Food and Beverage Operations: A Detailed Business Report

This report provides a comprehensive analysis of the food and beverage (F&B) industry, focusing on the operations of various businesses, with a particular case study on Daisy Green restaurant in London, UK. It explores different types of F&B businesses, including restaurants, catering services, fast-food establishments, and hotels. The report examines national and international rating systems used in the industry, such as hotel star ratings and AA rosettes. It also delves into current and future trends influencing the F&B sector, including health and safety concerns, transparency, technological advancements, and the impact of social media. Furthermore, the report compares different marketing and operational technologies used in the industry, emphasizing the importance of flexibility and adaptability. Finally, it analyzes the factors influencing consumer decision-making, such as service quality, group influence, economic conditions, personal preferences, and the impact of ambiance. The report concludes by discussing strategies for building customer loyalty in the F&B industry.

FOOD
AND
BEVERAGE
OPERATIONS

Table of Contents
INTRODUCTION...........................................................................................................................4
TASK 1............................................................................................................................................4
P1 Different business in Food & Beverage industry...................................................................4
P2 Explain different systems of rating which is used in the food & beverage industry
nationally & internationally........................................................................................................5
P3 Different future and present trends having an affect on Food & Beverage business: ..........6
TASK 3............................................................................................................................................7
P6 Compare different types of marketing, operational technologies for various beverage and
food business...............................................................................................................................7
TASK 4............................................................................................................................................8
P7 Various factors which can have a influence on decision making pattern of consumers in
Food & Beverage outlets.............................................................................................................8
P8 Various strategies which can be used by Food & Beverage industry in building up a loyal
base of customers........................................................................................................................9
CONCLUSION..............................................................................................................................11
REFERNCE...................................................................................................................................11

INTRODUCTION
Food and Beverage operations is related to various brands which are part of this industry.
In this there is discussion in detail related to various different types of companies which are part
of this food and service industry. In the food & service industry there are many different types of
supply chain channels which have to be clearly understood by these restaurant owners(Wells,
and Machnicz, Watson Enterprises, 2015). This report is on Daisy Green food restaurant which
is located in London, UK. This is a restaurant which is offering best taste in Italian cuisine. Its
competitors are Zizzi restaurant, Prezzo restaurant and many other similar types of food giants.
This report consists of various topics such as different business in the food & beverage industry,
different types of rating systems prevailing, future and present trends. Skills required by
employees working in this industry, trends prevailing and effects of such trends on decision
making behaviour of consumers is analysed.
TASK 1
P1 Different business in Food & Beverage industry
There are various business which are prevailing in Food and Beverage industry as
described below:
Restaurant: These refer to those places where customers are offered proper sitting area,
proper ambience and then food is offered in comfortable environment to customers. There are
various cuisine which are being offered to customers. Daisy green food is also prevailing in this
category of restaurants as they provide adequate sitting area to their customers(Ashraf, Rashid
and Rashid, 2017).
Catering on contract basis: This refers to a contract in which food is being prepared
somewhere else and then it is delivered according to requirements or contracts which have been
made by these contracts made by caterers.
Fast food: These are used to fulfil requirements of people who have a preference for
youth and children. They have speciality in some cuisines such as thai, Mexican, Italian
depending on the speciality which they are dealing in.

Hotels: These are places which mainly provides accommodation to people. Some hotels
are only providing accommodation and some are also providing the restaurant facility. Major
advantage of hotels is accommodation which they provide to their customers.
Above discussed are various types of services which are offered in Food and the beverage
industry. Which helps in fulfilling overall requirements of people in Daisy green food restaurant.
P2 Explain different systems of rating which is used in the food & beverage industry nationally
& internationally
1. Hotel star rating: This refers to rating system used by hotels to improve overall quality of
food which is finally offered to customers. Different rating systems are discussed below:
1 star: This refers to those hotels which are operating at small scale, size of rooms are also
small. Prices at which they are available is at reasonable cost. This makes it affordable for those
segment of customers who are price conscious and not having a preference for better quality of
service(Davis, Lockwood, , Alcottand Pantelidis, 2018).
2 star: This rating is given to hotels who ate providing better facilities as compared to one star
ratings. These have a feature that they are present near public transport facilities which makes it
convenient for people to access such hotels.
3 star: These hotels have a excellent ambience and they have a belief for increasing overall
level of satisfaction of customers. They are providing various food services which is helping
them in enhancing satisfaction level of their customers(Leavitt and Bergida, FROSTY COLD
LLC, 2018).
4 star: This rating is provided to hotels according to quality which they are offering in their
products. Many different services such as attractive reception, bellhop services etc. are provided
in such type rating hotels.
5 star: Hotels are mostly the highest rating hotels. They are for those category of customers who
want luxury in their services. They treat their customer as their guest and try to maximize level
of satisfaction. They cater to needs of those segment of customers who are ready to pay high
prices.
Scores on the road: This term indicates inspection of food and level of food hygiene which is
being maintained by hotels.

AA rosettes: This rating system is awarded by food inspectors in restaurants and hotels which is
based on principles of cooking which is implemented in way cooking is done in restaurants.
Above discussed are various types of ratings systems which are being adopted by food giants. In
case of Daisy green this restaurant has been awarded AA rosettes as they are following all
principles which are required to be followed. This helps them in establishment of goodwill in
market.
P3 Different future and present trends having an affect on Food & Beverage business:
Food and beverage industry is affected by changing preferences of customers in external
environment(Jones, Comfort and Hillier, 2016). Below mentioned are some of present & future
trends having a impact on F & B industry:
Health & Safety
Consumers have become more focussed on improving overall health as they are
becoming more conscious towards health. The trend has been changing completely as earlier
people used to have beverages and drinks without thinking about contents in it but people have
become more conscious for having low sugar food with low calories in it. This change in
preferences has lead to new innovation in food and beverage industry. Such as new varieties in
food which are having best taste but low fat and calorie content. Such options help many brands
in having a competitive advantage as compared to other different products.
Transparency and Fairness:
The present trend is based on having fairness in F & B industry. Customer have become
very keen to know what are contents and ingredients which are used in food which they are
consuming at restaurants. This makes them more aware of what they are consuming. Many
restaurants in UK have started live counters so that people can see clearly how food is being
cooked and various ingredients being used(Graham and Potter, 2015).
Technological advancements:
It has become very easy to access food especially with advent of technology such as
many new applications have increase the level of convenience for customers. With the usage of
technology many offers are also being developed to attract more customers. Social media
platform are also playing a very important role in engaging customers and developing a
connection with prospective customers.

TASK 3
P6 Compare different types of marketing, operational technologies for various beverage and food
business
Operational technology Marketing technology
Operational technology is used as a integrated
& homogeneous systems in present modern
systems. If system fails then it may lead to
ineffectiveness in overall functioning of
restaurant. Various ways in which operational
technology is used in Daisy green restaurant is
discussed below:
 Flexibility: It is very important to have
flexibility in overall operations so that
functioning can take place in a fluent
manner. Adaptability is a characteristic
which is related to how rapidly a
restaurant can adapt to changing
factors in external environment. Such
factors are related top social,
technological, legal, political factors
which may have effect on operational
working of restaurant. In Green daisy
restaurant also they are following all
practises which can help them in
ensuring flexibility in overall
functioning of organisation.
 Sortation: In food and Beverage
industry it is necessary that there is a
distribution place which means that
there should be proper sortation and all
Marketing technology can be used by hotels
and restaurants so that they are able to have a
competitive advantage in terms of using some
innovation in connecting with their customers.
Below stated are various ways in which
operational technologies can be used in
business.
 Artificial Technology: This
technology can be used in ensuring
quick response of customer with the
help of live chat functions or operating
websites 24,7, this helps in eliminating
nay kind of slow responses. This will
lead to personalisation of marketing
efforts of various companies working in
the hospitality industry (Girault and
Reust, Nestec 2015).
 Digital media: with changes happening
in the preferences of customer way
technology is being developed is also
changing at a rapid speed. Various
social media platforms such as
Instagram, Facebook can provide
opportunities for restaurants to market
their products & services which they
are offering. Daisy green food is also

activities have to be in proper sequence.
This means that there is proper
maintenance of inventory and activities
are sequenced in a proper manner so
that smooth functioning of various
operations is taking place in the
restaurant (Giokas, Eriotis and
Dokas,2015).
using such techniques in attracting
more customers with the help of such
social media applications which will
help in informing customers about
various offers and products which are
being provided by them.
TASK 4
P7 Various factors which can have a influence on decision making pattern of consumers in Food
& Beverage outlets
Depending on a restaurant overall expectation of customers vary in terms of quality and price.
Service Quality: This refers to overall quality of service which is being offered to
customers. Restaurants are part of hospitality industry hence it becomes very important for them
to have best quality of service which can lead to increasing position of restaurant as compared to
other competitors(Gates, Frank and Renaud, FBD Partnership 2015). Green daisy restaurant
makes lot of efforts that they are able to provided best quality in their food products so that they
can poses a competitive edge as compared to its competitors such as Prezzo restaurant, ask
restaurant etc.
Group Influence: Every consumer belongs to a particular group which has a effect on
the decisions being made by a person as individual. Such groups posses a strong influence on
decisions of selecting a particular restaurant of a particular customer is satisfied than it will lead
to positive mouth publicity which leads to indirect promotion of a particular restaurant.
Economic conditions: Consumer decision making is influenced by economic situations
which are present in market. Various economic situations such as personal disposable income of
consumers, tax rate are some of factors which affect how much a consumer is goi9ngv to spend
and purchasing pattern is dependent on priorities of customer.

Personal preferences: This is related to different likes, priorities, values, dislikes of a
customer. All business operate in a completely dynamic environment which consists of changing
conditions of food, fashion, etc. Advertisement can have a great influence on some of factors
which affects end decisions of consumers.
Customization of services: In the present scenario of changing customer requirement it
can be clearly analysed that there is a complete transformation in way which customers are tread
specially in case of hospitality sector. Now, customers have to be treated with more care and
specific needs as individuals must be taken care. In this scenario it can be said that if taste and
quality of food is according to requirement and expectations of customer than this can lead to
success of restaurants (Dolci, 2017).
Ambience: The overall ambience of a restaurant also affects decision of consumers
whether to visit or not. Many times if ambience is highly satisfactory then it may be a situation
that it is liked by customer in such a way that if taste of food is not good then also customer may
prefer visiting the place again. Ambience is decide by music, sitting arrangements, lighting and
other factors. All such constitute ambience of a place and decide the satisfaction level of
customers.
Above mentioned are factors which affect and influence decisions made by customers.
All restaurants & hotels which are part of food & beverage industry are affected by way
decision are taken by customers. All these factors also affect Green Daisy restaurant and its
operations.
P8 Various strategies which can be used by Food & Beverage industry in building up a loyal
base of customers.
Each organisation which is a part of food & beverage industry must add innovation with
time so that growth is not affected(Davis, Lockwood, , Alcottand Pantelidis, 2018). This will
also help restaurant in achievement of their target. For achieving higher satisfaction level of
customer and adding new customer with time becomes very essential for restaurants. Below
discussed are some strategies which can be followed by restaurants:
1. Themed restaurants: These are restaurants which are providing a unique experience to
their customers, which may help in having a differentiation advantage as compared to
other restaurants. Such themes are build so as to have a advantage of differentiation for
such restaurants.

2. Trained staff: It is necessary that training is being provided to staff who is actually in
touch with customers this will lead to high satisfaction of customers. This will help
organisation in building up of strategic position in market. Way customers are treated in a
particular restaurant is very necessary for having loyalty of customers.
3. Personal Marketing: This refers to various strategies which are related to maximizing
number of customers with help of tools of personal marketing tools. Various tools of
personal marketing have developed and have helped in approaching customers. Such
tools are direct messages, e-mails, various social media applications etc. they can help in
developing an effective communication with their customers. This helps customers also
in feeling that they are related to company (Ashraf, Rashid and Rashid, 2017).
4. Quality of Food: For all brands which are operating in food & beverage industry it is
related to high quality food which is being offered. The overall quality is very important
for enhancement of satisfaction experience\d by these customers.
Above discussed are some tools which can be used by restaurants in building up of a loyal base
of customers.

CONCLUSION
It can be concluded from above discussed topics and rating systems which can be used by
restaurants so as to understand different ratings which are provided to them by various concerned
authorities. Further operational and marketing technology plays a very essential part in overall
food & beverage industry. Also, the quality of food affects the way decisions are being made by
restaurant functioning in this restaurant. There have been many factors which have a influence
on decisions being made by customers. Various marketing tools have also been developed which
can help in maintaining overall standards in food and safety of customers. Having a strategic
position helps in building goodwill in external environment.

REFERNCE
Books & Journals
Ashraf, S.R.B., Rashid, M.M. and Rashid, A.H., 2017. Implementation of 5S methodology in a
food & beverage industry: A case study. International Research Journal of Engineering
and Technology, 4(3), pp.1791-1796.
Davis, B., Lockwood, A., Alcott, P. and Pantelidis, I.S., 2018. Food and beverage management.
Routledge.
Dolci, R., 2017, July. IoT solutions for precision farming and food manufacturing: artificial
intelligence applications in digital food. In 2017 IEEE 41st Annual Computer Software
and Applications Conference (COMPSAC) (Vol. 2, pp. 384-385). IEEE.
Gates, M.G., Frank, J.I. and Renaud, D.A., FBD Partnership LP, 2015. Food and beverage
dispenser with cleaning system. U.S. Patent 9,173,521.
Giokas, D., Eriotis, N. and Dokas, I., 2015. Efficiency and productivity of the food and beverage
listed firms in the pre-recession and recessionary periods in Greece. Applied
Economics, 47(19), pp.1927-1941.
Girault, O. and Reust, A., Nestec SA, 2015. Food or beverage production system. U.S. Patent
Application 14/654,610.
Graham, S. and Potter, A., 2015. Environmental operations management and its links with
proactivity and performance: A study of the UK food industry. International Journal of
Production Economics, 170, pp.146-159.
Jones, P., Comfort, D. and Hillier, D., 2016. Water stewardship and North America's food and
beverage companies: a case study in corporate sustainability. International Journal of
Corporate Strategy and Social Responsibility, 1(1), pp.26-43.
Leavitt, D.D. and Bergida, J.R., FROSTY COLD LLC, 2018. Cooling agent for cold packs and
food and beverage containers. U.S. Patent 10,155,698.
Wells, J. and Machnicz, K.L., Watson Enterprises Inc, 2015. Food and beverage apparatus. U.S.
Patent Application 14/575,193.