Preface The Hospitality Business Alliance (HBA) is an educational partnership formed by the National Restaurant Association and the American Hotel and Lodging Association to create a nationwide system of high school hospitality courses linked with mentored worksite experiences. The materials provided in the manual were developed by content experts in hospitality and tourism management. The manual of transparencies is for the exclusive use in the Hospitality Business Alliance Summer Institutes. It is intended for use by secondary school hospitality teachers in their classroom. We hope that it will serve as an indispensable resource for hospitality and tourism concepts and practices. This is the first issue of the manual and it is intended to undergo continuous evaluation and improvement to accommodate new trends in the hospitality and tourism industry. Due to delay in getting the project started, all the necessary and appropriate review intended was not accomplished. The HBA Review Panel will review the materials and the HBA Summer Institute 2001 participants will also have an opportunity to provide input. Special acknowledgement is given to Linda Hoops, Hospitality Business Alliance, for coordination of this project and to the writers Mahmood Khan, Virginia Tech/Northern Virginia Center, Jerry Chesser and William Martin, California State Polytechnic University, and Ray Kavanaugh and Carl Braunlich, Purdue University. Appreciation is extended also to the HBA College Consortium and the many colleagues and friends who continue to help make what we produce better and better.  © 2001By the Hospitality Business Alliance250 South Wacker DriveChicago, Illinois 60606 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means – electronically, mechanically, photocopying, recording, or otherwise – without prior permission in writing from the Hospitality Business Alliance.

Food & Beverage Overview

What does the career path look like?

Travel & Tourism Hospitality

Country ClubsLodging

Restaurants

Maps & Guides

Travel Agencies

Retirement Communities

ContractFood

Service

SportingEvents

Airlines

Travel and tourism industriesHotels/motels Natural attractions Entertainment venues

Resorts Gaming entertainment Arts venues

Vacation ownership Travel agencies Historical sites

Hostels Convention bureaus Museums

Caravans Tour companies Luggage

Camping Hotel/rest. suppliers Real estate

Airlines Taxi services Construction

Cruise ships Cameras and film Luggage

Rail Maps & travel books Beverage mfr & dist

Car rental Shopping malls Auto/aircraft mfr

Bus coaches Service stations Motor fuel producers

Restaurants Sporting events Recreation equipment

Fast food Banking services Food producers

Wine merchants Reservation systems Advertising media

Theme parks Auto clubs Souvenirs

Hospitality industriesHotels/motels Natural attractions Entertainment venues

Resorts Gaming entertainment Arts venues

Vacation ownership Travel agencies Historical sites

Hostels Convention bureaus Museums

Caravans Tour companies Luggage

Camping Hotel/rest. suppliers Real estate

Airlines Taxi services Construction

Cruise ships Cameras and film Luggage

Rail Maps & travel books Beverage mfr & dist

Car rental Shopping malls Auto/aircraft mfr

Bus coaches Service stations Motor fuel producers

Restaurants Sporting events Recreation equipment

Fast food Banking services Food producers

Wine merchants Reservation systems Advertising media

Theme parks Auto clubs Souvenirs

The hospitality industry

Lodging Food service Clubs Cruise ships Gaming Theme parks Sports and entertainment Travel

The hospitality business

Lodging – putting heads on beds– Many U.S. markets are mature– Expansion and growth overseas

Food service – putting cheeks in seats– What would you like to eat?– Where would you like to meet?– Expansion and growth overseas

Hospitality industry numbers

11.4M rooms worldwide 3M rooms in U.S. Slowing in U.S. Exceptions; casinos,

limited service, timeshare Continued expansion

Strong growth $1 billion/day sales 10.2M employees 12M in 2006 1/2 of all adults/day eat

in restaurants 44% of food $ spent in

restaurants

Lodging Food Service

Where are the jobs?

Professional– Operations management, finance, accounting, human

resources, customer relations, marketing, food science

Corporate– Marketing, business development, human resources, training,

quality assurance, real estate, accounting, purchasing

Entrepreneurial– Owner, operator, franchisor

A Career in Hospitality

Food Service

Eating and drinking places– Quick service restaurants (QSR)– Full service restaurants / bars– White table cloth restaurants / bars

Lodging food service Education food service Employee food service Health care Recreational food service Off-premise catering

Restaurant industry positions Banquet manager Bartender/cocktail server Broiler cook Busperson Counter person Dining room manager Dishwasher Executive chef Expediter Food & beverage director

Food server Fry/Sauté cook Host/hostess Kitchen manager Pantry cook Pastry chef Restaurant manager Sous chef Storeroom person Unit manager

Restaurant Job Descriptions

Hospitality careers

The industry offers more career options than most

The work is varied There are many opportunities to be creative This is a “people” business

Hospitality careers

Hospitality jobs are not nine-to-five jobs There are opportunities for long-term career

growth There are perks associated with many

hospitality jobs Hospitality jobs can be intrinsically satisfying

and meaningful

The down side

Long hours Nontraditional schedules Pressure Low beginning salaries Frequent relocation

Lodging careers

Entry level

Housekeeper

Front desk clerk

Reservations clerk

Food service staff

Mid level

Reservations manager

Executive housekeeper

Front office manager

Catering sales manager

Sales manager

Upper management

Personnel director

Senior sales manager

Controller

Food & beverage director

Director of sales & marketing

General manager

Food service careers

Entry level

Crew person

Crew supervisor

Lead positions

Mid level

Manager trainee

Chef

Unit manager

Controller

Kitchen manager

Catering manager

Upper management

Executive chef

General manager District manager

Regional manager

Operations director

Other directors

CFO

President/CEO

Chain operations

Better training More opportunities for advancement Better benefits Frequent relocation More control by management Bonus plans impact pay

Independent operations

More chances to be creative More control Better learning environments Less job security Fewer chances for advancement Harder to market and sell

Foodservice Industry

Commercial Foodservices

Institutional Foodservices

Military Foodservices

Foodservice Industry

Commercial Foodservices

– restaurants– lunchrooms– cafeterias– fast food restaurants– hotel foodservice operations– food stands– social caterers

Foodservice Industry

Institutional Foodservices

– hospitals– nursing homes– schools & colleges– correctional facilities– employee cafeterias– airline catering– surface transportation catering

Foodservice Industry

Military Foodservices

– military bases– combat foodservices– officers clubs– cafeterias

Restaurant Industry

The National Restaurant Association [NRA]

defines the restaurant industry as that

which encompasses all meals and snacks

prepared away from home, including all

takeout meals and beverages.

Restaurant Industry

Restaurant industry sales were

forecast to reach $ 399.0 billion in

2001, an increase of 5.2 over the year

2000.

Restaurant Industry

On a typical day in 2001, the

restaurant industry will post average

sales of $1.1 billion

Restaurant Industry

Sales at full service restaurants are forecast

to reach $143.3 billion and sales at quick

service [fast foods] restaurants are forecast

to reach $ 112.0 billion.

Restaurant Industry

The overall impact of the restaurant industry is

expected to reach $ 1 trillion in 2001. This includes

sales in related industries such as agriculture,

transportation, wholesale trade and food

manufacturing.

Restaurant Industry

Sales: $ 399 billion – average $1.1 billion on a

typical day

Locations: 844,000 – more than 54 billion meals will

be eaten in restaurants and school and work

cafeterias.

Restaurant Industry

Employees: 11.3 million – more than 8

percent of those employed in the United

States, which makes the industry the

largest employer besides government.

Food-and-drink sales [billions $]

42.8

119.6

239.3

399.2

0

50

100

150

200

250

300

350

400

450

1970 1980 1990 2001*

Restaurant Industry

One-third of all adults in the United States have worked in the restaurant industry at some time during their lives

Per-person check averaged $4.72 in 1999 Average unit sales in 1998 were $ 601,000 at

full service restaurants and $555,000 at limited-service [fast-food] restaurants.

Distribution of Restaurant Customer Traffic [1998]

Breakfast 11%

Lunch 37%

Dinner 52%

Restaurant Industry

Restaurant Industry remains to be very competitive

Three out of four consumers report that they have more restaurants to choose from today than they did two years ago.

Restaurants are paying more attention to design, décor and atmosphere

Restaurant Industry:Ranking of Consumer Choices

Food and Service Physical setting Moods and Impressions

Restaurant Industry:Quick Service

Intense competition Convenience is number one factor Carryout or delivery market Time savings meal options Ever-changing consumer needs Shortage of labor Training needs

Restaurant Industry:Full Service

Tied to economy Baby-boom generation Increased competition Importance of repeat customers Portion sizes Dietary needs

Restaurant Industry:Growth in Other Segments

Managed services [1%] Educational institutions [4.4%] Recreational services [3.3%] Transportation [3.8%] Health care [2.2%] Lodging places [2.7%] Military [2.2%]

Restaurant Industry:Trends

Labor shortage issues Cost of providing food and service Technology issues and benefits Consumer preferences Training Expansion