I propose that
these chains have taken production and service automation to its uppermost
limits and have continued to upgrade. Efficient menu engineering, inventory
management, cost analysis, labor scheduling, and real time reporting have forged
these dining concepts into quality, high volume, profitable eateries. Whether
you run a neighborhood bistro or a formal hotel dining room, you don't want to
have to compete against the likes of the Cheesecake Factory across the street.
Increased
competition coupled with more demanding customers is driving the foodservice
industry to explore more technological solutions. In addition to the ability to
monitor profit and loss on a daily basis, technology is providing operators new
tools to control costs and improve management efficiency.
"The most
recognizable technological revolution in the management of critical functions
for a foodservice operation is the automation of purveying," said Dick Williams,
a Senior Vice President of HVS International. Williams, who is Director of HVS
Food and Beverage Consulting and a restaurant owner, also said, "Gone are the
days of the account representative who stopped by often to see if inventory was
on par." Williams reminds us that some of the first inventory management
software was furnished by food distribution companies.
Efficient
Foodservice Response (EFR) is a joint project sponsored by 13 industry trade
associations created to help foodservice manufacturers, brokers, distributors,
and operators find ways to eliminate an estimated $14.3 billion in non-value
adding costs from the supply chain. Some of the focuses of the project are
supply chain demand forecasting, electronic commerce, and alliances. Back-office
software developers for the foodservice industry play an important role in this
initiative. "A strong relationship between food distributors and software
developers has been forged in recent years and has increased the prominence of
back-office automation," says Alexander Lynch of Culinary Software Systems, a
Boulder, Colorado, based firm.
The products
featured in this article support back-office restaurant, hotel, and catering
functions for various sized operations. While the foodservice industry made the
leap to POS and front-of-house automated solutions decades ago, back-office
systems have spent more time on the back burner. Integrating these two areas
makes sense to even the simplest of concepts and kitchens. The core feature of
most packages is an inventory management tool, nevertheless the software
products are differentiated by unique modules or interfaces which can provide a
significant competitive advantage depending upon the challenges of the
operation.
Perhaps the most
refreshing newcomer to back-office foodservice management is Computrition's
Hospitality Suiteâ„? Having met the foodservice needs of the healthcare industry
for over 20 years, the migration of Computrition's software programs to a
Windows® environment brought opportunities in smaller, related operations: spa
resorts, hotels, restaurants and catering facilities. You've heard the adage
about hospital food, but perhaps no industry has had to adhere to such high
standards of cost control, safe production, efficient distribution, and concern
for the nutritional intake of its customers.
Computritionâ„?
features an obvious competitive advantage in nutritional analysis, but the most
exciting feature is a self-developed inventory database that contains the
density and specific gravity of almost every food product requisitioned by
foodservice operations. The system accounts for "as purchased to edible portion"
(AP to EP) ratios so that no conversion is needed between inventory costing and
recipe costing. This allows for more accurate variances when measuring usage.
Due to their nearly unrivaled experience in volume foodservice management,
"Computrition has set an industry standard for electronic purchasing" says Ellyn
Luros-Purdy, RD, founder of the Chatsworth, California-based company. "To date,
less than 10% of food purchasing is done via the Internet, but this is expected
to increase dramatically in the next few years facilitated by back-office
systems," said Luros-Purdy. Computrition, Inc. has entered into a partnership
with Instill, an e-commerce company providing purchasing solutions to the
foodservice industry and currently has working interfaces with most major food
distributors. The system processes order guides based on par levels and purchase
orders that can be instantaneously transmitted to food distribution
organizations.
Another
foodservice trend demanding attention is increased food safety. Computriton's
experience has spurred the development of an automated hazard analysis critical
control point (HACCP) feature. All foodservice operations are required by law to
have these processes outlined for their storage and production areas. The
automated process has freed managers from the tedium associated with a high
level of regulation compliance.
Symbiotic Systems
Corporation (SSC), also located in Boulder, Colorado, has augmented its
web-enabled inventory management programs with powerful human resources
management tools, such as employee scheduling software. SSC provides flexible
back-office solutions that can be integrated with any POS system currently in
use by independent operators, corporate and franchised chains, or affiliated
restaurant groups.
SmartSite
Builder, by Symbiotic Systems leads the way for Internet-based marketing
software geared towards the on-line consumer. Independent restaurateurs can
create their own web site, and the on-line order processing software will allow
for an easy transition into the "home meal replacement" market, in which more
people will use the Internet to order quality takeout and delivery meals. The
service is available at a fraction of the cost for a web-site design firm or
individual who lacks relevant foodservice experience.
Culinary Software
Services (CSS) agrees that a web-enabled purchasing function is something no
back-office system can afford to exclude. "Reducing the labor time required for
inventory management and menu costing activities is one of the greatest benefits
of an automated back-office," said Alexandra Lynch, a marketing executive for
CSS and also a former chef. ChefTec software organizes inventory not only by
food category, but also by location. ChefTec PDA is a system enhancement
designed to work with the Palm III from 3Comâ. A handheld unit can be carried
throughout the storage areas for the most efficient method of entering and
verifying inventory levels. Counts are then uploaded into the main system for
costing and ordering processes.
ChefTec recipes
can be cost or scaled in seconds. A static menu, one that is limited by the
paper upon which it was printed, is becoming more archaic. Catering and
foodservice operations have found that variety and flexibility wins customers.
Consistency throughout a hotel chain is also a great motivator for using
technology. Marriott International decided to use ChefTec Plus in 400
full-service properties for the delivery of standardized recipes and preparation
methods, as well as on-line reporting enhancements served as a proving ground
for corporate adaptation. MenuLink Computer Solutions, located in Huntington
Beach, California, provides a powerful Internet reporting tool whereby POS data
can be viewed real time at a corporate office or anywhere using an Internet
browser. Authorized users can access data that was sent from remote POS systems
within minutes. POS data is continuously integrated into the MenuLink HQ data
warehouse from MenuLink's Back Office Assistant (store system) and sends real
time data to the MenuLink HQ system. For a chain operation, the amount of time
saved on corporate reporting, especially month end reports, allows managers to
spend more time interacting with customers and employees.
Eatec
Corporation, in Emeryville, California, has been offering enterprise-wide
automation to foodservice operators for three years. Eatec's current Windows
system provides real-time inventory tracking, par level maintenance and
nutritional analysis; it also monitors depletion and raw-goods/product
conversions, and provides reports, all from a central database. To raise their
technology to the next level they are rolling out a new Internet-based version
that brings all the strong functionality of their Windows system forward into a
Microsoft Internet Explorer product requiring much less data movement across the
connection. The stores benefit from having faster real-time updates to their
database with the use of a standard modem. Additionally, with the Internet
version less software resides at the store, equaling less training and
maintenance, and system upgrades can be made to the single central Eatec server
at the corporate office, relieving operators from having to apply upgrades
themselves.
One popular food
and beverage back-office system provider is Food-Trak, developed by System
Concepts, Inc. Food-Trak is an established back-office management tools and no
stranger to nutritional analysis, handheld inventory takers, web-based
purchasing, and enterprise reporting. A recent Food-Trak innovation that should
not go unmentioned is the Minibar Management System (MMS), a product to increase
accountability between a hotel's rooms division and the food and beverage
department. MMS keeps track of inventory levels and variances on stocking carts,
as well as inventory placed in the minibars. It also tracks staff activity and
reports productivity. Pardon my excitement, but speaking as a former hotel
front-office underling, this is the solution to many inter-departmental
disputes.
Recognizing that
one of the most common obstacles to implementing a new system is the training
period when productivity may be lost, many back-office system suppliers have
developed self-paced, scenario-based training modules using CD-ROM technology.
These on-line guides assist new users with basic navigational skills such as
inputting recipes, taking inventory, costing menus, and processing purchase
orders. The utilization of self-paced, scenario-based training modules allows
foodservice operations to schedule in-house training in a flexible manner, thus
optimizing learning.
Separate
back-office systems, as opposed to a suite of products provided by a POS vendor,
give a foodservice operation more flexibility. Open architecture and
"best-of-breed" solutions have created highly efficient interfaces between
multiple vendor systems. Back-office organization is no longer limited by the
functionality of front-of-house tools. Time and money saved are the most
significant advantages of back-office systems. Future product developments will
continue to focus on the Internet and connect the foodservice operator directly
to industry associations, banking institutions, labor pools, the USDA, and other
regulatory agencies