The Food & Beverage Sector in UK holds the features of a steady, non-recurring and vigorous division besides the setting of the current economic recession. The F&B business gives 1.9% to EU gross value added. The gross operational rate of the food industry is nearly the single for industrialization altogether. Throughout the trade and industry recession, it sustained to enhance, whereas a pointed decline was seen in erstwhile vital industrialized divisions.
a. Discuss the use of Financial Statements in Food and Beverage Operations
The financial statements can be defined as the reports that reflect the business performance in the financial terms. The major components of the reports for financial performance are:
- Balance Sheet
- Statement for profit and loss
- Statement for retained earnings
- Statement for cash flows
These statements are reflectors of all the expenses incurred from the scratch i.e. from getting the equipment, property, raw materials etc. till the delivery of the goods. It would involve statements considering the processes like inventory management, sales, remuneration to employees, taxes and invoices etc. In order to access the right cost for every offering, cost analysis needs to be performed. These chargeable offerings would not only include Food and Beverages Operations but also the services being offered by the hotels and hospitality sector. The F& B sector would include all these costs and also the expected returns to bring the final cost of the dishes being offered to the customers.
Financial statements are synopsis of financial statistics in relation to an F&B venture. The Balance Sheet offers the users with statistics regarding accessible assets in addition towards the claims to those assets. The Income Report offers the client with information regarding the success of the venture featuring supplies of returns and the costs which lessen earnings. The Report of Changes of Financial Position demonstrates the resources as well as exercises of an organization's monetary reserves, representing inclinations in the amendment of its principal arrangement. The Report of Retained Earnings settles the proprietors' equity segment of consecutive balance sheets, reflecting all that has occurred to produced profits.
b. Demonstrate the use of cost and pricing processes
In case, one wants to increase the sales for the F&B sector, it is vital to lay out a right cost + pricing process. In case the price is on extremes, extremely high or extremely low, the prices will suffer. There is a need to define an appropriate method so that the business is able to meet its profit goals. To stay ahead in competition also, F&B business has to settle on its break-even and find out the expected costing as well as suitable profits for the business. The business should include all the direct as well as indirect costs associated with the production and delivery of the F&B goods and services. After these costs are estimated, the expected margin of profit needs to be added to set the price of the offered goods and services.
However this price cannot exceed the prices set by the industry. Here also, the firm is the price taker. There are various categories of F& B service providers, and depending on their scale of operations. A lot of times F&B businesses slash bends by possessing low-grade restorations/intend, under-recompensing personnel, or most horrible of the entire, attainment a miserable locality that has inexpensive rental fee assessing F&B business can rise above setting by means of the better-quality food. The business possibly will burn off the entire of money with losses each month prior to persons yet take notice of the eating place.
All the aspects reckons to the accomplishment of an F&B industry, and the F&B business owner require to be acquainted with what he is able to settle on, and what is beyond the perimeters regardless of everything. The business will certainly in addition yearn for providing a computation to put in in marketing and PR at the commencement additionally, which is decisive for every new-fangled eating place.
c. Analyse the purchasing process
Purchasing can be characterized as 'a capacity regarding the inquiry, choice, buying, delivery, stockpiling, invoice settlement and last utilization of product as per the catering approach of the foundation'. This proposes that the individual engaged in buying foods and drinks for a foundation will be responsible for not just getting, additionally for the accepting, stockpiling and serving of each and every item and in addition being engaged with the cause for which stuff is acquired and the consumption of them.
The buying power is a component of the essence in the trade rule series in changing reserve against conjecture. Right buying hold sufficient levels of reserve to address the requirements of client services. idiosyncratic cataloguing of item necessitate unlike systems for getting hold of, largely comprehensible are branded merchandise and most upsetting are new flavoursome produce.
The purchasing process has following facets:
- Build up purchase specification
- Supplier assortment
- Buying acceptable amounts
- No conspiracy among belongings and supplier
- Estimate of buying procedure
The purchase process is buying of all the required resources for the fulfilment of the goals of F&B. It is necessary to acquire the right products to have an edge over the competitors and getting a good quality output. The right raw materials and resources are necessary in the food business, so that it can be preserved for a long time and there is no wastage. In case the purchases are more than the requirements, the storage space would also be required. And in case there is lesser purchase, then there would be shortage at the actual production. The purchase process analysis is also necessary to know about the right supplier to supply the resources. This process would also help in assessing the required funds for buying the resources. In favour of an F&B business to be beneficial, not merely does it require to accomplish particular sales motives although it should in addition strike particular outlay objectives additionally.
d. Compile food and beverage menus for a hospitality event
The F&B operations have the main thing as the Menu, displaying the available food and drinks with the prices and available portion/quantity in the available prices. The menu reflects the whole things regarding the business functioning. Some of the menus also reflect the recipe and the ingredients used, so that the customer is aware of the food and beverages they are buying. The food might also be assigned a mark for being spicy or non-spicy.
The party for the end of semester is important for all the students as they won’t be getting together again, as all at one place. The venue chosen for the bash is a party hall wherein the dim lights, drinks and dance would play a major role. The invitation would be sent to the all the classmates. However, they are all too young to be married, so there would be no invite for any spouse. If any of the party-makers and guests wants to accompany any of their close friends or relatives, they can pay extra for them. A list of students has been prepared so it has pupil, with 10 of them showing intention to bring in their special guests to the party. In all there are 60 persons who will join the bash, so the ethics and analysis has also been done that there are people who can take non-vegetarian food. None of those is allergic to any kind of ingredient. The assigned amounts for every person have been £1000. The dance party would include most of the appetizers, snacks and drinks. The main menu would include other stuff, however the main stress is to be laid on the adequate and continuous supply of snacks and drinks.
Menu sample for the given event:
Sweet Dishes/ Desserts
e. Justify the selection and suitability of recipes for menus
While compiling the menu, the nutrition has been given importance and also, we have inquired regarding the allergies related to food, so that there is no health issue at later stages. Since the guest confirmed that out of 5 accompanying guest there would be some children too, so we have added cakes, juice and pastas. These dishes are good for health and the pastas would include a blend of some veggies to add nutritional value to it.
a. Plan a food and beverage service for a hospitality event within an agreed budget
The agreed budget break up on the menu would be:
Price per person (with taxes)
Price for 60 Guests
Chilly chicken (gravy)
Sweet Dishes/ Desserts
The making of a menu is a standout amongst the highly imperative occupations of a cook and there are various elements that have to be looked into prior to any menu are composed. The point is to offer the client the needs of the guests and not as per the thoughts of the caterer regarding the client needs. When all is said in done it is ideal to put forward less dishes of a decent standard instead of having a wide decision of Foods and drinks of average quality.
b. Implement the planned service maintaining standards of quality and health, safety and security
Since the bash is for the end of semester, the health and maintaining quality standards for food is necessary. The clients would be much interested in a good quality in spite of the quantity. The quality standards include service planning, food production, F&B arrangements, cooking as well as serving in a presentable manner (The Miller Group, 2005). The quality standards are maintained by the trained and skilled staff of the event management firm, organising the event. The F&B service provider also needs to take care that food served is hot or warm at all times with the continuous/adequate supply. The storage has to there at the appropriate temperature. Food has to be prepared with safety and cleanliness in mind. The food cooking utensils and serving dishes need to be clean and washed well.
In case of F&B segment, the health and safety is a very big concern. It is vital to make sure that the party hall wherein we have decided to arrange the event is an accident-free area, safe and have no flies, insects etc. Tidiness is a major issue (The Food Safety Regulations, 1995). In case, the business takes care of guests’ health and safety there would be lesser or no hassles at later stage with lower costs.
The security is vital for the success of an event. While being at the event, the guests want to feel secure and enjoy. In case, an event in successful the business would be able to attain many more customers and reduce the risk and penalty costs/losses.
c. Evaluate factors to determine the success of the service, making recommendations for improvement
The facets that focus the accomplishment of the service is:
1.The services arranged and organized
The execution of the incident is uttered by the administration group. Administration is required to choose F&B services, advancement of cuisine, domineering the delivery and detention of sustenance and refreshments.
Propositions for maturity in planning and establishment of the administration are:
- Interchanges with clients have got to be plain and successful.
- Kept up models of F&B services outlines
- Maintain cleanliness and security principles in F&B division
It is noticeable along with the most indispensable undertakings to pick up to bring about the accomplishment of the services. Cheerful client denotes revised/ chosen again industry, encouraging party depiction, and excellent client recommendations. It is unreasonable and rigid to get hands on fresh clients than maintains the previous clients. Propositions for development consumer satisfaction are:
- bestow great consumer advantage a short time prior to, amid and subsequent to occasion
- provide individual contemplation
- Don't close the eyes to a solitary shopper, impart an uplifting temper
3.Quality certification and Laying benchmarks
Quality pronouncement and setting benchmark, in any hotel occasion, superiority administration measures of F&B ought to be sure-fire. Every bit of wellbeing and safekeeping systems and workforce inclusion in the occasion assist in the realization of the event’s success. Proposals for maturity in quality certification are:
- F&B have to be obtained from an apt supplier
- Administration workers have got to be logically skilled
- Health & safety benchmarks have to be considered and applied
4.Cost and Time Viability
Cost and time practicability are to decide on the most acute gain, the occasion overseer have got to be cost and time compelling (Baker et al. 2004). Buyer unvaryingly desires the preeminent takings in lieu of their cash. Suggestions for outlay and period adequacy are:
- The entire suppliers ought to be bargained and settled with
- Construct a well-managed group with the local buy and sell process
Cutting edge food and refreshment functions are developing and taking care of enhancement in the excellence, and the services. Specialization is intensifying, by improved training and improvement. The temperament of services offered is becoming the central component when patrons have preference among diverse products offered. In this task, there has been explanation on food and refreshment design and services outlines, the money related techniques utilized have been explained as a part of food and drink operations. There has been incorporation for a menu for 60 visitors on account of a coincided chart keeping components that can influence the menu agreement and menu preference. A well-implemented, planned, and controlled procedure in F&B can diminish the time and expenditure endowed in the acquirement procedure, make safe the most excellent arrangement or acquisition worth and augment the profits from investment.
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