Food Service Management Report: Compass Group Analysis - FSM Module

This report offers a comprehensive analysis of food service management, focusing on the operations of Compass Group. It begins by exploring diverse food supply chain approaches within the industry, including pop-up services, fine dining, and theme-based services. The report then delves into effective procurement and sourcing processes, emphasizing vendor integrity, the importance of value, authorized provider enumeration, and after-sales service. Furthermore, it examines the implementation of analytical tools, such as SWOT and Porter's Five Forces analyses, to support management strategies. The report also assesses various management practices that contribute to successful business operations, highlighting the significance of human capital management and supplier diversity. Overall, the report provides a detailed overview of the food service industry, with a specific focus on Compass Group's strategies and operational practices.

FSM
(FOOD AND SERVICE
MANAGEMENT)

Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Range of diverse food supply chain approaches among the food and service industry....1
P2 Fundamentals of effective obtaining and sourcing process for a food service operation. 2
TASK 2............................................................................................................................................3
P3 Examine the implementation of different analytical apparatuses to assist the management
strategies.................................................................................................................................3
P4 Assessment of various management practices that assist the successful business operations
................................................................................................................................................5
TASK 3............................................................................................................................................6
P5 Discussion on a significant food service business and the impact of the practices..........6
TASK 4............................................................................................................................................7
P6 Management practices within a specific food service operation using.............................7
P7 Management alternative to enhance performance containing the implementation plan...8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
The food and service management mainly states the nature of carrying out the food and
service operation to hospitality, restaurant and other leisure service. In many other words, it is a
dining sector that defines those businesses, institutions and businesses that make any dinner
outside of the house (Davis and et.al., 2018). The report illustrates the concept of Food and
service management in “Compass Group”. This report defines the assortment of different food
supply chain approaches subject to food service industry and key stakeholders in the process.
Main principles of effective procurement and sourcing terminology for a food service. The
context also extracts the implementation of environmental evaluation tools in order to support
the management of entity. The use of different management strategies for effective operational
and service management also considered in this report. Impact of efficient service management
upon food service management with proper evaluation presented to assess the effectiveness of
ethical practice in operational and service management.
TASK 1
P1 Range of diverse food supply chain approaches among the food and service industry
Food supply chain is the cycle of castle taking the various activities to identify the best
way to serve the clients. Food and service is recognized as the technique through which it
illustrates how the food is grown as well as prepared in such a way that it helps to contaminate or
dissuade nutrition-born disease (Mok, Sparks and Kadampully, 2013). Numerous types of tasks
to also be accomplished by the restaurant industry, that consist of effective process of developing
food as well as providing customers with either the highest quality services and products. Subject
to deliver products promptly to the clients, it is essential for all the company to provide
successful logistics techniques to maintain the flow of supply chain. For the restaurant industry,
there are a few strategies that are discussed below:
Pop up food services: this is a type of service which is used instantly to distribute the
product. For all those consumers who ask for something unique and tasty for the daily meals this
kind of facilities are provided (Nyheim, 2011). The popping has the prime benefit that even with
limited information so that they can run the store wherever. These facilities provide all the new
director on the industry with employment availability.
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Fine Dinning: It has become the very convenient method for the different clients around
the globe to serve the eatables (Hall Press, Bourlakis and Weightman, 2014). Good dinners
provide a variety of foods, including Chinese, Indian and Italian menus. This kind of restaurants
has emerged as an important source of revenue on the Market. There are qualified staff in terms
of providing the complete note list of eatables for consumer practicality. It consists of multiple
facilities such as carrying female's recliner as well as carting employers to the washroom or
restrooms.
Theme Food Service: Design or theme based food service is the type of facilities that are
focused on personal requirements and preferences choices (Abdullah, Abdurahman and Hamali,
2011). Such sort of particular draws consumers as it is focused on the concept that is distinctive
in the various perspective. It has also been recognized that throughout the long term the hotel
using style in their eatery is likely to benefit further profits.
Conference and Events: Service and food play an important role in meetings and
activities to provide better consumer service. These types of activities are organized by the hotel
or by project management to provide buyers with the highest quality facilities. The chain assists
in managing and managing stock monitor and ensuring distribution and collections are achieved
on schedule in the sense of conferences and activities.
P2 Fundamentals of effective obtaining and sourcing process for a food service operation
Acquisition is regarded as the organized mechanism of consumer purchase and sale of the
products (Firdaus and Kanyan, 2014). The primary objective of both the acquisition is to meet
the increasing client requirements to achieve a wider consumer base. Several procurement
concepts also described below:
Vendors Integrity assessment: this relates to a method whereby the client tries to gain
confidence from the distributors. It is necessary to always have common understanding and
confidence from both parties in order to build the best relationship with both the vendors. It is
necessary for Compass Group association to review previous experience with scoring sheet with
vendors until recruiting there for both the delivery.
Importance of Money: It is regarded as the services offered in return for money. In the
case of Compass Group leisure company, we have to ensure that consumers are satisfied with the
service quality. In addition, it is essential to provide the customer to value for the
financial facilities as it helps to create the industry's intangible assets and product picture.
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Authorized Providers enumeration: And provide their clients with the best services in
a well-defined way, it is essential for every type of organization to still have distinct providers
list (Tzeng and Chang, 2011). Compass group's manager should employ all kinds of distributors
who deliver good products on a continuing basis. There may be an absolute urgency and limited
supply on both the marketplace in which more manufacturers can better increase production.
After-sales and warranty servicing: it is an important factor in service that offers
customer experience. In the context of Compass Group, adequate after-sales support like
customer assistance is necessary to solve the problems in a well-defined way. It overcomes the
competitiveness that the organization needs to provide clients with warranty and service and
support facilities as such techniques attract more clients to a global market.
TASK 2
P3 Examine the implementation of different analytical apparatuses to assist the management
strategies
SWOT Analysis of Compass Group PLC
Strengths
Compass Group is a leading food
service provider of UK which works on a
contract basis and is well known for its
operations. This food service company has a
superb distribution network and it has the
highest reach all over the world. This helps
them to run their business smoothly and
maintaining customer satisfaction by giving
best services to the customers. The company is
known for its diversified portfolio and varied
product lines.
Weaknesses
The biggest weakness of the company
is its organizational structure which is not
much flexible and this hinders them to expand
them to different product categories as it only
goes with their existing working model. They
are also lacking in terms of positioning their
products as their target market is not much
clear about their USP which gives chance to
their competitors to capture their market. The
company is even facing high turnover of
employees after even spending highest on their
training as compared to their competitors.
Opportunities Threats
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Compass Group PLC has a great
opportunity to innovate its product lines and
business models. They can easily get involve in
lot of marketing and promotional campaigns to
convert new customers and retain the existing
customers. As the customers purchasing power
has increased, they can capture the new market
and increase their expansion growth and
profitability. Compass Group has good
financial position in the market which can help
them to use advance technologies to attract the
market and maintain the leadership position in
their industry.
Some of the serious threats which the
company us facing is the lack of skilled
employees in certain markets which is
hindering their growth and diversification. The
local distributors are also putting threat as it is
now difficult to capture the local market due to
huge competition and increased subsidies
given by the local government to domestic
businesses. As Compass Group is present into
various different countries, they are exposed to
huge exchange rate risk, political risk and
volatility across different markets.
Porter Five Forces Analysis
Threats of New Entrants:
In recent years, this threat has increased a lot in food service industry and due to this
pressure has increased on Compass Group as there are many new players entering the market and
doing very well like Starbucks, Mc Donald's, etc (Strategy and Business Model. 2019). They are
facing a lot of difficulty in capturing the niche market category and also in tackling the new
entrants coming in the industry. So, threat of new entrants is high for them.
Bargaining Power of Suppliers
Suppliers have high power to bargain as they can reduce the margin and reduce the
profitability of Compass Group (Dabholkar, 2015). As there are lot of players in the industry,
suppliers enjoy the dominance in the market and have higher negotiating power.
Bargaining Power of Buyers
Buyers also have high power because they can easily switch to the competitors as the
switching cost is low in the food industry. So, this may impact Compass Group's profitability in
the long run. Higher bargaining power of customers means higher promotional discount and
offers have to be given.
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Threats of Substitutes
There are a lot of substitutes in the food service industry (Johns, and Pine, 2012).
Customers can easily switch to other food chains, restaurants, cafes to get the best quality of food
at lower price. So, threat of substitutes is high for Compass Group.
Rivalry among the Existing Competitors
Food Service sector is facing enormous competition and is facing intensive rivalry which
puts a lot of pressure on the existing players like Compass Group to reduce their prices and
survive in the market. Long term financials may get impacted due to this reason.
P4 Assessment of various management practices that assist the successful business operations
Some of the main strategies of the company includes clear and proper approach towards
the services, sole focus and priority on food, growing and expanding organically, seeking upon
investing through mergers and acquisitions in a strategic way which fits to their organization and
innovating continuously by adding on new technologies, new categories and attractive product
lines.
Human Capital: It is the biggest challenge faced by the food service industry as they play
a very important in the service delivery (Mitchell and Greatorex, 2016). People pay higher prices
for the quality and the service they are getting, so a company needs to pay greater attention to
their human resources. Compass Group PLC invests a lot in their employees to train them and
make them efficient enough to handle the guests. For them, their employees are their
ambassadors and play a very important role in the growth of the organization. They have around
six lakhs people working across the globe in over 45 nations. Compass Group has created a MAP
for their employees wherever they exist so that there is consistency in the whole process and in
the operations. This MAP gives a system and framework which mentions focus areas. So, they
have listed down five important areas under it i.e. Attract, Develop, Retain, Engage and Perform.
The company even value the diversity of its employees and have policies to protect human
rights. They believe that better and quality services can be given to the customers by hiring the
right kind of talent. Compass Group gives proper recognition and takes complete feedback on
timely basis from its employees. Compass Groups has a lot of diversity when it come to their
suppliers. They serve diverse customers from across the world and their supplier network help
them to easily source the raw materials.
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With a large supplier base, it helps them to do timely delivery and due to this they do not
face any shortfall in terms of raw materials. The suppliers’ companies which are owned by
women and minorities are given clear guidelines and help to understand the needs of Compass
Group. The group also has set clear policies for the equal treatment to all in their distribution
network. In terms of maintaining inventory level, the company's inventory required per day is
very high and due to this reason huge working capital is required on regular basis.
TASK 3
P5 Discussion on a significant food service business and the impact of the practices
In modern business environment, Compass Group have implemented different ethical
standards in order to increase the functioning of different service (Espejel, Fandos and Flavian,
2018). This is essential for a company to implement CSR standard in order to make society a
better place and safeguard the overall environment. The proper implementation CSR polices are
also beneficial in developing the brand image of company and make customer more attracted
towards their services. Different responsibilities are involved in CSR operations like offering
consumers with services and products and conducting ethical trade practices with consumers. In
contrast to this corporate social responsibility, it has helped to improve the company's value and
the customer with respect to the industry's brand. Here are some ethical practices that are
described below:
Conduct fair trade: Maintaining the ethical practices is necessary for the business as it
creates a negative image in the eyes of consumers. Fair trade policies require a great deal of
commitment, including providing quality services to the suppliers, including observing the entire
process when manufacturing the commodity.
Produce organic material: In current times, people are more interested in the herbal
extract as they carry out the healthier lifestyle. Thus Compass Group are required to make
different product by considering the herbal ingredients and develop services such as herbal steam
bath which will increase customer base that directly increase the profit margin.
Enhance brand strength: In order to grow the brand image of company it is vital that
the company offers customers a higher quality product that helps them to maintain for a longer
period of time. In addition to this, it is necessary to improve job performance, as it will help to
provide clients with the best quality services.
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TASK 4
P6 Management practices within a specific food service operation using
Efficiency analysis methods are operation in which the organisation reviews the research
as well as provides information that is helpful for all the business to analyse and determine the
company's current placement (Tam, 2014). It also helps to preserve the worker's success in
supplying customers with quality care. These methodologies support organization in the well-
defined way to accomplish the motivation target as well as goal Here's some practices used in the
food and management services industry and the annual review tool to define briefly below:
Suggestions form customer after services: Service and food quality matters for all the
organization to create consumer confidence. food and management service entity like Compass
Group is necessary to incorporate a variety of homeostatic mechanisms to collect the data
to improve the organization's performance and facilities.
Process of controlling food manufacturing: It is critical that the organization constantly
tackles all operations and management processes that help companies retain the value and
credibility throughout the eyes of the consumers. In contemporary times, the brand identity is all
it builds up to generate gain, as well as helping to well identify how to grow the entities. It is
manager's venerability to ensure that certain machines including appliances are maintained after
utilization.
Standard Operating Procedures (SOP): This is a standard method that countries
adhere to assure accuracy in the professional conference such as sales, advertising and financial
reporting. Depending on the state of the corporation, it differs from industry to industry. This
includes daily log-ups that help to maintain the prompt shipping operation.
Materials for tracking and assessment: This article helped organizations to track all
administrative actions in order to minimize the gain and reduce costs reliability. Surveillance
includes a variety of tools and methods, including inspections, audits, security initiatives.
Compass restaurant will have to carry out regular test-ups as well as perform inspections that
improve the quality of the products and allow the company to make profit.
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P7 Management alternative to enhance performance containing the implementation plan
It is countered that how an effective management services and control to organise the
sections in hospitality industry. Subsequent plans and models are required to assist the operation
of business. Getting a substitute plan is important for the company as it helps the company to
lose its brand equity (Supply Chain. 2019). For companies such as Compass group, it is the
manager's duty to have concrete plans that help preserve the organization's flow in a well-defined
way. Therefore, alternate governance that are discussed in a well-defined structured below:
Balanced scorecards: It is regarded as a methodology utilized to create as well as define
various internal organisational processes and to produce consistent results. It is used to monitor
and the business with customer input that helps them improve the performance and also further
understand the manufacturer's evolving request. For both the company including Compass
Group restaurant company manager on the grounds of both the person's balance scorecard have
rewards and bonuses.
Benchmarking: It is defined as the products and services monitoring assessment
technique that set an example for many other business-based businesses. Nevertheless, it is also
recognized as the factors of both internally and externally incentives to well-definably boost
activities (Strategy and Business Model. 2019.). It serves as an alternate plan for both the
relevant establishment to establish an effective approach for enhancing the organization's
nature of services. It is important to improve productivity by providing services to customers to
customers in order to establish the standard.
Schedule: It becomes important for both the company like Compass Group to have a clear
timeline as it helps to define as well as set the time frame for the workers to accomplish the task.
In fact, this assists in performance management and control measures leading to optimal
utilization. Besides this, it helps to reduce the quality-related risk and helps to provide timely
products to customers.
CONCLUSION
It helps to understand the concept of food and service management. It was inferred from
the above study that it is important to monitor food or resources to sustain the price of the food in
a well-defined direction. it helps to meet customer needs. For the above operation organization
use the system to comprehend the organization's strength and weaknesses. Type
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of methodologies helps that how organizational needs to use, such as fine dinners, food storyline
and pop-up facilities enhance the visibility of entity among competitors.
REFERENCES
Books and Journals:
Davis, B. and et.al., 2018. Food and beverage management. Routledge.
Mok, C., Sparks, B. and Kadampully, J., 2013. Service quality management in hospitality,
tourism, and leisure. Routledge.
Nyheim, P. and Connolly, D., 2011.Technology strategies for the hospitality industry. Prentice
Hall Press.
Bourlakis, M. A. and Weightman, P. W. eds., 2014. Food supply chain management. Blackwell
Pub.
Abdullah, F., Abdurahman, A. Z. A. and Hamali, J., 2011. Managing Customer Preference for
the Food Service Industry. International Journal of Innovation, Management and
Technology. 2(6).p.525.
Firdaus, A. and Kanyan, A., 2014. Managing relationship marketing in the food service industry.
Marketing Intelligence & Planning. 32(3). pp.293-310.
Tzeng, G.H. and Chang, H.F., 2011. Applying importance-performance analysis as a service
quality measure in food service industry. Journal of technology management &
innovation. 6(3). pp.106-115.
Dabholkar, P.A., 2015. How to improve perceived service quality by increasing customer
participation. In Proceedings of the 1990 academy of marketing science (AMS) annual
conference (pp. 483-487). Springer, Cham.
Johns, N. and Pine, R., 2012. Consumer behaviour in the food service industry: a review.
International Journal of Hospitality Management.21(2). pp.119-134.
Mitchell, V.W. and Greatorex, M., 2016. Consumer perceived risk in the UK food market.
British Food Journal. 92(2). pp.16-22.
Espejel, J., Fandos, C. and Flavian, C., 2018. Consumer satisfaction: A key factor of consumer
loyalty and buying intention of a PDO food product. British food journal. 110(9).
pp.865-881.
Tam, J.L., 2014. Customer satisfaction, service quality and perceived value: an integrative
model. Journal of marketing management. 20(7-8). pp.897-917.
Online
Supply Chain. 2019. [online]. Available through <https://www.compass-usa.com/supply-chain/>.
Strategy and Business Model. 2019. [online]. Available through <https://www.compass-
group.com/en/who-we-are/strategy-and-business-model.html>.
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