Impact of Food & Beverage Management on Operational Cost: A Case Study of Associated British Foods Plc

This research proposal aims to study the impact of food & beverage management on the operational cost of Associated British Foods Plc. It includes a literature review on the concept & role of F&B management in UK organizations, strategies to reduce operational cost, and recommendations for Associated British Foods Plc. The research question focuses on the concept & role of F&B management, strategies to reduce operational cost, and recommendations for Associated British Foods Plc.

Research Proposal 2
(Topic - The impact of food & beverage management in
reducing the operational cost of an organisation: A case
study of Associated British Foods Plc.)

Table of Contents
Topic - The impact of food & beverage management in reducing the operational cost of an
organisation: A case study of Associated British Foods Plc...........................................................3
Introduction......................................................................................................................................3
Research aim & objectives..............................................................................................................3
Literature Review............................................................................................................................4
Research Methodology..................................................................................................................11
References......................................................................................................................................16

Topic - The impact of food & beverage management in reducing the operational cost of an
organisation: A case study of Associated British Foods Plc.
Introduction
In this fast running globe, it is determined that F & B administration is described as the study of
management concerned with food transportation & service. It is determined that Budgeting &
menu preparation, for example, as well as ordering & inventory management. It also manages
human resource management, such as hiring experts for all of the firm's divisions. Head office,
backroom, financial, innovation, client service, promotion sales, administration, kitchen, supply
chain, & many others are among the departments. It is critical for the restaurant industry to
concentrate on operational costs, which are primarily caused by food waste & other cooking
materials (Bairagi and Munot, 2019). As a result, the following debate will be focused on the
notion & role of F&B management in UK businesses. The following study offers insight into
foodservice management solutions for lowering operational costs. It also considers how
foodservice management strategies affect operating costs. Associated British Foods Plc is the
subject of the entire investigation. It is a significant worldwide food processing firm with
headquarters in the United Kingdom & was founded in 1935. It deals with a variety of
international ingredients, as well as other goods & services. It is regarded as the 's largest
producer of sugar & baker yeast. Emulsifiers, enzymes, & lactose are among the other
constituents.
Research aim & objectives
Aim
To identify the impact of food & beverage management in reducing operational cost of an
organization: A Study on Associated British Foods Plc
Objectives

 To understand the concept & role of food & beverage management within UK
organizations.
 To determine the strategies of food & beverage management to reduce the operational
cost in Associated British Foods Plc
 To make recommendations on strategies of food & beverage management strategies on
operational cost of Associated British Foods Plc
Research Question
 What is the concept & role of food & beverage management within UK organizations?
 What are the strategies of food & beverage management to reduce the operational cost in
Associated British Foods Plc?
 What are the recommendations on strategies of food & beverage management strategies
on operational cost of Associated British Foods Plc?

Literature Review
Concept & role of food & beverage management within UK organisations
According to Mangla, Sharma, Patil & Xu, (2019), revealed that the restaurant industry
contributes significantly to the hospitality industry's substantial revenues. It’s because corporate
meetings, individual & social gatherings, & caterers are all on the rise these days. All of these
factors increase the demand for restaurants significantly. Furthermore, it leads to increased
profitability & profits production in the food industry. It eventually leads to an increase in the
economic growth gross domestic product & unemployment rate. Such a commitment will only
be useful if it has a low running cost, low food waste, & is properly maintained (Chowdhury,
et.al, 2020).
This Food & Beverage Manager position spelled correctly offers a list of the most significant
task & responsibilities of a Food & Beverage Manager. It's editable & ready to put on job sites.
Save time, attract competent candidates, & hire the best personnel by using it. This Food &
Beverage Manager job description template offers a list of the most significant activities &
responsibilities of a Head chef. It's editable & ready to put on job sites. Save time, attract
qualified candidate, & hire the best personnel by using it (Bresler and Stake, 2017). Job
Description for a Food & Beverage Manager determined that when a manager is a hospitality &
tourism specialist that is responsible for anticipating, managing, & controlling food & beverage
orders for a hotel. He also oversees the financial aspects of the entire purpose of buying food &
beverages for the hotel. The term "shopping" refers to the process of locating, purchasing, &
conveying food & beverages. It is critical to establish a clear & exact Food & Beverage Manager
job description in order to recruit the finest Food & Beverage Manager for your demand,
Obligations & obligations of a Food & Beverage Manager is responsible to manage the whole
food & beverage department of the hotel. it is determined that Food & beverage orders should

be planned, forecasted, & executed (Dopson and Hayes, 2019). Patiently handle client problems.
It is analysed that prepare different recipes for customers who have particular dietary
requirements. it is necessary to check the supply of food & beverages & place orders as needed.
it is also necessary to track shipping & place orders, mmaintain open lines of communication
with vendors & cultivate excellent working relationships, follow all food, medical, & safety
requirements, plan, hire, subway, closely monitor, & manage employees. Supervise & closely
monitor customer greetings, consistently strive for the exceptional client experience & also
competencies & criteria for a Food & Beverage Manager.
According to Okumus, Taheri, Giritlioglu & Gannon, (2020), defined that management in the
hospitality sector & businesses is known as F & B business. It is a component of the hotel
industry that mostly focused on activities in hospitality industry, as well as resorts & food
outlets. It also contains hospitals & a variety of other facilities. This is the industry in which all
businesses participate in operations such as the processing of raw food materials. It is also
engaged in the processing & packaging of the final product. Fresh & prepared foods are included
in this category, which is further separated into drinking & quasi liquids. There is no charge for
the trial, & no credit card is necessary & many other & the main role of the food & beverage is to
reach out to over 250 million prospective candidates,pposition Description Template for a Food
& Beverage Manager, join our team, we're seeking for a dedicated & inventive food & beverage
manager. The casual dining supervisor's tasks include overseeing food & beverage operations &
standards, sticking to budgets, employing & training food & beverage employees, & also
respond to customer concerns. company need have outstanding customer service & problem-
solving abilities, as well as expertise planning menus, to be a successful food & beverage
manager. Finally, a leading foodservice manager must be able to purchase just the correct
amount of goods to keep the business running until the next delivery (Grekova and et. al., 2016).
Food & beverage management is responsible to providing assistance with marketing
events & also developing & implementing restaurant policies, objectives, & key performance
indicators (KPIs) & also recruiting, developing, & supervising food & beverage employees.

Prerequisites for a Food & Beverage Manager, A maximum of 4 years of experience in the hotel
business, with a focus on food & beverages is required.
Food & beverage management need to focus on the food & beverage operations & pay more
attentions on some activities such as Food preparation, there is a need for someone who has
worked in a kitchen before. The cooks are familiar with kitchen vocabulary, equipments, &
fundamental preparing food skills. The main role of the F & B management is to focus on the
Sanitation, safety & hygiene in which basic hygiene, security, personal grooming, & general
food handling knowledge are required. Take a look at the logical legislation for the food service
sector first. it is determined that Food science & nutrition is more important in case of
management. it is necessary to use scientific method, as well as the chemical & physical changes
that occur during the manufacturing, manufacturing, & storage of food products, will be
introduced, as it will basic principles of nutrition & micro biology, such as those linked to
chemical reactions to food (Igwenagu, 2016).
Food & beverage management is necessary to control the cost of food & beverage
products & it is determined that the aspects look at how food & beverage, personnel, facilities, &
machinery are managed. Managers will be introduced to standards & processes that will boost
the likelihood of completing F&B tasks in the firm while keeping costs under control &
maximizing sales. Procurement methods will also be scrutinized. It is necessary to focus on the
Purchasing & materials management & Events & also conference management (Jagtap and
Duong, 2019).
Strategies of food & beverage management to reduce the operational cost in Associated
British Foods Plc
According to Dopson & Hayes, (2019), revealed that company uses methodologies for
assessing grocery bills so that gaps can be detected & appropriate precautions can be done to
avoid excessive costs. When it comes to inventory calculations, the business has always been
reliable & has a good relationship with the suppliers. The organization seeks to manage food

orders in order to prevent food waste, as well as to maximize the use of daily specials. It is
necessary to control the operational cost in case of the food & beverage management activities.
There are some effective strategies are identified which can helpful to reduce the operational cost
of the company. Even though companies sales are large, these high costs may not have been the
cause of your earnings. As a result, it's critical that you maintain these costs under control!
You're probably aware that some expenses are set in stone. Fixed expenses are those that you
can't change, but production costs are those that you can change monthly or quarterly. A rise or
decrease in operating costs is directly tied to an increase or drop in sales. Food costs, beverage
ends up costing, straws & handkerchief costs, & wage costs are just a few examples
(Meyers,Schmitt, Chester-Jone and Sturm, 2016). Some effective strategies such as watch food
waste, staff productivity, lower food costs, food presentation, first in, first out, review your
menu, stock management, reduce utility cost & also budgeting. In order to reduce the
operational cost, it is necessary to reduce the food waste & focus on the Portion sizing in which,
if clients never finish their meals, the portion control may have been too large. To avoid leftover,
use amount control methods to provide reasonable-sized servings. company need to focus on the
Kitchen preparation list in which , have the cook create a daily cooking prep list that specifies
how much of each ingredient must be produced. Cooks who don't have this tend to over-prepare,
resulting in excessive food waste.
As per to reduce the operational cost, company need to improve their staff productivity, it
is necessary to pay more attention on the cross-train employees so they may fill different tasks &
assist when needed & company need to improve the scheduling & also reduce the amount of
employees throughout slow times or close off portions of the restaurant that aren't in use. Apart
from this , company need to focus on the job summaries & also it is determined that everyone
should be given job descriptions & expectations, along with defined & comprehensive
performance measures, so that everyone underst&s what is expected of them are in order to
improve their performance (Nair, Rashidi and Dixit, 2017).
According to Raimo, de Nuccio, Giakoumelou & Vitolla, (2020), defined that
Aassociated British Foods Plc has a number of food & beverage management techniques in place
to lower operational costs. This company, for example, is concerned about food waste. They

keep an eye on foods & lean towards them. This is done to ensure that the maximum amount of
food natural resources is used while minimizing waste. It also cuts down on the expense of
operations. The company also focuses on employee performance, which leads to cost savings.
Furthermore, the company concentrates on menu demonstration & inventory control, as well as
power cost reduction & financial planning. in order to control cast, it is necessary for the
company to tracking & monitoring the food that comes into restaurants is the first step in
lowering food prices & waste. Many businesses order food in bulk quantities, but using all of
that food before it spoils can be challenging. Here are some suggestions for reducing bacterial
growth (Okumus and et. al., 2020).
Company should calculate the food costs & determined that in a restaurant, determining
meal expenses can take quite a long time, but remaining on budget & keeping track of your
finances can help you save period, effort, & meal in the long run. Inventory, cost of goods &
food cost % are all factors that should be considered when computing a food cost %. These
elements can assist you in sticking to your budget & also keeping track of your profit & loss
statement.

Recommendations on strategies of food & beverage management strategies on operational
cost of Associated British Foods Plc
According to Sovacool, Bazilian, Griffiths & Rooney, (2021), explained that Food &
beverage management techniques also have a detrimental impact on Associated Foods Plc's
operational costs. As an example, a corporation is experiencing delays in decision-making as a
result of time-consuming cost-cutting plans. This necessitates maintaining just & operational
management program, which can further absorb the company's current cost, time, as well as
energy. It is determined that the packaged goods like products industry, particularly food &
beverage companies, faces certain specific issues price increases & fragmented & preoccupied
workforces. Our sales & logistics leaders have developed the following recommendations to help
you get through this difficult time. It is necessary to focus on the forecast the demand to best
ability in which current-year sales should not be used as predictions, having started in March
2020, they are an outlier (Omar and Zallom, 2016). Estimate the growth by doing some research.
Using data from Statist, for example, it becomes evident how so much interest in the F & B
industry has increased in the recent time. Consumers have purchased significantly more edible
commodities, particularly packaged food, wine, & drinks. In regards of food & beverages, sales
of vegetarian items increased the most: oat milk sales increased by 347 percent, while revenues
of fake meat increased by little over 200 percent. Non-perishable food sales, in particular, have
increased in March. Overall, sales of food & beverages have increased. It is determined that
apply the determined rate of growth to the following few months based on previous year monthly
sales. If your company is in the relevant category, factor in the predicted increase in demand.
Consider the likelihood that demand will drop if COVID-19 lasts longer & shelter in place
becomes the "norm today." Plan your week, season, & quarterly ahead of time. It can be include
consumption levels in your calculations, & project a drop in demand once the consumer has
stocked up upon that goods, assuming a low level of consumption. Prepare for a drop in the price

& a gradual leveling out of demands. It is necessary to focus on the lower trade spend & also
determined that company brands should halt or suspend promotions within next 30 days,
according to industry analysts. There is insufficient supply at any level of the supply chain, &
there are extensive out on another shelves. It is recommended that company can prevent branded
merchandise driven volume surges that the production process can't handle by minimizing
promotion. Furthermore, eliminating marketing will help to stabilize inventory movement,
resulting in a higher in-stock rate all through the supply chain. As a result, putting a complete
suspension to promotions will allow the marketing budget to be redeployed once things have
calmed down. It is analysed that company already, several retailers are decreasing promotional
campaigns. Failure to do so may result in out-of-stock circumstances on the shelves, as well as
increased spending during promotional work, decreasing ROIs (Pandey and Pandey, 2021).
According to Nirino, Miglietta & Salvi, (2019), revealed that Food & beverage
management solutions have a positive impact on Associated Foods Plc's operational costs. The
corporation's strategies, for example, have profited the activity in a variety of ways. For instance,
an organization benefits from increased production & a significant profit margins due to lower
costs & the same current value as previously. Furthermore, it has decreased food waste while
maintaining CSR initiatives & environmental protection. It is recommended that company need
to increase the market share & it is also determined that ccompanies often increase their market
share through a variety of methods, including innovations, customer relationship improvement,
savvy hiring strategies, & acquisition of competition. However, just now, the most effective way
to grow your market share is to create a distinct br& position, which will necessitate spending
marketing resources. This may seem contradictory, but grabbing share of the market because
when market is declining will result in a big return on investment when the market improves.
Experts advise not investing money on invention at this time; instead, concentrate on your
greatest items & explore how you can improve their market dominance. Examine your social
media marketing plan as well. People would spend even more time in front of screens these days,
whether it's social networking apps, entertainment, the Online, or streaming platforms.

Conceptual framework
Based on current literature review, an expected relationship between variables has been set
out that is presenting the conceptual framework for current study. The current literature review
set out a conceptual framework about the Concept & role of food & beverage management
within UK organisations by the way of depicting and reflecting that it tend to be responsible to
providing assistance with marketing events & also developing & implementing restaurant
policies, objectives, & key performance indicators (KPIs) & also recruiting, developing, &
supervising food & beverage employees. Further, it has been also depicted and reflected by the
current study that the main role of the F & B management is to focus on the Sanitation, safety &
hygiene in which basic hygiene, security, personal grooming, & general food handling
knowledge are required. Apart from this, a relationship between the two variables has been also
presented by current study that is proving the link between the Strategies of food & beverage
management to reduce the operational cost in Associated British Foods Plc. It has been reflected
and supported by current project and investigation that the effective adoption of food and
beverage management strategies supports the reduction between the each thus helpful to reduce
the operational cost of the company. Therefore, it is tend to be critical that a rise or decrease in
operating costs is directly tied to an increase or drop in sales therefore adoption of some effective
strategies such as watch food waste, staff productivity, lower food costs, food presentation, first
in, first out, review your menu, stock management, reduce utility cost & also budgeting are
needed to be adopted to ensure and lead out the reduction within the operational cost of a firm.
Beside this, the current literature review also set a better framework and implication about the
Recommendations on strategies of food & beverage management strategies on operational cost
of Associated British Foods Plc that comprises of having the decreased food waste while
maintaining CSR initiatives & environmental protection. Along with this, supporting higher
awareness in customers and other shareholders through making use of the digital and online apps
also supports and lead to reduction with the operational waste along with supporting reduction in
wastage of food items to support suitable food and beverage management.

Research Methodology
Research methodology is considered as the most effective tool which can helpful to provide the
basic structure of the research and create the effective guideline. There are various steps are
involved in methodology which are given below-
Research method
A quantitative research also contains confidence intervals, as well as the appropriate sample size
& descriptive statistics for the variables in the study. Accurate & dependable findings may be
obtained as a consequence of this, which may eliminate the risk of obtaining data that is not
relevant to the study goal. As a consequence, the researcher employs the quantitative research
approach, which aids in the measurement of outcomes by examining quantitative data collected
on the study issue (Usmani and et. al., 2021).
Research Strategy
The research strategy is decided to be a tool that aids in the selection of the best approach
for carrying out the study or achieving the research's strategic goals. As an outcome, the majority
of researchers employ research method due to its proclivity for producing accurate data & high-
quality outputs. There are several types of research strategies, many of which have been
described in detail here for your convenience.=

 Interview -There are different sorts of interviews, including organised, semi-structured,
& unstructured interviews. When applied correctly & in accordance with the criteria,
research strategies are successful in producing relevant answers. According to this study,
the study will employ the survey method, which has the advantage of allowing
respondents to respond in a short amount of time. A list of specific questions, as well as
appropriate answers, will be developed. As a result, the participant can answer based on
what they know.
 Survey - When using this strategy, the researcher should create a questionnaire with
inquiries that the participants can understand. For instance, consider the open-ended
inquiry. The key reason for this just because it is simple to comprehend & participants
can answer in a substantial manner. In the case of this investigator, organised questioning
will be used in order to acquire favourable outcomes (Utami, 2019).
Research Approach
The abductive research technique is connected to determining as well as addressing weaknesses
that are related with both inductive & deductive approaches while doing research. Using this
method, the investigator focuses on overcoming weaknesses by employing a pragmatic
viewpoint. Abductive reasoning is also important since there are many explanations for a certain
phenomena in a given study topic & area. As a result, the investigator wanted some efficient
methods for determining which reasonable explanation to investigate from the outset. Investigate
can obtain useful data that directly helps to creating dependable outcomes that may help in
developing authentic investigation as well as numerous good end results using this sort of
technique.
Justification: In order to carry out the present investigation, deductive research is one of
the most effective & appropriate approaches that the investigator will use to analyse & measure
actual data. The key rationale for choosing this strategy is that it has the potential to boost the
chances of creating important info that is both valid & practical. It is mostly used to assess the

options for reaching a correct result. The investigator can acquire authentic data & alsofacts
using the deductive research technique, resulting in a truthful conclusion at the end of the
investigation. The investigative reporter can also use the deductive research technique to
establish the causal relationship here between ideas & elements in the research endeavour.
The research method touts itself as an easy way to perform a thorough & step-by-step
analysis of the issue. This research looks at two sorts of methodologies: inductive & deductive.
Both sorts of research approaches will be used in this investigation. In the case of the deductive
method, it covers noteworthy & also essential papers on a current study problem. The researcher,
from the other hand, will conduct an inductive analysis of the study's scope using a
questionnaire. As an outcome, both study methods will be used to get more accurate result.
Research Philosophy
Research philosophy is defined as a method that aids the researcher in locating, selecting,
processing, & analysing data. It assisted the researcher in determining the validity & reliability of
both elements. There are numerous research methodology philosophies like basic epistemology
liturgical texts, & so on. The paradigms of scientific inquiry, according to consist of four
components: ontology, epistemological technique, & final methods. As a result, the relevant
applications author’s research should be tied to the philosophical viewpoint in order to analyse
the phenomena of sociology. In order to get the prospective results for which the study is being
undertaken, various attitudes & expectations must be addressed during the research process
(Willmott, 2020). The four main types of the research philosophy tend to comprises of the
positivism, realism, pragmatism and interpretivisim. The realism research philosophy is based on
such method that suits the subject matter the most and can be used in qualitative and quantitative
study. Whereas, the pragmatism philosophy of research is based on collection of mixed data (i.e.,
both primary and secondary) and can also be used in qualitative and quantitative methods. On the
other hand, the interpretivisim research philosophy is related to data collection with small
samples and is used in the qualitative nature of study. Whereas, the positivism research
philosophy is relying on highly structured methodology to gather the data and information and is

use in quantitative nature of research. Thus, with respect to the nature of the current study the
making use of the pragmatic research philosophy is most appropriate and suitable and it supports
the undertaking of mixed nature of investigation to have better and more suitable research
results.
Research design
The whole technique immediately improves the research process by assisting in the explanation
of the study's methodologies. In this regard, research techniques are grouped into several features
& categories, with each method having its own unique character & objective for doing research.
The researcher may obtain trustworthy data utilising this strategy, which aids in making the best
decision possible inside the study.
 Descriptive Research - Descriptive research is the portion of quantitative inquiry in
which the researcher collects data using a survey. Various questions can be asked of
interviewees in order to determine their genuine perspective on view on this issue of
research. This method can be useful in obtaining actual & quantifiable data that will help
you make the best conclusion possible at the end of the research.
 Action Research - In the framework of research, the researcher collaborates with the
action researcher to diagnose a problem & come up with a solution. When a researcher
wishes to test a theory in a real-world setting, research design is used. On the basis of this
strategy, the investigator must have a specific goal in mind so that difficulties may be
found quickly & without wasting time.
Sampling
This sampling approach is used when an investigator has to contact a subject quickly. This sort
of sample procedure cannot be derived using any scientific approach. Investigators have no
influence over sampling component selection, which is mostly focused on proximity rather than
the presence of representations. This strategy of improbable sampling is used when there are

time & financial constraints in acquiring input. The investigator, for example, runs a survey to
determine the chances of a perfume producer accepting a smell. Under this sample strategy,
respondents are chosen primarily because they are close to the surveying desk & ready to
participate in a research project. Snowball Sampling, In this sampling strategy, samples are
selected based on qualities that are difficult to find. Existing individuals are referred to pick the
samples that are needed for the study using the snowball sampling strategy. With respect to the
current project, selection of the 30 employees would be made from the Associated British Foods
Plc with the help of the random method of sampling for the gathering of primary set of data.
Judgemental Sampling:
It's a way for generating research sample discretion based on the study's structure & an
awareness of the target market. Individuals that meet the study requirements & objectives
are picked using this sort of sampling approach.
Ethical considerations
At the time of performing research study, it is very important to consider ethics. Some
ethical considerations are there which research required to take into consideration. The major
consideration includes taking consent from the participants prior to participate in the study. The
another consideration is confidentiality of data. It is very important for the investigator to ensure
that all the data selected for the study must be kept confidential and the anonymity of participants
should be respected. If the participant of the research is at risk of harm, then it is the
responsibility of investigator to protect them, which might need releasing the confidential
information.
Limitation
In relation to this study, there are two main limitations including cost and time. In order to
carry on the investigation, the time is limited and researcher needs to complete all the activities
of the study within the specified time frame provided for it. Moreover, if reliable data is not
available for the study, it will limit the scope of analysis or can be an obstacle in finding a
meaningful relationship of the study.

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