FSM Chapters 1 and 2

True/False: people are spending more money than ever on food that is purchased or consumed outside of the home
True False

Who do we credit for having the 1st restaurants?

The origin of the term "restaurant" and the first public dining room offering a choice of dishes from a menu

Who was the British utopian socialist that originated the first onsite eatery for employees in scotland?

Who and When offered the first printed menu?

Where and when was the first drive-in restaurant

Where and when did a fully automated restaurant open?

Which restaurant founded in 1955 by Ray Kroc revolutionize the restaurant industry with fast food?

The segments of an industry differ by

Also called "fast food" because of speed of service
Low price with standardized products, efficient delivery system and limited menu
changed in supply-chain mgmt have also left to penetration of these
Common brand affiliation

Evolved from the QSR segment in response to customer demand for a little higher quality and better ambiance 
Has the convenience of a QSR, fresh ingredients of traditional sit-down restaurants
more amenities than QSR, greater emphasis on service, menus are more flexible and offer more options

Offer table service but at a relatively low price point given the table side service
Built brand loyalty with customer-friendly programs such as children menus
menus offer many more choices than in other segments
Capture the broadest possible audience and positioned for a specific dining purpose
Market themselves as community and family friendly 
Focus on value: large portions at reasonable prices with slightly better quality than QSRs and most fast casuals

Create a tie between the customer and a concept based on type of cuisine, time period, or some other easily captured cultural phenomenon
greater emphasis on ambiance, the menu often offers greater flexibility, well-trained service staff, menu prices re notable higher than those in the midscale segments
higher quality of food and service

Unique theme and product offering, maximizing guests' overall dining experience
Guests pay not only for the food, but also for the total dining experience, focus on the graciousness of the service
Very high quality service, servers must anticipate each guest's every need and strive to exceed that guest's expectations

Food outlets in business and industry, schools, universities, colleges, hospitals, correctional facilities, eldercare and child care facilities, and stadiums
differentiation form the other segments, emphasis on nutrition, adapt to the requirements, meticulous forecasting, menus must mirror

The food service industry generates ____ times the revenue of the lodging industry

The food service industry employs ___ of every 100 working american citizens

Foodservice sales have ____ by around 4.1% an currently equal ____ of the US gross domestic product

the economy, seasonality, day to day sales, product perishability, intra-day volatility affects

The ease with which one operation can replicate another's food offerings

The unpredictability of an exchange rate (or price a good or service), that changes due to imbalances in supply and demand. Price levels of various goods or services can change very quickly, depending on the current market condition

A rise in dayrate volatility can:

Food service professionals must be up to date on the ____ and be able to tell between what is a ___ and what is a ____

More serving size options at mcdonald's is an example of a

Part of the business life cycle that includes:
-entering the industry and looking for opportunities
-determination of an establishment's price-value position
-strong investment in advertising to penetrate the market
-intense focus on resource management 
-inexperience often leads to losses or even business failure

Part of the business life cycle that includes:
-operations are streamlined
-standardization becomes critical
-emphasis on localized markets
-menu refinements emphasizing on high-profit items
-balance between consistency in the delivery of food and service and consistency in expansion
-problems that continue form the introductory stage will become even more difficult as they will replicate across units
-competitors attempt emulating popular menu item concepts in order to leverage their success

Part of the business life cycle that includes:
-sales stabilize and the brand becomes fully leveraged
-continues to gain market share, steadily but more slowly
-branches out, harnessing experience and sometimes launching new brands
-often operators focus more intently on profit than on standards
-competitors try to gain and steal market share

Part of the business life cycle that includes:
-concepts either reinvent themselves or die
-mgmt drifts into complacency or is uncertain how to adapt to a changing marketplace
-customers begin shifting to foodservice operations that are in the earlier stages
-employees, too, sometimes want to be associated with new concepts and fresh mgmt
-lack of growth and reduced revenue can lead to finical problems which in turn negatively affect operations

Parts of the business cycle in order

Strategies to pursue during the decline phase

This is the first step in understanding a market comprised of various food service operations
Provides a general impression of a given marketplace and potentially offers a sustainable competitive advantage to a firm looking to enter that market
Area's economic situation (demographics, turnover, number of failures)

The tendency of firms in a market to become more like each other

A clear statement of the tangible results a guest receives from engaging the services of the enterprise

What is the value equation?

The old, limited understanding of value?

The strength (and value) of the relationship between the customer and organization or brand

Three drivers of customer equity

True/False: a study has shown that customers with high levels of equity in a given chain were 60% less likely to patronize the same brand
True False

What are the four capacity constraints

Key value drivers from the customer's perspective

Price points, location and personal service only represent about _____ of the purchasing decision

The foundation on which all decisions should be made

evolved from earlier management theories such as scientific mgmt, the human relations movement, operations research and general science theory

What are the four major types of foodservice operations?

Growth in patronage in food service may be attributed in part to socioeconomic trends and other demographic changes such as (7):

Two parts of trends in foodservice

Challenges facing the industry (5)

Restaurants, supermarkets, convenience stores, delis, snack bars, and other retail food establishments

The food service industry can be divided into three basic groups of establishments

business, education, government or institutional, organizations that operate their own food service

food service industry that includes navy, army, air force, coast guard, etc

the number and types of business units offered through individual food services

example: food and nutrition dept. in hospitals offer both patient and employee/visitor services

a summary of an organizations purpose, goals and objectives

a specific and measurable goal or target of an organization

a set of inter depended parts that work together to achieve a common goal

the interdependent parts of a system, the parts of a system

viewing the systems as a whole made of interdependent parts

resources such as money, material, time, info required by a system

the work performed to transform inputs into outputs

the process required to change inputs and outputs

finished products and services of an organization

the same output may be achieved from different inputs transformational process

info on how operations worked or failed or how they should be changed to restore equilibrium

the self-imposed plans and legal documents that impact the organization's function

the integration and coordination of rescues to achieve and the desire objectives of the organization

records of past performance that assist in improving future effectiveness

a system that interacts with external forces int eh environment

methods used to unify a system

the amount of disorder, uncertainty or randomness in a system

characteristics of organizational structure ranging from subsystems to systems to suprasystems

a larger of entity made up of a number of systems

the parts of the system interact and are dependent on one another

the whole of the organization is more than the sum of parts

the working together of part of a system such that the outcomes are greater than nindiciual effort would achieve

Benefits of systems thinking (4)

type of foodservice system where raw foods are purchased, prepped on site and served soon after prep

advantages of conventional (3)

disadvantages of conventional (2)

Rationale behind conventional

type of foodservice system where foods are prepped on site, then chilled or frozen or store for reheating at a later time

Advantages for ready-prepared (3)

disadvantages of ready-prepared (2)

rationale behind ready-prepared (3)

type of foodservice system where a central production kitchen or food factory with centralized food purchasing and delivery to off-site facilities for for final preparations

advantages of commissary (2)

disadvantages of commissary (3)

rationale behind commissary (1)

type of foodservice system where fully prepared foods are purchases, stored, assembled, heated and served (also know as the kitchenless kitchen)

advantages of assembly serve (3)

disadvantages of assembly serve (4)

Rationale behind assembly/serve (1)