Chapter 8Restaurant Operations
Scope & Sequence1. Front of the House- Definition- Functions- Restaurant
Forecasting- Suggestive Selling2. Back of the House- Definition- Functions
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After Reading and Studying This Chapter, You Should Be Able to:Apply the forecasting technique used in
the chapter to measure expected volume of business
Name and describe the various types of services
Explain the important aspects of food production
Describe the key points in purchasing, receiving, storing and issuing
3 Areas of the Restaurant:
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1.Front of the House2.Back of the House3.Office
Front of the House
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• The key responsibility of the FOH is great satisfaction• It where the exchange of goods and services takes place• The guest expects a friendly greeting, accuracy in order
filling, cheerful willingness to handle any problems that occur.
Tasks: Greeting the guest Taking the order Serving the food Removing used table ware Accepting payment and accounting for sales, charge as
well as cash Thanking the guest and inviting comments and return
business
BACK OF THE HOUSE
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A term used in the restaurant business to refer to kitchen area and staff.
The principal responsibility of BOH is the quality of the food for the guest. Food safety is extremely important.
Cost control, management of supplies are significant responsibilities.
Controlling quality and cost are parallel activities.Standardized recipe is important (correct ingredients
ensuring quality and cost.Closing (cleaning up, shutting down, locking up). The
closing kitchen manager is responsible for major cleaning up. Putting valuable food and beverage into secure storage.
THE OFFICE
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The office staff handles correspondence, phone calls, office procedures. Keeping the books.
Cashier’s deposits, preparation of the payroll, approval of bills, bill payments.
Restaurant Forecasting:Budget projectionsGuest counts or covers
Meal periodsDay of weekSpecial holidays
Average guest check
Making a Profit in Food Service Operation
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Increasing Sales:2 Basic Approaches:1.To sell more to people (advertising)2.To sell more to your present customer (selling
products more). 3. Increase the check average (to increase the
price), however this is not very effective. It may result to the lost of customers.
4.Bundling,(another strategy) ex. Combo meal5.Suggestive selling
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Reducing Cost1.Careful scheduling of employees.2. Improve portion control3.More careful monitoring of the issue and the use of
supplies
Food Cost Control Process1. Purchasing: - Standard for each item (product specification)- Systems that minimize effort and maximize
control of theft and losses from other sources.
2. 2. Receiving:- Is a point of control in the restaurant
operation. The purpose of receiving is to ensure the quantity, quality, and price are exactly as ordered.
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3. Storing/ Issuing:- Records must be kept of all items going into
and out of the stores. If more than one person has access to the stores, it is difficult to know where to attach responsibility in case of losses.
4. Budgeting: (2 Categories) a. Fixed costs – are constant regardless the volume of
business.(rent, interest, depreciation)b. Variable cost – fluctuate with the volume of business, it also
includes the controllable expenses (payroll, benefits, direct operating expense, marketing ands promotion, energy & utility)
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Typical Cost PercentagesCost Percentages
Labor costs 20 to 24%Food costs 28 to 32%Beverage costs 18 to 24%
Controls
Loss of $20 billion a year due to theft and cash mishandling
One out of every 3 employees will steal35% of restaurants fail due to theft75% of missing inventory is from theft73% of all job applications are falsifiedUse of POS can solve some problems
Trends
More flavorful foodIncreased takeout meals and home meal replacement
Food safety and sanitationGuests becoming more sophisticated
Trends in Restaurant OperationsMore flavorful foodsIncrease takeout mealsIncrease food safety and sanitationTwin and multi restaurant locationsQuick-service restaurants in convenience
storesDifficulty in finding good employees.
Summary:
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1. Most restaurants forecast on a weekly and monthly basis.
2. Products need to be purchased, received, and properly stored.
3. The front of the house deals with the part having direct contact with guests.
4. The back of the house do not come contact with guests. This include receiving, storing/issuing, food production, stewarding, budgeting, accounting and control.