F&B Operations-Interested Topic: Outstanding customer service in Mainland China

HaiDiLao Hot-Pot is a well-known chain-store in Mainland China because of its outstanding customer service. The first time I went to visit the store which is located in Shenzhen. From my perceived experience of having meal in China, the environment may have a little bit messy. As you can see, However, the environment is a quite tidy and spacious. The decoration and atmosphere also make customers feel grand. 

One of the selling points of this restaurant is outstanding customer service. For example, the server would act the greeting when the customer enters the store. They perform to be courteous and to keep smile of the time that make customer feel being respected. Server may ask customer whether it is the first time to visit the restaurant and then may give some suggestive selling. The restaurant has offered the free salad bar and seasoning for customers to take the favour they want. To raise the customers satisfaction, server would first deliver some fruit for them.

The restaurant has been using the electronic device to replace the food order sheet when customers issue the order. Customers only need to tick the food item on screen and then click the confirm button to complete the order submittion.

The benefit I can see is more environmental friendly because of saving paper. In addition, using electronic device could avoid the chance of order missing and become more dependable since it can guarantee that there is no wrong charge to customers and the order record would be saved for each submittion. It is useful to smooth the service process and finally earn the reputation from customers. One more interesting thing is that there would be a special staff to act a performance with some dance when customers order a Chinese noodle.

Honestly speaking, this restaurant is performed quite well no matter on the tangible and intangible manner. However, the number of food items offered by the restaurant are not enough. It is better to offer a variety of food to fulfill the need of customers.

Reference: http://www.haidilao.com/index.html

F&B Operations - the functions and responsibilities of F&B operations

Basic Functions of F&B: serve food & drink to people and to satisfy their various types of needs.

Main aim of F&B: achieve Customer Satisfaction.


The needs that customer might be seeking to satisfy are:


–Physiological: the need of special food items


–Economic: the need for good value for the price paid


–Social: a friendly atmosphere


–Psychological: the need for enhancement of self‐esteem

–Convenience : the desire for someone else to do the work

Basic Responsibility of Foodservice:

Apart from shoulder the above responsibilities, F&B operation should take the following responsibilities:

Purchasing Food and Beverages:

As the basic function of F&B is providing food and beverages for the customers, thus, one of the responsibilities of F&B is purchasing the right quality and the right amount of different types of food.



Planning Menus:


The Menus of an restaurant can be the crucial factor of success or failure. A well-planned menu can stimulate the revenue and attract the consumers to come again.


Maintaining Daily Operation include:


- Maintaining a Cleaned Organized Environment in the Kitchen


- Maintaining Perfect Cleanliness of All Service Areas in Food & Beverage Outlets


- Providing Efficient and Planned Preparation of all Operating Equipment


-Maintenance of Machines

-Forecasting Labour and Cleaning Supply Needs


-Inventory of Chemical Stock


-Maintaining Strict Inventory Control and Monthly Stock Check



Food Service Hygiene:


Hygiene is a key element for an restaurant. Reputation of a restaurant is made based on its menu and hygiene. Thus, any tangibles things like the environment, staff, machines, utilities must be shown as well-conditioned. Certainly, the food and beverage which provide to customers must be in the good condition.


Beverage Control:

The record of the suppliers and the deliveries should be kept in case there are some problems, which allowing to chase back the sources. Stocking taking and related stock checking system should be develop to evaluate the number of stock and easier to do the repurchase and chase out the overdue product. CCTV should be set to monitor the staff work.



Steps of Cost control and budgeting:


1) Establishment of standards or goals.


2) Measurement of performance.


3) Comparison and analysis.


4) Corrective action.



Factors to measure how well of F&B operation:

Food and Beverage Division

Food and Beverage Division Organization Chart

Reference; http://www.slideshare.net/rajendranabar/the-challenge-of-fb-operations-compatibility-mode

F & B Operations-Recent Trends and Challenges

Recent Trends

1. Use of branded restaurants instead of hotels operating their own restaurants

Hotel and Restaurant Company Strategic Alliances


Reasons:

a. Create financial benefits

b.Provide customers with greater value

c. Improve a property's overall image

d. Create operational advantages

e. Focus on lodging operations

2. Small to mid-sized hotels opting not to offer food and beverage outlets

Examples:

a. Hotel Pop Jongno

Address: 186, Nagwon-dong, Jongno-gu, Seoul, Korea, Jongno-Gu, 110-320 Seoul, South Korea


b. Rodeway Inn Springhills Lake George

Address: 2447 State Route 9N, Lake George, NY 12845, U.S.A.


c. Cairns Queens Court

Address: 167-173 Sheridan Street, 4870 Cairns, Australia

3. Making outlets more casual atmosphere

a. Damon's




b. Chili's






c. Olive Garden

4. Using themes for a restaurant

a. Planet Hollywood






b. Hard Rock Cafe






c. Charlie Brown Cafe

5. Converting beverage outlet into a sports-themed bar

Damon's Grill & Sports Bar

6. Technology being used to enhance guest services and control costs

a. Online reservation and loyalty program






OPENRICE


b. Online ordering






PIZZAHUT


c. Use of QR code to promote






FOODSMEUN


d. Use of software to help controlling food quality and costs:

-MAXFood Safety ERP software


-CostGuard Food Costing software

7. More low-fat, low-carbohydrate menu item

a. O Green






Gluten free, sugar free, detox, and low fat dishes are the highlights of this Sheung Wan cafe’s offerings. Options include breakfast, tea sets, heartier rice and pasta dishes, and even pizzas.



b. IPC Foodlab






Offering a low-carbohydrate menu, IPC strictly sources ingredients from either local farms or its own pollution-free vertical vegetable and mushroom farm.

8. Franchising ownership

a. Brinker International Franchising

Challenges

1. Fickle Customers

Since more and more regions have become developed, customers are more knowledgeable and have higher requirements of choosing food and beverage. Customers care more about food nutritions, safety and the physical environment of the outlets, which represents their lifestyle.

2. Powerful Retailers

Nowadays, customers can get q wide range of instant food in supermarkets or convenience stores very easily. For example, cup noodles, pasta, pastry, etc. Other than instant food, Many supermarkets offer cooked food, such as sushi, rice, sandwiches, desserts, etc. Those food costs less and customers can enjoy at home. Therefore, retailers become a huge competitors to the food and beverage industry.

3. Tightening Regulatory Environment

Because the quality of products in the F&B industry is so closely tied to the health and safety of consumers, companies are constantly faced with the challenge of adhering to and staying in front of regulations. The 2011 Food Safety Modernization Act (FSMA) is changing requirements for recordkeeping in F&B, which is prompting many executives to evaluate current IT capabilities around quality and traceability.

4. Shrinking Operating Margins

The competitive nature of today’s global economy has added considerable pressure to operating margins across the F&B supply chain. In response, many organizations focus on identifying areas for improvement in the quality of products and processes. Moreover, there are other factors impacting operating margins such as fuel price volatility, rising competition and developing countries, and heavy supply chain use.

5. Visibility into Supplier Quality

While leveraging the global supply chain comes with many benefits, it also has a significant impact on operational risk, especially in F&B. In many cases, organizations lack the level of communication and collaboration with suppliers needed to improve end-to-end performance and close the loop on quality management. Market leaders are working to offset geographical limitations and operational inefficiencies with IT capabilities.

6. Traceability and Data Granularity

An issue every food processor has to be prepared for is a product recall, which requires strong traceability capabilities. When an adulterated product makes its way into the market, response time and the recall process are instrumental in preserving brand reputation and, peripherally, long-term profitability.

7. Disconnected IT Architecture

A common challenge that nearly every large F&B company faces or has faced is a disparate software and applications landscape. A unified information management system around quality is vital for improving the other challenges noted above. Though, because of acquisitions and a shortage of long-term strategic quality vision, many companies are stuck with a tangled web of processes that don’t effectively communicate with one another.


Reference
http://books.google.com.hk/books?
id=G0AnmDecKpQC&pg=PA274&lpg=PA274&dq=Use+of+branded+restaurants+instead+of+hotels+operating+their+own+restaurants&source=bl&ots=soYCnChDJx&sig=DuWMl3mGjfIPzyF6CNxATm2K0pg&hl=en&sa=X&ei=6qRpVJzeNoWxmgWx2YGICw&ved=0CCkQ6AEwAg#v=onepage&q=Use%20of%20branded%20restaurants%20instead%20of%20hotels%20operating%20their%20own%20restaurants&f=false

http://www.damons.co.uk/our-restaurants/

http://www.damons.com/

http://www.olivegarden.com/home

http://www.planethollywood.com/

http://www.hardrock.com/

http://www.charliebrowncafe.com/

http://blog.spartasystems.com/5-major-challenges-fb-companies-facing-today/

http://www.openrice.com/restaurant/index.htm

https://order.pizzahut.com/home