MenuM8 - Professional Menu Costing Software
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Basic Workflow: From Ingredients to Costs

Understand the complete MenuM8 workflow from inputs to costings

8 min read

Basic Workflow: From Ingredients to Costs#

Understanding the MenuM8 workflow is key to using the system effectively. This guide explains how data flows through the system and how each piece builds on the previous one to give you accurate menu costing.

The MenuM8 workflow: Three Core Steps#

MenuM8 follows a logical, three-step workflow that mirrors how you actually work in your kitchen:

1. INPUTS (Ingredients) → 2. PRODUCTS (Recipes) → 3. COSTINGS (Menus)

Each step builds on the previous one, creating a foundation for accurate cost tracking and profitable pricing.


Step 1: Inputs (Ingredients)#

Inputs are the raw ingredients and supplies you purchase from suppliers. They form the foundation of your costing system.

What to Track#

For each input, you record:

  • Name: What you call the ingredient (e.g., "Chicken Breast")
  • Unit of Measure (UOM): How it's measured (kg, liters, units, etc.)
  • Price: What you pay per unit
  • Supplier: Where you buy it from (optional but recommended)
  • Allergens: Any allergens present in the ingredient
  • Tags: Categories for organization (optional)

Why Inputs Matter#

Accurate input pricing is crucial because:

  • All recipe costs are calculated from input prices
  • When input prices change, all dependent recipes update automatically
  • You can track price differences between suppliers
  • Allergen information flows up to recipes and menus

Example Inputs#

  • Flour - 1kg for £1.20 from Supplier A
  • Eggs - 12 units for £2.50 from Supplier B
  • Butter - 250g for £1.80 from Supplier A
  • Milk - 1 liter for £0.90 from Supplier C

Best Practice: Update input prices regularly (weekly or monthly) to ensure your menu prices remain profitable as supplier costs change.


Step 2: Products (Recipes)#

Products are recipes created by combining inputs (and other products). They represent the dishes, components, and menu items you actually sell or use.

How Products Work#

A product consists of:

  • Name: The recipe or dish name (e.g., "Chocolate Cake")
  • Components: List of inputs or products used
  • Quantities: How much of each component is needed
  • Output Quantity: How many portions or units this recipe makes
  • Output UOM: The unit for the output (portions, servings, cakes, etc.)

Automatic Cost Calculation#

MenuM8 automatically calculates:

  • Total Cost: Sum of all component costs (input price × quantity)
  • Cost Per Unit: Total cost ÷ output quantity
  • Allergens: Inherited from all components

Example Product: Chocolate Cake#

Components:

  • Flour: 0.5 kg × £1.20/kg = £0.60
  • Eggs: 4 units × (£2.50/12) = £0.83
  • Butter: 0.2 kg × (£1.80/0.25kg) = £1.44
  • Chocolate: 0.3 kg × £12.00/kg = £3.60

Total Cost: £6.47 Output: 8 slices Cost Per Slice: £6.47 ÷ 8 = £0.81 per slice

Automatic Updates: If the price of flour increases to £1.50/kg, MenuM8 automatically recalculates the chocolate cake cost to £6.62 total (£0.83 per slice). You don't need to update anything manually!


Step 3: Costings (Menus)#

Costings are where you build complete menus, set prices, and calculate profit margins. This is where products become sellable menu items with markup applied.

How Costings Work#

A costing contains:

  • Name: The menu or event name (e.g., "Lunch Menu" or "Wedding Catering")
  • Items: List of products included in the costing
  • Quantities: How many of each product
  • Markup: Profit margin applied to each item (global or item-specific)
  • Locked Prices: Override prices when needed (optional)
  • Custom Fields: Additional data for planning (optional)

Pricing Calculations#

For each item in a costing, MenuM8 calculates:

  • Cost: Product cost × quantity
  • Markup: Percentage or multiplier applied to the cost
  • Selling Price: Cost × (1 + markup percentage)
  • Profit: Selling price - cost
  • Margin: Profit ÷ selling price

Example Costing: Café Lunch Menu#

Global Markup: 200% (triple the cost, 66.7% profit margin)

Items:

  1. Chocolate Cake (1 slice)

    • Cost: £0.81
    • Markup: 200%
    • Selling Price: £0.81 × 3 = £2.43
    • Profit: £1.62 per slice
  2. Tomato Soup (1 portion, cost £0.65)

    • Selling Price: £0.65 × 3 = £1.95
    • Profit: £1.30 per portion

Total Menu Cost: £1.46 Total Menu Price: £4.38 Total Profit: £2.92

Markup vs. Margin: A 200% markup means you charge 3× the cost (cost + 200%). This gives you a 66.7% profit margin (profit ÷ price). MenuM8 handles these calculations automatically.


Component Products: Recipes Using Recipes#

One of MenuM8's powerful features is component products – using recipes as ingredients in other recipes.

Why Use Component Products?#

Component products are useful for:

  • Base recipes: Make pizza dough once, use it in multiple pizzas
  • Sauces and stocks: Create once, use in many dishes
  • Prepared items: Pre-made components used across menus
  • Consistency: Ensures the same recipe is used everywhere

Example: Pizza with Pizza Dough Component#

Base Component: Pizza Dough (Product)#

  • Flour: 1 kg
  • Water: 0.6 liters
  • Yeast: 0.02 kg
  • Salt: 0.02 kg
  • Output: 5 pizza bases
  • Cost Per Base: £0.60

Final Product: Margherita Pizza#

  • Pizza Dough: 1 base (£0.60)
  • Tomato Sauce: 0.1 kg (£0.20)
  • Mozzarella: 0.15 kg (£1.50)
  • Basil: 10g (£0.30)
  • Total Cost: £2.60 per pizza

Nested Calculations: MenuM8 automatically calculates costs through multiple levels of components. Change the flour price, and every pizza that uses pizza dough updates automatically!


Data Flow Diagram#

Here's how changes flow through the system:

INPUT PRICE CHANGE
     ↓
All Products using that Input recalculate
     ↓
All Products using those Products recalculate
     ↓
All Costings using those Products recalculate
     ↓
Your menu prices stay accurate

Example Impact of a Price Change#

  1. Flour price increases from £1.20/kg to £1.50/kg
  2. Pizza Dough (uses flour) recalculates from £0.60 to £0.68 per base
  3. Margherita Pizza (uses pizza dough) recalculates from £2.60 to £2.68
  4. Lunch Menu costing (includes Margherita Pizza) updates selling price

All of this happens automatically without manual intervention!


Real-World Workflow Example#

Let's walk through a complete real-world scenario: costing a catering menu.

Scenario: Wedding Catering for 100 Guests#

Phase 1: Add Inputs (Ingredients)#

Add all ingredients you'll need:

  • Chicken breast (kg)
  • Vegetables (various)
  • Rice (kg)
  • Butter, cream, herbs, etc.
  • Dessert ingredients

Time: 30-60 minutes for complete ingredient database

Phase 2: Build Products (Recipes)#

Create your menu recipes:

  1. Roasted Chicken Breast

    • Chicken: 0.2kg per portion
    • Herbs: 5g per portion
    • Butter: 10g per portion
    • Cost: £2.50 per portion
  2. Herb Rice

    • Rice: 75g per portion
    • Butter: 10g per portion
    • Herbs: 5g per portion
    • Cost: £0.30 per portion
  3. Seasonal Vegetables

    • Mixed veg: 150g per portion
    • Butter: 10g per portion
    • Cost: £0.80 per portion
  4. Chocolate Mousse

    • Ingredients...
    • Cost: £1.20 per portion

Time: 20-30 minutes for 4-5 dishes

Phase 3: Create Costing (Event Menu)#

Build the wedding costing:

Event: "Smith Wedding - June 15" Guests: 100 Global Markup: 150% (2.5× cost, 60% margin)

Menu Items:

  • Roasted Chicken: 100 × £2.50 = £250 cost → £625 selling price
  • Herb Rice: 100 × £0.30 = £30 cost → £75 selling price
  • Seasonal Veg: 100 × £0.80 = £80 cost → £200 selling price
  • Chocolate Mousse: 100 × £1.20 = £120 cost → £300 selling price

Total Cost: £480 Total Selling Price: £1,200 Profit: £720 (60% margin) Price Per Guest: £12.00

Time: 10 minutes to build costing

Phase 4: Generate Reports#

  1. Shopping List: See exactly what to buy and how much
  2. Job Sheet: Production instructions for your kitchen team
  3. Menu: Customer-facing menu with allergen information

Time: 2 minutes to generate

Total Time Investment#

  • Initial setup: 1-2 hours
  • Future events: 10-15 minutes (ingredients already in the system!)

Efficiency Gains: After initial setup, creating new costings is fast because your ingredient and recipe databases are ready. You can quickly price new events, compare options, and adjust for profitability.


Best Practices for the Workflow#

1. Start with Core Ingredients#

Don't try to add every ingredient at once. Start with:

  • Your most-used ingredients (top 20-30)
  • Your signature dishes
  • Current menu items

Expand the database gradually as you add more recipes.

2. Organize with Tags#

Use tags to organize:

  • Inputs: Dairy, Meat, Vegetables, Dry Goods, etc.
  • Products: Mains, Desserts, Sides, Sauces, etc.
  • Costings: Events, Menus, Catering, Quotes, etc.

3. Keep Prices Updated#

Set a schedule for updating ingredient prices:

  • Weekly: High-volatility items (fresh produce, meat)
  • Monthly: Stable items (dry goods, canned goods)
  • Quarterly: Very stable items (spices, oils)

4. Use Suppliers#

Track suppliers for each ingredient to:

  • Compare prices between suppliers
  • Manage relationships
  • Track which supplier offers the best value
  • Switch suppliers easily when needed

5. Build Component Recipes#

Identify commonly used components:

  • Stocks and broths
  • Sauces and dressings
  • Dough and batters
  • Base preparations

Make these once as products, then use them in multiple recipes.


Common Questions#

What if I change an ingredient price?#

All recipes and costings using that ingredient automatically recalculate. You'll see updated costs everywhere immediately.

Can I use the same recipe with different portion sizes?#

Yes! Create the base recipe, then in your costing, adjust the quantity. MenuM8 scales the cost automatically.

What if I have different costs for different suppliers?#

MenuM8 tracks one active price per input. If you buy from multiple suppliers, you can:

  1. Create separate inputs for each supplier version (e.g., "Chicken Breast - Supplier A")
  2. Or update the price when you switch suppliers

How do I handle waste and yield?#

Adjust your input quantities to account for waste. For example:

  • If you buy 1kg of chicken but only use 0.85kg after trimming, increase the input quantity in your recipe to 1.18kg (to account for 15% waste)
  • Or adjust the input price to reflect the cost per usable kg

Next Steps#

Now that you understand the workflow, learn more about each step:

Pro Tip: Consider loading demo data to see a complete working example of the workflow with realistic ingredients, recipes, and costings. Click AccountLoad Demo Data.