Managing Food and Beverage Operations: A Comprehensive Report

Desklib provides past papers and solved assignments for students. This report analyzes food and beverage operations.

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Managi
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Food
and
Bevera
ges
Operati
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Table of Contents
Introduction:..........................................................................................................................................3
LO1: Explore the food and beverage industry including different styles of food and beverage service
outlets, rating systems and current industry trends..............................................................................4
P1: Explore different types of businesses within the food and beverage industry, profiling a chosen
business within each area of the industry.........................................................................................4
P2: Explain different rating systems used for the food and beverage industry nationally and
internationally...................................................................................................................................6
P3: Discuss the current and future trends affecting food and beverage businesses.........................8
LO2: Demonstrate professional food and beverage service standards in a real working environment.
.............................................................................................................................................................10
P4: Demonstrate professional food and beverage management skills within a food and beverage
organisation.....................................................................................................................................10
P5: Explain the legal requirements and regulatory standards that food and beverage service
outlets must comply with, giving specific reference to the maintenance and cleaning of
equipment.......................................................................................................................................12
LO3: Compare the ways that different food and beverage operations use technology to improve
operational efficiency..........................................................................................................................14
P6: Compare and contrast different operational and marketing technology for a range of different
types of food and beverage businesses...........................................................................................14
LO4: Analyse customer motivations and behaviour and how food service outlets use this information
to maximise business success..............................................................................................................16
P7: Investigate the factors that influence the consumers’ decision on which food and beverage
outlets they choose.........................................................................................................................16
P8: Analyse strategies used in a range of food and beverage outlets to attract and build a loyal
customer base.................................................................................................................................17
Conclusion:..........................................................................................................................................19
References:..........................................................................................................................................20
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Introduction
For any country, the food and beverage industry is one of the largest as well as the increasing
demanding industry. This is because of the large amount of the employment opportunities
being provided by this industry due to which this sector appeals a whole lot of people. The
food and beverage industry consists of restaurants, fast food outlets, pubs, hotels, coffee
houses, bars etc. The following assignment is based on the management of the various
operations of the food and beverage businesses. In the following assignment, we will discuss
the various different types of food and beverage businesses and the rating system followed by
these businesses nationally as well as internationally. In addition to this, the various trends in
the food industry will be discussed in the assignment. The latter half of the assignment will
focus on the management skills required, the legal requirements as well as the strategies
followed by the food businesses in order to attract customers.
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LO1: Explore the food and beverage industry including different styles of food and
beverage service outlets, rating systems and current industry trends.
P1: Explore different types of businesses within the food and beverage industry,
profiling a chosen business within each area of the industry.
Food and beverage industry is an essential part of the hospitality industry. The food and
beverage industry is made up of all the establishments that are engaged in the preparation of
food, snacks, beverages as well as meals on the basis of the order from the customers for the
purpose of getting immediately consumed both on the premises and off the premises (Chon,
et. al., 2013). The different types of businesses within the industry of food and beverages can
be primarily divided into two categories namely commercial and non-commercial food
service establishments. The commercial food service businesses are those whose primary
business is to provide food and beverages while non-commercial food service businesses are
referred to those which serve the food and beverages to customers but not as their primary
business.
Commercial Businesses: The commercial businesses make up the most of the food and
beverage industry. They almost accounts for 80% of the food and beverage businesses. It
comprises of restaurants, catering as well as drinking businesses (Chon, et. al., 2013). The
following are the commercial operators in the F&B industry:
 Quick-service restaurants: The quick-service restaurants are popularly known by the
name of the fast food restaurants. The quick service restaurants provide food and
beverage services to both the residents of the area as well as the visitors and therefore are
mainly located at places that are easily accessible (Pandey, 2014). They have their own
brands, chains as well as franchises. The food generally gets prepared in the quick manner
in quick service restaurants and also gets purchased that quickly and therefore also gets
consumed in the quick manner. For Example: Pizza Hut, McDonalds, Burger King etc.
 Full-service restaurants: The full service restaurants are those where the demands and
customer preference is given major priority. They get adjusted as well as changes as per
the demands of the market place where they operate. They offer varied variety of menus
to their customers based on the customer delight and consumer experience. They again
are categorised as fine dining restaurants, family restaurants, ethnic restaurants etc.
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 Catering and Banqueting: Catering and banquets services also make up the food and
beverage industry. These businesses include operations like serving food and beverages
by various catering companies at different banquets as well as events conducted at
different venues (Pandey, 2014). Catering businesses includes the customers consuming
the food at the same time while restaurants serve the food to individuals or to groups. For
example: Conferences, birthday parties, wedding, festivals food exhibitions etc.
 Drinking Businesses: Most of the drinking businesses consist of the bars, coffee houses,
pubs, wine shops etc. These businesses require proper licence from the government as
they are mainly concerned with the selling of alcohol and liquor. Their license allows
them to serve food as well in addition with alcohols and liquors (Pandey, 2014).
Non-Commercial Operators: The food and beverage industry also consists of the non-
commercial which mainly adds to the small portion of the industry. It mainly includes
businesses such as serving food and beverages at cruise, hospitals, colleges etc (Pandey,
2014). The following are the non-commercial operators:
 Accommodation Foodservice: Accommodation foodservice businesses mainly comprise
of hotels that provides restaurants and bars services to its customers. They serve food
through room serving as well as the option of self-dining (Pandey, 2014). For example:
Hilton Hotel and many other.
 Vending and Automated Foodservice: They are generally not considered as the part of
the food and beverage industry but they do make a part of this industry in real. Most of
the hotels, motels, office premises, school canteens etc. have vending machines that allow
the customers to have the immediate solution for their hunger requirements.
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P2: Explain different rating systems used for the food and beverage industry nationally
and internationally.
In order to understand the quality as well as the standard of the food and beverage product,
there are various different rating systems that are used nationally. They help shoppers in
identifying which products are more healthful and nutritious. Among the various rating
systems that are used by the food and beverage industry nationally are the Guiding stars that
are mainly used by the supermarkets in which the rating information is given below the shelf
of the products. Second, is the smart choice program in which label is attached in front of the
food packets? The smart choice is actually the seal of approval which signifies that the
particular food product meet the standard needs and therefore help shoppers in identifying
products that have high nutritional value (Chon, et. al., 2013).
Michelin Stars is another and most recognised rating system that is used by the food and
beverage industry internationally. It is also referred to as the hallmark of the quality of the
restaurant (Barcellona, 2016). Even if a restaurant has a single Michelin star, it is enough to
see a considerable rise in the business of the restaurant as various travellers and food lovers
seek for the restaurants having Michelin Star. These stars are given to the restaurants on the
basis of the food quality served by the restaurant, the mastery in cooking techniques used by
restaurant and finally the restaurant’s consistency. The Michelin star system is explained as
below:
 One Star Restaurants: According to Michelin Standards, one star restaurants are
considered to be really good place to sit and dine in its own category. As per the standards
set by Michelin, the quality of the foods served by one star restaurant is highly consistent
(Barcellona, 2016).
(Source: https://www.forketers.com/offline-marketing/michelin-stars/1679/)
 Two Star Restaurants: As per the star rating given by Michelin, two star restaurants are
those restaurants that are considered as really good place in order one wants to visit a
place by going out of the way. The food in the two star restaurants are prepared carefully
as well as skilfully and therefore the quality of the food served is considered to be
outstanding (Barcellona, 2016).
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(Source: https://www.forketers.com/offline-marketing/michelin-stars/1679/)
 Three Star Restaurants: Three star restaurants as per the Michelin star rating system are
those for which it is worth to make a special journey. The quality of the food served is
outstandingly high standard prepared with nutritious and high quality ingredients. Their
food is exceptionally different and delicious.
(Source: https://www.forketers.com/offline-marketing/michelin-stars/1679/)
These stars are given to the restaurants by the anonymous food and beverage inspectors that
are truly passionate about the food and therefore have the quality to see the products in detail.
The restaurants having being given the Michelin Star are considered as highly demanding as
these ratings are very rare and in a city with 500 restaurants or more, it is possible that the
stars are given to just 10-12 restaurants. The visit is not pre-informed and therefore it is
important for the restaurants applying for stars to serve high quality food on consistent basis
(Barcellona, 2016).
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P3: Discuss the current and future trends affecting food and beverage businesses.
The businesses of food and beverage are constantly growing as there are variety of
opportunities in this industry. The major trends that are currently affecting this industry and
will continue are discussed as below:
 Changing customer preferences: The changing customer preferences includes exotic
flavours, bold snacks. In addition to this, health and wellness have become the major
priority of food lovers these days. Consumers also prefer home delivery of their favourite
meals and always look for quick as well as healthier options (Poinski, et. al., 2019).
 Mergers and Acquisitions: In future, many big companies will be introducing new and
healthier products in their product portfolio. In addition to this. Most of the companies
will prefer to acquire businesses that are engaged in producing the food products and
ingredients required (Nicolopoulos, 2018).
 Food and safety sustainability: Food safety as well as sustainability has gained the
importance as food manufacturers also prefer to lower the risks involved and improve the
quality of the food. Consumers these days prefer to purchase food whose producers are
eco-friendly, green, charitable and have a control on the water consumption (Poinski, et.
al., 2019).
 E-commerce: Today consumers prefer to buy online. It has been observed that the
demand for the online delivery of the food and subscription food services is constantly
increasing and will continue to grow in the coming years.
 Technology: It is expected that in coming years, the customers would like to research the
food products before buying (Poinski, et. al., 2019). This can be achieved by making use
of the smart phones which will enable customers to get the information of the products
they are planning to consume. In addition to this, businesses will be using digital as well
as social platforms in order to connect well with the consumers. The main strategy of the
businesses will be internet of things as well as the use of big data.
M1:
The competition in the food and beverage industry has grown to be intense and tough. In
addition to this, the food and beverage businesses get impacted by the various trends and
these trends have a major influence on the success or decline of the food and beverage
business. A trend may be defined as the suggested line of movement for the business, the
style that should be adopted and the changes that are expected to take place (Nicolopoulos,
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2018). These directly impact the business objectives of the food and beverage outlets and
their attainment. The various trends discussed above like consumer preferences, technology,
mergers and acquisitions, food safety as well as increasing inclination towards the online
purchase and sales of food items have a considerable impact on the success of the food and
beverage businesses and therefore following these trends can effectively help food and
beverage businesses attain their business objectives (Davis, et. al., 2013).
D1:
The consumer of today’s times have become increasingly smart and health conscious and
therefore prefer to eat healthier and nutritious snacks and food as they now take the
responsibility of their health on their own. They do not prefer food products that consist of
harmful ingredients. In addition to this, due to less availability of time, in order to suppress
their hunger they look for home delivery options which are becoming a popular trend in the
food and beverage industry. Also mergers and acquisitions are becoming popular as the
option of introducing new and healthier products costs high to the firms and therefore they
look for the options of merging with similar outlets offering the similar but healthier items
(Davis, et. al., 2013).
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LO2: Demonstrate professional food and beverage service standards in a real working
environment.
P4: Demonstrate professional food and beverage management skills within a food and
beverage organisation.
The various professional management skills that must be possessed by a food and beverage
manager of a food and beverage organisation are discussed below:
 Great communication skills: The responsibility of the food managers involves giving
accurate orders and instructions to their staff and therefore communicates the standards as
well as methods of cooking to the staff in the easy and effective manner. They also need
to communicate well with the customers (Cousins, et. al., 2014).
 Be Proactive: This is an important skill as food and beverage manager is required to pay
attention to detail and therefore keep eyes on various things like food quality, standard,
costs as well as food safety.
 Excellent Budgeting Skills: in addition to food, the food and beverage manager also
needs to deal with the costs, product pricing etc (Cousins, et. al., 2014).
 Effective problem-solving skills: Food and beverage manager needs to deal with the
conflicts of the employees, irritated and frustrated customers. Therefore it is important
that food and beverage manager have great problem solving skills so that they can
provide quick as well as effective solution.
 Leadership Skills: Leadership skills are the pre-requisite in order to become a good food
and beverage manager as they need to manage huge as well as diverse staff of the
organisation, resolve the conflicts between the employees in order to have a peaceful
environment and to support the teams during heavy traffic (Cousins, et. al., 2014). In
addition to this, they need to possess the latest knowledge of the trends in the industry. In
short, the overall functionality of the food and beverage outlet or organisation is the sole
responsibility of the food and beverage manager who needs to make sure that the food is
prepared as per the standards and the employees are well-trained and skilled.
 Organisational Skills: Food and beverage manager needs excellent organisational skills.
They require excellent mathematical knowledge as in the absence of this, no food and
beverage manager would be able to manage the costs of labour. Food costs, beverage
pricing, work schedules etc. In addition to this, the knowledge of hiring the suitable staff
is a must (Cousins, et. al., 2014).
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 Customer-Service Skills: Customer Service is the main priority of the hospitality
businesses and therefore food and beverage manager always focus on the excellent
customer service being provided to customers. In order to make the customers feel happy
and satisfied and to make them repeat their purchases, friendly and courteous service is of
great importance (Cousins, et. al., 2014).
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