CHAPTER 3: THE RESTAURANT BUSINESS

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I. INTRODUCTION TO FOOD
SERVICE
FOOD SERVICE PROVIDES BASIC NEED AND
SOCIAL ATMOSPHERE
SALES GENERATED FROM FOOD SERVICE WAS
AROUND $440 BILLION $$$$
TO BE SUCCESSFUL ALL FOOD SERVICE MUST
CONSIDER: MARKET, LOCATION,
ATMOSPHERE, CONCEPT AND MENU
TWO GENERAL CATEGORIES OF FOOD AND
BEVERAGE OPERATIONS:
COMMERCIAL SITE
ON-SITE FACILITY
II. COMMERCIAL SITES
FIRST TYPE OF FOOD SERVICE
THESE FOOD SERVICE INDUSTRIES ARE FOR
PROFIT.
ONLY MARKETPLACE NEEDS AND CONSUMER
PREFERENCES LIMIT THE VARIETY
FULL-SERVICE RESTAURANT
A. FULL-SERVICE RESTAURANT
THESE ARE DESTINATIONS WHERE
• CUSTOMER SITS
• GIVES ORDER / SERVED FOOD
• ITEMS ARE COOKED TO ORDER- 3 TYPES
FINE DINING
DISTINGUISHED BY
• PRICE
• SERVICE
• AMBIANCE
• LOCATION
• MENU OPTIONS (FINE WINES)
CASUAL DINING
FASTEST GROWING - CATERS TO
• FAMILIES
• BABY BOOMERS
• MIDDLE CLASS
RELAXED AND REASONABLE PRICING
B. LIMITED SERVICE FACILITY
MOST PROFITABLE CATEGORY (QSR)
SPEEDY SERVICE AND LOW PRICE SOME
QUESTION LATELY ON HEALTH
Quick Serve Restaurants
McDonalds
Pizza Hut
Carls Jr
Del Taco
Subway
Little Caesar’s
Arby’s
Big Apple Bagel
Starbucks
Jet’s Pizza
Dairy Queen
Einstein’s Bagels
Burger King
Hungry Howies
Papa John’s
White Castle
Wendys
Domino’s
Popeye’s
5 Guys
KFC
Sonic
Jimmy John’s
Qdoba
Taco Bell
Dunkin Donuts
Quizno’s
Boston Market
Chipolte
Tim Hortons
Culver’s
Baskin Robbins
SPECIALITY RESTAURANTS
OFFER SOMETHING FOR EVERY TASTE.
SOME OF THE SPECIALITY RESTAURANTS
MAY INCLUDE:
Segments of Food
PIZZA/PASTA
SNACK
CHICKEN
ASIAN
STEAK
MEXICAN
SEAFOOD
BURGERS
SANDWICH
III. TYPES OF RESTAURANT
BUSINESSES
MANY STRATEGISTS BELIEVE THAT AN
INDEPENDENT BUSINESS IS NOT ABLE TO
COMPETE WITH A CORPORATE CHAIN OR A
FRANCHISE, HOWEVER EACH TYPE OF HAS
STRENGTHS THAT ARE DIFFICULT TO
DUPLICATE
CHAINS
PROMISE CUSTOMERS CONSISTENCY OF
PRODUCT AND EXPERIENCE. (OUTBACK,
OLIVE GARDEN) RELY ON STRENGTH OF
BRAND AND ARE LESS RISKY.
FRANCHISES
FRANCHISING IS THE SYSTEM OF EXPANDING
OR OPERATING A BUSINESS UNDER A
RECOGNIZED BRAND. FRANCHISEES
CONSIDER THEMSELVES INDEPENDENT
BUSINESS PERSONS WHO REPORT TO
FRANCHISOR. (MCDONALDS)
INDEPENDENTS
MOST SUCCESSFUL INDIES HAVE WELL
KNOWN COMMUNITY MEMBERS RUNNING
THEM. THE PERSONAL SERVICE IS DIFFICULT
TO MATCH.
IV. RESTAURANTS WITHIN
OTHER PROPERTIES
FREE STANDING FACILITIES AS WELL AS
OTHER TYPES OF PROPERTIES HOUSE
COMMERCIAL REST.
EXAMPLES
PRIVATE CLUBS-GOLF OR TENNIS RESORT
SPORTS OR THEME PARKS
RETAIL ESTABLISHMENTS- MALL
LODGING- GREAT WOLF LODGE
V. ON-SITE FACILITIES
2ND TYPE OF FOOD SERVICE CATEGORY
PROVIDE MEAL OPTIONS FOR CUSTOMERS
DIRECTLY INVOLVED W/ PROPERTY
FOOD IS NOT PRIMARY SERVICE
EXAMPLES:
ON-SITE FOOD SERVICE
PRIMARY/SECONDARY SCHOOLS
COLLEGES AND UNIVERSITIES
HEALTH CARE FACILITIES
BUSINESS AND INDUSTRY
MILITARY
CORRECTIONAL FACILITIES
AIRLINES/AIRPORTS
VI. RESAURANTOPERATIONS
THE SUCCESS OF A RESTAURANT IS
DEPENDENT ON THE QUALITY OF ITS
OPERATIONS.
A REST. IS DIVIDED INTO TWO AREAS: FRONT
OF HOUSE AND BACK OF HOUSE
THE GENERAL MANAGER IS RESP. FOR BOTH
OPERATIONS (SEE 3.2 PG. 60)
VII. FRONT OF HOUSE
INCLUDES THE FOLLOWING FUNCTIONS:
INTIAL IMPRESSION
GREETING
TAKING AND TRANSMITTING ORDERS
SERVING FOOD
PRESENTING BILL
POSITIONS
ASSISTANT MANAGER
OPENING MANAGER
CLOSING MANAGER
CASHIER
HOST/HOSTESS
SERVER/BARTENDER
BUSSER
VIII. BACK OF HOUSE
FUNCTIONS INCLUDE:
PLAN MENU
PREPARE FOOD
DETERMINE PRODUCT SPECS
OBTAIN BIDS/QUOTES
SELECT AND CONTACT VENDORS
PLACE ORDERS/CONTRACTS
POSITIONS
EXECUTIVE CHEF-
REPORTS TO GM
SOUS CHEF-
PREPARES SAUCES
PREP COOK-
PREPARING WORK AREA
GARDE MANAGER-
MAKES GARNISHES
PASTRY CHEF-
ESSERTS
BAKER-
BREAD, CAKE, PIE
STEWARD-
PLACE SETTINGS
EXPEDITER-
LINK FROM FRONT TO BACK
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