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Nelson College London

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Managing Food and Beverage Operations

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Table of Contents
Introduction:................................................................................................................................................5

L01 Explore the food and beverage industry including different styles of food and beverage service
outlets, rating systems and current industry trends......................................................................................6

P1: Explore different types of business within the food and beverage industry, profiling a chosen
business within each area of the industry.................................................................................................6

In the world there are different types of food and beverage businesses are famous. Now I am going to
explain some of the popular business with their advantages and disadvantages which is given below:...6

P2 Explain different rating systems used for the food and beverage industry nationally and
internationally..........................................................................................................................................8

P3 Discuss the current and future trends affecting food and beverage businesses...................................9

LO2 Demonstrate professional food and beverage service standards in a real working environment........10

P4 Demonstrate professional food and beverage skills within a food and beverage organization
.....................................................................................................................................10_Toc532000282

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.........................11

M2 Discuss the importance and value of having to meet professional food and beverage legal and
regulatory standards on operational performance and the consequences on performance if they are
not adhered to:...................................................................................................................................11

D2 Analyse the implications of failing to meet the professional food and beverage legal and
regulatory requirements upon the overall operational performance:..................................................12

LO3 Compare the ways that different and food and beverage operations use technology to improve
operational efficiency................................................................................................................................16

P6 Compare and contrast different operational and marketing technology for a range of different types
of food and beverage business...............................................................................................................16

M3 Evaluate how digital technology enhances business performance for a range of different types of
food and beverage businesses to meet business objectives:...............................................................16

P7 Investigate the factors that influence the consumers’ decision on which food and beverage outlets
they choose............................................................................................................................................18

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P8 Analyse strategies used in a range of food and beverage outlets to attract and build a loyal customer
base........................................................................................................................................................19

M4 Evaluate the effectiveness of strategies used in a range of food and beverage outlets to attract
and build a loyal customer base.........................................................................................................19

D3 Critically evaluate the impact of digital technology both on the operations of food and beverage
businesses and the significant influence it has upon consumer buying behaviour:............................20

Conclusion:................................................................................................................................................25

Bibliography..............................................................................................................................................26

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Introduction:
In modern era one of the most biggest and important industry is Food and beverage hospitality
industry. It’s a powerful sector that can improve the domestic economy which is also very vital
for a lot of people because that open new opportunity for job and carrier in related sectors like
Restaurants, Pubs, coffees, lounges, fast food outlets etc. In this sectors of business, the better
quality and service the better result is going to be and beverage hospitality industry have a wide
range of customer both local and international. This business introduces the food tradition of one
country to other country, help the people knowing the world and create a friendly environment.

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L01 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 business within the food and beverage industry, profiling a
chosen business within each area of the industry.

In the world there are different types of food and beverage businesses are famous. Now I am
going to explain some of the popular business with their advantages and disadvantages which is
given below:

SL Sector Description Advantages Disadvantages Example


. Employer
1 Kimpton It is a San They care a Their growth By staff
Hotels & Francisco,California lot about their opportunity is
Restaurants based restaurant and cusotmers limited,
hotel. It is one of the and especially
biggest chain employees, internationally.
boutique hotel their
environment
is extremely
friendly.
2 Hilton It is McLean, They have a Though they several
Hotels & Virginia based hotel high brand have a good
Resorts company. They perception. brand
possess 15 brands in perception
different market they possess
segments. limited market
share.
3 Four It is a Toronto, They possess Their financial Several
Seasons Canada based the biggest position is
Hotels & company, they have market share. over
Resorts more than 100 leveraged.
hotels in different
countries.
4 The It is a Calabasas, They have a They possess a By staff
Cheesecake California based powerful mere
Factory restaurant company. appearance in international
They manage 210 nearly all appearance.
whole service states of USA
restaurants.
5 Accor It is a Paris, France Their They are By staff
Hotels based hospitality presence is struggling in
company. It is the perfect online
biggest hotel group according to business.

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in the earth. their
segments.
6 KFC It is a Louisville,They are the They have a Several
Kentucky based2nd best in fast high employee
company. It holds food based turnover.
the number 2 rank restaurant.
restaurant chain in
the world.
7 Marriott It is a Bethesda, They research Intention to By staff
International Maryland based a lot to get make it
company. competitive worldwide is
advantages. placing a
negative
impact.

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P2 Explain different rating systems used for the food and beverage industry nationally and
internationally

Various types of rating system are used for the food and beverage industry throughout the world.
They are as follows:

Food safety rating: Every country in the world care about food safety in their country. By
establishing food expert authority the Govt. research and investigate all the available food and
beverage industry product after they produce their product. This system ensures the quality of the
product for consumption.

Food standard agency: Food standard agency works for the food safety and human health
safety regarding food .They run their agency under non-minstrel govt. in United Kingdom .They
have their own strategy to ensure the standard of the food.

Alcohol rating: Alcohol has several purposes to serve .Countries in the world have different
permission for use of alcohol in food and beverage companies .That’s why the product gets
certified with the standard alcohol ratings .

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P3 Discuss the current and future trends affecting food and beverage businesses

Food and beverage industry capture a vast market which is always affected by current and
upcoming trends. The current and future trends affecting food and beverage business are given
below:

1. Changing customer preferences: Customer preference changes time to time .They always
look forward to new update of flavor ,new taste ,new decoration .Beside every customer like
luxury .As example current trend is home delivery of product .so the customer preference
affects the trends also

2. Mergers and acquisition: Different companies have their different kind of existing food and
beverage in the market. They produce product with different taste to get the leading position in
the market. These processes help the business to get engaged with new and existing customers.
The market leader of this sector had to do a lot of research on current trend to get that position.

3. Food safety: One of the major current trend is in market is customer is now more concern
about their food safety. Different studies show us more than 50% customer want to be certain
about their food supply.

4. Digital Transformation: One of the biggest online store Amazon has taken some unique
steps because of current trend .They want their product within a short time they ordered from
online. Customers select their choices from their devices staying at their home, and product
delivery is provided shortly at their neighboring locations.

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LO2 Demonstrate professional food and beverage service standards in a real working
environment

P4 Demonstrate professional food and beverage skills within a food and beverage
organization

Food and beverage is a major part in hospitality. People visit a hotel or restaurant to get different
environment and food that is not usual consumption. Greeting the whrn they come, take their
orders at first place, prepare their required service with care, serve them with beautiful
decoration, take their bills, leave some candy, wish them while they are leaving ect.

Food and beverage service in the hotel:


All the Star ranked hotels have many F&b services in their hotel which is given below:

 Bar
 Lounge
 Coffee shop
 Room service
 Restaurant

Leadership skills: For managing a successful business a perfect manager is needed .Who will
manage the system, take care of problems and inspire fellow employees. A manger can be the
key between a successful and unsuccessful business

Organizational skills: Food and beverage company should be well organized .Everything
should follow a strict schedule. They should look on the quality, maintain the supplier, rate a
affordable price create a chain of command for on time work. So Organizational skill is required
badly.

Customer Service skills: This skill is most important for F&D sectors. This business is a kind of
hospitality business. If there is any lack in service skills the customers will not get back to your
restaurants .so this is the part where the utmost attention is needed.

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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

M2 Discuss the importance and value of having to meet professional food and beverage
legal and regulatory standards on operational performance and the consequences on
performance if they are not adhered to:
Every business has its problems. It is not easy to establish a business in any way. There are rules
to be followed. Hospitality companies required to follow some standards it is quite same in every
country but it has issues also. There are results if these regulations are not maintained well. They
are given below:

Food and beverage law USA:


Legal issues in food safety: Food is very sensitive issue, people cannot leave without food, but
people can also die by eating food. So, food has to be safe 1 st of all. There are some legal issues
in food safety that need to follow.

Consumer product safety commission (CPSC): This a USA agency and work for consumer
products safety. So, no one gets hurt by harmful products. They work hard for their country
people. Their main job is to protect consumers from harmful products.

Department of health and human service (HHS): This agency has the job to ensure peoples
health issue. Any threat for human health issue is their concerned. So, they are very active in
what they do.

Food and drug administration: This is a part of HHS, but FDA is a very active agency work for
human food safety issue, like safe food and beverage. They follow and test other restaurant to
ensure human food safety.

Food labeling policies: You cannot release your product without labeling. You will get this label
after you showed some very well and safe food. The company who will not follow the law will
get penalty from the law and order.

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D2 Analyse the implications of failing to meet the professional food and beverage legal and
regulatory requirements upon the overall operational performance:

Business is for people, there are foods and beverage law or rules in the world to ensure
customers good health. There are bad results if those are not fulfilled as they should. There some
other results in business operational work let’s see what they are:

Reputation: Without reputation your business nothing but a ghost house. No one will come to be
a guest there. Reputation needs to be earned, but it will happen slowly. This is actually the
ornaments of business. Reputation is must for those who want to establish as a brand.

Competitive advantage: Failing will cost you like you competitors will go forward when you are
busy with law; they will beat you and go far away. So, that will cost you very high.

Lose customers: For sure if you do not go through the law there will be penalty and customers
will then neglect your restaurant. It is a nightmare for the hotel owners. Losing customers is very
big lose.

Get marked by the law agency: The law agencies they will follow you and look for more
problems in your restaurant. So, never ever break the law, Food and beverahe law is strict for
human health safety.

Losing business: If you are too much, you have broken the law again and gain than that would
the last of your business. Law and order can get your business for good, and you will be in a
great problem than.

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Food Safety Checklist
Ingredients Source Personal garden herbs
To demonstrate the ingredients
came from a safe and reputable
source, list all the places where
you purchased ingredients for
your dishes?
Storage Temperatures Depends on the Product or food
When you brought the
ingredients to your house, note
where these were stored and the
temperatures at which they were
stored?
Personal Hygiene At its best quality
What safety measures did you
put in place to ensure that you
avoided contamination, and
cross-contamination, from your
hands?
Preparation Methods 3 times a day cleaning progress goes on
How did you ensure that you’re
working surfaces, chopping
boards and cooking utensils
were cleaned and sanitised?
Cooking Expert chef
What cooking methods were
used?
What was the temperature that
the food was cooked to?
Cooling and Storage Take them to refrigerator
How did you cool and store the
items that you cooked?
Transportation With truck
When transporting the foods to
the college how did you ensure
that the cold items were kept
cold, and any items transported
hot stayed hot?
Reheating With micro oven
If the items were reheated at the
college, how did you ensure that
they were satisfactorily
reheated?

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Other Measures Yes, termites killing
List any other Food Safety
measures that your Group took
D2 – Part 1 Outcome was very pleasant
Use the internet to research
companies that been prosecuted
for serving unsafe food, or
causing food poisoning.
What was the outcome for the
Company of this (fines,
imprisonment, loss of customers,
etc.)
Food Safety Checklist
Ingredients Source
To demonstrate the ingredients
came from a safe and reputable
source, list all the places where
you purchased ingredients for
your dishes?
Storage Temperatures
When you brought the
ingredients to your house, note
where these were stored and the
temperatures at which they were
stored?
Personal Hygiene
What safety measures did you
put in place to ensure that you
avoided contamination, and
cross-contamination, from your
hands?
Preparation Methods
How did you ensure that you’re
working surfaces, chopping
boards and cooking utensils
were cleaned and sanitised?
Cooking
What cooking methods were
used?
What was the temperature that
the food was cooked to?
Cooling and Storage
How did you cool and store the
items that you cooked?
Transportation
When transporting the foods to

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the college how did you ensure
that the cold items were kept
cold, and any items transported
hot stayed hot?
Reheating
If the items were reheated at the
college, how did you ensure that
they were satisfactorily
reheated?
Other Measures
List any other Food Safety
measures that your Group took
D2 – Part 1
Use the internet to research
companies that been prosecuted
for serving unsafe food, or
causing food poisoning.
What was the outcome for the
Company of this (fines,
imprisonment, loss of customers,
etc.)

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LO3 Compare the ways that different and food and beverage operations use technology to
improve operational efficiency

P6 Compare and contrast different operational and marketing technology for a range of
different types of food and beverage business

M3 Evaluate how digital technology enhances business performance for a range of


different types of food and beverage businesses to meet business objectives:

Various types of food and beverage business exist in the market. Mainly all of them are service
oriented that provides services. For developing a service oriented business, modern technology
and communication sector has no alternative. Marketing is gradually turning in digital form
because in upcoming future, our world is going to depend on digital automated system. It is not
so far where maybe all our works will be done robots and computers. Food and beverage
business also need a vast marketing to gain their competitive advantage. Four major forces of
marketing operations and technology are given below:

Efficiency: It means worldwide and fully standardized data.

Innovation: Innovation refers to general data

Brand: It reflects the trust and first preference of people by reaching across worldwide.

Authenticity: Concentrate on each and every single or individual customers.

Below there are technologies trend that are similar to create a fit environment:

Flow-through Sortation: Companies are trying to do their best to get highest return. Companies
related with beverage and food stocked, Countless operations were taken under to go throw
arrangement system and make the chore easier and simpler.

Equipment Innovation: Equipment innovation is vital for progress. New innovation means new
opportunity of work. Technologically superior companies will grow faster. New innovation of
equipment makes the work lot easier.

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New Era of Voice Technology: In modern technological world voice technology is one of the
most fascinating part of technology .Machine can now detect voice command as a real person
.we have many example of machine that can already take voice command from their owner . so
in future world the whole industrial work process may controlled only by using of voice as real
people do .But in this case ,machine are way more perfect than man .

Increase in AVG Technology: AVG technology mainly used in in-house operation for industrial
purposes. It makes the heavy work easy because it is capable of lifting huge weight .Mainly
used for moving things from one place to another .only the port area have the heavy weight AVG
machineries. Many industries have automated AVG technologies that requires no touch of
people .It creates a new door for modern industrialist.

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P7 Investigate the factors that influence the consumers’ decision on which food and
beverage outlets they choose

There are several factors that influence the consumers’ decision. As example all people don’t
visit a restaurant for hunger .There are many more things that may work as the influence .A well
decorated restaurant can provide not only delicious food but also a superb environment to have
the food .The different food variation and the decoration is also work as a influence .The factors
are as follows:

Monetary Factors: Money and buying capacity is a huge factor .Often people don’t have
enough money to spend and most of the restaurant are more than costly .So many people can’t
visit a restaurant too often even the want to.

Mental Factors: People with money want to spend it to get satisfaction. In the case of restaurant
the food quality, environment, status and behavior of staff affect the mental factors. It works the
same way for beverage also. The taste of the drinks, color, quantity even the serving affects the
mental factor

Spiritual Factors: People of different religion have different types of habit and buying nature.
As example Muslim people don’t consume alcohol or pork but Christian people have them. Thus
the spiritual boundaries affect the buying nature of customers

Meal Forms: some restaurants focused on specific menu. Some brand are famous for their
produced products .As example for drinks coca cola is your first choice for soft drinks & when
its about chicken fry the first name wil come to your mind is KFC. Because these companies
have specific kind of foods. That is known meal form

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P8 Analyse strategies used in a range of food and beverage outlets to attract and build a
loyal customer base

M4 Evaluate the effectiveness of strategies used in a range of food and beverage outlets to
attract and build a loyal customer base

Food and beverage companies are popular for caring their clients. There are several ways that
might help the industry to attract and build a loyal customer base. These are as follows:

Upholding Moral Value: Restaurant should deliver what they have promised. People come to
restaurants by knowing them from their advertising, poster or banner, attracted by their offers,
seeing picture of their food .That’s why a restaurant should provide the exact service to their
customer’s .If the customers find out the restaurant keeps their word that will leave a positive
impression. That’s why maintaining the moral value is important.

Improve earliest period customer package: For the first time visitor the restaurant can offer
some package or a little discount .Which will grow interest in customers mind.

Client maintenance: Clients are everything. Handling client is one of the main part in this
business because clients are sensitive if your clients are not satisfy on your service your business
is going to fail. So client maintenance is vital.

Become complex in the native civic: Restaurants can play some part in social activities .They
can arrange some entertainment program like music festival, different kind of games and offer
discount through this process . These kind of activities will be well appreciated by the customers
and they will remember it for a long period of time.

Upselling Methods: Sometime customers get confused in choosing products or services. In these
circumstances an employee can help the customer to make decision which will send a message to
the customer that the restaurant is caring. This kind of work will affect the customer and help to
boost your sell

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D3 Critically evaluate the impact of digital technology both on the operations of food and
beverage businesses and the significant influence it has upon consumer buying behaviour:

The days of traditional marketing is nearly come to an end .Now it’s the era of digital marketing.
Almost every available industry is following these new trends .Because of internet customers is
more intelligent. It’s easy to get the target customer through digital marketing because everyone
is using internet .Customer can know and compare among product by using these digital
technologies. Digital technology has significant influence on consumer buying behavior. These
are follows:

Product price: Customers can research the market by using internet so that they can know the
real price of almost all kind of products. Now they can judge the price is suitable or not .That
power gives them the possibility of judging a product from price point of view.

Prodcut review: online product review help the customers to judge if the place is suitable for
them or not .Review system is available for almost every kind of product .so Customer now can
take their decision based on product review .If the reviews are good enough then you can expect
some more customer than usual.

Internet shopping experience: customers buying behavior is changing because of the concept of
internet shopping. Customers are now judging a product just by seeing the picture of the product
and make the payment.

Consumer trust: Online shopping has trust issues. Still now consumer have faith problem with
the provider of online market. That’s why some customer is comfortable with real shop. So the
trust of consumer is an important factor for buying behavior of customers.

Information satisfaction: Information is available because of the internet. You can know almost
anything by using internet .Because of this power customer don’t need the shopkeeper or
provider to enlighten them. So the customer buying behavior changes .This information
satisfaction levels influences the customer buying behavior.

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Your Choice of
Branded Coffee Bar Café/Restaurant Hospitality
Business
Places Visited
Business Name: Business Name: Business Name:

Picture of Star Bucks KFC Radison blue


Establishment
Take a ‘Selfie’ of
your group outside
the restaurant that
shows the front of the
restaurant and its
name in the picture
also

Tariff Board/ Yes


Menus No Yes
Does the business
have a full menu or
tariff board at the
5/10 8/10 9/10
entrance, or above
the counter?
EPOS System
Does the business
have an EPOS Yes Yes Yes
system? What
manufacturer’s name
appears on the
system Terminal?
Does the system look 8/10 7/10 9/10
easy for the staff to
use
Card Reader
Is there a credit card
payment facility? Yes Yes Yes
Does it take
contactless
payments?
Will it accept Apple
Pay, Google Pay, 6/10 8/10 10/10
Samsung Pay and
similar applications

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Product Display
Are products
displayed in a Yes Yes No
logical order?
Are they attractively
8/10 8/10 6/10
displayed?
Do they look
delicious?
Purchase Boosts
What does the
business do to No No Yes
encourage customers
to purchase, and
tempt them to spend
more?
Are all items
individually priced?
Are there Impulse
Purchase items near 5/10 5/10 5/10
the till?
Do members of staff
up-sell?
Posters/
Advertisements
Are there posters No Yes No
and advertisements?
What are they
promoting?
Are they appealing 8/10 5/10 6/10
and likely to
succeed?
Pricing
Write down four or Yes
more typical items, Yes Yes
and their prices.
Do the prices
represent good value
for money? 3/10 4/10 6/10
Are there any special
offers, discounts,
meal deals, etc.?

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Repeat Business
What is the business
doing to encourage Yes No No
customers to return?
Are there loyalty
cards available?
Do staff encourage
customers to return?
Are there any
advertisements
promoting 8/10 2/10 3/10
forthcoming events
or soon-to-be-
launched products?
Other Observations
What else have you
noticed, that is No Yes Yes
relevant to the
operation of the
4/10 6/10 8/10
business, during
your visit?
Website/Advertisin
g
Before, or after, your Yes No Yes
visit, go to the
Company’s website
and look at this.
Is it inspiring,
informative and
professional?
Does it provide all
the information that
customers might
need (opening times, 9/10 2/10 9/10
location, menus,
prices, etc.)?
Do they advertise
their business in any
other way?
D3
How might the
business use digital No No Yes
technology to
improve upon the
things that they are

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already doing?
How would you
employ the
technology
differently if this was
your business?

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Conclusion:

Food and beverage hospitality industry considered as one of the most profitable business in the
whole world. Food is related with life and memory and that’s why Restaurants are looking
forward to decorate as beautiful as they can so people can have a nice moment, to spend some
time their close one and have a memory that can stay as a sweet memory. This type of business
often required big investment that helps the economy of the country in order to create brand
value and capture the target market. Now a day digital form of marketing is most essential
because people likes to spend time in online and they search the product review, information,
price, facility, characteristics .So the F&D industry is also involving in technological sector to
increase their business and build up the upcoming world .At last without any doubt Food and
beverage hospitality industry is one of the most attractive sector to develop business with
appreciation.

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Publication.

Rajeshwari, Y. B. (2009). Handbook on Care and Management. Pitam pura, New Delhi: New
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routledge.

Wood, e. b. (2015). Hospitality Management: A Brief Introduction. London: Sage publications.

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