8 Ways Restaurant Operators Are Using AI and Automation for Smarter Labor Management

Managing restaurant labor is about more than filling shifts. It’s about making smarter operational decisions — balancing changing demand, employee skills, labor standards, and complex operating models while controlling costs and ensuring teams have the right people in the right place at the right time.

At Fazoli’s, Alamo Drafthouse Cinema, and Panini Kabob Grill, restaurant leaders are using technology to align labor decisions with the unique demands of their operations. From AI-powered forecasting and demand-based scheduling to location-specific labor models and skill-based planning, these operators are using Crunchtime Labor to bring greater precision to workforce planning.

Here are eight ways leading restaurant operators are using smarter labor planning to improve efficiency, control costs, and strengthen execution.

1. Build a More Reliable Picture of Demand

Effective labor planning starts with understanding what the business is likely to look like. More dependable demand projections give restaurant teams a stronger foundation for deciding how much coverage they need and when.

For Fazoli’s, that visibility supports consistent labor performance across the brand.

“At Fazoli’s, we use Crunchtime Labor to help maintain our labor standards of 98-102% accuracy for all locations,” said Logan Middleton, Point of Sale Administrator, Fazoli’s.

AI-powered forecasting helps the brand account for changing sales patterns and reduce some of the uncertainty that comes with manual planning.

“With Crunchtime’s AI sales forecasting, we see measurable improvements in scheduling performance and consistency,” Logan added.

At Panini Kabob Grill, forecasting plays an important role in managing the unique labor demands of a scratch-kitchen operation. With more preparation required throughout the day, having the right people with the right skills scheduled at the right times is critical to meeting demand while minimizing waste.

“At Panini Kabob Grill, operating a scratch kitchen requires precision every day. We rely on Crunchtime to accurately forecast demand, plan prep, and minimize waste, ensuring we never run out of product while avoiding excess,” said Harry Lopez, Vice President of HR and Director of Operations, Panini Kabob Grill.

Across different restaurant models, a clearer view of expected demand helps teams make better decisions before service begins.

2. Account for the Realities Behind Restaurant Demand

A sales forecast is most useful when it combines historical sales patterns with the operational factors that drive business. For some restaurants, those factors can be highly specific to the operation, making it important to account for more than historical trends alone.

At Alamo Drafthouse Cinema, movie schedules directly influence guest volume, kitchen demand, and operating hours. That creates a more complex labor environment, with staffing needs that can vary significantly from one location to another and from one day to the next.

“At Alamo Drafthouse Cinema, our labor model is highly complex and varies significantly by location. With Crunchtime, we accurately staff our kitchens and forecast prep needs based on changing movie schedules,” said Dennis Ogaard, Sr. Manager, Operations Services, Alamo Drafthouse Cinema.

Those schedules can also affect when each location closes, adding another layer of complexity to labor planning.

“Because our locations close at different times depending on showtimes, and those vary every day, we rely on Crunchtime’s labor templates to ensure each theater is staffed correctly,” Dennis added.

For restaurant operators, the lesson is broader: labor planning needs to account for the operational variables that shape demand, rather than relying solely on standardized schedules or historical patterns.

3. Replace Manual Guesswork with More Precise Scheduling

Better forecasting is only part of the equation. Operators also need a way to turn those forecasts into schedules without relying on time-consuming manual adjustments.

Even experienced managers can find it difficult to consistently translate changing demand into the right amount of labor. When uncertainty leads teams to build in extra coverage, labor costs can rise unnecessarily.

“Before Crunchtime, manual forecasting often led to over-forecasting and overstaffing. With AI forecasting, we eliminate that variability and staff with confidence,” Logan explained.

More accurate projections give Fazoli’s a stronger basis for making scheduling decisions.

“Crunchtime’s AI forecasting significantly tightens our schedules by delivering projections that are far more accurate than manual forecasts,” Logan added.

The value of that precision can extend across a franchise network. One of Fazoli’s largest franchise groups, with nearly 50 locations, implemented Crunchtime’s AI forecasting and has seen a meaningful reduction in labor costs.

Better forecasting can turn scheduling from an exercise in estimating a safety margin into a more disciplined process built around expected business.

4. Match Labor to the Work, Not Just the Sales

Sales volume provides an important signal, but restaurants also need to understand the amount and type of work required to support that volume.

Fazoli’s uses earned hours to connect staffing levels more closely to business activity.

“Using earned hours in Crunchtime helps ensure that we have the right amount of people in the restaurant for the volume of sales,” Logan said.

The brand also leverages technology to streamline staffing decisions as sales fluctuate.

“Crunchtime’s team helps us build automated, task-based labor templates that adjust staffing dynamically based on real-time sales thresholds,” Logan explained.

This approach gives operators a way to think about labor in terms of the work required to operate the restaurant, rather than treating every hour of the day as requiring the same level of coverage.

5. Prepare Teams for the Moments That Matter Most

Total daily sales don't tell the whole labor story. When demand is concentrated into short windows, even predictable sales volume can create significant operational pressure.

At Alamo Drafthouse Cinema, high-capacity theaters can see hundreds of food orders arrive within a short period.

“In our high-capacity theaters, hundreds of food orders can hit the kitchen within a 30-minute window. With Crunchtime’s labor templates, we stay prepared and execute with confidence,” Dennis said.

Planning around these demand surges helps teams prepare for the periods when additional capacity matters most. The same principle applies across restaurant concepts: the most effective labor plans account not just for how much business is expected, but for when that business is likely to put the greatest pressure on the operation.

6. Give Managers More Time to Focus on the Restaurant

Labor planning can consume valuable manager time when teams have to build forecasts and make adjustments manually. Automating repetitive work gives managers more capacity to focus on the operation itself.

“Crunchtime’s AI forecasting not only improves accuracy but also eliminates the time managers spend building manual forecasts,” Logan said.

Fazoli’s teams can also look further ahead when planning their schedules.

“With Crunchtime, our teams can forecast up to four weeks ahead, allowing them to plan schedules more proactively,” Logan added.

For operators, that means less time spent assembling the inputs to a schedule and more time available to prepare teams, address operational priorities, and manage the guest experience.

7. Adapt Labor Strategies to Different Restaurant Models

Restaurant portfolios often include locations with dramatically different footprints, workflows, and service models. A labor strategy that works well in one format may not translate directly to another.

Panini Kabob Grill manages a diverse mix of restaurant formats, from compact digital kitchens to full-scale dining locations.

“With locations ranging from 300-square-foot digital kitchens to 7,000-square-foot restaurants, our labor needs vary widely. Crunchtime Labor allows us to tailor staffing and labor sequencing to each model, ensuring every location is staffed with the precision needed to execute consistently,” Harry said.

That flexibility is particularly important for brands managing multiple operating formats. Rather than treating every restaurant as interchangeable, operators are able to account for the characteristics that make each location unique.

8. Build Teams Around Skills, Demand, and Compliance

The number of employees on a shift is only one part of effective labor planning. The capabilities those employees bring to the restaurant also influence how well a team executes.

At Panini Kabob Grill, employee skill information can be incorporated into scheduling decisions.

“Crunchtime Labor also enables us to track employee skill sets and schedule the right team members at the right times, while optimizing schedules around demand, reducing wasted labor, and maintaining compliance with complex labor laws,” Harry said.

This creates a more complete approach to labor planning, one that considers not only how much labor is needed, but also which employees can best support the operation at a given time.

For operators, bringing demand, skills, and compliance into the same planning process helps create schedules that are more effective for both the business and the team.

A Smarter Approach to Labor

Smarter labor management isn't about simply putting fewer people on a shift. It's about making more informed decisions that create the ideal schedule to support the business.

Fazoli’s, Alamo Drafthouse Cinema, and Panini Kabob Grill demonstrate how restaurant operators approach that challenge from different angles. They use AI-powered forecasting to improve scheduling decisions, flexible labor models to account for unusual demand patterns and diverse restaurant formats, and skill-based planning to build teams equipped for the work ahead.

Together, these capabilities give operators a more precise way to manage one of their largest and most important investments: their people.

The goal isn't to make teams work harder. It's to make labor planning smarter, so the right people are in the right place, at the right time, with the right skills to execute.

Ready to build a smarter labor strategy? Request a demo today.

The customer perspectives in this article were shared during Crunchtime's 2026 Ops Summit.