The challenge of f&b operations [compatibility mode]

Introduction to Food and
Beverage Control
The Challenge of Food and
Beverage Operations

Thursday, January 17, 2013 BAC: 4131 Food and Beverage Management-1 Cost Control Slide 1 /44

Scope
• The Umbrella Industry.
• The Hospitality segment.
• Overview of the Hotel Organization.
• Commercial and Non commercial Food
services.
• Overview of Food Service Management.
• Common Problems.
• Managing a Multi unit Restaurant.

Learning Objectives
• Identifying components of the Tourism
industry.
• Discussing the organization of the hotel.
• Discussing similarities and differences in
commercial and non commercial food
service operations.
• How to combat labor shortages.
• Explain the role of technology in F&B

The Umbrella Industry


The Umbrella Industry
• The Tourism industry covers in its
components 5 segments.
• Lodging Operations.
• Food and Beverage Operations.
• Transportations services.
• Retail Stores.
• Destination activities.


The Hospitality Segment
• Hotels.
• Motels.
• Condo-hotels.
• Casinos.
• Food and Beverage operations
• Other facilities budget and Hostels.


The Food and Beverage
Segment
1. Commercial Food Service operations.

2. Non Commercial of Institutional food
service operation.


Overview of the hotel
organization
• Rooms division
• Human Resource division
• Accounting
• Engineering and Maintenance.
• Security.
• Sales and Marketing.
• Food and Beverage.


Department
• Coffee shops
• Dining rooms.
• Room service.
• Hospitality Suite Service.
• Lounge, bars.
• Deli shops and Employee cafeterias.
• Snack and refreshments centers.


Department
• The Food and Beverage Department is
capable of generating an average of 27 to
50% of the total revenue of the
establishment.
• The economic success and failure of many
hotels is directly tied to the ability of the food
and beverage department to effectively plan
and control its operations and provide food
service that will attract hotel guests.

Production facilities
• Older lodging facilities were often built with
separate food production facilities for each
service outlet.
• The so called central kitchen was distant
from most service areas.
• Many newer facilities have centralized
commissary-style kitchens.
• The central kitchen design has been the
best.

Operation Challenges
• Largely affecting the F&B operations in
lodging facilities as compared with Free
standing ones:
• Free standing is meant for profitability out
of Food Production and service whilst F&B
ops in lodging properties are located in
areas where the revenue comes from
room rental.


• Hotel F&B operates at convenient times for
guests against standalone which has fixed
hours.
• Service must be provided even on low
occupancy in many hotels the manager cannot
close the outlet even if the response is lean.
• Many hotels have to manage with room service
department being just value added with a
negative bottom line.


• Hotel food service operations seldom offer
dining benefits to employees as direct
costs are not associated with employee
benefits.
• The multiple food outlets make operating
costs complicated to differentiate however
they are lowered where as Free standing
restaurants don’t enjoy that privilege.


• Free standing restaurants are visible to
guests whilst its difficult to see the hotel
outlet.

• It easier to manage of a restaurant owned
by the hotel in contrast to a free standing
restaurant.


Segregating revenue and
Support Centers
• Separating revenue and support centers
by levels of profitability assures the
following:
• Allows finer cost accounting of the centers.
• Allows concentration on support centers
so that they do not become completely
loss making.


Commercial and Non
Commercial Food Services
• Important similarities:
1. Quality awareness.
2. Service delivery.
3. Labor intensity.
4. Careful financial management.
5. Use of automation.


Commercial and Non
• Important differences:…1
1. Commercial food services use Management
and Profits in vocabulary.
2. Non Commercial operations use
Administration and Operational Surplus.
3. Collection of revenue by direct transaction
and collection of revenue by billing.
4. Hotel guests charge bills to room


Commercial and Non
• Important differences:…2
• An accounts receivable system is quite
large and operationally complex especially
with debt collection.
• Bill allocation under account heads in
Hospital catering could be a bit
complicated.


The Operating Control cycle
• Menu Planning.
• Purchasing.
• Receiving.
• Storing.
• Issuing.
• Production(Preparing, Cooking and holding)
• Serving(Production to Service)
• Service(Service personnel to Guest)

The Management System…1
• Management Programs.
• Establish Procedures.
• All training directed towards managing
available resources.
• Management components
a. Planning
b. Organizing
c. Coordinating

The Management System…2
d. Staffing.
e. Directing.
f. Controlling.
g. Evaluating.


Planning
• Creates goals/objectives and action plans to
achieve them.
• It should be cultural at all levels of the
management.
• The top management should insist all levels
of the lower management to build viable
strategies.
• Creating of long term and short term goals
and planning should be time bound.

Making Planning effective
1. Information access and receiving:

2. Communication:

3. Flexibility:

4. Implementation:


Organization
• Assembling resources in order.
• Establishes flow of authority and
communication.
• One line supervision.
• Using experienced supervisor knowing the
complexity of work.
• Using the philosophy of empowerment.
• Update organization charts regularly.

Coordinating
• The managements task of assigning work
and organizing people and resources to
achieve objective.
• Coordination depends on communication.
• Delegation and its importance.
• The overall responsibility still remains with
the head of the department even if he/she
has passed down the delegation of authority.


Staffing
• Recruiting
• Hiring.
• Screening by the Human resource
department.
• Selection, tests, reference checks.
• Jobs must be defined in terms of tasks
performed.
• Job Specifications and hiring strategies.

Directing…1
• Usually is the managers major job.
• Getting work done from subordinates.
• Which includes Supervising, Scheduling
and disciplining employees.
• Motivation, gaining confidence, gain
cooperation.
• Disciplining employees should be done
when necessary with no remorse.

Concerns in directing staff..2
• Complexity of the Human mind.
• Understanding, expectations, Wants and
needs.
• Relating to employee minds.
• Recognizing quantum of job during
scheduling.
• Coaching and counseling staff after
disciplinary action.

Concerns in directing staff…3
• Management meetings when infrequency
in staff behavior is seen.
• Combating unionized behavior in India and
corrective action.


Controlling…1
• Most organization lose of because of lack of
control.
• Control is usually implemented by using
control systems and SOP’s.
• Further control procedures are implemented.
• Controls begin with establishing budget and
budget forms.
• Practices are usually discussed before.


Controlling…2
• Control warrants for corrective action and
using the principles of Actual results v/s
budgeted results this can be achieved.
• Thus the budget levels are brought down
to daily management information systems
to avoid delayed action.
• Controls should be worth more then they
cost.


Evaluating
1. Involves reviewing the operations
progress towards achieving overall
organizational goals.
2. Measuring employee performance.
3. Assessing effectiveness of training
programs.


Integration of all processes
1. Help develop the next years budget.
2. Deal with problems caused by improper
delegation.
3. Work and gain experience in another
department or help in other events.
4. Revise job specifications.
5. Carry out routine supervisory activities.
6. Conduct employee performance.

Combating labor shortage
1. This is global problem except for some
developing countries.
2. To address such problems the management
has to use the following strategies:
a. Increase productivity.
b. Reduce turnover.
c. Offer competitive salaries and benefits.
d. Revise hiring procedures and accommodate
non traditional workers.

Other methods of managing
labor shortage
• Cross training.
• Self Improvement.
• Courses, seminars, Standardization and
procedure control.
• Most restaurant companies have set
standards in their manuals.
• High energy managers provide
motivational support to employee and
accept challenges.

Assignment on Multi Unit
Restaurant Companies
• Doctor’s associates Inc.
• Darden restaurants, Inc.
• Mc Donald's,
• Burger King.
• Chili’s.
• Damons.


The feature of functioning of
the Multi-Unit operations
• Brand recognition.
• Consolidated method of advertizing
nationwide.
• Benefits arising from centralization in
Purchasing, Premise design,
Centralization of menu planning, Purchase
specification development.
• Loans for acquisition.

The feature of functioning of
the Multi-Unit operations
• Potentially easier recruitment because of a
centralized HR.
• Availability of specialized technical
assistance from experts like risk
management, law, construction.
• Other technical support from culinary,
marketing operating control.


Questions

Comments

Reference
• Food & Beverage Controls –
Jack D. Ninemeier
(American Hotel & Lodging Association)


The challenge of f&b operations [compatibility mode]

Recommandé

Recommandé

Contenu connexe

Tendances

Tendances (20)

En vedette

En vedette (20)

Similaire à The challenge of f&b operations [compatibility mode]

Similaire à The challenge of f&b operations [compatibility mode] (20)

Plus de Rajendra Nabar

Plus de Rajendra Nabar (20)

The challenge of f&b operations [compatibility mode]