Managed Service

Managed services operate on a non-profit-oriented basis. 

The Unique features of services included:

1.      Challenge to please guest and client

Guests are the people that dine in your restaurant. Clients are the individuals or organizations that provide a place to some expert company for food service operations. Take City University of Hong Kong as an example, its canteen is operated by Shing Hin Catering Group. In this case, Guests are people dine there; client is City University of Hong Kong. Schools, hospitals, Elderly care center and Business and industry are always the client of the on-site food service.

           

            Other examples: Maxim’s

            

2.      Guests are captive clientele

That means guests can only enjoy those meals provided by the operator. It’s common in Primary and Secondary Schools in which students are most likely not allowed to dine outside. The service providers (meals suppliers) discuss the menu with the school and parent representatives. They will charge students in advance in order to prepare meals precisely. Some service providers for primary schools now adopt new environmentally friendly policy when serving their meals such as providing option for less portion of rice. It helps reduce food waste and the usage of disposable lunch boxes.

3.      Food services is not the primary business

The food service operations called as managed services are because the food service is not the primary business of the company. The company provides food service may want to improve the service quality or just for employees’ benefits. For example, the core product of hotels is the rooms but they always provide food and beverages services to guests.

          In-room dining service

          

          Staff canteen

          

4.      Produce food in large quantity

Managed services operators usually produce foods in bulk as they have to serve a large amount of guests in one day.

5.    Volume of business is consistent and easier to forecast. 

Sometimes operators require guests to pat in advance so that they can produce and serve meals easier. Also the precise prediction of demand can reduce the food waste.

      

6 .Training for employees

   
Employee training is essential for an organization’s success. Training is crucial because it:

• Educates workers about the effective use of technology,
• Ensures competitive edge in the market,
• Promotes safety and health among employees,
• Creates opportunities for career development and personal growth, an important factor in retaining workers
• Helps employers comply with laws and regulations, and
• Improves productivity and profitability.

 

7.Focus on customer relationship management


Customer relationship management is a customer-centric business strategy with the goal of maximizing profitability, revenue, and customer satisfaction. A Customer Relationship Management system may be chosen because it can improve Quality and efficiency, decrease in overall costs and increase Profitability

8. Improve Business reputation

Building and maintaining a strong business reputations now increasingly important. Human response at all levels of the organization can affect the customer experience for good or ill. Even one unhappy customer can deliver a body blow to a business. Some developments and shifts have made companies more conscious of the life-cycle of a customer relationship management system. Companies now consider the possibility of brand loyalty and persistence of its users to purchase updates, upgrades and future editions of software.

Challenges on Airlines and Airport Catering Service

Although the core service of airline companies and airport are mainly providing air travel, catering service is still an important issue. Nowadays, they are facing many different challenges. 

The logistical operation is very complex 
Unlike other managed service, airline usually do not have kitchen. The food item could only be simply reheated. So food ingredients would become less fresh and look bad especially for green vegetables. It would limit the choice of cuisine which brings difficulties on menu planning.

Accurate cost and inventory control 
As there are usually no fixed location for aircraft, sometimes airline need to stock food ingredients for few days. It requires places for storage. The sanitation process is very important to keep food fresh and not infected but this process is very costly. It will raise pressure on cost control. However, most of the food ingredients cannot be stored for too long. Managers need to have an accurate inventory control. It is also a challenge to all other food service company.

Trends on Airlines and Airport Catering Service

Third-party
Each year airlines spend about 2-3% of total expenditure on catering. However, this cost center is declining as airlines divest non-core activities in an effort to save money because of inflation. Many airline companies like Virgin Atlantic even cut off their catering department by using third-party caterers. They believe that policy could reduce the cost but keep food quality at the same time as these third-party caterers have the experience on managed service.

Optional meals
In order to trim cost, many domestic airlines have optional meals. Customers could choose whether having meal during travel or not when they book the air tickets. Managers could then easily forecast the demand of food in each flight. So it can prevent over-purchasing and over-stocking of food ingredients.

Challenges on Schools

Nutritional Value 

      Schools are trying to keep up with the student’s expectations of nutritional food.

Food Safety 

      Schools are concerned with the safety of the food before serving them to the students. Instead of focusing to inspect for food safety, they look to prevent it.

Food Waste 

      As the student expectations for school food increases, the variety of food available increases. As a result, the amount of food wastes becomes more likely. Schools face the challenge of having to maintain a balance by increasing the variety of food selection while minimizing food wastage.

Purchasing Food Service Equipment 

      They want to purchase quality equipment with value-added features while maintaining profitability.

Capacity to Procure Food Locally 

      Challenges for school feeding programs can range from their high operational costs to the need to build the capacity to procure food locally. In order for a country to have an effective school feeding program that focuses their resources on the neediest children, countries must:

(a) determine if school feeding is the most effective social safety net option;
(b) set program objectives and predicted outcomes, and determine administrative costs;

(c) establish a system of effective targeting;

(d) select the type of food to be provided in school, explore opportunities for local procurement and the feasibility of offering take-home rations through the program;

(e) plan for school-level management, implementation, and monitoring of the ongoing school feeding activities; and

(f) determine if complementary health and nutrition activities such as de-worming, supplementation, or fortification can be incorporated into the program to achieve additional benefits.

Trends on Schools

 Customer Expectations 

      As students become more educated, their expectations for greater variety and quality of food increases.

        New Technology 

      There are any numbers of new technologies that will impact current and future pieces of foodservice equipment. For example, the Combination oven-steamer provide speed, higher yields, food quality, less handling, ability to cook more than one food at a time with no flavor transfer, and ease of cleaning.
Food Safety Initiative
Increased chilling requirements.
Implementation of chilled food systems.
Monitoring technology - method of tracking and documenting temperatures and times of food products whether in a cooking, chilling, reheating, transporting, or holding status.
Greater emphasis being placed on the ease of cleaning and sanitizing of all equipment and supplies.

 

        Equipment Distribution 

      The channels of equipment distribution are changing. Traditionally, all food service equipment was purchased through a food service equipment dealer. Now other channels are available. For example, food service equipment can be purchased through a food distributor (broadline distributor) or directly from the manufacturer. If one of these channels is used, the dealer will be bypassed.
Keeping Children in School 

      School feeding programs are increasingly being viewed as a potential safety net and as a social support measure that helps keep children in school.

Challenges on Health Care

Not too much choices 

As the main focus of hospital food service is the tray line , the producer/ supplier only concern basic nutritive value rather than food taste and choice especially in retirement home that only one set meal. Therefore, people tend to eat outside as possible as they can.

Patient in other countries 

While main meal of room services in Hong Kong hospital is rice, so if there are any patients who come from other countries, they may not like or interest in rice or Chinese food.

Food safety 

The main customer of health care is patient, therefore, food safety is always an essential issue as it direct affect health of patient. It must be very carefully if some patient cannot eat specific food to prevent any allergy or let condition become worse.

Budget / cost control 

Actually in public hospitals and retirement homes, people may not be afford a high price for food, so suppliers only can provide inexperience food/ meal with high nutritive value, otherwise, they need to suffer a deficit.

Trends on Health Care

Outsourcing with some famous food chain

Let patients have more choice and can eat some “good” taste food.

Environment 

The restaurants of hospital are changed with high class environment or natural environment. Therefore, customers like visitors and patients can enjoy higher level services.

New technology 

There are some system with touch screen on patients’ bed so they order food that they like from the bed. It is very convenience and save time to patients. Of cause , all options/ choices are checked by staff to make sure the food is suitable.

Reference

1. Desbarats, Gus. 1995. Usability: form that says function. Industrial Management & Data Systems 95, no. 5:3-6.
2. http://www.iata.org/pressroom/airlines-international/february-2010/pages/06.aspx 
3. http://www.beginnersguide.com/healthcare-administration/healthcare-facilities-management/nonclinical-services.php