BT 202 FOOD AND BEVERAGE MANAGEMENT COURSE DESCRIPTION AND SCOPE

The course is designed to familiarize students with operational, marketing and managerial aspects of foodservice management as well as their consequent managerial, marketing and cost control implications, with emphasis on decision-making Week 1 Course Contents The Foodservice Industry Organization of Food and Beverage Operations Food Purchasing, Receiving and storing The Internal control Financial Management Productivity and Quality Management Assembly, Distribution and Service Facilities Planning and Design Recess Break Marketing and promotions in foodservice organizations Franchising Management in foodservice industry Sanitation, safety, nutrition and presentation Menu planning and menu engineering with pricing aspects Summary and Review Readings 1A, 2A,

2 3 4 5 6 7 8 9 10 11 12 13

5B, 6B, 7B, 4A Teachers Notes 16A 15A 7A 10A 17A Teachers Notes 3A, 8A 4A

BASIC TEXTS A) J Payne-Palacio and M Theis (1997) West & Woods Introduction to Foodservice, 8th Edition, Merrill Library 1 Call Number TX 911.3.M27W516 B) P R Dittmer and G G Griffin (1994) Principles of Food, Beverage, and Labor Cost Control, 5th Edition, Van Nostrand Reinhold Library 1 Call Number TX 911.3.F5D617 C) Hooi, DH, (1999), Cases in Singapore Hospitality and Tourism Management, Prentice Hall

TEXT BOOKS (1) (2) Khan, A. M. (1991). Concepts of Foodservice Operations and Management. 2nd Edition, Van Nostrand Library 1 Call Number TX 943.K45 Ninemeir, J. D. (1991). Principles of Food and Beverage Operations. Hotel and Motel Association. Library 1 Call Number TX 911.3.M27 N714

(3) (4) (5)

Anderson, C and Blackemore, C. (1991). Modern Foodservice. London: Butterworth Heinemann Library 1 Call Number TX943.A545 Levinson C. (1989). Food and Beverage Operation: Cost Control and Systems Management Prentice Hall Library 1 Call Number TX 943.L665 Spears,M. (1995), Foodservice Organizations, A Managerial and Systems Approach, 3rd Edition, Prentice Hall. ISBN#0-02-4142282-4

JOURNAL ARTICLES Riegel, C.D. and Reid, R.D. (1990), Standards in Food-Service Purchasing, Cornell Hotel and Restaurant Administration Quarterly, February Morrison, P. (1996), Menu Engineering in Upscale Restaurants, International Journal of Contemporary Hospitality Management 8(4) Roberts C. (1997), Franchising and Strategic Decision Making, Journal of Hospitality & Tourism Research, 21(1) Sheel A. and Wattanasuttiwong, N. (1998), The Relevance of Financial Leaverage for Equity Returns of Restaurant Firms---An Wmpirical Examination, The Journal of Hospitality Financial Management, 6(1) 1998

METHOD OF INSTRUCTION
Lectures Tutorials : : 2 hours per week 2 hours per week

COURSE ASSESSMENT
Final Examination : Written Assignment and presentation 70% 30% 100%

Lectures are offered as in the schedule above, from Week 1 to Week 13. Tutorials commence in Week 2 and end in Week 14.

LECTURING STAFF
Assoc. Prof. Roberta Wong-Leung Assoc. Prof. Muhammad Sadi

OFFICE ROOM NO.

TEL
6294 6348 Coordinator Co-lecturer

NANYANG TECHNOLOGICAL UNIVERSITY NANYANG BUSINESS SCHOOL BT 202 - FOOD AND BEVERAGE MANAGEMENT LECTURE 2 Food Purchasing, Receiving, and Storing Control Lecture Objectives: 1. Describe the control process to the purchasing function. 2. Explain the receiving control mechanism in foodservice establishments. 3. Illustrate the procedures of food storing and issuing controls 4. Explain period end physical inventory procedures and distinguish between opening and closing inventories;

LECTURE 3 The Internal Control Lecture Objectives: 1. Describe the purposes and requirements of internal control. 2. Discuss some of the principles and procedures of establishing a good internal control 3. Explain ratio analysis and discuss their application to F&B industry.

LECTURE 4 Financial Management Lecture Objectives: 1. Describe the process of financial planning 2. Discuss financial operations: a system of records and reports` 3. Illustrate financial accountability, responsibilities and relationships

LECTURE 5 Productivity and Quality Management Lecture Objectives: 1. Explain what is productivity 2. Illustrate the concept of Quality of Work Life 3. Discuss quality management approaches to productivity

LECTURE 9 Franchising Management Lecture Objectives: 1. Learn an operational definition of franchising and be able to distinguish between the various types of franchising 2. Develop an understanding of how the franchising concept has been applied in various retail businesses in Singapore 3. Learn the advantages and disadvantages of franchising 4. Learn why franchising in food business is on the rise in Asia-Pacific Region

LECTURE 11 Menu Planning, and Menu Engineering with Pricing Aspects Lecture Objectives: 1. Explain menu-planning process 2. Identify types of menus 3. Construct menus appropriate to both commercial and institutional food and beverage organizations 5. Describe menu engineering with pricing aspects

NANYANG TECHNOLOGICAL UNIVERSITY NANYANG BUSINESS SCHOOL BT202 FOOD AND BEVERAGE MANAGEMENT LECTURE 1 THE FOOD SERVICE INDUSTRY
EARLY DAY HISTORY Pre date Middle Ages Most influenced by England, France, Germany, Sweden Religious orders Royal and Noble households DEVELOPMENT OF PRESENT DAY FOODSERVICES colleges and universities school foodservice clubs and other social organizations hospitals nursing homes and health care centers other health care centers: day care, senior citizens, meals on wheels retirement residences and adult communities industrial and business foodservice restaurants transportation companies NOTES FROM TEXTBOOK FOODSERVICE ORGANIZATIONS, A MANAGERIAL AND SYSTEMS APPROACH, 3RD EDITION, MARIAN C. SPEARS Segments of foodservice industry Market share of foodservice industry Foodservice systems approach TRENDS IN THE INDUSTRY THE MENU: melting pot, melding pot, coffee, bread, beers, customer friendly menus organically grown foods bioengineered foods egan approved menus ethnic cuisine: Italy, Mexico, Asia steak is back! spices and herbs now include cumin, fresh cilantro, fresh basil, fresh red and green chilies, dried chilies, whole black peppercorns, garlic, curry, chutneys cookies baked in front of your eyes THE STAFF: issues to face in the year 2000: need for computer proficiency culturally diverse staff service more competitive point of difference better teaching and training skills possess greater people management skills THE CUSTOMER: baby boomers baby busters echo boom children immigrants internal/external customers THE KITCHEN Kitchens "on display", pizza ovens, rotisseries Add to dining experience, can see Offer choice of ingredients Shrinking kitchens, save space Purchase prepped foods from supplier or have it done in a commissary Use frozen dough to bake breads and cookies, back to this trend, smell enticing Less storage space, more just-in-time deliveries Fresher food, inventory costs reduced, could lead to obsolete walk in coolers / large storage areas Carts and kiosks being used in high traffic areas due to low cost and mobile Express units in airports More possibilities: More automation in kitchen Precise and greater communication between customers / waitstaff/chefs/suppliers Less waste, lower labor costs and employee benefits Limited menu operations, low prices, consistency More user friendly kitchen equipment, standardization of controls especially for language/literacy/disabilities barriers Manufacturers have to be more competitive w/durability of equipment and service contracts, longer use due to containment of purchasing budgets More specialty equipment for health and ethnic foods: juicers, grills, rotisseries, steamers, poachers, woks, automatic tortilla makers, scales to measure nutrition ingredients, nutrition analysis software Future possibilities: Vending machines: during off peak hours, grind coffee beans to brew, accept debit cards, frozen foods for microwave Type of food in vending machine to change: frozen, fresh pasta, high grade frozen yogurt Greater emphasis on security in response to increases in crime: sophisticated video cameras and card ID for entry into different areas of kitchen, read fingerprints

NANYANG TECHNOLOGICAL UNIVERSITY NANYANG BUSINESS SCHOOL BT202 FOOD AND BEVERAGE MANAGEMENT LECTURE 6 ASSEMBLY, DISTRIBUTION AND SERVICE
CHAPTER 7 METHODS OF DELIVERY AND SERVICE Centralized Delivery Service System Decentralized Delivery Service System FACTORS AFFECTING CHOICE OF DELIVERY SYSTEMS Type of foodservice system: conventional, commissary, ready-prepared, assembly/serve Kind of foodservice organization: schools, hospitals, nursing homes, airlines, table service restaurants, hotels, cruise ships Size and physical layout of facility Style of service Skill level of employees Economic factors Quality standard for food and microbial safety Timing required for meal service Space requirements or space available Energy usage EOUIPMENT NEEDS GENERAL Fixed or built in Mobile Portable SPECIFIC USE reheating assembling temperature maintenance transporting serving FOUR FOODSERVICE SYSTEMS conventional commissary ready prepared assembly/serve STYLES OF SERVICE SELF SERVICE traditional, free flow, scramble machine vended buffet, smorgasbord, salad bar drive thru pick up TRAY SERVICE centralized decentralized WAITER-WAITRESS SERVICE counter table: American, French, Russian, family, banquet drive in PORTABLE MEALS off premise delivery on premise delivery

NANYANG TECHNOLOGICAL UNIVERSITY NANYANG BUSINESS SCHOOL BT 202 FOOD AND BEVERAGE MANAGEMENT LECTURE 7 FACILITIES PLANNING AND DESIGN
CHAPTER IO Definition and Goals Physical Design Layout Preliminary Preparation for Facility Planning Trends affecting foodservice design Information on developments in design and equipment Regulatory considerations Special considerations for specific types of foodservices Commercial facilities Schools and universities In Plant facilities Homes for Children and Adult Communities Hospitals and Health Care Centers Correctional Facilities Steps in the Planning Procedure The Prospectus: rationale, physical and operational characteristics, regulatory information The Planning Team Feasibility Study Menu Analysis Architectural Features: building style and materials, floors, walls/ceilings/noise reduction, lighting, heating/ventilation/air conditioning, built-in refrigeration, plumbing, electricity Budget/Cost Relationship

NANYANG TECHNOLOGICAL UNIVERISTY NANYANG BUSINESS SCHOOL BT 202 FOOD AND BEVERAGE MANAGEMENT LECTURE 8 MARKETING IN FOODSERVICE ORGANIZATIONS

DEFINITION MARKETING CYCLE MARKETING MIX TRAINING STAFF MARKETING FOR FOODSERVICE OPERATIONS Unique product customer contact perishability distribution MARKETING AS A MANAGERIAL FUNCTION planning implementation evaluation MERCHANDISING AND SALES PROMOTION IN FOODSERVICE OPERATION

NANYANG TECHNOLOGICAL UNIVERSITY NANYANG BUSINESS SCHOOL BT 202 FOOD AND BEVERAGE MANAGEMENT LECTURE 10 SANITATION, SAFETY, NUTRITION, AND PRESENTATION
MICROBIOLOGY AND FOOD BACTERIA: cocci, bacilli, spirilla CONDITIONS FOR GROWTH: food, moisture, temperature, time POTENTIALLY HAZARDOUS FOODS: milk and milk products, shell eggs, meats, poultry, fish, shellfish, edible crustacea, based or boiled potatoes, tofu, soy-protein foods, plant foods that have been heat treated, raw seed sprouts, synthetic ingredients MEANS OF TRANSPORT: direct, contaminated with fecal material, infectious disorder of the respiratory system; indirect COMMON FOODBORNE DISEASES: bacterial infections, food intoxication or poisoning MICROORGANISMS CAUSING FOODBORNE INFECTIONS MICROORGANISMS CAUSING FOOD INTOXICATION OR POISONING GOOD SANITATION STANDARDS PHYSICAL PLANT built in features water supply trash and waste removal sanitary facilities: rest rooms and locker rooms EQUIPMENT DESIGN AND PLACEMENT PERSONNEL dress personal hygiene and cleanliness proper food handling and work habits clean utensils use appropriate utensils and gloves grasp by handles avoid contamination of serving surface CLEANLINESS AND MAINTENANCE organization and scheduling equipment detergents: penetration, suspension, rinsing pest control kitchen utensils dishes, glassware, silverware CHECKS AND INSPECTIONS Principles of Cleaning: 2 step process, factors that influence cleaning process: Type of water, water temperature, surface, type of cleaning compound, type of soil to be removed Principles of Sanitation: heat, sanitizing, chemical sanitizing Seven Priciples of HACCP