Food & Beverages Operations Management: Mercure Hotel Case Study

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Food & Beverages Operations Management
Mercure Hotel

Table of Contents
ASSIGNMENT 1......................................................................................................................................2
INTRODUCTION.....................................................................................................................................2
LO1........................................................................................................................................................2
1.1 EXAMINE AND DISCUSS THE CHARACTERISTICS OF A RANGE OF FOOD PRODUCTION SYSTEMS
AND THE VARIOUS FOOD AND BEVERAGE SERVICE SYSTEMS...........................................................2
1.2 ANALYZE AND DISCUSS THE FACTORS AFFECTING THE CHOICE OF MENU AND RECIPES FOR
SPECIFIC PRODUCTION AND SERVICE SYSTEMS INCLUDING THE CONSIDERATION OF COST AND
STAFFING USING THE SELECTED ALTERNATIVES................................................................................3
1.3 JUSTIFY THE SUITABILITY OF THE SELECTED FOOD PRODUCTION SYSTEMS AND FOOD AND
BEVERAGE SERVICE SYSTEMS............................................................................................................5
TASK 2....................................................................................................................................................6
2.1 DISCUSS THE ROLE AND THE USE OF FINANCIAL STATEMENTS AND ASSESS THE USE OF
COSTING AND PRICING PROCEDURES IN FOOD AND BEVERAGE OPERATIONS.................................6
2.2 ISSUES AND THE PROCESS OF PURCHASING FOR A SPECIFIC FOOD AND BEVERAGE
OPERATIONS......................................................................................................................................6
ASSIGNMENT 2......................................................................................................................................7
TASK 3....................................................................................................................................................7
3.1 Plan and compile a food and beverage menu for an event of your choice..................................7
3.2 THE SELECTION AND SUITABILITY OF RECIPES FOR MENU, INCLUDING THE BEVERAGE LIST......9
TASK 4..................................................................................................................................................10
4.1 DRAW UP A FOOD AND BEVERAGE SERVICE PLAN FOR THE ABOVE HOSPITALITY EVENT WITHIN
AN AGREED BUDGET.......................................................................................................................10
HOW TO INTEND TO CARRY OUT THE AGREED F&B SERVICE PLAN MAINTAINING STANDARDS OF
QUALITY AND HEALTH, SAFETY AND SECURITY ALONG WITH RECOMMENDATION........................10
RECOMMENDATION............................................................................................................................11
CONCLUSION.......................................................................................................................................12

ASSIGNMENT 1
INTRODUCTION
The hospitality industry is becoming more attractive day by day and the varieties of Food and
beverages are making it more attractive. Food and beverages are the good sources in order to earn
more profit in this sector as the youngsters, are taking a special interest in terms of testing various
kinds of foods and beverages and hence the hotels and restaurants have become more popular due
to providing verities of cuisines and drinks. The hotels and restaurants especially look for the
production of food and beverages in order to ensure that there is nothing unhygienic or tasteless
(Davis et al., 2018). The Mercure Hotel of the UK is one of the hotels which have varieties of food
and beverages and these are being served in a very effective way. In this assignment, the range of
the food production system and several food and beverages service systems will be examined and
discussed. The factors which are influencing the menus and recipes choice for production including
cost and staffing will have analyzed and their justification will be done. In addition, the role and the
use of financial statements, use of costing and pricing procedures in F&B operations and the issues
and process of purchasing food and beverages will be discussed in assignment 1. Assignment 2 is all
about planning and compiling the menu of food and beverages. The selection and suitability of
recipes for the menu will be justified and their selection will do done. The food and beverage service
plan within a budget will be drawn up with the discussion of service plans of F&B in order to
maintain the standard quality, safety and security.

LO1
1.1 EXAMINE AND DISCUSS THE CHARACTERISTICS OF A RANGE OF
FOOD PRODUCTION SYSTEMS AND THE VARIOUS FOOD AND
BEVERAGE SERVICE SYSTEMS
The Experience of effectiveness has taken by the catering manager in the UK after discovering the
safety for food production & services. There are many food producers who bring innovative ideas for
food production in the system. This is very clear that the food and beverages have taken a great
place in hotels, restaurants, bars and in people's lives as well. There are several activities which are
included by food and beverage services in the hotel and catering sector and hence the food and
beverage industry have been classified in its size and diversified nature. This is also important the
difference between food and beverages in this sector and hence the fusion of food and beverages
has been done. Here the food products involve the raw food materials, distributed, packaged and
prepared and the beverages include normal hot drinks, alcoholic and non-alcoholic drinks such as
tea, coffee, Coca-Cola, scotch, whiskey and so on(Zhu, 2017). The food production in hotel industry
involves certain characteristics has been discussed below-
• Food production provides the food to the customer to fulfill their basic need and satisfy
them.
• It also promotes the varieties of cuisines of different cultures.
• There is a major contribution to the food industry to the nation's economy.
• This is dynamic by nature because the taste and demand of people for food keeps on
changing.
• Every hotel and restaurants have a different method to produce food and beverages. The
food production system of Mercure hotel is-
Conventional- This method is traditional in which hotel chefs cook the food inside of Kitchen.
Centralized- The chefs cook the food in bulk off-site in this method in order to cook more in one
time.
Cook-chill- In this methods, chefs cook and prepare the food by chilling and storing them in the
refrigerator up to 4 days in 3°C before reheating to eat.
Cook-freeze- This method is similar to Cook-chill but the food is chilled and stored up to 8 days at
20°C before reheating to eat.
Sous vide- This method of cooking consumes more time than normal cooking time. Food is cooked
on a plastic pouch or in a glass in very low temperature than the normal temperature. The cooking
timing could be 1 to 7 hours up to 48 hours in a few cases on the temperature of 55° to 60°C.

There are various types of food and beverages service system that includes table services, buffer
system, cafeteria system and Self-services (Danezis et al., 2016).
1.2 ANALYZE AND DISCUSS THE FACTORS AFFECTING THE CHOICE
OF MENU AND RECIPES FOR SPECIFIC PRODUCTION AND SERVICE
SYSTEMS INCLUDING THE CONSIDERATION OF COST AND STAFFING
USING THE SELECTED ALTERNATIVES.
This is very important to keep food production and service system more effective by considering the
factors which give a positive impact on menus and recipes. Mercure hotel is very focused on offering
a wide range of choices for menus and recipes in its system of production with a variety of food
ingredients. Mercure hotel mainly focuses on customer preferences in order to provide the food
according to their interest. There are certain factors that affect the customer's choice that has been
elaborated below-
Objectives- Mercure hotel is working with the objective of serving the delicious and standards
quality of food to consumers.
Skills of Kitchen- The hotel staff in a kitchen especially hold the appropriate knowledge and skills for
preparing food and beverages so that their production could satisfy the customers.
Goals for Quality and Nutritional value- Mercure hotel management especially take care of the
quality of healthy food and beverages and the nutritional value in order to develop the recipes and
menus of the hotel.
Organizational Size- The size of the hotel also impacts the choices of the customers and hence
Mercure hotel always try to play a significant and attractive role in order to increase the ability to
serve more delicious and attractive food to the customers.
Raw materials availability- In order to make the availability of raw materials for food production,
good relation with suppliers is required and hence Mercure maintains the good relationship with
suppliers for the availability of raw materials (Davis et al., 2018. ).
Seasonal ingredients- Mercure Hotel makes changes in the recipes and menus seasonally due to
having non-availability of ingredients in certain seasons.
Budget- The planning for budget helps to plan the food and beverages menus and recipes and hence
Mercure hotel also plan the budget before making changes in the menu and recipes.
Consideration of Cost and Staffing
Food Outlets Cost implication Staff implication
Cafeteria and buffet Services The cost is basically decided In cafeterias and buffet

according to the objective of
the organization.
•
• It also provides Low-
cost services.
•
services, staffs will always be
skillful with a level of low
moderation.
•
• Less salary is being
provided in it.
• Only a few services are
offered in comparison
to table services.
•
Vending Machine and Self-
Services
The materials are available at
low costs.
•
• Optimum resources are
available.
• The customers get
prepared food from
here.
•
Basically, the small number of
members works in it.
•
• No special skills are
needed in staff
implication.
• The salary of the
workers is less and the
organization’s
expenses are less too.
Restaurants • The quality of the food
production is carried
from low to high.
• The material storing
cost is based on the
grade of the outlet.
•
Staffs are highly skilled as well
as low skilled and hence both
are allotted their work
according to their skills and
ability (Paoli and Swainson,
2018).
•

1.3 JUSTIFY THE SUITABILITY OF THE SELECTED FOOD PRODUCTION
SYSTEMS AND FOOD AND BEVERAGE SERVICE SYSTEMS
Effective functioning is very important in order to get better food and beverage production system.
This is very important for all the food and beverages production systems to choose the perfect food
production system. There are several kinds of food production system s we have discussed above
although the Mercure Hotel is more focused on the services of Buffet/Counter system. Mercure
Hotel's buffet system attracts the customers by presenting the food in more effective and attractive
ways. The basically present the foods and beverages on a table in events, hotels, banquets,
restaurants, and conferences in a more appropriate way so that customers can easily find their food
as per their interest. Well, this is self-service. The logic behind using this service is it provides the
services in fixed costs where the people can eat as much as they want without paying extra money.
This attracts the customers a lot. Buffet service doesn't require more staffs. Few members can serve
a large number of guests in this service which is advantageous for the hotel as well as customer
both.
This system is advantageous as well as show the negative impact also. This is very important to
present the food on the more attractive, effective and systematic manner in order to attract the
customers. If the presentation will not be appropriate customers can exploit the image of the hotel.
For the services to provide the beverages to customers, it is mandatory to perform the activities of
order, taking and payment should be in one single time by an individual and hence more efficient
and effective skills are required to perform these activities. Mercure Hotel's services for food and
beverages are more effective because it focuses more on hiring the skilled and educated staffs so
that the activities could be performed in more effective manners and it also trains the staffs in order
to make them aware with their services for customers (Notarnicola et al., 2017).
TASK 2
2.1 DISCUSS THE ROLE AND THE USE OF FINANCIAL STATEMENTS
AND ASSESS THE USE OF COSTING AND PRICING PROCEDURES IN
FOOD AND BEVERAGE OPERATIONS
Financial statements play a very crucial role in an organization. Financial statements are the records
of day to day financial transaction in an organization. Financial statements involve four roles in
accounting which are –
Financial Transaction Records- These records help to make payments for suppliers, staffs’ salaries,
Collection of money through sales.
Business Management by a manager- Managers looks on the monthly transactions in order to
manage the financial information effectively.

Income Statement- The Organizations manly maintain the income statements in order to check the
profit and loss of the company including the expenses, profit, and income of the organization.
Retained Earnings Statement- Retained earnings of the reporting period in a company clarifies the
transaction whether the changes are there or not.
Eventually, these financial statements help to create a balance sheet where all the assets and
liabilities are checked. The balance sheet will only be correct when the assets' and liabilities'
balances will be equal. Mercure hotel is mainly focused on the costs of food, beverages, labor, and
overhead, etc. and it effectively uses the costing and pricing procedure to analyze the financial
transactions (Davcik and Sharma, 2015).
2.2 ISSUES AND THE PROCESS OF PURCHASING FOR A SPECIFIC
FOOD AND BEVERAGE OPERATIONS
This is very important for the hospitality industry to maintain the quality of the food and production
system of food and beverages. The proper management of operational activities is required. If the
company will not look properly on operational activities at the time of production of food and
beverages then the issues could occur in an organization. If we talk about the issues in an
organization then there are many kinds of issues faced by food and beverages operational
department. The issues begin with the purchasing of raw material to sell out the final product to the
customers. Basically, hotel and restaurants are based on certain themes so these services should be
provided to the customers according to the themes. There other issues like available space, styles of
providing services, geographic locations and so on. So in order to not to face such kind of issues, the
hotel and restaurants are required to choose the location where the people can avail the food and
beverage facilities easily. For example, it should be located in nearby bus stands, railway stations,
and airports. Apart from this, food and beverages get affected due to the financial objectives,
staffing and quality, menu styles and the service styles also so they are required to be controlled as
well and this should be done and overlook by food and beverages manager to implement and
measure these issues (Govindan, 2018).
Process of Purchasing
The process of purchasing has divided into several aspects such as quantity, storage, price, payment,
and delivery. The hotel management is required to determine the budget and accordingly, the raw
materials should be purchased in order to produce the final food. This is also very important to look
at the space in order to store the materials and the delivery services should be more delightful in
order to satisfy the customers.

ASSIGNMENT 2
TASK 3
3.1 Plan and compile a food and beverage menu for an event of your
choice
The Mercure Hotel is going to organize one congregation party for 60 people. They will book a hall
according to the people and the members will participate in a congregation party. The arrangements
of food and beverages should be done as per their choice and the members have mentioned that
the 50 members are vegetarian and rest 10 members are Non-vegetarian and hence the food &
beverages menu has been set accordingly.
Starters • Curried Devilled Eggs (Non-veg)
• Mushroom and Stilton tarts
• Sweet corn pancakes
• Cheese balls
Main Course • Curried cottage pie
• Crispy chicken wings (Non-veg)
• Sweet potato chili
• Classic Italian Pork Pesto (Non-veg)
• Garlic bread
• Hand cut chips
Dessert • Ice-creams
• Chocolate Brownie
• Syllabub
• Sticky toffee pudding
• Banoffee pie

Beverages • Cider
• Lemonade
• Red wine
• Lemon tea
• Chocolate drinks
Recognize the guests
This is very important to know about the tastes of the guests. In order to recognize their choice,
effective communication is required before preparing the menu. A menu will never be effective
without a suitable approach and effective communication. The appropriate structure of the menu
attracts the customers to taste the food and there are many customers who prefer veg only and a
few people who are non-vegetarians. This is very mandatory to organize the food structure as per
their interest and the area of cooking food should be different for vegetarians and non-vegetarians.
An ever organizer is also required to confirm customer satisfaction with the arrangements (Cetin and
Walls, 2016).
Analysis of operation
The hotel is offering each and everything as per customer's demand but this is also
important to ensure whether it is profitable for the organization or not and their choices of
food and beverages could be availed in a budget or not. Mercure Hotel is well known and
established hotel of UK and hence it doesn't compromise with the image of the hotel and
also take care of customer's satisfaction and hence it provides the accurate menu to the
customers that satisfy them with delicious food as well as the cost of services, food, and
beverages.

3.2 THE SELECTION AND SUITABILITY OF RECIPES FOR MENU,
INCLUDING THE BEVERAGE LIST
The congregation party was arranged for 60 members in the hall of the Mercure hotel. This has been
informed to the event organizer that the 50 members are vegetarians and 10 members are non-
vegetarians and hence the menu was structured according to their area of interest. The taste of the
food and suitability of the guests have also been taken care of by the hotel (Ratakonda et al., 2015).
In order to make guests aware of the food, the veg and non-veg have also been separated. The
Mercure hotels management took care of the systematic management approach in order to arrange
everything according to the customer's requirements and needs. The delicious food and its
presentation attracted the members invited to the party a lot. The main things in the food and
beverages have been taken care of which are –
• Seasonal components
• Recipe accessibility of essential elements
• Cost of ingredients
• Standard quality of the food
• The management was done according to the desire of the guests. But the hotel is also
responsible for providing the food in the most hygienic way and the taste should also be
delicious. This has also been taken care that the ingredients which have been applied in the
food and beverages are not injurious and unhealthy for health. The substantial, chemical and
organic risks have been avoided in order to provide the standard quality of the food and
beverages by Mercure hotel. The Mercure Hotel is very concerned about providing the best
quality of the food and hence they do not take any kind of risk with ingredients and services.
They always recheck the food before serving it to the consumers. They also check critical
points to control the quality of food. The overall arrangements are done successfully. The
budget and the customer's satisfaction have been taken care (O'Shea et al., 2019).

TASK 4
4.1 DRAW UP A FOOD AND BEVERAGE SERVICE PLAN FOR THE
ABOVE HOSPITALITY EVENT WITHIN AN AGREED BUDGET
The food and beverages services of Mercure Hotel are known for its quality and hence the
arrangements are done by keeping the quality and standard of the food and beverages in mind.
Food and beverage services have been planned as per given information by guests. And the details
are discussed below-
Estimated number of members/guest- 60
Guests Type- vegetarians and Non-vegetarians
Timings- 5 hours
Budget of Party
Service name Estimation of Costs
Hall’s rent £1800
Crockery and Cutlery £150
Decorated tables £150
Washing area £50
Waiters’ wage £3000
Cost of food £1600
Cost of beverages £3000
Napkins £100
Decoration expenses £800
Total £6050
The budget of the Hotel matters a lot and the and the satisfaction of the guests also matters and
hence the food and beverages services of Mercure are very famous and the arrangements are done
accordingly. the services and production system are specially taken care in order to maintain the
budget of the event (Wood, 2018). the services included the rent of the hall, crockery, and cutlery,
decorated tables, washing area, wage of waiters, food costs napkins, decoration, etc. and the budget
has been prepared accordingly. The satisfaction of guests has been taken care specially and services
have provided accordingly.