Internal and external factors that affect the initiation of catering business

Discuss about the Basics and Requirements of the Kitchen Operations.

This research is conducted to find out the facts and information that is needed to initiate a catering business .Catering business provides food to the hotels, clubs, institutions, events, and functions and at many other places (Food wine, 2018). Catering business provides food at pre contacted premises; it also provides services according to the demand of the customers.  This research also finds out the various factors that affect the initiation of catering business in today’s world, and also find out the requirements of catering business like, material, structure, equipment and many more.

Identifying the factors that have an impact on the initiation of catering kitchen

Find out the requirements of catering kitchen

To specify the design of catering kitchen

To portray the operations of the catering kitchen

There are various factors that affects the initiation of catering business, these factors comprises of internal and external factors.

Analysis of these factors can be done through 5Cs analysis and porter’s five forces model.

Rivalry: Competitors are the rivalries of business; there is cutthroat competition in this sector. Due to large industry size in this sector, competition is becoming tough day by day. Intense rivalry in a market will drive the overall profitability of the business. Some of the rivals are, the chef catering services, Athula caters and many more (Porter analysis, 2016).

Threat of substitutes: There are various substitutes available in the market of catering business. One can protect his/her business by maintain a regular check on its price list and product list. Lower price and quality are the two factors that attract the customers much, if these two factors provided by competitors in the market, will become the biggest threat to the catering business.

Bargaining power of buyers: Buyers want to buy at minimum of the prices available to them, powerful customer base can convince the caterer to provide services at lower prices or we can say at discounts.

Bargaining power of suppliers: Companies are hiring services from number of suppliers as suppliers are also present in huge numbers, and this led to the decrease in the profits of an organization.

Threat of new entrants: They can give cutthroat competition, through bringing innovation, reduced cost and by providing new value propositions

Customers: This element of 5Cs comprises of customers satisfaction and value. Customers are seeking for quality, price, and unique value provided to them. Quality of food is also the biggest concern. These are the main dishes of Sri Lanka; Fish, ambulthiyal, Kottu, Kukul mas cury, Parippu and many more, one should keep in consideration all these dishes while thinking for catering business.

Analysis of factors through 5Cs analysis and Porter’s five forces model

Competitors: Competition is there in every industry, this gives us opportunities and threats too. Some of the competitors given here; ISURU caters (Pvt.) ltd, Asia lanka hotel school catering service, Dushan caterers (Pvt.) ltd. and many more.

Climate: This element comprises of PESTLE analysis of the surroundings. Pestle analysis is all about the analysis of various factors like, political, technological, social, legal, ecological, all these factors have great effect on the establishment of catering business and affects the running of catering business.

Company: This analysis studies about the vision, mission, strategies, capacity, and product, use of technology and policies of the business.

Collaborations: Collaboration takes place when; external stakeholders collaborate with one’s business in a mutually beneficial partnership.

There are two methods of data collection, primary and secondary, research is conducted over here is totally based on secondary source of data collection. Design and operations of the catering kitchen is based on research conducted.

Design of a kitchen depends on various factors, space, budget, number of customers and many more factors. Catering kitchen is space unique (Specifi, 2018).

Space and layout of catering kitchen: Space is the biggest concern for the initiation or expansion of any premises. Layout of the catering kitchen is especially very important (Entrepreneur 2016).The stream of work area, the assembling of various workstations, hand-washing sinks, space for refrigeration is few of the considerations. Designing of the catering kitchen can be better implemented by the use of 2D and 3D technology (Webstaurant, store, 2018).

Floor plan for catering kitchen: Floor and spacing of kitchen is depending on the comfort one wants. Floor is used to place refrigerators and stoves (Nisbets, 2017). Floor gives the flexibility in work. Following things to be check while choosing for a particular type of kitchen floor, these are hygiene, heat resistance, nontoxic material, and drainage system. Well-planned catering design can give the growth to the catering business (bizfluent, 2018)

Oven, grill, refrigerators, 5 burner stoves, deep- fryer, cooler, freezer, sauté pans, saucepans, baking sheets, pizza sheets, pizza screens, whisks, mixing bowls, plastic inserts for cooler, steam plates, pasta bowls, salad plates, dessert plates, cleaning rags, cleaning buckets, rubber floor mats, and many more items (International culinary studio 2018).(The balance small business 2018). Purchasing for kitchen can be done through two ways, either one can take on lease or buy it. Purchasing of equipment depends on the size of the kitchen, equipment can be available on lower price on lease, and leasing will provide flexibility. Equipment with higher aesthetic or with higher price induces the owner to take equipment on lease. On the other hand lower price of the equipment drive the owner to purchase the equipment. Followings points should be keep in mind while going for purchasing of kitchen equipment, these are,

Requirements of catering kitchen

Always purchase the things or equipment that is most important.

Always purchase the equipment according to the space available.

Always purchase the equipment with commercial grade.

Operations of kitchen comprises of following:

Production planning: Planning of production includes sufficient quantities of food to fulfill the customers demand. Proper planning also reduces the number of staff required at one time, to serve the customers or execute services. It also reduces the steps need to perform the particular service, planning of menu (Tafe western, 2018).

Finishing: Finishing includes taste and texture of food, taste of food should be distinctive from that of other service providers. Speed of finishing matters a lot in catering business and this adds to the quality of the food. Presentation of food also differentiates your food with that of others (Lean kitchens, 2018).

Packaging: Well-designed packaging improves the life of shelf food, perishable food and perceives the quality of food. Packaging has also impact on the margin of business; unnecessary packaging increases the cost of operation of business (Tutorials point, 2018).

Staffing: Staffing ensures the number of sufficient staff to meet the demand of customers, a catering business have to encountered with different customers on daily basis, so relevant staff should be there to handle the demand of customers (Lyndhurst, 2018).

Ordering: Variability in catering business makes the job of the ordering challenging (Unilever food solutions, 2018). Catering business faces a consistent demand throughout the year. Ordering can be approaches through three basic strategies these are:

Special: Chef will go through the list of orders, stock, or inventory available and vendor driven specials and then guess the items they needed. Chef put some special dishes on the menu for a day to utilize the excess ingredients available. This strategy uses the ingredients that were obtained on discount.

Emergency: When there arise an urgent requirement of some ingredients then chef get those from local stores nearby and meet their urgent requirements.

Just in Time Purchase:  Under this strategy, ingredients are calculate on day’s requirement, so that ingredients to be consumed by that day only. This strategy requires preparation and most efficient supply chain, just in time purchase reduces the waste.

Receiving: Receiving is the step occurs after ordering of ingredients, this includes:

Checking of accuracy of order

Checking of levels of quality

Storing: Storing of food safely and efficiently ensure the quality and value of food provide to customers. Storing includes storage of unpacked food, packed food, ready to eat food, chilled foods, ambient foods, pre frozen foods, opened food. Proper storage reduces the contamination and spoilage of food. All of these different categories of food store at different temperatures according to the requirement, if not results in spoilage of food.

Inventory: Inventory management in catering business plays very crucial role, proper inventory management results in profitability of restaurant. Inventory of kitchen comprises of straws, napkins, food, drinks, cooking wares cooking processors.

A list of what you have available

Keep check on use of inventory on daily basis.

Keep track on the accuracy of the usage.

Maintenance and Cleaning: Proper cleaning of stations, floors, and restrooms on daily basis is the work of staff of the catering kitchen.

Conclusion

It is concluded from the above research that, catering business is highly competitive. Proper strategies should be formulated before going for opening of catering business. A restaurant success is totally depends on the efficient functioning of the kitchen. Kitchen’s functions can be efficient when there is proper layout of the kitchen. Operations of kitchen comprises of various functions like cooking, delivering, ordering and many more, these functions can be better achieved through the hiring of reliable and efficient kitchen staff. Design and operations of the kitchen are crucial for restaurant business and these results in the profitability of restaurant.

References

Bizfluent. 2017. How to design a catering kitchen.https://bizfluent.com/how-2284075-design-catering-kitchen.html

Entrepreneur. 2016. What you need to know before starting a catering kitchen. https://www.entrepreneur.com/article/282439

Foodwine. 2018. Purchasing of ingredients management. https://www.foodwine.com/

International culinary studio 2018. Requirements of kitchen. https://www.internationalculinarystudio.com/

Lean kitchens. 2017. Basics of kitchen operations. https://www.leankitchens.com/book/basic_kitchen_operations

Lyndhurst secondary college. 2018. Catering operations. https://www.lyndhurst.vic.edu.au/catering-operations-kitchen-operations

M plans 2016. Marketanalysis. https://www.mplans.com/food_services_marketing_plan/situation_analysis_fc.php

Nisbets. 2017. Designing a commercial kitchen. https://www.nisbets.co.uk/designing-commercial-kitchen

Porter analysis. 2017. Porter analysis. https://www.porteranalysis.com/porters-five-forces-model-of-food-industry/

Specifi. 2015. Catering kitchen design. https://specifiglobal.com/catering-kitchen-design/

Tafe western. 2018. Kitchen operations. https://www.tafewestern.edu.au/career-areas/hospitality/kitchen-operations

Target catering equipment. 2016. Commercial kitchen guidelines. https://www.targetcatering.co.uk/commercial-kitchen-design-guidelines/

The balance small business. 2018. Catering equipment. https://www.thebalancesmb.com/catering-equipment-checklist-2888387

Tutorials point. 2018. Food operations.  https://www.tutorialspoint.com/food_production_operations/food_production_operations_kitchen_communication.html

Unilever food solutions. 2018. Kitchen operations.  https://www.unileverfoodsolutions.com.ph/chef-inspiration/chefmanship-academy/module-5-principles-of-food-preparation-introduction/topic-1-kitchen-operations-the-asics.html

Webstaurant Store. 2018.  Layout of the kitchen. https://www.webstaurantstore.com/article/11/restaurant-kitchen-layouts.html