convenience vs. Scratch Food Items

▪ Purchasing and production practices

▪ Meal prices

▪ Participation rates

▪ Use of commodities

▪ Use of a warehouse or drop-ship deliveries

▪ Theft

Why use it:

Food cost is the second largest expenditure that foodservice programs incur. Careful menu planning practices, competitive bids for purchasing supplies, including commodity processing contracts, and the implementation of consistent production practices can control food costs.

KPI – Food Cost Per Meal

Food Cost Per Meal Trends Over Time

5/3/2018

6

KPI – Breakfast Participation

An n ual Report to Scho o l Bo a rd

2016 -17 - Horse Run Public Sc hools - Breakfast Part icipat ion Rate (Dist rict wide)

Total breakfast me a ls s e rved , d ivided by tota l d ist r ict st ude nt e nroll me nt t imes the number of scho o l days in t he year.

Why This KPI Is Important

• St udi es s ho w a positive corre la t io n between bre a kfast and scho ol a t t e nda nce , alertness, he a lt h, be havi o r a nd

academic succe ss .

• A strong breakfast program indicates a commitment by t he food se rvice program and the d ist r i ct le ad

e rs h ip on pre pa r ing students to be "ready to learn" in t he classroom.

Fact ors That Influence This KPI

• Menu sele c t ions

• Provis io n II and Ill and Un ive rsa l Fre e

• Fre e / Re d uced pe rce nt age

• Food pre pa rat ion methods

• Att ractive ness of d i n i ng a re as

• Ade qua t e time to eat

3335

3253

529

3341

3323

3271

3361

31 98

3236

3278

Ill 3223

W 3344 'i: 3331

3268

0 3248 66

3240

3295

3232

3347

465

777 32

3217

548

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

20 1 6- 20 1 7 Breakfast Participation Rate (Districtwide) -••

5/3/2018

7

External Benchmarking - SNA The School Nutrition Association’s (SNA) Operations Report is compiled every other year. This report provides some industry KPI benchmark information, specifically average daily participation.

National Data from 2016 SNA Operations Report

13

Average Daily Participation Rates - SNA

14

5/3/2018

8

Full-Paid Meal Prices - SNA

15

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 performance.

Examples:

▪ Participation between like

schools

▪ Participation month to month,

YTD

▪ Sick time

▪ Inventory Turns

▪ Meals per Labor Hour (MPLH)

Internal Benchmarking - ICN

16

5/3/2018

9

Description

The number of meal equivalents (MEQs)

served per labor hour represents the

primary measure of productivity and

production efficiency for school nutrition

(SN) programs.

Meals Per Labor Hour (MPLH)

17

Meal Equivalent

▪ MEQ is the conversion of different

meal services (i.e., breakfast, supper,

and snacks) and non-program food

sales to the equivalent of one

federally reimbursable student lunch

for comparison purposes.

▪ A federally reimbursable student lunch

is the standard unit of measurement.

Rushing, 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 = 0.67 MEQ

(1) Snack = 0.33 MEQ

Non-program food sales

÷ Free lunch reimbursement rate

+ current USDA Foods value

= 1 MEA

Planned Productive Labor Hours

(PPLH)

▪ PPLHs include the amount of

labor planned by an SN

program for managers, kitchen

staff, and cashiers.

▪ Paid hours for substitutes are

included, but not paid hours for

sick, personal, or holiday leave.

MEQ Values

Rushing, K. (2017). Essential KPIs for School Nutrition Success. Hattiesburg, MS: Institute of Child Nutrition, Applied Research Division

5/3/2018

10

How to Calculate MPLH

MPLHs 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)

Rushing, K. (2017). Essential KPIs for School Nutrition Success. Hattiesburg, MS: Institute of Child Nutrition, Applied Research Division.

MPLH Industry Standard

Industry Standard

▪ 14-18 MPLH

▪ If the MPLH for a site is inside this range,

adjustments are likely not necessary

▪ If MPLH is 18 or above

▪ No adjustment is needed

▪ If MPLH is below 14

▪ Labor hours may need to be adjusted

20

5/3/2018

11

Case Study: Benchmarking MPLH

Eastern Carver County, MN

▪ Director aware that labor hours in

similar districts were lower

▪ Were ECCs high schools not as

efficient?

▪ What might she learn from an on-site

observation

▪ Similar district comparison study

Case Study: Enrollment,

Attendance, & Participation Rates

5/3/2018

12

Case Study: February 2017

Participation Data

• MPLH:

• Reg. scheduled staff:

14.9 -19.8

8 - 19

• Daily labor hours:

• Cashier positions:

37.5 - 91.25

3 - 6

• Lunch entrée choices: 5 - 10

Variance between 8 high schools Chanhassen

16.7

19

91.25

6

8

Chaska

14.9

19

87

5

8

Case Study: Survey Results

5/3/2018

13

▪ 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

Top KPIs to Measure - Questions?

25

Resources

Managing for Results in America's Great City Schools,

2017

https://www.cgcs.org/cms/lib/DC00001581/Centricity/

Domain/4/Managing%20for%20Results%20-

%202017.pdf

Institute of Child Nutrition

http://theicn.org/documentlibraryfiles/PDF/2017040402

3743.pdf

School Nutrition Association

https://schoolnutrition.org/

5/3/2018

14

Thank You!

ProTeamAdvisors.com

Jean@ProTeamAdvisors.com

844-662-3767 ext. 119