Managing Food And Beverages Operations (PDF)

MANAGING FOOD AND
BEVERAGES
OPERATIONS

Table of Contents
INTRODUCTION...........................................................................................................................1
LO1..................................................................................................................................................1
P1 - Different types of food and beverage industry....................................................................1
P2 - Different rating systems for food and beverage industry....................................................2
P3 - Current and future trends affecting food and beverage industry.........................................3
LO3..................................................................................................................................................4
P6 - Compare different operational and marketing technology for different types of food.......4
LO2..................................................................................................................................................5
P4 - Management skills within food and beverage organization................................................5
P5 - Legal requirements and regulatory standards for food and beverage industry....................6
LO4..................................................................................................................................................7
P7 - Factors that influence consumer decision for food and beverage outlets............................7
P8 - strategies used in range of food and beverage outlets.........................................................8
CONCLUSION................................................................................................................................8
REFERENCES ...............................................................................................................................9

INTRODUCTION
Food and beverages services operations management can be defined as a function within
a manufacturing and other organization that oversees production process in order to ensure that
products are made in accurate manner. This present study is based on Frankie and Benny's food
chain theme restaurant. It was opened in 1995 and has approximate 260 locations across the UK.
This will going to show different businesses in food and beverage industry like fine dinning
restaurant, ethnic restaurant. Different types of businesses use different rating system which
helps them in evaluating their strengths and weaknesses. It shows some current as well as future
trends like changing demands of customers, hygiene factors that affect this industry. Further, this
study will also show importance of marketing and technology functions that are being used by
different businesses. It is also important to have professional skills and knowledge of legal
requirements for working in a food and beverages industry. Lastly. This report will discuss some
strategies that helps a restaurant in building a loyal customer base.
LO1
P1 - Different types of food and beverage industry
There are various types of food and beverages business like catering and restaurant
business which would provide the services to the customers. Customers are provided with
services of drinking and eating.
Restaurants are providing the services like food and beverages to customers. It consists
of the services which could be quick, as well food provided can be consumed quickly like fast
foods. It can also be big brands and as well chains of the restaurant as well franchises. Family
dining restaurant is the family restaurants where the restaurant is concentrating on the services of
food items which would include the quality of the services and the quality of the food provided.
Restaurants are divided on the basis of the cuisines, formality, cost and location. Restaurant
named Frankie and Benny is chain of restaurants which are having numerous outlets in the UK.
Frankie and Benny is also providing food delivery services to the customers (Rezitis, and
Kalantzi, 2016).
Catering business is gearing up in UK where the food is prepared for special events and
venues like wedding and parties. Catering is done by the catering companies and festival food
coordinators. It is challenged by the food safety and food handling problem in large groups.
Catering is divided into Event catering and catering done in banquets halls. Catering is depended
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on the event, cooking of the food and delivering the food and serving the food as well. some
companies provide full services like managing the work related the food and beverages,
decoration on the event and clean up after the event. In that case of providing full
services ,company is also called event management company.
Food and beverage industry include the business like catering and restaurant. Restaurants
is providing the services which would include preparing food for the customers and beverages as
well. Catering consists of managing the parties and the events and providing food and beverage
services.
P2 - Different rating systems for food and beverage industry
Ratings are given to the restaurants which are providing the services of food and
beverages. Ratings are given to the restaurants on the basis of the experience of the customers in
the restaurants. Frankie and Benny restaurant is provided with the ratings are given in the form
of stars like 5 star, 4 star,3 star.
Basis 1 Star 2 Star 3 Star 4 Star 5 star
Food services Services
provided at the
restaurant
were not upto
the mark.
Taste of food
as well as
quality of food
is not good.
Restaurants
are providing
the good
quality of food
Providing the
food according
to the prices of
the food and
beverages
Restaurant
were also
providing the
complementar
y services with
the good
quality of the
food.
Premium
quality food
and services in
provided to
the customers .
Beverage
services
Services for
the beverages
was quite slow
and not upto
the mark.
Services were
satisfied.
Services were
satisfied.
Services are
according to
the customer
expectation.
Services
provided were
above the
expectation of
the customers.
Restaurant
services
Environment
and facilities
Restaurant is
not having the
Environment
of restaurant
All the
facilities in the
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of the
restaurant is
not good
parking
facility and
nor food
delivery
service
and parking
facility is upto
date.
restaurant
were upto the
mark.
Ratings are provided on the basis of the feedback and the reviews of the customers.
Frankie and Benny restaurant is collecting feedback and reviews of the customers regarding the
food and beverages services provided in the restaurant. Feedback are collected through inline
surveys and questionnaire methods which will provide the needs and the wants of customers.
Reviews are collected through the websites and the review form which is filled by the customer
in the restaurants (Rychert and Wilkins, 2016).
Ratings are given by customers, so that restaurant can improve the services of food and
beverages which will also improve the reputation of the restaurant. Ratings are given on social
media websites and websites of the restaurant, which is seen by the by customer before visiting
the restaurant.
P3 - Current and future trends affecting food and beverage industry
There are various trends which are affecting the foods and beverage industry which
includes trends like changing the customer preferences, food safety and quality and innovation.
Frankie and Benny restaurant is affected by the following factors.
Customers of the restaurant are changing their preferences according to the facilities
and the increasing standard of living. Nowadays customers are preferred fast foods which is fully
depended on the taste and likes of the customers. Customers are affected by the food safety and
quality through which customers change their preferences.
Food safety and quality is must in the food and beverage industry. Customers want to
know about the food what they eat, whether it is healthy or not and also about the procedure how
the food is prepared. Transparency among the food quality is must for satisfying the customer
because customers believing on the facts, reality and what they see. There are various rules and
regulations levied on the restaurants for maintaining the food safety and quality.
Food and beverage industry is facing the uncertainty in the market, because the
restaurant are facing the tariffs and other problems like shortage of labor, shortage of delivery
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drivers and hikes in interest rates. Restaurants are looking into innovative things which will
absorb the cost of the restaurants and increase the sales of the restaurants (Wilson, Buckley,
Buckley and Bogomolova, 2016).
Food and beverage industry needs innovation as per the time. Restaurant must adapt the
strategies of using social media and improvise the food and beverage services provided to the
customers. As online marketing is increasing day by day food and beverage industry also has to
innovate services, which will satisfy the needs and wants of the customer.
Frankie and Benny must apply these trends and satisfy the needs and wants of customers.
Food and beverage industry must focus on the innovation of the products and the services must
also include food and beverage details how it is prepared and by what procedure. Nowadays
customer believing on facts and transparency among the food safety and quality as well.
LO3
P6 - Compare different operational and marketing technology for different types of food
There are various operational and marketing strategies which could be used in the food
and beverage business.
Basis Frankie and Benny Chaudhry buffet restaurant
Operational technology Restaurant is using Bluetooth
sensors for the food safety
which would ensure that their
food safety is up to the par.
Restaurant are also using
software for scheduling the
work of employees of the
restaurant.
Restaurant is adapting digital
inventory tracking system
through which restaurant
would calculate the inventory
in the system only. it would
also give details of the assets.
Restaurant is adapting the
newest trend for employee
management which is virtual
reality on boarding. It consists
of providing training to the
employees which would test
their skills, and they would not
have to touch the food as well.
Automated tool for purchasing
the inventory products.
Through these tool employees
would let know the low level
of products and through that
one would also be alarmed for
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Employees of the restaurant
would directly visit the system
and track each product of thge
inventory.
purchasing the products
because customers in the
restaurant would not be
waiting for the products and
late service would build
negative image of restaurant in
front of customers.
Marketing technology Nowadays restaurant are using
the mobiles for marketing of
restaurant, through social
media and using the official
websites of the restaurants.
Restaurant is using the
technology of using the pos
system through which
customers can pay through
banks which is also attracting
the customers in the restaurant.
Restaurant is providing the
offers and discounts to the
customers which would attract
the consumers easily.
Restaurant is also giving offers
on the online payment through
which would give cashback to
the customers on the total price
of food and beverages.
LO2
P4 - Management skills within food and beverage organization
Food and beverage industry need efficient management skill which would provide
effective customer service and also useful for the restaurant as well. A manager of food and
beverage restaurant must have the skills provided below.
According to (Rana, and Paul, 2017) manager must have effective communication skills
which includes both verbal and nonverbal. Good communication of manager would build strong
relations of the customers with the restaurant. Frankie and Benny restaurant is trying to hire
efficient employees which is good in communication because it would motivate the employees
as well. Through effective communication it would also increase the sales of the restaurant.
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As per (Davis, Lockwood, Alcott and Pantelidis 2018) manager must be excellent in
budgeting skills which would also improve the restaurant as well. Restaurant needs help in
budgeting and minimizing the cost of the expenses as well. Manager would look into the budget
and minimize the wastage of the financial resources for the restaurant. Frankie and Benny
restaurant is trying to train the employees regarding the budgeting skills of the restaurant.
According to the (Konstantinidis, Natos, and Mattas,2019) manager must have strong
leadership skills which would encourage the employees to work. Through effective leadership
skills manger would enjoy working with the other employee of the restaurant. Frankie and Benny
restaurant manager is building the leadership skills in the employees, so that they would be able
to work under pressure and would also solve the problems related to the restaurant.
As per (Lucan, 2015) manger must have knowledge of inventory management skills,
restaurant need to manage the inventory efficiently because at the time of order customer would
not want for the order. So manager must have complete knowledge about the inventory.
Inventory management skills are must for the employees of the Frankie and Benny restaurant.
Food and beverage restaurant would be hiring efficient employees which would have the
qualities of good communication, budgeting skill, leadership skills and inventory management
skills which would also prove as an asset for the restaurant.
P5 - Legal requirements and regulatory standards for food and beverage industry
There are various rules and regulations applied by UK government on the food and
beverage industry. The food and beverage industry is covering under the food and standards act
1999 and food safety act 1990 (Khusaini, Ismail, and Rashid, 2016).
The Food and Standard act 1999
The food standard act gives the powers to the food standard agency which is working for
protecting the customer health sand customers interests. It is also looking in to the food
businesses which are not under the burden of excessive rules and regulations. Restaurant is
responsible for removing the unsafe food from the market if not restaurant could also inform the
food inspectors or other food authorities. Restaurant must also ensure of the hygiene in the food
stuffs and proper hygiene while preparing the food stuffs. Unsafe food must be not be provided
to the customers. Non veg food which must not include the any materials which would be
harmful for the customers. Utensils in which the food is stored or given to the customers must be
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washed and hands must be washed while making the food or chef must wear gloves while
preparing the food.
The food Safety act 1990
The act states that the food is injuring the health of the customers, General Food safety
law is consists of food legislation and it also consists of laws of food quality, and the labeling of
the food. Restaurant must ensure that the quality of food must not be compromised in any way,
food must be labeled and presented as shown in the advertisements. False and low quality
product which are affecting the health of the customers must not be given to the customers, if
given restaurant would be charged with the penalty. Restaurant must ensure food safety in every
stage of food like preparing manufacturing and distribution of food to the customers.
These both the acts are keeping an eye on the restaurants and the food safety is must for
the customers and restaurant must not compromise with the quality of food and beverages.
LO4
P7 - Factors that influence consumer decision for food and beverage outlets
It is stated that the main aim of food and beverage industry is to satisfy their customers. Frankie
and Benny's restaurant focus on developing customers centric strategies and approaches for
satisfying them. There are several factors which are being considered by customers on making
decision regarding selecting food and beverages outlet. Some influencing factors are shows as
below:
Taste: Customer go to restaurant for changing their taste and having food which can give
them pleasure and taste better than home. So, it can be said that the taste of the food being better
than home-cooked food is a critical factor that influence the choice of consumers in selecting the
food and beverages outlets (Steinbrook 2017).
Affordability: From a survey it is identified that several people prefer to go to
restaurants who are affordable for them. By providing qualitative food an affordable price to
customers, restaurants can not only attract customers but also become the market leader.
Menu variety: Availability of variety of the menu selection is called the other main
factors that influence customer in making decision for selecting food outlet. Frankie and Benny's
offers numerous outlets nationwide. By providing a choice of selection of different food outlets
food and beverage industry can influence customers to make decision (Houghtaling, and et.al.,
2019).
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Brand loyalty: From a survey conducting on random customers, it is analysed that
majority of people believe that brand of the food outlets is the main factors that influence them to
make decision. Mouth publicity and image of an organization plays a key role in this regard
(Studdert, Flanders,and Mello 2015).
Nutrition and healthy food: Nowadays people are becoming health conscious, and they
prefer only those food outlets who keep them healthy and have nutritions. So, it can be said that
restaurants or food and beverage industry should focus on all these factors for attracting
customers.
P8 - strategies used in range of food and beverage outlets
There are several innovative ideas and strategies that are being used by different types of
businesses of food and beverage industry with the main aim of attracting wider range of
customers and retain them. In the context of Frankie and Benny's restaurant it can be said that it
uses some attracting and unique strategies which help it out in retaining its potential customers.
Some ways and strategies are described as below:
Delivering exceptional services: Customers visit restaurant again when they feel
satisfied and valued. For making customers satisfied there is a requirement for restaurants to
deliver them excellent services at the time of their visiting. Providing them quick services,
excellent dinning experience and the best quality of food can build a loyal customers base.
Connecting customers through social media: It is not only important for food and
beverages industry to provide services them at the time of visiting but also they require keeping
in the contact with customers after services as well. Customers give reviews on the website of
the company but some restaurants do not respond to their reviews. By using social listening
companies can identify most vocal as well as active customers. So, by giving proper attention to
customers after services, they can retain them and build loyalty.
Using of advanced technology: It is stated that most of the customers prefer to do
business and engage with an organization that offers personalized service. For this purpose,
organization need to invest in customer relationship management system. It allows them to
identify their potential and regular customers as well as their preferences. By making an effective
use of digital menus, they can speed up their service (Carle and Schweiggert, 2016).
Personalized thank giving message: It is an important tool that can help the company in
attracting them and make them feel valued. By sending a personalized thank you E-mail and by
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saying like We understand that you have a hectic schedule, but if you have a spare moment, we
always appreciate an honest review on our Website. These type of messages make them feel
respected and valued, and they are more likely to come up to the same restaurant.
CONCLUSION
Food and beverages industry is divided into restaurants and catering services these
services provided by the restaurant are rated by the feedback and the reviews of the customers.
This restaurant is rated on the basis of the feedback and rates are given by the customers for the
food and beverages services. Rating of the restaurant includes star rating which can be 1 Star, 2
Star and as well 5 Star. Restaurant provides the facilities like parking facilities and premium
facilities for regular customers. Food and beverage industry is looked by the food and standard
act 1999, and food and safety act 1990. This act is levied on the restaurants, they cannot give
unsafe food and also not compromise with the quality of the food provided to the customers.
Food and beverages outlets use the advanced technology and is also connecting with the
customers through social media. There are some factors also which is influencing the decision of
the customers like Price taste and brand. Food and beverage restaurant must apply these
strategies on the restaurant to manage the food and beverage service.
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REFERENCES
Books and journals
Carle, R. and Schweiggert, R. eds., 2016. Handbook on natural pigments in food and beverages:
Industrial applications for improving food color. Woodhead Publishing.
Davis, B., Lockwood, A., Alcott, P. and Pantelidis, I.S., 2018. Food and beverage management.
Routledge.
Houghtaling, and et.al., 2019. A systematic review of factors that influence food store owner and
manager decision making and ability or willingness to use choice architecture and
marketing mix strategies to encourage healthy consumer purchases in the United States,
2005–2017. International Journal of Behavioral Nutrition and Physical Activity. 16(1).
p.5.
Khusaini, N.S., Ismail, A. and Rashid, A.A., 2016, February. Investigation of the prominent
barriers to lean manufacturing implementation in Malaysian food and beverages
industry using Rasch Model. In IOP Conference Series: Materials Science and
Engineering (Vol. 114, No. 1, p. 012090). IOP Publishing.
Konstantinidis, C., Natos, D. and Mattas, K., 2019. Food and beverages industry competitiveness
in economic turbulence. British Food Journal.
Lucan, S.C., 2015. Concerning limitations of food-environment research: a narrative review and
commentary framed around obesity and diet-related diseases in youth. Journal of the
Academy of Nutrition and Dietetics. 115(2). pp.205-212.
Rana, J. and Paul, J., 2017. Consumer behavior and purchase intention for organic food: A
review and research agenda. Journal of Retailing and Consumer Services. 38. pp.157-
165.
Rezitis, A.N. and Kalantzi, M.A., 2016. Investigating technical efficiency and its determinants
by data envelopment analysis: An application in the Greek food and beverages
manufacturing industry. Agribusiness. 32(2). pp.254-271.
Rychert, M. and Wilkins, C., 2016. What products are considered psychoactive under New
Zealand's legal market for new psychoactive substances (NPS,‘legal highs’)?
Implications for law enforcement and penalties. Drug testing and analysis. 8(8). pp.768-
778.
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Steinbrook, R., 2017. Physicians, industry payments for food and beverages, and drug
prescribing. Jama. 317(17). pp.1753-1754.
Studdert, D.M., Flanders, J. and Mello, M.M., 2015. Searching for public health law’s sweet
spot: the regulation of sugar-sweetened beverages. PLoS medicine. 12(7). p.e1001848.
Wilson, A.L., Buckley, E., Buckley, J.D. and Bogomolova, S., 2016. Nudging healthier food and
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review. Food Quality and Preference. 51. pp.47-64.
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