Leaders Shaping the Digital Landscape
May 28, 2024

Restaurant Technology: Bridging the Cloud and On-Premise Divide

Restaurant Technology: Bridging the Cloud and On-Premise Divide

Technology has become a cornerstone of operational efficiency and customer satisfaction in the restaurant industry. Wade Erickson's recent Tech Leaders Unplugged interview with Anthony Presley, CTO of CBS NorthStar, sheds light on the restaurant technology vertical, particularly the integration of cloud and on-premise solutions. Presley, a seasoned expert in retail restaurant technology, shares his insights on the industry's transformation and future trends.

From Then Until Now

Restaurant technology has come a long way since the inception of point of sale (POS) systems. Presley, with over two decades of experience, has witnessed significant shifts. "Grocery technology and restaurant technology have different foundational problems, and they really don't work together well," he notes, highlighting the complexities that COVID-19 magnified. During the pandemic, the lines between grocery stores, convenience stores, and restaurants blurred, necessitating technology that could bridge these gaps.

Presley’s company, CBS NorthStar, has been at the forefront of these changes. Initially supporting traditional POS systems like Micros by Oracle and NCR’s Aloha, CBS NorthStar saw the need for a cloud transition over a decade ago. "Nobody was calling asking for a DOS-based point of sale anymore," Presley quips. This pivot led to the development of their own cloud-based POS solution, making them the first to deploy an iPad-based POS system at Stacked, a now-defunct restaurant chain. This innovation allowed customers to order directly from the table, a now commonplace feature but groundbreaking at the time.

The Hybrid Cloud Approach

One of the significant challenges in restaurant technology is maintaining operations during internet outages. Presley explains, "We are a hybrid cloud," which might confuse those unfamiliar with technical jargon. This approach means that most essential operations happen on-premise while the cloud is used for reporting and configuration. This design ensures that even if the internet is down, the restaurant can continue to function seamlessly.

Presley recounts instances where restaurants faced prolonged internet outages due to external factors like construction. "We ended up with a customer that was running back and forth, loading data onto flash drives and then driving out to get data out," he recalls. To prevent such disruptions, CBS NorthStar employs a three-tiered architecture: the cloud layer, an on-premise server component, and local devices. This setup ensures that as long as there is local network connectivity, all restaurant functions remain operational.

Integration and Customization

A significant part of CBS NorthStar's strategy involves integrating with various third-party systems. With over 100 integrations, ensuring seamless operation across different technologies is a complex but essential task. Presley emphasizes the importance of strong partnerships: "When we find third-party vendors that maybe aren't doing that, we will sunset that relationship over some time."

Maintaining a single code base across all their products allows CBS NorthStar to provide consistent updates and improvements. This approach also helps them cater to the unique needs of large enterprises, which often require custom solutions that align with their specific operational processes. "There’s the right way, the wrong way, and our way," Presley quotes a former customer, underscoring the bespoke nature of their services.

Future Trends: Edge Computing and AI

Looking ahead, Presley identifies several emerging trends that will shape the future of restaurant technology. Edge computing, for instance, is becoming increasingly important. This technology allows for more processing power on-site, reducing reliance on continuous internet connectivity. "We have pivoted into those edge computing pivoted into microservices and can replicate that data within the store," Presley explains.

Artificial Intelligence (AI) is another trend gaining traction. AI can enhance customer experiences by personalizing interactions, such as remembering previous orders and preferences. This capability aligns with modern consumer expectations and can drive repeat business. Presley also hints at the potential of AI in improving operational efficiencies, from inventory management to predictive maintenance.

Final Words For Dessert

By leveraging a hybrid cloud approach, ensuring robust integrations, and staying ahead of emerging trends like edge computing and AI, CBS NorthStar is well-positioned to continue driving innovation in the industry. As Presley aptly puts it, "The cloud sometimes creates more problems," but with thoughtful implementation, it can also provide robust solutions that keep restaurants running smoothly in an increasingly digital world.

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