Food and Beverage Industry Innovation

The provided assignment delves into the food and beverage industry's evolution beyond just serving food. It highlights how companies are now more customer-centric, leveraging innovations to enhance their services. The study mentions various strategies employed by companies such as McDonald's, including introducing real heroes (chefs), taking help of referrals, manageable websites, and increasing facility options like drive-throughs. The conclusion emphasizes that the industry is shifting towards thinking globally but acting locally, with a focus on health choices and technology-driven market trends.

MANAGING FOOD AND
BEVERAGE OPERATIONS

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Differentiate the businesses which are related to the Food and beverage industry, describe
the selected business with the different area of the industry.......................................................1
TASK 2............................................................................................................................................3
P2 Type of rating systems are used in food and beverage industry on domestic and
international level........................................................................................................................3
SCORE ON THE DOOR............................................................................................................3
TASK 3............................................................................................................................................4
P3 describe the current and future trends which affect the food and beverage business............4
TASK 4............................................................................................................................................5
Explain the professional management skills required for food and beverage business..............5
P5 define Regulatory standards and legal requirements a food and beverage industry has to
follow .........................................................................................................................................6
TASK- 5...........................................................................................................................................7
P6 differentiate technological tools use for operation and marketing functions.....................7
TASK- 6.........................................................................................................................................10
P7 examine Factor affecting choice of customer ...................................................................10
Environment- environment of a food outlet comprises hygiene, brightness, cleaning, seat
availability, peace, no anti social activity, ventilation arrangements, attractive decorating
and furniture, special cabin for family gathering or business lunches, party space etc.......11
P8 Explain strategies practices for attract customers ..........................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Food and beverage industry relate to the providing food and beverage product to the
consumer. In this project we discussed about the different F&B outlets styles, their rating system,
trends, skills which are required for the management and the standards of health and safety
which have to follow by the F&B outlets. This file help to differentiate the various technology
which are use in the F&B industry, and the factor which help to make the long term relationship
with the consumer.
TASK 1
P1 Differentiate the businesses which are related to the Food and beverage industry, describe the
selected business with the different area of the industry.
SECTOR DESCRIPTION ADVANTAGES DISADVANTA
GES
EXAMPLE
EMPLOYER
HOTELS Hotels are the place
which provide the food
and accommodation
services, there could be
various type of food and
beverage outlets.
Great
opportunities of
jobs, improve
managing skills,
chance to getting
good amount of
tips, career
growth etc.
Stress of work is
very high, hotels
run whole round
year there is not
any festival or
government
holidays.
Working hours
and shifts is very
long. Timely need
relocation.
Apex hotels, its
operates 10 hotels
in Edinburgh,
Scotland, UK
FAST
FOOD
Those type of food
outlets where food is
easy to prepared, it
known for speed of
service.
Less work
pressure, good
pay and tips,
helping co-
workers,
customer prefer
Customers may
be rude, same
work process
make the day
boring.
Eat, chain of
sandwiches shops
operates 110
shops in the UK

this type of
outlets so
increase the
chances of tips
and income .
HOSPITAL
CATERIN
G
SERVICES
This services are
provided in the hospital
to the patients and staff.
The food served is
appetizing and
nutritious.
Increasing in
knowledge of
healthy food,
peaceful
environment,
Surrounded by
sickness and
disease, need
more focus to
avoid cross
contamination of
food.
Hinchingbrooke
hospital, England,
UK
THEME
PARK
RESTAUR
ANTS
It's also known as
amusements park
restaurants. Themes of
these restaurants are
based on entertainment
and fun.
Good customer
behaviour, fix
duty hours.
Heavy rush on the
weekends, career
growth is hard.
Alton Towers,
Staffordshire,
Paul tons Park,
Hampshire
RESTAUR
ANTS
Restaurants are place
which provide food and
beverage in exchange of
money.
Good growth, job
opportunities,
good income
other than salary.
Less salary,
heavy work load.
No weekends.
Many policies of
restaurants.
Hard rock cafe,
London. UK,
Wagamama,
London UK
PRISON
CATERIN
G
SERVICES
This service are
provides in prison for
prisoners.
Fixed menu, less
work load.
Safety issues.
Lack of growth &
advancement.
Government
allots the catering
services
OUTDOOR Its mean to give the Work on Depend on the The Ludlow

CATERIN
G
SERVICES
caterer gives the service
other than his own
place.
different
location.
special events. No
stable income.
catering
company,
PenniBlack
catering services,
London
Quick
service Quick service food
restaurants provide
ready-made food like
pizza, sandwich, burger.
So that it can purchase
quickly and consume by
customer in less time.
This kind of food
outlet required
less physical set
ups like table and
other furniture. It
gives prompt
satisfaction to
customer.
Quality of food
can affect
customer's
perception for
brand for
lifelong.. This
kind of service
stores and
restaurants has
high employee
turnover ratio.
Dominos,KFC,
Poppies, Square
Pie, Prêt A
Manger
Self-service Hospitality organisation
like hotel, tour traveller,
restaurants and
supermarket provide
software and hardware
setup like apps,
website, self service
machines, touch screen
kiosk so that they can
customise the service as
per their need.
It provides
maximum
satisfaction to
customer by
saving their time
and effort for
getting service. It
also helps
organisation with
lower the staff
requirement in
store.
Customer do not
have adequate
education and
technical
knowledge are
unable to get the
benefit of these
service apart from
that it give huge
operational cost
to organisation
for maintain the
machines and
Star tours, Asda
Stores Limited.

update software.
These services
have high threat
of customer data
theft..
Eat all you
can buffet In this kind of service
variety of food is placed
in a public place, so that
customer can take food
as per his taste and
requirement.
It will benefit to
customer and
service provider
with minimise
the cost of
waiter. Customer
will get his food
in less time with
lots of food
option.
Food wastage is
the biggest
limitation in this
style. Handicap
and people with
having other
physical disorder
can not accesses
to this style.
The opera
buffet,COSMO,
The Montagu
Kitchen
TASK 2
P2 Type of rating systems are used in food and beverage industry on domestic and international
level.
SCORE ON THE DOOR
This rating system helps to provide the information of the food and beverage hygiene standard,
its give the different star to the business on different parameter which informed the people the
level of hygiene of business. Its is most important factor for the company to maintain the hygiene
its include how food is handling, where its store, how chefs are prepared the food. Hygiene
rating does not show the information of food taste, customer service, restaurant ambience etc.
this rating help for the business to attract the customers(Green, and Kane, 2014). 5 star is
showing that hygiene is on top of the scale and hygiene is good, 0 is bottom of the hygiene level
where hygiene is must improve
 AA ROSETTES

The Rosette system recognise for different levels of cooking nationwide. Getting a rosette is
based on single or multiple visit of a hotel or restaurant. There are different type of rating in
Rosette this include 1-5 rosette on different parameter. All the different rating are based on skills
, selection of menu, ingredients and remarkable consistency. The announcements of rewards for
1 and 2 Rosettes at inspection time, 3 and 4 Rosettes are announced at two time in a year. 5
Rosette announce only once in a year.
 MICHELIN STARS
Michelin stars are a rating system that gives the grade to restaurants on the basis of their quality,
its divide into three type of star,1 star represent the restaurant is very good, 2 star represent
excellent cooking, three-star means exceptional cuisine. Update of the stared restaurant one time
in a year.
 HOTEL STARS RATING
5 star hotel- Those properties which have range of facilities and highly personalised service, and
which are beyond the guests exceptions. World class facilities to the guests is priority for the
hotels. Amenities- pc in the room, safe, mini bar, concierge etc.
4 star hotel- These properties has offers wide range of deluxe service, the level of service is well
above average. Its have all the facilities which will able to meet the guest's satisfaction level.
Amenities- bath robe, A la carte- restaurant, lobby with seats and beverage services, free Wi-Fi
etc.
3 star hotel- usually a stand on the average level of the service, its has all the basic facilities,
locations of these hotels depend on the city where its situated. Amenities telephone service,
dressing mirror, internet access etc.(Dopson, and Hayes, 2015).
2 star hotels- this type of hotels are medium size, service of the hotels are less effective than the
3 star hotels. Facilities are very simple, menu will have limited choice of item. Amenities- bath
towels, breakfast buffet, sanitary products etc.
1 star hotel - one star hotels are small hotels with informal service, usually it is solely owned
property. Cleanliness is of an acceptable standard. Amenities-colour TV, reception service,
beverage, room cleaning etc.

TASK 3
P3 describe the current and future trends which affect the food and beverage business
 CURRENT TRENDS
App based service – This food delivery apps has done a great impact on the food and beverage
business its allow the customers to select the wide range of food choice on a simple mobile
clicks. These trends are now on booming in the world as it offers convenience and speedy
services to clients It's the most convenient way to order the food and beverage. This platform
changed the restaurants traditions style of food and beverage delivery serving style into modern
style. There are many endless sources of the food delivery apps, Food delivery is the fastest
growing delivery marketing trends in F&B businesses(Poulos and Pasch, 2015.).
 FUTURE TRENDS
Mobile phone as a room key-There is a possibility that many hotel guests will use their mobile
phone as a room key. Now days some hotels had tried this technology but on slower pace But by
the time there is a great possibility in future that all the hotels adopt this trend. Now few hotels
thinks this technology have some security issues. They are still using the same technology that
they are using from the past. Mobile key are convenient time saver this key not just access the
room but also use for other areas of the property.
TASK 4
Explain the professional management skills required for food and beverage business
Skills which are required for effective management are below-
COMMUNICATION SKILLS -
The mangers of the food and beverage outlets must have a very good communication skill, they
are the responsible for the decision making and motivate the staff. It is essential part to having a
good communication skill to handle the organization activity, If managers are not able to
communicated their expectation than its not possible to attain their managerial goals(Maré,
2017).
ORGANIZATIONAL KNOWLEDGE- it is must require for food and beverage managers to
have a good knowledge of operations. Its help the organizations to improve the work efficiency,
they can guide the employees, making the daily required decision, control the cost. Mangers get

the knowledge with their work experience or educational degrees. Its give various advantages to
the company, good management create the business and improve the organizations'
effectiveness.
DIRECTING- directing in essential part in food and beverage sector, management are the in-
charge of the organizations they tell the employees what to do, what are the goals of the
organization they give the directions. Management have power to command the organizations,
their decisions and directing decide the company's actions. Good or bad management directing
effect on the company as well as the worker's life. Good directions improve the worker's
capability and efficiency.
PLANNING SKILLS- management are responsible to create new plans, planning helps to
achieve the objectives. For planing its necessary to understand the available resources of
company, employees capability after implement the business plan management have to review
that time to time and should do research on development on it. This skills must required for the
management.
MULTI TASKING- management have lots of work which they have to do on a particular time
period so they must have ability to do multi task on same time. Multi tasking help to match the
services with customer's expectations. In this competitive market of food and beverage industry
management has the skill of multitasking to survive in the market. Multitasking help to save the
time but apart from this is insufficient attention can cause many errors.
MOTIVATION SKILL- Motivation is very powerful tool for the food and beverage staff they
have lots of work stress so motivation help the person to do their work with willingness and
confidence. Mangers must have the skill to motivate their employees to accomplished their
goals. Its doesn't matter what are the environment of organisation its necessary to motivate the
employees.
TASK- 4
P5 define Regulatory standards and legal requirements a food and beverage industry has to follow

Food and beverage industry perform in sensitive environment because food directly put
impact on healthcare. There are many legal requirements set by governing bodies for maintain
commercial kitchen hygiene. PURER(Provision and Use of Work Equipment Regulations)
instruct management to give proper training and written instructions to operate cooking
appliance and equipments for staff safety. 3 A Sanitary Standards tells, inner layer of appliance
which come directly with contact of food must be non-toxic, non absorbency, steel finish no.4
for stainless steel and 2 b finishing for high fat products, bolts contacted with food must be
cleanable, wiring and welding must up to the mark, manual and clean in place sanitisation for
machine and floor
USDA facilitate safety approval and guideline for equipment use in dairy processing, preventive
plan for risk look after by FSMA. Waste Electrical and Electronic Equipment Directive emphasis
on recycling the catering equipments, according to CECA seller or distributor of new product
have to pay recycle cost to recycling organisation for old used product while not put this burden
to purchaser. FDA gives rating for equipment of dairy product and conduct training and release
guideline
Apart this temperature of cooling and warming equipments must monitor and record
frequently. Purchase quality of ingredients and raw veg and non veg, buy only from known
vendor, food transportation must have required temperature and cleaning, warehouse
management, wear glove and attire, hair restraint, avoid eating smoking, dispose contaminate
food as soon as possible, label product specification on food and beverage to give information to
the customer about what is to be offered. Patrice FIFO- first in-first out policy in food delivery.
Poor hygiene practices produce bacteria, microorganisms, parasite and they cause food
poisoning, illness, vomiting, stomach pain. If customer got sick by food you will come under
investigation ,loss of goodwill and image, negative publicity Fire, kitchen accidents, and increase
maintain cost will be high if appliance are not taken care of.

Follow legal standard not only help in maintain quality of food and beverage. It also helps in
gain trust of customer and brand image position in customers mind. Improve rating given by
authorities
eventually helps in attract more customers. Low repairing cost, reduce wastage, healthy working
environment for staff, authenticity to food, enhance service competitiveness,
TASK- 5
P6 differentiate technological tools use for operation and marketing functions.
Operational
RFID( radio- frequency identification)- radio
frequency identification technology
automatically gather information using radio
waves and store information on integrated
system which can be access by one or more
person in same time.
RFID provide real time visibility of stock
which can be seen by every authorise person
like supervisor, financial department head,
operational department head etc. when
inventory is low RFID automatically place
order also track the delivery status. RFID can
check ordered item for its quality, quantity
marketing
CRM (customer relation management)
CRM is also a software solution record and
maintain customer data. Once you feed
information in CRM it helps you to maintain
customer relation. It stores information on cloud,
now customised CRM also available per your
industry type. Information on CRM can be share
on mail, spreadsheet with all dependents.
Food industry can use CRM for making calls and
massage of discount and any new food and
beverage scheme launch, help in customised
action according to preference of customer by past
buy behaviour, better customer relation making,

packaging, accuracy. RFID has capability to
reject the defective item and recalculate
inventory cost after being return(Mozaheb,
Alamolhodaei and Ardakani, 2015).
In food and beverage industry it is been used
for a long time to manage food raw material
inventory and reduce wastage by quality
tracking and management. RFID help food n
beverage organisation in FI-CO( first in – first
out) by tracking freshness of food.
RFID minimise the manual inter fair in
maintaining record, help in taking speedy
decision, integrated access to all, ensure
accuracy, help in reduce labour cost, etc.
HRMS ( human record management system )
- human resource management system is a
software used in organisations to maintain
personnel record. HRMS provide tools like
pre deigned formulas, report formats,
automatic calculation based on given
information, periodic alerts, performance
tracker etc.
Food and beverage industry also have huge
staff to taken care of. HRM enable to make
customer complaint tracking etc.
Website – in today era website give legal status or
build reputation in customer mind. Website helps
in adversing product, product processing
information, publish company CSR policy and
social activity improve goodwill, cost effective,
chat option on website enable customer chat with
direct company.

customise organisational hierarchy based upon
your organisation design, track record on
leaves, performance, give suggestion for
assigning job to suitable person, let you know
about who need training and development,
grievance handling record, help in human
resource planning like recruiting by defining
job competency.
TASK- 6
P7 examine Factor affecting choice of customer .
Food quality- food quality or unique taste is most strong factor or element affect
choice of customer in choosing the particular food outlet. People who prefer
healthy life style look for healthy ingredients, NUTRITION, FLAVOURS,
freshness, cooking process etc. while some people prefer taste, Palatability,
sensory satisfactions
Location – location also have impact in choice of outlet, when individual have
less time, they prefer nearby and when they plan for outing they can prefer long
distance. Accessibility, visibility transportation availability, parking area facility,
Less traffic headache
Service quickness- nobody wants to wait for long time in engaged lifestyle
specially when you are hungry. Delay in orders delivery can make customer
frustrate and irritate. It also gives consumer a doubt on mishandling the order or
lack of staff. Where speedy delivery give customer satisfaction and world to
mouth sale
Price – every customer have different disposable income level. An individual
have more money prefer five star hotel restaurants. Socio-economic status of
individual also determine their choices. Low income individual prefer
inexpensive and not so balanced diet(Pulles, N. J. And et. al., 2016.).

Demographic status- middle age individual having family prefer discipline
restaurants, where youngsters prefer privacy or party environment. A mature
individual prefer to consume oily or healthy food according to his taste but
youngsters are intake more of fast food, cake, beverages
Culture and social factor- culture is customs, belief and social practices
perform by a particular society. A person can have desire to intake food match
with his food habit and preparation according to his tradition for example veg
and non veg food preference. Social factor is choices adopted from social
atmosphere like new habit acquired from peer and friends, increase vegetable
intake or increase consumption of unhealthy food
Education level-people who are awareness and educated about impact of what
they eat are more health conscious and they prefer nutrition and low crabs, low
GI food, less oil, less sugar and saturated fat and high- fiber food Whereas low
lack of awareness and low education level are limited only fill stomach and
remove hunger or satisfy the taste need.
Environment- environment of a food outlet comprises hygiene, brightness, cleaning, seat
availability, peace, no anti social activity, ventilation arrangements, attractive decorating
and furniture, special cabin for family gathering or business lunches, party space etc.
P8 Explain strategies practices for attract customers
Avail social media- social media give larger customer base with low cost
and effort. Use social media tool like Facebook, twitter, inst gram, you tube
advertising. Post your offer, coupons, let the customer know about your
speciality and innovations you have at your place. Emotional marketing
tools can be use on social media like video where daughter give treat to
mother on mother day .
Invest in charity and events- hosting an event, charity programme, or
sponsor game or arrange special events on festival, new year eve, theme
party. If you get success in making moment memorable you give get chance
of repetitive sale and emotional attachment of customer.
McDonald make special efforts on Christmas and new year eve by offer
festive discount and give return gift to the customers. Company has CSR
policy include healthcare programme, collaboration with environmental
protection bodies like world wild life, gender equality program etc.

Introduce your real hero- nowadays deliver food is not the only task.
Food industry makes effort to make attachment with their customer.
Introduce real hero chef behind the food. Introduction includes skilled and
courses acquire by chef. So that customer feel reliability and trust.
Take help of referrals- referral mean spread your experience in advice,
recommendation and reviewing form. There are many websites and blog
available who give recommendation and ratings for best food facility
available near you as pert your needs white-page, Foursquare, Restavista,
google plus review and yelp. Mc uses travel agency' website for receiving
recommendation.
Email marketing- e- marketing include sending offers, discounts, new
product launch, customised birthday wish card and festive card, thank you
cards to your customers.
Manageable Website –decorate your website with hight quality pics of
food, space and menu, contact information, share events and social works
done by company Use testimonial and video to tell more. Customer
retrieves authentic information direct from company.
Increase facility options – food outlets now provide various facility option
in every subject relation to buy the product like more payment options like
cloud payment, card payment. They also use more order option like order
by phone, app, drive through etc., customise decoration and pancaking
facility etc.
MC Donald offer drive through facility to save time of travelling customers.
CONCLUSION
From the above study it has been concluded that food and beverage industry
not limited to their traditional function of food giving, they are become
more customer focus. Food and beverage industry take help of innovation
in proactive actions. Whole process of making food is taken into
consideration. Global standard and trends affect the food industry also.
People are more aware about their health choices and technology which
they can use to get best form market so, so food industry also make
innovations to attract the customers. They work on line “ think globally but
act locally”

REFERENCES
Books and journals
Davis, B. and et. al., 2018. Food and beverage management. Routledge.
Dopson, L. R. and Hayes, D. K. 2015. Food and beverage cost control. John Wiley & Sons.
Poulos, N. S. and Pasch, K. E., 2015. The Outdoor MEDIA DOT: The development and inter-
rater reliability of a tool designed to measure food and beverage outlets and outdoor
advertising. Health & place. 34. pp.135-142.
Maré, L., 2017. Food and beverage. Laboratory Marketing Spectrum. 36(3). pp.21-25.
Green, R. M. and Kane, K., 2014. The effective enforcement of HACCP based food safety
management systems in the UK. Food control. 37. pp.257-262