Successful Management in Foodservice Operations
An Overview
1st Edition
Published on 11. June 2024
Book
Paperback/Softback
368 pages
978-1-394-20849-4 (ISBN)
Description
Comprehensive resource covering key 'need-to-know' aspects of how to run a food service operation, with unique perspective from restaurant managers
Successful Management in Foodservice Operations is a single volume book addressing the overall operation of a successful food service business, including planning for success, ensuring excellence in production and service, and generating optimal levels of operating profits. The purpose of this book is to teach foodservice operators what they must know, and do, in order to achieve their own definitions of success.
The book covers the major changes to food delivery processes and systems forced by the COVID pandemic, changes to the Uniform System of Accounts for Restaurants (USAR), flexibility of employee management due to COVID-enforced changes, and more.
Each chapter ends with features to enable reader comprehension and practical application of concepts. These include: 'A Manager's 10-Point Effectiveness Checklist' offering ideas for management actions, and mini-case studies entitled 'What Would You Do?' with suggested answers.
Successful Management in Foodservice Operations also discusses:
Reading a USAR income statement, identifying a target market, and creating an effective proprietary website
Managing marketing on third-party operated websites, controlling labor costs, and preparing and monitoring an operating budget
Creating a profitable menu, successfully pricing menu items, recruiting, selecting, and training team members, and controlling food and beverage production costs
Running food trucks and 'ghost' restaurants, where no customers actually visit the 'restaurant' in person other than to pick-up pre-ordered food
Successful Management in Foodservice Operations is an authoritative, accessible, up-to-date, and easy-to-understand reference for introductory students in programs of study related to hospitality management and food service operations. It also appeals to individuals interested in running their own restaurant or other type of foodservice operation.
Part of Wiley's Foodservice Operations: The Essentials series.
Successful Management in Foodservice Operations is a single volume book addressing the overall operation of a successful food service business, including planning for success, ensuring excellence in production and service, and generating optimal levels of operating profits. The purpose of this book is to teach foodservice operators what they must know, and do, in order to achieve their own definitions of success.
The book covers the major changes to food delivery processes and systems forced by the COVID pandemic, changes to the Uniform System of Accounts for Restaurants (USAR), flexibility of employee management due to COVID-enforced changes, and more.
Each chapter ends with features to enable reader comprehension and practical application of concepts. These include: 'A Manager's 10-Point Effectiveness Checklist' offering ideas for management actions, and mini-case studies entitled 'What Would You Do?' with suggested answers.
Successful Management in Foodservice Operations also discusses:
Reading a USAR income statement, identifying a target market, and creating an effective proprietary website
Managing marketing on third-party operated websites, controlling labor costs, and preparing and monitoring an operating budget
Creating a profitable menu, successfully pricing menu items, recruiting, selecting, and training team members, and controlling food and beverage production costs
Running food trucks and 'ghost' restaurants, where no customers actually visit the 'restaurant' in person other than to pick-up pre-ordered food
Successful Management in Foodservice Operations is an authoritative, accessible, up-to-date, and easy-to-understand reference for introductory students in programs of study related to hospitality management and food service operations. It also appeals to individuals interested in running their own restaurant or other type of foodservice operation.
Part of Wiley's Foodservice Operations: The Essentials series.
More details
Series
Language
English
Place of publication
New York
United States
Target group
College/higher education
Dimensions
Height: 226 mm
Width: 150 mm
Thickness: 18 mm
Weight
408 gr
ISBN-13
978-1-394-20849-4 (9781394208494)
Copyright in bibliographic data and cover images is held by Nielsen Book Services Limited or by the publishers or by their respective licensors: all rights reserved.
Schweitzer Classification
Persons
David K. Hayes, PhD, has taught hospitality courses at Purdue University, Texas Tech University, The University of Houston, and Lansing Community College. He has served as the Vice President of Broadcast and Video Training for the American Hotel & Lodging Educational Institute.
Jack D. Ninemeier, PhD, is an Emeritus Professor in the School of Hospitality Business at Michigan State University. He has many years' experience developing and providing training and resource materials for commercial and non-commercial foodservice operations. He has also written several hundred articles for trade journals and created training monographs.
Jack D. Ninemeier, PhD, is an Emeritus Professor in the School of Hospitality Business at Michigan State University. He has many years' experience developing and providing training and resource materials for commercial and non-commercial foodservice operations. He has also written several hundred articles for trade journals and created training monographs.
Content
Preface ix
Acknowledgments xiii
Dedication xv
1 The Operator's Role in Successful Foodservice Management 1
Keys to Success in Foodservice Operations 3
Serving High-quality Products 4
Providing High-quality Service 6
Generating Optimal Levels of Operating Profits 9
Foodservice Operators' Essential Tasks 11
Planning 12
Organizing 12
Directing and Leading 13
Controlling 13
Evaluating 13
Serving Food Safely 14
Serving Nutritious Food 17
Nutrition Essentials for Back-of-House Staff 19
Nutrition Essentials for Front-of-House Staff 20
2 Accounting and Financial Management in Foodservice Operations 26
Professional Accounting 28
Accounting for Successful Financial Management 28
The Mechanics of Accounting 30
Summary Accounting 31
Financial Analysis 33
The Uniform System of Accounts for Restaurants (USAR) 34
Sales (Revenue) 39
Total Cost of Sales 41
Total Labor 42
Prime Cost 43
Other Controllable Expenses 43
Noncontrollable Expenses 45
Profits (Income) 48
3 Successful Marketing in Foodservice Operations 56
The Importance of Successful Marketing 57
The 4 Ps of Marketing 58
Product 58
Place 60
Price 60
Promotion 61
The Importance of Target Markets 63
Why Target Markets Must Be Identified 64
How Target Markets Can Be Identified 65
How to Identify the Needs of a Target Market 68
Marketing Plans 71
Creating the Marketing Plan 73
Implementing the Marketing Plan 77
Evaluating Marketing Plan Results 79
4 Web-Based Marketing on Proprietary Sites 83
Choosing the Primary Domain Name 84
Choosing the Website Host 87
The Proprietary Website 90
Website Design 92
Website Content 94
Website Traffic Tracking 98
Search Engine Optimization 99
How Search Engines Work 99
Choosing Keywords and Phrases 100
Social Media Sites 102
5 Web- Based Marketing on Third- Party Operated Sites 107
Marketing on Third-Party-Operated Websites 108
Partnering with Third-Party Delivery Apps 115
Advantages of Third-Party Delivery App Partnerships 115
Disadvantages of Third-Party Delivery App Partnerships 117
Importance of User-Generated Content (UGC) Sites 120
Improving Scores on User-Generated Content (UGC) Review Sites 121
Increasing the Number of User Reviews 122
Increasing the Scores on User Reviews 124
Responding to Negative User-Generated Content (UGC) Site Reviews 126
Evaluating Marketing Efforts 128
Assessment of Marketing Strategies 129
Assessment of Marketing Tactics 130
6 Creating and Managing the Menu 136
The Importance of the Menu 137
The Menu as a Communications Tool 138
Types of Menus 138
The Menu Development Team 140
Legal Aspects of Menu Design 141
Creating the Food Menu 143
Identifying Menu Categories 143
Selecting Individual Menu Items 144
Writing Menu Copy 145
Key Factors in Successful Food Menu Design 146
Beer Menus 148
Wine Lists 149
Spirits Menus 150
On-Site Digital Menus 153
On-User Device Digital Menus 154
Choosing Takeaway Menu Items 157
Packaging Takeaway Menu Items 158
Holding Takeaway Menu Items for Pickup or Delivery 159
7 Successful Menu Pricing 164
Pricing Menu Items 165
The Importance of Price 166
The Operator's View of Price 166
The Guest's View of Price 167
Factors Affecting Menu Pricing 169
Economic Conditions 170
Local Competition 170
Level of Service 170
Type of Guest 171
Product Quality 171
Unique Alternatives 172
Portion Size 172
Meal Period 174
Location 175
Bundling 175
Methods of Food and Beverage Pricing 177
Cost-based Pricing 177
Contribution Margin-based Pricing 180
Evaluation of Pricing Efforts 183
Menu Modifications 186
8 Successful Employee Staffing and Training 191
Recruiting Team Members 192
Internal Recruiting 197
Traditional External Recruitment Methods 198
Internet-based External Recruitment Methods 199
Choosing Team Members 200
Applications 201
Interviews 204
Pre-employment Testing 205
Background Checks and References 206
Required Documentation for New Team Members 207
Form I-9 (Federal Form) 207
Form W-4 (Federal Form) 208
State and Local Tax Forms 209
Training Team Members 209
Benefits of Training 209
Characteristics of Successful Trainers 211
Steps In Creating Effective Training Programs 212
Evaluation of Training Efforts 216
9 Managing Food and Beverage Production and Service 223
Successful Production Management 224
Managing Food Production 225
Managing Beverage Production 227
Controlling Production Costs 229
The Importance of Standardized Recipes 229
Calculating Cost of Sales 231
Successful Service Management 235
The Guest's View of Quality Service 236
The Operator's View of Quality Service 237
Controlling Service Costs 239
On-Site Service 240
Drive-Thru and Off-Site Delivery Service 240
Managing Service Recovery 243
On-Site Service Recovery 244
Off-Site Service Recovery 245
10 Managing the Cost of Labor and Other Foodservice Expense 248
The Importance of Labor Cost Controls 249
Total Labor Costs 250
Factors Affecting Total Labor Costs 251
Assessment of Total Labor Costs 254
Sales per Labor Hour 255
Labor Dollars per Guest Served 257
Labor Cost Percentage 258
The Importance of Controlling Other Operating Expenses 263
Calculating Other Expense Costs 267
Other Expense Cost Percentage 268
Other Expense Cost per Guest 268
11 Revenue Control 272
The Importance of Revenue Control 273
External Threats to Revenue Security 275
Internal Threats to Revenue Security 276
Developing a Revenue Security Program 280
Objectives of Internal Revenue Control Systems 281
Elements of Internal Revenue Control Systems 281
Implementing and Monitoring a Revenue Security Program 283
Verification of Receivable Revenue 284
Verification of Guest Charges 286
Verification of Sales Receipts 287
Verification of Sales Deposits 287
Verification of Accounts Payable (AP) 289
12 Planning and Budgeting for Success 294
The Importance of Operating Budgets 295
Types of Operating Budgets 295
Advantages of Operating Budgets 296
Creating an Operating Budget 297
Revenue Forecasts 299
Expense Forecasts 301
Monitoring the Operating Budget 303
Comparing Planned Results to Actual Results 305
Modifying the Operating Budget 316
Glossary G-1
Index I-1
Acknowledgments xiii
Dedication xv
1 The Operator's Role in Successful Foodservice Management 1
Keys to Success in Foodservice Operations 3
Serving High-quality Products 4
Providing High-quality Service 6
Generating Optimal Levels of Operating Profits 9
Foodservice Operators' Essential Tasks 11
Planning 12
Organizing 12
Directing and Leading 13
Controlling 13
Evaluating 13
Serving Food Safely 14
Serving Nutritious Food 17
Nutrition Essentials for Back-of-House Staff 19
Nutrition Essentials for Front-of-House Staff 20
2 Accounting and Financial Management in Foodservice Operations 26
Professional Accounting 28
Accounting for Successful Financial Management 28
The Mechanics of Accounting 30
Summary Accounting 31
Financial Analysis 33
The Uniform System of Accounts for Restaurants (USAR) 34
Sales (Revenue) 39
Total Cost of Sales 41
Total Labor 42
Prime Cost 43
Other Controllable Expenses 43
Noncontrollable Expenses 45
Profits (Income) 48
3 Successful Marketing in Foodservice Operations 56
The Importance of Successful Marketing 57
The 4 Ps of Marketing 58
Product 58
Place 60
Price 60
Promotion 61
The Importance of Target Markets 63
Why Target Markets Must Be Identified 64
How Target Markets Can Be Identified 65
How to Identify the Needs of a Target Market 68
Marketing Plans 71
Creating the Marketing Plan 73
Implementing the Marketing Plan 77
Evaluating Marketing Plan Results 79
4 Web-Based Marketing on Proprietary Sites 83
Choosing the Primary Domain Name 84
Choosing the Website Host 87
The Proprietary Website 90
Website Design 92
Website Content 94
Website Traffic Tracking 98
Search Engine Optimization 99
How Search Engines Work 99
Choosing Keywords and Phrases 100
Social Media Sites 102
5 Web- Based Marketing on Third- Party Operated Sites 107
Marketing on Third-Party-Operated Websites 108
Partnering with Third-Party Delivery Apps 115
Advantages of Third-Party Delivery App Partnerships 115
Disadvantages of Third-Party Delivery App Partnerships 117
Importance of User-Generated Content (UGC) Sites 120
Improving Scores on User-Generated Content (UGC) Review Sites 121
Increasing the Number of User Reviews 122
Increasing the Scores on User Reviews 124
Responding to Negative User-Generated Content (UGC) Site Reviews 126
Evaluating Marketing Efforts 128
Assessment of Marketing Strategies 129
Assessment of Marketing Tactics 130
6 Creating and Managing the Menu 136
The Importance of the Menu 137
The Menu as a Communications Tool 138
Types of Menus 138
The Menu Development Team 140
Legal Aspects of Menu Design 141
Creating the Food Menu 143
Identifying Menu Categories 143
Selecting Individual Menu Items 144
Writing Menu Copy 145
Key Factors in Successful Food Menu Design 146
Beer Menus 148
Wine Lists 149
Spirits Menus 150
On-Site Digital Menus 153
On-User Device Digital Menus 154
Choosing Takeaway Menu Items 157
Packaging Takeaway Menu Items 158
Holding Takeaway Menu Items for Pickup or Delivery 159
7 Successful Menu Pricing 164
Pricing Menu Items 165
The Importance of Price 166
The Operator's View of Price 166
The Guest's View of Price 167
Factors Affecting Menu Pricing 169
Economic Conditions 170
Local Competition 170
Level of Service 170
Type of Guest 171
Product Quality 171
Unique Alternatives 172
Portion Size 172
Meal Period 174
Location 175
Bundling 175
Methods of Food and Beverage Pricing 177
Cost-based Pricing 177
Contribution Margin-based Pricing 180
Evaluation of Pricing Efforts 183
Menu Modifications 186
8 Successful Employee Staffing and Training 191
Recruiting Team Members 192
Internal Recruiting 197
Traditional External Recruitment Methods 198
Internet-based External Recruitment Methods 199
Choosing Team Members 200
Applications 201
Interviews 204
Pre-employment Testing 205
Background Checks and References 206
Required Documentation for New Team Members 207
Form I-9 (Federal Form) 207
Form W-4 (Federal Form) 208
State and Local Tax Forms 209
Training Team Members 209
Benefits of Training 209
Characteristics of Successful Trainers 211
Steps In Creating Effective Training Programs 212
Evaluation of Training Efforts 216
9 Managing Food and Beverage Production and Service 223
Successful Production Management 224
Managing Food Production 225
Managing Beverage Production 227
Controlling Production Costs 229
The Importance of Standardized Recipes 229
Calculating Cost of Sales 231
Successful Service Management 235
The Guest's View of Quality Service 236
The Operator's View of Quality Service 237
Controlling Service Costs 239
On-Site Service 240
Drive-Thru and Off-Site Delivery Service 240
Managing Service Recovery 243
On-Site Service Recovery 244
Off-Site Service Recovery 245
10 Managing the Cost of Labor and Other Foodservice Expense 248
The Importance of Labor Cost Controls 249
Total Labor Costs 250
Factors Affecting Total Labor Costs 251
Assessment of Total Labor Costs 254
Sales per Labor Hour 255
Labor Dollars per Guest Served 257
Labor Cost Percentage 258
The Importance of Controlling Other Operating Expenses 263
Calculating Other Expense Costs 267
Other Expense Cost Percentage 268
Other Expense Cost per Guest 268
11 Revenue Control 272
The Importance of Revenue Control 273
External Threats to Revenue Security 275
Internal Threats to Revenue Security 276
Developing a Revenue Security Program 280
Objectives of Internal Revenue Control Systems 281
Elements of Internal Revenue Control Systems 281
Implementing and Monitoring a Revenue Security Program 283
Verification of Receivable Revenue 284
Verification of Guest Charges 286
Verification of Sales Receipts 287
Verification of Sales Deposits 287
Verification of Accounts Payable (AP) 289
12 Planning and Budgeting for Success 294
The Importance of Operating Budgets 295
Types of Operating Budgets 295
Advantages of Operating Budgets 296
Creating an Operating Budget 297
Revenue Forecasts 299
Expense Forecasts 301
Monitoring the Operating Budget 303
Comparing Planned Results to Actual Results 305
Modifying the Operating Budget 316
Glossary G-1
Index I-1