Managing Food & Beverage Operations

This document provides an overview of managing food and beverage operations in the hospitality industry, with a focus on different business activities, rating systems, trends, customer behavior, and marketing and operational technology. It discusses the various types of businesses in the food and beverage industry, such as quick service restaurants, bars, catering and banquet services, and automated vending food services. It also explores the rating system based on national and international standards, as well as the trends in the industry and the critical analysis of these trends. Additionally, it analyzes customer behavior and motivation in Heathrow Airport Restaurants and examines different marketing and operational technologies used in the food and beverage industry. The document concludes with a discussion on legal requirements and regulatory standards that F&B service outlets must comply with, as well as the professional F&B management skills within a food and beverage company.

MANAGING FOOD &
BEVERAGE
OPERATIONS

Table of Contents
INTRODUCTION...........................................................................................................................1
Activity 1 ........................................................................................................................................1
Different business activities in Heathrow Airport Restaurants and Lounges Ltd.......................1
Rating system according to national and international basis ......................................................2
Trends in F&B industry and critical analysing trends in different types of business..................3
Activity 2.........................................................................................................................................4
“Analysing customer behaviour and motivation in Heathrow Airport Restaurants”..................4
ACTIVITY 3....................................................................................................................................7
Contrast and compare different marketing and operational technology used in different types
of Food & Beverages...................................................................................................................7
Evaluate how digital technology is used to improve operational efficiency...............................8
ACTIVITY 4....................................................................................................................................9
Legal requirement and regulatory standards that F&B service outlets comply with...................9
Professional F&B management skills within food and beverage company..............................10
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Food and beverages industry help to process of raw food into finished good to the end
consumers. As it includes packing, distributing, etc. beverages includes both alcohol and non
alcohol items(Aratuo and Etienne, 2019). Heathrow Airport Restaurants and Lounges Ltd. Is an
hospitality industry which provides luxurious lounges, restaurants, accommodation services etc.
In this report that study will be based on the different types of business found in food and
beverages industry. Study will be on the rating system as per national and international basis.
Further trends will be discussed which affects food and beverages industry. The discussion will
be based on the analysing and assessing the customers behaviour and factors that influence in
decision making process in F&B industry. In last the discussion will be based on different
operational in F&B and use of technology to improve the efficiency.
Activity 1
F&B industry can be segmented in many different segments which includes groceries,
oils, fats, food activities like natural food, packed food, canned food, baby food, animal food,
etc. the industry is complex and deals with diverse business supplies of food mostly consumed
by worlds population(Different types of business in F&B, 2019). The role of Heathrow Airport
Restaurants and Lounges Ltd is meet customer satisfaction by providing standard and healthy
food services.
Different business activities in Heathrow Airport Restaurants and Lounges Ltd
The business that are found in organisation are mainly categorised in commercial
business. The commercial business includes main operations in the restaurant business which are
quick service restaurants, full service restaurants,banquet and catering, etc. and non commercial
operations in F&B are automated vending food services, institutional, accommodation with food
services are being included. Some of the specific operations that Heathrow Airport Restaurants
operates are quick service restaurant, bars, catering and banquet, automated and vending food
services,etc. These are explained below in detail.
Quick and full Service Restaurant: The restaurant services that main activity in F&B
industry. Restaurants provides quick services by delivering the food to customers at his home. In
full services restaurant the customers are being provided full time service(Barlow and et.al.,
2018). It mainly includes family restaurants which provides affordable menu items according to
the customer taste and preference. Another full service restaurant is ethnic restaurant which
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represents the culture of the places its mainly influence the customers who are immigrants or
new visitors as these people mostly looks for peaceful and specific environment.
Bars: In restaurants the key business activity that influences customers towards the
restaurants are drinking bars. Bars are categorised according to the preference of the customers
like wine bars, beers bars, etc. Another business activities related to drinking are nightclubs,
cabarets, pubs, etc. to operates bars in Britain the company needs to require licence for serving
liquors primarily(Bigliardi, 2019). In the pubs and wine bars children are not allowed to enter as
per social norms.
Catering And Banquet: Significant activity for business operations in F&B is to
provide catering services for events. Mostly the events are conducted by conference hotels,
weddings, festivals food coordination etc. the food which is catered meet the standards of food
quality and hygiene maintenances.
Automated And Vending Food Services: The vending machines are installed at places
like hotels, motels, sports venues, or any other convenient places. Its is generally not included in
the F&B industry. These are installed mostly by small, large or accommodation service
providers.
Rating system according to national and international basis
Rating in F&B industry are measured according to the standards that needed to be
fulfilled by the industry(Rating system, 2019). The rating in hotels and restaurants are provided
on the basis of quality of services that are being provided to the travellers and the guest. The
rating are based on the basic facility that are provided to the customers. In Britain the rating
given to hotels are by THE AUTOMOBILE ASSOCIATION founded in 1905 star category are
one to five(Borlase, 2017).
One and two star rating: One star rating includes basic needs that are requirement of the
traveller the budget accommodation are being provided to the guests. The basic things are
cleaning room daily, attached washroom with table, chair, washbasin kit includes soaps, etc.
limited breakfast, restaurants phone calling facilities, etc.
In two star basic facilities are being provided with including more facilities then one star.
Payment modes are being provided like card, night lamp, toiletries,linen shelves, sanitary
facilities, Wi-Fi rooms,etc.
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Three star rating: In three star category the facilities that are being provided are complaint
management and duty managers are present in the hotels. Facility of fitness gyms, swimming
pools, more amenities are provided in rooms like ironing, laundry facility,mirrors, etc. telephone
and day time room services are also available in three star hotels. The receptionist is available for
24 hours(Davis and et.al., 2018).
four star rating: In this category the facilities provided by the hotels are necessity to convert
luxurious. The rooms are more spacious and well furnished. The rooms with featured amenities
like bathtub, LED TVs etc. beverages services are provided at reception areas. In waiting rooms
the facility of newspaper and magazines are available. The facility of breakfast and dinners are
available all day.
five star rating: These hotels are very luxurious provides more facility then usual it fulfils
personal services at highest degree. These hotels are located at at exclusive locality in the city.
24/7 room services are provided. Heated pools, personal butler services, housekeeping and turn
down services are fulfilled on demand of customers. Lobby are planted with natural greenery.
The receptionist is present for whole day and can converse in different languages with tourists
etc. The hotels provides multi- cousins restaurants with cafes and bars are also included in these
hotels(Compton and et.al., 2018).
Seven star rating system is continuously used for F&B industry at international level
which attract more consumers towards their business that increase profitability and productivity
rather than before.
Trends in F&B industry and critical analysing trends in different types of business.
Restaurants are changing in the dynamic world by adopting different technologies and
innovation at work place to provide more customer satisfaction and increase the efficiency of
business with effectiveness.
Cashless payments: In hotels and restaurants currently mostly the payments are done
cashless. In future it will be increase the scope for payment through different modes. The
business operations get affected in Heathrow Airport Restaurants as it saves time and avoid the
cash deposits in banks which is benefit for the company. As it need not to handle more cash
which can creates stress on hoteliers for theft, etc. instead it provides greater transparency and
liquidity.
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Self services: The system of self service currently are followed in some of the hotels as in
future the restaurant will give more emphasis on providing self services. It affects the business in
both positive and negative ways. According to positive ways the restaurant decreases work load
by serving one time to the customers. In negative ways it affects the customers as they are time
sensitive and require personal serving for breakfast or lunch(Kanter and et.al.,2019).
Gluteen-free: currently some of the restaurants are focusing to provide healthy gluteen
free product. In future restaurants will mainly focus on providing healthy and gluteen free
products. It will positively affects the business by attracting more customers to eat healthy and
gluteen free food.
Plant based dining: Currently the people are expecting to become more healthier by
eating healthy food as they are focusing to increases the consumption of vegetables in future.
The demand for vegetarian food will be more and consumptions will also increases. It will
affects the business with as the demand for non vegetarian food will decreases and consumption
of vegan meals will increase which are healthy for people.
With critical evaluation it has been founded that innovation is increasing in hospitality
services that is restaurants and accommodation services. According to future scenario the
dependency on labours will be decreased and technological advancement will be adopted in
different business. Like in restaurants the food will be prepared with the help of machines, in
bars the drinks will be served by robotic machines, etc. (Kesselheim and et.al., 2019).
Activity 2
“Analysing customer behaviour and motivation in Heathrow Airport Restaurants”
 Consumers decide outlets they chose on which food and beverage as the customer
decides by the quality of food provided by the outlet with proper maintenances of
hygiene and standards of food and beverages served to customers.
 Factors that influence consumers for decisions in choosing an F&B outlet are the
food which is prepared and available in less time to the customers. It depends on
different customers income level for affordability of food. The location factor also
influence customers as the restaurant which is available to the customer in its near
by locality the preference will be that one. The services that are provided by the
restaurants needs to more hospitals and greeting customers with respect. The
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another factor is brand value of restaurant in the locality attracts the customers as
the goodwill of the company will be good the more customers will get attracted.
 Strategies used by different F&B outlets to attract customers are it can use mobile
applications to enhance customers to order food online or can give provide the
facilities that restaurants are providing to the customers(Lu, 2017). With the help
of mobile application customers are able to know the menu of the restaurant. The
company can use social media tool to create more new customers as it is the
cheapest source of marketing. Another strategy that company can retain
customers by creating customer loyalty. Restaurant can organise events or can get
involved in charity for local community. With the help of this the customers
notice more towards the company and visit once.
 F&B outlets build a loyal customer base by introducing customer loyalty program
as when customer visit it restaurant on each visit it can give free item like offering
free drinks, desserts etc. the customers will feels appreciated by the company. It
can provide discounts like 20 % off etc. the company can creates customer base
by introducing happy hours which means profit making hours by giving special
offers at particular time(Marriott, Schilling and Gravani, 2018).
 The effectiveness of the strategies used by different food and beverage outlets to
attract and build a loyal customer base is that the company will increase its
reputation in the market and able to attract new customers towards the company.
The company will be able to generate more revenue. The strategies used by the
company will give competitive advantages in the market from the rival
companies. The strategy helps the business to maintain its sustainability in
market.
 Digital technology influence on consumer buying behaviour as it is convenient to
shape the brand image in the market. With help of effective digital technology the
company can improve its relation with customers as they can able to provide
reviews and suggestion on the social media or websites. The behaviour of
customers gets changes when the company more focuses on e-marketing of the
services as its gives customers virtual experience. With the help of technology the
company can easily get connected to the customer which enables them to
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influence customers towards the company by offering various different strategies
like mobile payment, online ordering, home delivery, etc(Otles and Sakalli,
2019).
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ACTIVITY 3
Contrast and compare different marketing and operational technology used in different types of
Food & Beverages
Operational and marketing technology used in three different kinds of F&B business-
Bars, catering and banquet and cafeterias are the three different types of business
included in F&B sector. In order to run business effectively these three business used different
types of technologies within marketing and food production operation effectively. Due to higher
competition in marketplace, technologies advancement provide opportunities to businesses for
improving their position. Social media marketing is used by bars, cafeterias as well as catering
and banqueting business which allows them to grab the attention of customer and generate
awareness among target consumers. Bill board technology is one of the best marketing
techniques mostly used by bars in order to spread information based on its products which they
offer to consumer.
On the other side, in food production is considered as one of the operations within F&B
industry. Bars, cafeterias and catering business provide food service to its customer with the help
of using different types of operational technology that help to run business efficiently and earn
profit rather than before.
Comparison-
As compare to bill board technology, social media platform is quite helpful and beneficial
marketing tool, social media marketing is the best procedure of gaining attention or website
traffic through social media sites. It is the process of creating content that cafeterias tailored to
context of each individual social media platform like Facebook, Twitter and other in order to
drive people towards business. In recent time, people mostly used social media platform seeking
for gathering information. It provide the best opportunity to customers to explore the floor and
collect data. Cafeterias used social media marketing that help to generate brand awareness,
improve brand loyalty and make provide better consumer satisfaction, it is cost effective method.
It help business to connect with people and make them able to increase awareness about their
services and boost sales rather than before. On the other side as compare to social media
marketing, bill board is also considered as one of the effective marketing technology used by
bards and catering as well as banquet business successfully in F&B industry. Billboard
advertisement is designed to attract people and catch target market attention quickly. Bars placed
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advertisement through billboard and placed it on highways and roads where most of the people
visited a lo, it help to catch their eye and drive them towards business.
Catering and banquet business in F&B industry, provide food service to people in which
they used different types of technologies which is beneficial for overall business. People like to
eat health and tasty food, in order to provide services according to guests need, business used
oxyfrier which is considered as the best technology. As compare to catering business, cafeterias
used induction cooking technology that is the latest method of cooking food and save energy and
time.
Evaluate how digital technology is used to improve operational efficiency
The technologies are that drives QSRs are evolutionary, and they serve to enhance the
customer experience with increasing operational efficiency.
Quick Service Restaurants
Voice Ordering: Devices like Amazon Echo, Apple's Home Pod and Google Home are
some examples of changing technologies that will give a whole new experience. Wing stop
partnered with Amazon to enable the consumers to place order by their Echo devices. Customers
can manage their favourite food, order location and can save the payment information, making
the process simple and quick(Wood,2018).
Robots & Artificial Intelligence: Robotics is helpful for numerous companies. They are
limited in scope but they exits. For example ChowBot's Sally the Salad Robot is a vending
machine that can make custom salad with all the required toppings and all without human
involvement. IT has reduced the manual labour work of employees.
Mobile Payments: Mobile Payment technology has provide the customers with higher
level of satisfaction and convenience. Through this application customer can even pay before
arriving at the restaurant. IN the coming duration this technology will be more advanced where
the customer's have to simply scan their smart phones at the time they enter, then select what
they want to have and be seated without standing in a line for ordering.
Catering and Banqueting
Projection Mapping: Projectors cast images on screens. With projection mapping, every
picture and display can be turned into 3D structure. The planners can transform the space into a
new design. This digital technology is efficient, cost saving and can create illusions on anything,
it could car, landmarks etc.
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5G: Implication of 5G will help the planners like they don't happen to worry about the
connectivity(Davis and et.al., 2018). Planners can opt for venues that don't have Wi-Fi. New
ways will be their to involve the attendees through the devices. It help in managing the
operations of the company.
Branded Multi-Use Apps: These apps provide limitless opportunities to engage with the
attendees right on their mobile phones during, before and after the occasion. The app is helpful in
reserving tickets, personalizing the events agenda, polling crowds in the real time, surveying
attendees etc. Through the app customer's experience can be analysed. The visitors can even
control their rooms and communication with chatbots.
Bars
Digital POS System: Electronic Register System helps in registering the dining, menu,
drinks at bar, orders and finally the payment. This improves the operational efficiency by
managing every detail about the person.
Online Ordering: Ordering the food online has given customers leisure time, due to this
digital technology customer's doesn't feel pressure so they order extra items and this leads to
increase in sales. This make the order more accurate as the customer has the time to choose what
they want. The person can even track the food.
Bar Reservation Software: A reservation software can make the process easier and will
help the staff to track and therefore manage the orders at bar. These can help the operations
department in managing the orders properly and efficiently as they already know about the
bookings(Compton and et.al., 2018).
ACTIVITY 4
Legal requirement and regulatory standards that F&B service outlets comply with
Food and beverage services required to follow legal regulations and regulatory standards
in their business, they has to keep food in clean and save place with appropriate temperature that
helps to stay food health and fresh. F&B laws pertain to regulations of distribution and safety for
food and beverage sector. Food safety Modernization Act of 2010, must comply in outlets of
companies working under food and beverage sector for sustaining business for longer period.
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Professional F&B management skills within food and beverage company
Communication skills, leadership, collaborative, and food production skills are the
different types of professional F&B management skills required within food and beverage
company.
CONCLUSION
From the above report it can be concluded that food and beverages industry plays a
significant role in food production. As it need to fulfil the requirement of the customers and
maintain the standard of food quality. Which will help Heathrow Airport Restaurants and
Lounges Ltd. To give customers satisfaction which is more important for the company to creates
loyal customers base. Further with the help of this the company will able to earn more profit. In
this report mainly different types of business discussed in F&B industry the most significant
business is restaurant business which is global business. Further the report discussed various
aspects related to the analysing of consumer behaviour to influence towards the company by
using various effective and digital strategies.
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REFERENCES
Books and Journals
Aratuo, D.N. and Etienne, X.L., 2019. Industry level analysis of tourism-economic growth in the
United States. Tourism Management.70. pp.333-340.
Aratuo, D.N. and Etienne, X.L., 2019. Industry level analysis of tourism-economic growth in the
United States. Tourism Management.70. pp.333-340.
Barlow, P. and et.al., 2018. Science organisations and Coca-Cola’s ‘war’with the public health
community: insights from an internal industry document. J Epidemiol Community
Health.72(9). pp.761-763.
Bigliardi, B., 2019. Open Innovation and Traditional Food. In Innovations in Traditional
Foods (pp. 85-99). Woodhead Publishing.
Borlase, S., 2017. Smart grids: infrastructure, technology, and solutions. CRC press.
Compton, M and et.al., 2018. Food processing industry energy and water consumption in the
Pacific northwest. Innovative food science & emerging technologies.47. pp.371-383.
Davis, B. and et.al., 2018. Food and beverage management. Routledge.
Kanter, R. and et.al.,2019. Anticipatory effects of the implementation of the Chilean Law of
Food Labeling and Advertising on food and beverage product reformulation. Obesity
Reviews.
Kesselheim, A.S.and et.al., 2019. Internal Medicine Physicians’ Financial Relationships with
Industry: An Updated National Estimate. Journal of general internal medicine.34(2).
pp.195-197.
Lu, Y., 2017. Industry 4.0: A survey on technologies, applications and open research issues.
Journal of Industrial Information Integration. 6. pp.1-10.
Marriott, N.G., Schilling, M.W. and Gravani, R.B., 2018. Principles of food sanitation. Springer.
Otles, S. and Sakalli, A., 2019. Industry 4.0: The Smart Factory of the Future in Beverage
Industry. In Production and Management of Beverages (pp. 439-469). Woodhead
Publishing.
Wood, R.C., 2018. Strategic questions in food and beverage management. Routledge.
Online
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Different types of business in F&B. 2019.[online]. Available
through<https://opentextbc.ca/introtourism/chapter/chapter-4-food-and-beverage-
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Rating system. 2019. [online]. Available through<https://www.soegjobs.com/hotel-star-rating-
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