Food and Beverage Industry Report: UK Market Analysis

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UNIT 6
MANAGING FOOD AND BEVERAGES

Table of Contents
INTRODUCTION........................................................................................................................................ 3
ACTIVITY 1................................................................................................................................................ 5
LO1....................................................................................................................................................... 5
P1 DIFFERENT BUSINESSES IN F&BINDUSTRY......................................................................................5
P2 EXPLAINING DIFFERENT RATING SYSTEM FOR F&BINDUSTRY NATIONALLY AND
INTERNATIONALLY............................................................................................................................... 6
P3 THE CURRENT AND FUTURE TRENDS..............................................................................................7
ACTIVITY 4................................................................................................................................................ 8
LO2....................................................................................................................................................... 8
P4 SKILLS OF PROFESSIONAL F&B MANAGEMENT WITHIN A F&BORGANISATION.............................8
P5 THE LEGAL REQUIREMENTS AND REGULATORY STANDARDS.........................................................8
M2 IMPORTANCE TO MEET PROFESSIONAL F&B...............................................................................10
ACTIVITY 3.............................................................................................................................................. 12
LO3..................................................................................................................................................... 12
P6 DIFFERENT OPERATIONAL AND MARKETING TECHNOLOGY.........................................................12
M3 DIGITAL TECHNOLOGY ENHANCEMENT IN BUSINESS PERFORMANCE........................................13
ACTIVITY 2.............................................................................................................................................. 14
LO4......................................................................................................................................................... 14
P7 FACTORS INFLUENCING THE CONSUMERS’ DECISION...................................................................14
P8& M4 STRATEGIES IN F&B OUTLETS...............................................................................................14
CONCLUSION.......................................................................................................................................... 16
APPENDIX............................................................................................................................................... 17
REFERENCES........................................................................................................................................... 20

INTRODUCTION
The motive of evaluating this report is regulating the structure, working, and evolution of
technologies defined over the F&Bindustry. The F&Bindustry has been considered as an important
asset for the sector of tours and travels (Huang, 2012). It is identified that about 40000 people have
been working in the sector of the hospitality industry in the UK. It contributes about £28.2 million in
overall economic development and growth of the nation. It has been found that 96% of companies in
the small sector and 4% of companies in the large sector contribute to the economic structure of the
nation. The report provides detailed analysis done over the industry of food and beverages in the UK.
It provides information about the skills and abilities needed by the companies to meet with the
changes done in technology towards the sector for the food and industry. It includes how the
operational strategies are implied over the sector of the F&Bindustry(Huang, 2012). It provides the
way of attracting the customers over the new procedures and strategies defined in the working
structure of an organization.

ACTIVITY 1
LO1
P1 DIFFERENT BUSINESSES IN F&BINDUSTRY
The types of business included within the sector of the F&Bindustry have been defined as follows:
Commercial Operators- These types of operators are considered as the major segment of
F&Bindustry. It has defined about 80% of the market share. It is made up of a quick-service
restaurant, catering, drinking establishments and another restaurant(Huang, 2012).
Fine Dining Restaurant: These types of restaurant are embedded with the highly trained chefs and
professionals for preparing the best food item and providing the best taste and quality to the
customers. The table has been mostly decorated with fresh flowers and hygiene is maintained all
around the internal and external environment of the restaurant.
Bishop’s in Vancouver has been known as the best and the longest operating restaurant in fine dining.
The operators of the restaurant are provided with the defining high level of training and professional
development(Huang, 2012).
Ethnic Restaurant: It is the restaurant in which the deliveries of the services are provided based on
following the culture and ethnic values of a particular organization. These type of restaurant aims to
promote the cultural values and ethics of the particular region along with defining the high level of
the operational services over the environment of an organization.
The type of the ethnic restaurant is named HazevRestaurant. It provides a set of services and food
facilities by following the Turkish culture. It has been defined as the restaurant offering a combination
of the classic eastern and modern mediterian cuisine of Anatolia. In this restaurant, the chefs are
defined as Turkish chefs who provide a wide range of Turkish products(Huang, 2012).
Casual Restaurant: These type of restaurant are also defined as the family restaurant. In this
restaurant, the interior has been defined according to the family perforation. The operations defined
in this restaurant provides a wide range of food and beverages as per the varieties of the customers
having different age groups.
The Benihana restaurant is defined as a casual restaurant. It is part of the Japanese chain restaurant.
It was established in 1964 in London. It offers the quality delivery of the food items along with
providing the effective set of the services as per the demand of the customers(Huang, 2012).

P2 EXPLAINING DIFFERENT RATING SYSTEM FOR F&BINDUSTRY NATIONALLY AND
INTERNATIONALLY
As per the aim of providing proper delivery of the products and services to the people, the scheme of
the food rating system has been defined by the UK food security resources. This type of scheme
includes the verification and evaluation of the services and products offered to the customer. It
determines the standard of maintaining proper hygiene, preparing food with accuracy and fresh
ingredients and by defining other factors (Humphrey, 2012).
The rating system defines the overall performance of an organization defined as a restaurant. The
accomplishment of these services is done by the food safety officer of the local authority. The
inspection is done on three components:
 Hygiene Verification
The food security officer of the local authority verifies how the food and its ingredients are
cooked, stored, reheated and prepared. In the Hazev restaurant, the 4-star rating is given to its
hygiene maintenance.
 Environment Analysis
The food security officer evaluates the working environment of a restaurant. It includes the
various other factors as per the overall brand image of the restaurant. The facilities such as
ventilation, the layout of the hotel and washroom facilities are defined (Humphrey, 2012).
 Business operations
The food security officer evaluates the training and facilities provided by an organization to its
employees. It involves the sanitation maintenance, superiority of the food served and the
standard of the services provided.
Figure 1 – Food Hygiene Ratings
Source- https://ratings.food.gov.uk/open-data/en-GB, 2019

P3 THE CURRENT AND FUTURE TRENDS
There is a vast range of the market occupied by the food and beverages industry in the UK. The
overall increase and progress of the industry are based on the implication of technological factors and
the upcoming changes. In a restaurant named Hazel, one of the trending services offered is the
mobile application and website of the restaurant. The mobile application provides a huge variety of
customers to order the food on just one click (Humphrey, 2012).
Figure 2 – Exports in Food Sector
Source- CAGR, 2019
In addition to this Hazel, the hotel has embedded various future trends in the department of
packaging. As per the latest market survey, it has been found that the opportunity for food and
beverages has been increased (Martinez, 2013). The use of Quantum computing has been made
popular in the F&B industry. It helps in processing the speed of the supplies as per the changing
customer needs (Humphrey, 2012). By the increase in technology, the home delivery of the foods
helps Hazevto increase the overall business. It helps in developing a healthier environment for the
opportunity and growth of the F&B industry.
The negative effect of the trend is the decrease in demand for carbonated and sugar-containing food.
This affects the overall environment of the restaurant (Martinez, 2013).

ACTIVITY 4
LO2
P4 SKILLS OF PROFESSIONAL F&B MANAGEMENT WITHIN A F&BORGANISATION
The types of skills defined in Hazev Restaurant for the F&B management is defined as:
Leadership Skills
For the HazevRestaurant, there find the need for the manager to define the skills of leadership, to
motivate the overall working of an organization. The manager must have an effective team building
skill, and they must provide a high level of motivation for the employees of an organization.
Organizational Skills
To deploy the accurate resources as per the demands, the Hazevrestaurant must develop an effective
way of organizing the entire set of the services defined in an organization. This must include then
organizational skills in termsof managing the machinery resources, human resources and
management of other raw material (Martinez, 2013).
Multi-tasking Skills
To manage the different set of the customers and customs, there find the need to develop the skill of
multitasking among the employees working in a restaurant named as Greggs.
Inventory management skills
The management teams of the organization have the skill of managing inventory. It this some food
items are perishable for the short duration of time and some are perishable for the longer duration of
time. Thus, to manage the quality delivery of the food items this typesof skill has to be defined
(Martinez, 2013).
Time management skills
These types of skill act as the major skill for managing the quality delivery of the services and food.
The company embeds defined scheduling in providing training sessions to motive the employees for
work.

P5 THE LEGAL REQUIREMENTS AND REGULATORY STANDARDS
In HazevRestaurant, the implementation of the food and safety act 1990 helps in defining the range of
offences which assures the quality and security of customer health. These offences include the
production of food which is injurious for the health of the customers. This includes the type of food
manufacturing processes including poor quality of ingredients. In addition to this section 14 of the
same act defined another offence relatedto the selling of the food product in oppose of the demand
of the customers (Martinez, 2013).
The regulation of 178/2002 determines the major provisions which are implied over the food
operators. These provisions include the safety of the customers, food traceability, import and export
of the food items, information of the food items and the presentation of the food. These factors are
included in the overall working environment of HazevRestaurant (Law et al., 2013).
Food Safety Modernization Act- In Hazevrestaurant, the flexibility of the act has been considered to
be an important factor in the sector of food safety. It has been found that the total number of people
affected by foodborne diseases all over the nation is too calculated to be 50 million people. In
Hazevrestaurant, it has been assured the customers are provided with the best quality of foods and
services (Law et al., 2013). To assure the quality delivery of the food, the raw material has been
imported within a minimum amount of time. This helps in maintaining the freshness of the
ingredients. The cost invested for proper implementation of FSMA act is defined to be 1.5 billion in 5
years.

Figure 3- Areas Covered Under the Law
Source- FDF, 2019
M2 IMPORTANCE TO MEET PROFESSIONAL F&B
In Haze restaurant, the types of issues which are resolved are defined as follows:
Legal Supply Chain: It has decreased the legal risk during the transportation of the food ingredients
during the time of the export. It has been defined to be effective during the transport of ingredients
at an international level. This has been achieved by imposing the above-defined facts such as
traceability.
Nutraceuticals: It includes the policies and laws which helps in determining the effective
accomplishment of tasks defined in the form of the F&B laws (Law et al., 2013).
covering: It defines the way of packaging, labelling, advertising and branding defined as per the laws
to assure that the products and services are delivered and defined in an effective and standardized
form.

Regulation: By the implementation of the laws related to the food and safety, it has been regulated
that the utilization of the resources has been done based on developing high quality of strategies and
operations over the F&B industry (Law et al., 2013).
Definite industry theme: Due to the major political change in BREXIT, there are various sectors which
are affected by the involvement of taxes imposed over the various factors. Due to the imposition of a
Sugar tax, the overall profit made in the sugar industry has been reduced.

ACTIVITY 3
LO3
P6 DIFFERENT OPERATIONAL AND MARKETING TECHNOLOGY
The types of marketing and operational technology implied over the three different types of the F&B
industry are defined as follows:
1. BLUETOOTH TEMPERATURE SENSORS
It has been defined as the type of device used to provide proper maintenance of temperature
in food storage. By using the handheld and fixed sensors, the restaurants can manually or
automatically measure the temperature. In a restaurant named as Benihana restaurant the
this type of technology has been used (Roodenburg et al., 2011).
2. SCHEDULING SOFTWARE
As compared to the above technology, another technique named as the scheduling software
helps in organizing the procedures and works of employees working in a restaurant. This helps
in providing the best delivery of the services to the customers as per the regulation of the
employees. This type of technique is used by a restaurant named Bishop’s in Vancouver. It
helps in increasing the performance level of an organization.
3. DIGITAL INVENTORY TRACKING
On contradicting the above technologies, the digital inventory tracking helps in regulating the
entire set of operations and profit generated by an organization within the defined period
Along with this the tracking and availability of the food ingredients are also easily checked by
the tracking system. It has been used in a restaurant such as Hazev (Roodenburg et al., 2011)