- •CONTENTS
- •PREFACE
- •Content—Benefits for Students
- •Content—Benefits for Instructors
- •Features of the Book for Students and Instructors
- •Supplementary Materials
- •Acknowledgments
- •What Is Hospitality Management?
- •The Manager’s Role in the Hospitality Industry
- •Why Study in a Hospitality Management Program?
- •Planning a Career
- •Employment as an Important Part of Your Education
- •Getting a Job
- •Employment at Graduation
- •The Outlook for Hospitality
- •Summary
- •Managing Change
- •Demand
- •Supply
- •Workforce Diversity
- •The Impact of Labor Scarcity
- •Summary
- •The Varied Field of Food Service
- •The Restaurant Business
- •The Dining Market and the Eating Market
- •Contemporary Popular-Priced Restaurants
- •Restaurants as Part of a Larger Business
- •Summary
- •Restaurant Operations
- •Making a Profit in Food Service Operations
- •Life in the Restaurant Business
- •Summary
- •Chain Restaurant Systems
- •Independent Restaurants
- •Franchised Restaurants
- •Summary
- •Competitive Conditions in Food Service
- •The Marketing Mix
- •Competition with Other Industries
- •Summary
- •Self-Operated Facilities
- •Managed-Services Companies
- •Business and Industry Food Service
- •College and University Food Service
- •Health Care Food Service
- •School and Community Food Service
- •Other Segments
- •Vending
- •Summary
- •Consumer Concerns
- •Food Service and the Environment
- •Technology
- •Summary
- •The Evolution of Lodging
- •Classifications of Hotel Properties
- •Types of Travelers
- •Anticipating Guest Needs in Providing Hospitality Service
- •Service, Service, Service
- •Summary
- •Major Functional Departments
- •The Rooms Side of the House
- •Hotel Food and Beverage Operations
- •Staff and Support Departments
- •Income and Expense Patterns and Control
- •Entry Ports and Careers
- •Summary
- •The Economics of the Hotel Business
- •Dimensions of the Hotel Investment Decision
- •Summary
- •The Conditions of Competition
- •The Marketing Mix in Lodging
- •Product in a Segmented Market
- •Price and Pricing Tactics
- •Place—and Places
- •Promotion: Marketing Communication
- •Summary
- •The Importance of Tourism
- •Travel Trends
- •The Economic Significance of Tourism
- •The United States as an International Tourist Attraction
- •Businesses Serving the Traveler
- •Noneconomic Effects of Tourism
- •Summary
- •Motives and Destinations
- •Mass-Market Tourism
- •Planned Play Environments
- •Casinos and Gaming
- •Urban Entertainment Centers
- •Temporary Attractions: Fairs and Festivals
- •Natural Environments
- •On a Lighter Note. . .
- •Summary
- •Management and Supervision
- •The Economizing Society
- •The Managerial Revolution
- •Management: A Dynamic Force in a Changing Industry
- •What Is Management?
- •Summary
- •Why Study Planning?
- •Planning in Organizations
- •Goal Setting
- •Planning in Operations
- •The Individual Worker as Planner
- •Long-Range Planning Tools
- •Summary
- •Authority: The Cement of Organizations
- •Departmentalization
- •Line and Staff
- •Issues in Organizing
- •Summary
- •Issues in Human-Resources Management
- •Fitting People to Jobs
- •Recruiting
- •Selection and Employment
- •Training
- •Retaining Employees
- •Staff Planning
- •Summary
- •The Importance of Control
- •Control and the “Cybernetic Loop”
- •Tools for Control
- •Summary
- •Leadership as Viewed by Social Scientists
- •Why People Follow
- •Leadership Theories
- •Communication
- •The Elements of Leading and Directing
- •Developing Your Own Leadership Style
- •Summary
- •A Study of Service
- •Rendering Personal Service
- •Managing the Service Transaction
- •How Companies Organize for Service
- •Summary
- •INDEX
Summary 259
TECHNOLOGY AND MANAGEMENT
Computerized point-of-sale (POS) systems not only make the service process easier for employees but save managers work by preparing routine reports; tracking inventory, stock levels, and costs; and determining which items are producing a profit. Some companies are linked directly to their suppliers’ computers, and ordering is done automatically as product is used. Red Lobster’s management system prepares a daily food use forecast that is adjusted by unit managers and used as a basis to bring product from locked storage to the preparation area for the day. The same usage report is transmitted to the chain’s Orlando headquarters, where it is translated into orders to suppliers. These are transmitted from Orlando to suppliers across the United States and Canada. Notice that this process not only increases control chainwide, but also saves a good deal of time for unit managers.
Clearly, the impact of the Internet, and technology in general, is growing but is not being felt in all quarters quite yet.
Summary
This chapter has covered a wide range of topics, each of which is having an impact on the food service industry. The first issue that we discussed was consumers’ concern for nutrition in restaurant food. Although there is a concern about nutrition among consumers that cannot be overlooked, there is an even stronger preference for taste. Operators try for balance with menu offerings to suit both preferences. Consumerists criticize food service for not following what consumerists see as the path of virtue, but restaurants know that they cannot force consumers to behave in a certain way despite
all their advertising. Marketing does best when it follows the lead of the guest.
The Nutrition Labeling and Education Act (NLEA) limits the health claims restaurants can make and requires them to provide information on any nutrient or health claim they make. Although enforcement of the NLEA is very uneven, most restaurants were in compliance with the act before it was passed.
Sanitation is a major concern for the restaurant industry, and the Educational Foundation of the NRA has certified several million workers and nearly a million managers in courses on that topic. The industry’s interest is explained, in some part, by self- interest—bad publicity about sanitation can destroy a restaurant. The best approach to developing a sanitation program is to follow the principles and procedures of HACCP.
Environmental concerns about waste management can be acted on effectively at the unit level. The shrinking availability and mounting costs of sanitary landfills give a pragmatic basis for this concern, as do the sentiments of our customers who are concerned about the environment. We discussed six ways to deal with solid waste: reduce, reuse, recycle, compost, incinerate, and landfill. Choosing cost-effective solutions is
260Chapter 8 Issues Facing Food Service
complicated by program costs, availability of support channels, and unwanted side effects. Some of the costs and other issues were addressed.
Technology is playing a growing role in food service, but it is still subject to economics and customer acceptance. Technology is being used to enhance guest services as well as to control costs and increase efficiency. The chapter discussed the uses of technology in the following areas: guest ordering and payment, food production and refrigeration, marketing (specifically on the Internet), managing banquet and catering departments, and management control and communication.
Key Words and Concepts
Healthy eating |
Health claim |
Overweight |
Food Safety |
Dietary schizophrenia |
Sanitation |
Nutritious food and |
Hazard analysis and critical control |
consumer demand |
points (HACCP) |
Consumerism |
Solid-waste disposal |
Nutrition Labeling and |
Sanitary landfill |
Education Act (NLEA) |
Waste stream |
Food and Drug |
Reduce, reuse, and recycle |
Administration (FDA) |
Composting |
Nutrient claim |
Incineration |
Review Questions
1.What is meant by dietary schizophrenia? What do you think of the way the industry is responding to it?
2.Which of the consumerist issues discussed in this chapter have you encountered as a customer or employee of food service? What are your views on these issues?
3.What is the status of landfill availability and cost in your community? What is its outlook? What is the outlook for recycling and composting in your area?
4.What are some of the steps that you think a restaurant operator can take to help with some of the solid-waste problems?
5.Using as an example an operation with which you are familiar, describe the steps necessary to make recycling possible in that unit.
6.What problems hinder the use of technology? What technological innovations do you think operations should be seeking?
Summary 261
Internet Exercises
1.Site name: Center for Science in the Public Interest
URL: www.cspinet.org
Background information: The Center for Science in the Public Interest (CSPI) is a
nonprofit education and advocacy organization that focuses on improving the safety and nutritional quality of our food supply. CSPI seeks to promote health through educating the public about nutrition and alcohol; it represents citizens’ interests before legislative, regulatory, and judicial bodies; and it works to ensure that advances in science are used for the public’s good. It has been very active in targeting the restaurant industry with their public interest issues.
Exercises: Highlight the “Nutrition Action Newsletter,” then click on “Archives.” Choose and read a current or previous article that targets a segment of the restaurant industry.
a.Discuss how the article you read might impact on the restaurant industry. Do you think this article will persuade the restaurant industry to change? Why or why not?
b.Do you believe the issues raised by CSPI are justified? Should the restaurant industry change, or should CSPI just “mind its own business.” Why or why not?
2.Site name: CSPI Booze News
URL: www.cspinet.org/booze/index
Background information: In 1981, the CSPI launched the Alcohol Policies Project to
help focus public and policy-maker attention on policy reforms to reduce the health and social consequences of drinking. Since then, the project has worked with thousands of organizations and individuals to promote a comprehensive, preventionoriented policy strategy to change the role of alcohol in society.
Exercises:
a.Go to the Booze News Web site and choose an alcohol policy project issue. Describe in detail how you feel the issue impacts the restaurant industry—both positive and negative. There is no right or wrong answer for this—purely your opinion.
b.Do you believe the issues raised by CSPI are justified—are they right on target or they being too critical? Why or why not?
3.Site name: The Center for Consumer Freedom
URL: www.consumerfreedom.com and www.cspiscam.com
Background information: The Center for Consumer Freedom is a nonprofit coalition
of restaurants, food companies, and consumers working together to promote per-
sonal responsibility and protect consumer choices. The growing cabal of “food
262 |
Chapter 8 Issues Facing Food Service |
cops,” health care enforcers, militant activists, meddling bureaucrats, and violent radicals who think they know “what’s best for you” are pushing against our basic freedoms.
Exercises:
a.Review the above site as well as both of the CSPI sites. Lead a class discussion on:
i.The goals of The Center for Consumer Freedom
ii.How do they differ from CSPI?
iii.After reviewing this Web site and CSPI, which do you agree with most? Why?
4.Site name: Centers for Disease Control and Prevention
URL: www.cdc.gov/foodsafety/disease.htm
Background information: The Centers for Disease Control and Prevention (CDC) is
one of the 13 major operating components of the Department of Health and Human Services (HHS). Its mission is to be at the forefront of public health efforts to prevent and control infectious and chronic diseases, injuries, workplace hazards, disabilities, and environmental health threats.
Site name: FDA’s “Bad Bug Book”
URL: vm.cfsan.fda.gov/~mow/intro.html
Background information: This handbook provides basic facts regarding foodborne pathogenic microorganisms and natural toxins. It brings together in one place information from the Food & Drug Administration, the Centers for Disease Control & Prevention, the USDA Food Safety Inspection Service, and the National Institutes of Health.
Site name: Fight Bac
URL: www.fightbac.org/
Background information: Fightbac.org, is the Web site of the Partnership for Food Safety Education (PFSE). PFSE is a not-for-profit organization that unites industry associations, professional societies in food science, nutrition and health, consumer groups, and the U.S. government to educate the public about safe food handling.
Exercises:
a.Choose any three of the following pathogens that cause foodborne illnesses: E. Coli, Salmonella, Norovirus, Hepatitis A, Listeria, and Staphylococcal food poisoning. Collect the following information for each using the three Web sites above.
i.Name of the pathogen
ii.Foods typically associated with foodborne illness and this pathogen. Duration of time after the contaminated food is eaten and symptoms begin to appear
Summary 263
iv.Symptoms typically caused by this pathogen
v.Duration of the illness (include the likelihood of death resulting from the illness)
b.What can a food service manager do to prevent a foodborne illness caused by the three pathogens you selected?
5.Site name: News Search Engines/Sources
URL: Google—www.google.com
AlltheWeb.com—www.alltheweb.com
Yahoo—www.yahoo.com
AltaVista—www.altavista.com
Newspapers.com—www.newspapers.com
Background information: All the major search engines have a “News” tab that can be selected to search thousands of news sources worldwide on any topic entered by the user. Newspapers.com is a directory of all the newspapers in the United States regardless of size. On Newspapers.com, you can search for a newspaper by title, state, or city.
Exercises: Choose a topic such as food safety, food sanitation, alcohol abuse, alcohol and restaurants, happy hours, menu legislation, “Center for Science in the Public Interest,” or a topic assigned by the instructor. Using a news search engine or a newspaper from your hometown, search for current news on a topic. If you use a news search engine, be careful to only select news from the country in which you are studying. Lead a class discussion on the news item to include the following:
a.Describe the impact this news item has on the restaurant/food service industry.
b.Indicate why this news is relevant to managers in the restaurant/food service industry.
c.If you were a restaurant manager, how would your behavior change as a result of having this information? What would you do differently?
d.Discuss what future changes you believe might occur in the restaurant/food service industry as a result of this news.
Notes
1.International Health, Racquet and Sportsclub Association. December 5, 2006. http://cms.ihrsa.org/IHRSA/viewPage.cfm?pageId=2.
2.American Dietetic Association, “Nutrition and You: Trends 2002.”
3.International Health, Racquet and Sportsclub Association (www.ihrsa.org), December 5, 2006.
4.World Health Organization, www.who.int.
5.National Chicken Council (www.eatchicken.com), December, 2006.
6.World Health Organization, www.who.int.
264Chapter 8 Issues Facing Food Service
7.Juliet Schor, Do Americans Shop Too Much? (Boston: Beacon Press, 2000).
8.Personal communication, Leila Leoncavallo, senior staff attorney, Center for Science in the Public Interest, November 2000. We are indebted to Ms. Leoncavallo and the CSPI for their helpfulness.
9.Quote from Dr. Margo Wootan, CSPI Web site (cspinet.org), December 14, 2006.
10.U.S. Food and Drug Administration Web site (http://www.cfsan.fda.gov/) December 9, 2007.
11.We are indebted to Pat Johnson, Director, Food Safety Programs Branch, Ontario Ministry of Agriculture, Food and Rural Affairs, for providing us with the information on food safety, sanitation, and HACCP.
12.Beverage Marketing Corporation, “Second Largest Category Leads Major Beverage Categories in Volume Growth.” (www.beveragemarketing.com), December 2006.
13.Peter A. D’Souza and Leland L. Nicholls, “Waste Management: The Priority for the 1990’s,” Technical Paper, University of Wisconsin–Stout, n.d. Only the figure for institutions is given in the report. The quick-service food figure can readily be derived, using the check average given and a waste-per-1000-pounds figure. The table service figure, however, was estimated assuming an average of four chair turns per day for a seven-day week against an average of 25 pounds for family restaurants and 30 pounds for fine-dining operations.
14.The report uses the term “fine dining” where we have used “table service.” The category found in the report for fine dining has a check average of $4 to $13. For the sake of consistency of usage in this text, we have changed this table. The authors note that the study was undertaken in a midwestern city and the findings may differ somewhat from those in other regions.
15.Environmental Protection Agency, “Municipal Solid Waste Management” (www.epa.gov/ epaoswer/non-hw/muncpl/facts.htm). December 1, 2006.
16.Ibid.
17.Ibid.
18.Institutions/Volume Feeding, October 1975, p. 47.
19.Tim Jones, “Eateries May Flip Over Robo-Cook,” Chicago Tribune, May 23, 2000, pp. 1, 6.
20.“GOMIXER: Turning food waste to water” Press release, Advanced Biotechology, Inc. March 23, 2003.
21.www.hobartcorp.com (December 22, 2006).
22.National Restaurant Association, “Technology Trends in Restaurant Operations,” 2001.
23.We are indebted to Hodges Technology of St. Clair, Michigan, for providing us with the information on group bookings.
P A R T T H R E E
Lodging
The Hospitality Industry
The Hotel Crescent Court, Courtesy of Rosewood Hotels & Resorts.
CCHAAPPTTEERR NOINEE
TheLodging:Hospitality
MeetingIndustryGuestand NeedsYou
The Purpose of this Chapter
n this chapter, we will look at lodging as a set of products and services that have evolved out of
Iguest needs and preferences. We will begin with the evolution of lodging to fit transportation and destination patterns and individual guest preferences. We will then delineate different types of lodging properties, discussing the distinguishing characteristics of each. Different market segments will be explained in relation to their demographics and subsequently their needs and expectations when traveling. The tremendous impact of technology will be discussed from the perspective of changing guest expectations and from the standpoint of how technology has changed major facets of hotel operations. The most important aspect of the hotel industry, service, will be explored with a discussion of hotel rating criteria through organizations such as American Automobile Association (AAA) and directories such as the Mobil Travel Guides. The crucial role of employees as “internal customers” in providing
service will be emphasized.
THIS CHAPTER SHOULD HELP YOU
1.Describe the evolution of lodging, and relate it to changing patterns of transportation, destinations, and guest needs.
2.Identify the five criteria for classifying hotels, and name the types of hotels in each classification.
3.Describe the principal customer types served by the hotel industry.
4.Name the two categories of business travelers.
5.Identify the needs and preferences of business travelers, and provide examples of how the lodging industry accommodates them.
6.Provide examples of the ways in which lodging is responding to the needs of growing market segments, including senior travelers, female travelers, and family travelers.