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EP Business in Hospitality Issue 49 - April 2014

EP magazine provides a reference point for executives on topical issues which may impact business growth, industry structure, professional and skill development, and broader economic and political changes. The magazine reports on all sectors of the industry, including hotels, restaurants, events and foodservice (contract catering).

EP magazine provides a reference point for executives on topical issues which may impact business growth, industry structure, professional and skill development, and broader economic and political changes. The magazine reports on all sectors of the industry, including hotels, restaurants, events and foodservice (contract catering).

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MIKE DAY OPINION<br />

The chang<strong>in</strong>g landscape of<br />

technology <strong>in</strong> contract cater<strong>in</strong>g<br />

Improvements made <strong>in</strong> systems can greatly<br />

<br />

I have enjoyed work<strong>in</strong>g <strong>in</strong> the hospitality sector<br />

for more than 40 years, start<strong>in</strong>g out <strong>in</strong> hotels<br />

then mov<strong>in</strong>g across to outside event cater<strong>in</strong>g,<br />

private leisure centres and latterly contract<br />

cater<strong>in</strong>g. Throughout my career I have always<br />

been surprised at the perception that the<br />

contract cater<strong>in</strong>g sector lacks <strong>in</strong>novation and flair.<br />

From my experience, both as an operator and more<br />

recently at IndiCater deliver<strong>in</strong>g IT solutions to<br />

the sector, contract caterers are not only dynamic<br />

th<strong>in</strong>kers but also strive for the most cost-effective<br />

and efficient ways of runn<strong>in</strong>g their bus<strong>in</strong>esses<br />

while stand<strong>in</strong>g out from the crowd. As the contract<br />

caterers’ operat<strong>in</strong>g landscape itself has evolved,<br />

from manag<strong>in</strong>g straightforward food-service needs<br />

<strong>in</strong>to providers of a complex and broad range of soft<br />

FM services, they have<br />

had to drive out change<br />

cont<strong>in</strong>ually to stay ahead<br />

of the game.<br />

Technology has played<br />

a significant role <strong>in</strong><br />

reshap<strong>in</strong>g how the sector<br />

manages both its backof-house<br />

management<br />

processes as well as<br />

provid<strong>in</strong>g contemporary<br />

onl<strong>in</strong>e tools to enhance<br />

“Contract caterers<br />

have had to work<br />

and <strong>in</strong>novate harder<br />

than other hospitality<br />

sectors ”<br />

the overall customer service experience. In just<br />

over 10 years, the sector has moved from away from<br />

the ‘weekly envelope’ of paperwork, pa<strong>in</strong>stak<strong>in</strong>gly<br />

prepared and posted by the unit to head office<br />

for process<strong>in</strong>g, and <strong>in</strong>stead has replaced it with<br />

‘immediate’ onl<strong>in</strong>e software solutions cover<strong>in</strong>g<br />

everyth<strong>in</strong>g from f<strong>in</strong>ance, employment and<br />

purchas<strong>in</strong>g management, right the way through<br />

to client <strong>in</strong>voic<strong>in</strong>g. The need to achieve excellence<br />

<strong>in</strong> customer service and thus reta<strong>in</strong> hard won<br />

contracts has also meant contract caterers have<br />

looked creatively at ways <strong>in</strong> which customer-fac<strong>in</strong>g<br />

software tools can help drive bus<strong>in</strong>ess.<br />

In many respects contract caterers have had to<br />

work and <strong>in</strong>novate harder than other hospitality<br />

sectors, runn<strong>in</strong>g multiple sites with differ<strong>in</strong>g and<br />

often complex contractual arrangements,<br />

while keep<strong>in</strong>g happy the needs of a diverse<br />

audience of clients, customers and company<br />

shareholders.<br />

You don’t have to look far to see the dynamic<br />

ways <strong>in</strong> which contract caterers have used<br />

technology to br<strong>in</strong>g about change. For <strong>in</strong>stance,<br />

management <strong>in</strong>formation systems can be<br />

improved by:<br />

<br />

<br />

to create theoretical gross profits, clos<strong>in</strong>g<br />

stock figures and identify stock loss<br />

<br />

an immediate snapshot of both site and<br />

company trad<strong>in</strong>g.<br />

Sales and market<strong>in</strong>g <strong>in</strong>formation can be<br />

enhanced by:<br />

<br />

alongside meet<strong>in</strong>g room, retail shop and sports<br />

book<strong>in</strong>g processes<br />

<br />

surveys l<strong>in</strong>ked to promotional<br />

offers and vouchers accessed<br />

via mobiles<br />

<br />

to encourage customer loyalty.<br />

<br />

technology can help by:<br />

<br />

management systems with<br />

better management of production costs, waste<br />

and cook<strong>in</strong>g methods<br />

<br />

unit costs from suppliers impact on recipes<br />

<br />

stocktak<strong>in</strong>g and order<strong>in</strong>g.<br />

<br />

compliance by:<br />

<br />

processes<br />

<br />

<br />

<br />

automatically update staff tra<strong>in</strong><strong>in</strong>g records.<br />

The sector is full of change makers with<br />

an appetite for <strong>in</strong>novation. In this challeng<strong>in</strong>g<br />

economic climate we can expect even more<br />

fresh th<strong>in</strong>k<strong>in</strong>g by contract caterers and their<br />

technology partners. <br />

Mike Day is CEO of IndiCater Ltd.<br />

18 | <strong>April</strong> <strong>2014</strong> | <strong>EP</strong>

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