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Volume 7, Issue 9 March 2, 2007 |
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Weekly News in Review
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| Yum! shuts down more NYC restaurants in wake of rat video |
The parent company of KFC, Taco Bell and Pizza Hut said it had temporarily closed several New York City restaurants owned by the franchisee that operated a Manhattan eatery overrun last week by rats.
In a statement issued late Wednesday, Yum Brands said the restaurants would remain closed until they underwent new inspections by the city's health department.
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Read Article Browse All News | Source: USA Today |
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| PA Lawmaker Calls For Nutritional Info On Menus |
Philadelphia has already banned smoking and transfat in local eateries.
But now a local lawmaker wants restaurant chains to post nutritional information on their menus.
The measure, proposed by City Councilwoman Blondell Reynolds Brown, is calling for fast food chains and restaurant with more than 10 locations to provide details about everything on the menu.
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Read Article Browse All News | Source: NBC |
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| McDonald's may add smoothies, new drinks |
Smoothies, iced coffee and other specialty coffees could be added to the menu at U.S. McDonald's restaurants, a top executive of the world's largest restaurant chain said Wednesday.
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Read Article Browse All News | Source: Business Week |
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| AFC Files Suit Against Church's Chicken and Former Franchisee |
Today AFC Enterprises, Inc., the franchisor and operator of Popeyes Chicken & Biscuits, filed suit against Church's Chicken and a former Popeyes franchise group in connection with Church's recent purchase of 10 Popeyes' franchised restaurants in the Rio Grande Valley, Texas and subsequent conversion of most of the units to the Church's Chicken brand. Popeyes is seeking damages in excess of $20 million.
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Read Article Browse All News | Source: QSR Magazine |
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| Restaurant business up 4% nationwide |
U.S. restaurants served more than 5 million meals in December, up 3 percent from the year before, and sales topped $33.5 billion, up 4 percent.
The NPD Group, in its first monthly report on restaurant industry sales and traffic, said it sees "more customer traffic going into restaurants for the same month year over year with only minimal check inflation."
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Read Article Browse All News | Source: Pacific Business News (Honolulu) |
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| Rare selling Bugaboo Creek concept |
Restaurant operator Rare Hospitality International Inc. said Tuesday it is selling its Bugaboo Creek concept to Bugaboo Creek Acquisition LLC, a subsidiary of Charlie Brown's Acquisition Corp., for $28 million.
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Read Article Browse All News | Source: Business Week |
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| Restaurants promote 'extreme eating,' group says |
Many U.S. chain restaurants are promoting "extreme eating" with dishes that pack at least a day's worth of calories and fat, without giving customers facts about their orders, a consumer group said on Monday.
Displaying restaurant offerings including a cheese-laden chicken-and-pasta dish they dubbed "Angioplasta," officials at the Center for Science in the Public Interest said such dishes help fuel national epidemics of obesity and heart disease.
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Read Article Browse All News | Source: CNN |
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| Kraft hopes to take a bite of take-out |
Kraft Foods Inc., looking for a way to end a prolonged sales slump, is trying to take a bite out of its real competition -- restaurants.
As the world's second largest food and beverage company, Kraft Foods has pioneered everything from sliced processed cheese to packaged stuffing. But as more families forego the time-honored yet time-consuming homemade dinner for the ease and convenience of take-out, Kraft and other food companies have struggled to stay on the forefront of consumers' tastes.
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Read Article Browse All News | Source: Business Week |
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More News | Casual Dining News | QSR News | Fast Casual News | Manufacturer News
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Set Up Your Servers for Super Service
By Lee Simon
When you get right down to the basics of any design effort for a foodservice establishment, the same objective exists with each and every project: design an efficient and effective system to prepare and deliver food and beverage to the guest. That?s it. Nothing too fancy. But it is much easier said than done. In previous columns, I have focused heavily on design techniques within the back-of-house. But design techniques in the front-of-house, specifically those related to service, are equally dependent on both design and execution. Unfortunately, many overlook the importance of design as part of the service equation, and attribute the service performance almost exclusively to operational execution. In this column, we will take a look at some front-of-house design techniques that can help promote quality service. To clarify, I want to focus on the functional aspect of the front-of-house, not the aesthetics. Although good design cannot ensure good service, bad design will almost always result in bad service. Designing for Service: The Basics One of the primary rules in designing an efficient front-of-house is to make sure that the service staff meets the kitchen team (cooks, dish washers, etc.) where ever necessary, but they never cross paths. Any conflicting flow patterns, where the movement of back-of-house and front-of-house staff overlap, are disasters waiting to happen. Accidents, employee injury, breakage, slower service, and lower morale are all potential outcomes. Design should start with the general flow patterns of both food and product. When travel patterns are used as the basis of the overall layout, these potential ?danger zones? are reduced or completely eliminated. Another important rule of thumb in designing for effective service requires the designer to study the service sequence. The steps of service should be identified and used as a guide for the front-of-house planning and design effort. Common activities for servers include order entry, food pick-up, food delivery, beverage service, bussing (in some cases), and drop-off at ware washing. Consolidating the areas associated with these functions will help reduce the distance of travel. All necessary support equipment, ranging from coffee brewers to refrigeration, must be grouped together wherever possible. Reducing the distance of travel promotes efficient service and frees up time for the server to spend in support of their guests. The ability for a server to move easily between these functions, in any order, will result in better service. Positioning Your POS System(s) While the points listed above are what I consider to be the basics of designing for efficient service, there are other design techniques that, when implemented, can further enhance the service system. First, let's look at the point of sale (POS) location(s)....
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"Slow down and enjoy life. It's not only the scenery you miss by going too fast - you also miss the sense of where you are going and why."
- Eddie Cantor
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Restrict/Exclude food service workers when ill when working with a Highly Susceptible Population Base
Our goal for writing these articles is to give you, the operator, a better understanding of the current 2005 FDA Food Code.
Question: I’m a new foodservice manager in a health care facility, I’m not sure I understand what the difference is between restricting and excluding the foodservice employee, can you help?
Answer: Chapter 1 – Purpose and Definitions
"Restrict" means to limit the activities of a food employee so that there is not risk of transmitting a disease through food and the food employee does not work with exposed food; clean equipment; utensils; linens; or unwrapped single-service or single-use articles.
"Exclude" means to prevent a person from working as an employee in a food establishment or entering a food establishment as an employee.
Restrictions and exclusions vary according to the population served because highly susceptible populations have increased vulnerability to foodborne illness. For example, foodborne illness in a healthy individual may be manifested by mild flu-like symptoms. The same foodborne illness may have serious medical consequences in immunocompromised individuals. This point is reinforced by statistics pertaining to deaths associated with foodborne illness caused by Salmonella Enteritidis. Over 70% of the deaths in outbreaks attributed to this organism occurred among individuals who for one reason or another were immunocompromised. This is why the restrictions and exclusions listed in the Code are especially stringent for food employees serving highly susceptible populations.
Periodic testing of food employees for the presence of diseases transmissible through food is not cost effective or reliable. Therefore, restriction and exclusion provisions are triggered by the active gastrointestinal symptoms, followed by diagnosis and history of exposure.
The history of exposure that must be reported applies only to the 5 organisms listed.
Details Available in our Food Safety Area
For further information, contact your local, regional or state regulatory agency.
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View updated pricing and information each week on the website for the following food-commodity markets:
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Beef, Veal & Lamb |
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The February 1st US cattle in feedlot inventory was 3.2% less than 2006 and the first monthly year to year decline since October 2005. The near slaughter ready cattle inventory is estimated to be 25% larger than last year which should help sustain beef output above 2006 levels this month. January cattle placements into feedlots were 23.1% lower than a year ago marking the 5th consecutive monthly decline compared to the prior year. The recent monthly cattle placement decreases may cause beef output to fall below 2006 levels this summer. Most beef markets are edging downward. Prices per pound FOB from USDA.
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Dairy |
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January milk cow slaughter was 13.4% greater than the prior year and the largest monthly total since December 2003. Elevated feed costs are projected to lead to milk cow herd contraction and decelerated growth in milk per cow yields this spring. The USDA is forecasting 2nd quarter milk output to rise 1.5% from last year. January 31st cheese (11%) and butter (24%) stocks were more than a year ago. Various buyers are resisting cheese purchases expecting a modest decline in cheese prices. Prices per pound, except Class I Cream (hundred weight), from USDA.
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Poultry |
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With 1 additional slaughter day, January US chicken production was 1.4% lower than last year due to supplier cutbacks. The January broiler type chick hatch was 1% less than the previous year indicating that chicken output is likely to remain below 2006 levels during March. Chicken processors are anticipated to closely manage chicken production levels throughout most of 2007. The wing markets are moving seasonally downward. Further chicken wing market declines are forecasted. In 2005, the jumbo cut chicken wing market fell 11% during the next 4 weeks. Prices per pound except eggs (dozen) FOB from USDA.
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Seafood |
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January US Gulf of Mexico shrimp landings were the smallest for the month in over 5 years. Still, significant shrimp import growth is projected during the coming months which should make up for any US production shortfall. The shrimp markets are fairly balanced. Relatively engaging shrimp prices are anticipated to persevere throughout the spring. Prices for fresh product, unless noted per pound from Fisheries Market News.
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Pork |
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Sow slaughter during January was 10% more than 2005 and the largest sow slaughter for the month in 11 years. Some modest herd liquidation is anticipated this spring which could boost pork production. US 2nd quarter pork output is projected to track 4% above 2006. The pork sparerib market is trending upward with steady to higher prices expected through the spring. January 31st pork belly (15%), rib (14%), trimming (11%), loin (23%) and ham (1%) stocks were all less than a year ago. Prices per pound FOB from USDA.
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Produce |
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The lettuce markets remain modestly above normalized levels as lettuce weights and quality continue to suffer from the January freeze. However, lettuce yields and quality are anticipated to improve this month as the weather warms in the growing areas. Still, the chief lettuce production region will begin to shift north in the coming weeks which could lead to some lettuce market volatility. Onion prices are coursing upward. Relatively inflated onion prices are likely to persevere during March. Prices shipping point unless noted (terminal) FOB from USDA
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Oil and Grains |
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The agriculture industry is eagerly anticipating the March 31st plantings report which will publish USDA forecasted 07 corn and soybean acreage. The grain markets are elevated. Prices per pound (oils) or bushel (grains) FOB from USDA.
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Canned and Frozen Food |
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Tomato Products, Canned - Our initial projection for 2007 California contracted tomato acreage is 295,000, which if realized would be a 3.5% increase from last year and the largest since 1999. The canned tomato markets are firm due to limited stocks but some supply relief could be forthcoming this summer. Price per case (6/10) FOB from Supply and Market Report.
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Processed Fruits and Vegetables - January 31st frozen green bean (10%), cob corn (2%) and green pea (3%) holdings were more than 2006. The frozen vegetable markets are stable. Prices FOB per case from Supply and Market Report.
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The Employment Center is your gateway
for posting job listings or your resume
into 3 of the most
popular sites
in the foodservice industry.
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Ideal lease terms?
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Found a reasonably good location for our restaurant. This is in a ground floor of an office building in a complex which has a national grocer(not the best, but nevertheless national and quite popular among my target demographics).
What would be an ideal lease? Landlord's agent is asking me to put together something as a starting point.
Questions:
1. What kind of increase can I offer after how many years? Starting with $15/sqft for e.g.
2. Lease period, 5 + 5 etc.
3. How much rent free period?
4. Leasehold improvements. How much amount or what items are reasonable?
5. Build out allowance built back in the rent. How much amount is reasonable?
6. Is it common to ask for exit strategy? If so what is reasonable?
7. At what point in the negotiation should I involve a lawyer?
8. What are the typical steps in the negotiation process?
9. Anything else I should ask for?
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Costing vs Volume
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Hello all. Backround:
Want to open up a chicken franchise in Botswana ( Thats in Africa for anybody who isnt sure). Looking to go 7 days a week. Friday and saturday 24hrs or at least til 3 am.
Question: Over here in Botswana you have to offer value. And I know what youre thinking , but trust me. The street vendors here sell a big plate of veg , pap (Maize meal) and beef for P10 ($1.90)! Most people struggle to finish it.
Now I want to know why most people in the food game operate on 66% Gross Profit , or as I think you guys call it a 33% costing ? Now , Nando's dominates the market here (flame grilled chicken) and they are working on that margin. But I believe you are excluding a fair percentage of the market by being so expensive plus I figure you want people to rather buy your food then make their own by being priced right.
Now can a business survive on a 50% gross profit or 50% food costing or possibly lower? I want to rather sell to 300 customers a day then the opposite. But at the same time where do you draw the line?
I would love to hear from anybody who has tried this or currently uses this business model.
By the way , Nando's is bigger here then all 3 fried chicken franchises including KFC!!
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Is it worth $1 to “Take Out” your competition?
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If you are like the majority of operators who are still offering “take out” from your dining room menu , there is a good chance you are still using Styrofoam containers & plastic t-shirt bags to package it, which in turn means you really have no clue about the opportunity you are passing up.
HMR ( Home Meal Replacement ) is a 80 billion dollar segment of the foodservice industry that is growing at a rate of approximately 8% per year - which means whether you know it or not your guests are screaming for new alternatives to microwave dinners and greasy take out food . They want nutritious meals that are ready to eat when ever they have time to eat it, presented to them at a moments notice at a competitive price. Many require their food to be served to them in containers that can be resealed so they can reheat it and finish it when time allows. All of which is very understandable , but scarcely addressed by the majority of food service operators.
If you would like to transform your take out program into being a viable revenue generator you will need to give it the attention it deserves. Start out by coming to the realization that not every item on your menu travels well , therefore not every item on your menu belongs on your menu of take out selections. Once you have figured that out, you must train your staff to use the proper packaging for each item and get away from trying to from the old habit of trying to fit everything into one size container. Last but not least you must clearly brand your products so that each meal contributes to your overall marketing campaign.
Surprisingly we also found that many of the meals we selected to make the move from the dinner menu to the take out menu needed to have their portions reduced to maintain their plate appeal in the new containers. These reductions could not be noticed without a scale, but they were sufficient to offset some of the additional cost we added buy placing the meals in high grade, microwave safe reusable containers and of course our branding labels.
While this is the micro-readers digest version of the transformation process and additional follow-up , the bottom line was every guest that received a meal from the menu program was not only happy , they volunteered to become cheerleaders. Like a child playing with the box the toy came in at Christmas , many found huge pleasure in the fact they were able to keep and reuse the containers , others because it was clean and easy to handle. Needless to say we found it was well worth $1 to “Take Out” our competition.
How do you package yours?
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You can call me nuts, but I am a legume.
You can call me nuts, but I am a legume, a good standing member of the pea family. I may not be up there with, Chevrolet, and apple pie, but a baseball game wouldn’t be the same without me. While South America and China both claim my origin, I’ll go with Peruvians who in the 15th century were so awed by my existence; they buried pots of us along with their mummified dead. The long journey into the hereafter requires nourishment, you know, and we were there to provide. By the centuries end Columbus’ travels had made me a sensation in Portugal and other countries of the Old World. The Portuguese continued my expansion throughout Africa, the Philippines and East Asia. From Africa, I found my way across the ocean again to North America. Today India is my prime producer, with China and America not far behind. I actually form underground, but it is a long strange trip. I grow in subtropical and temperate regions. My plant is bush like (we’re not fond of broccoli either) and I can grow up to 30 inches high. I grow small yellow flowers for a two to three month period that open in the morning at sunrise for fertilization and drop dead by noon. In the days that follow the stems of my flowers grow longer and bend down, toward the ground. These stems then penetrate the ground with a 1 to 3 inch depth. Here the stems expand, ripen, and grow into seed bearing pods. When harvested my pods are dried and become brittle where my thin netted tan colored pod opens to reveal my brownish red skin that can be eaten plain or brined and roasted. Famous for my oil that can withstand high heat without breaking down I am also well known for my butter. I expand when cooked, and will continue to cook when removed from heat. I am crushed, ground, blended, and served with meat, fish, poultry, sauces, salads, soups, and desserts. I am 85% unsaturated fat, rich in protein and calories. I am an excellent source of thiamine, niacin, magnesium and potassium.
What am I?
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