College of Agriculture and Environmental Sciences
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HPM2601: Foodservice Or-
ganisation and Management
Assignment 2 — Semester 1, 2026
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HPM2601
Module Code:
Foodservice Organisation and Manage-
Module Name:
ment
Assignment 2
Assignment:
100
Total Marks:
Submitted in partial fulfilment of the requirements for HPM2601 — UNISA 2026
,UNISA | HPM2601 Foodservice Organisation and Management
Question 1: The South African Foodservice Industry
1.1 Five Factors Affecting the Growth of the South African Foodservice Industry
The South African foodservice industry has grown steadily in recent years, shaped by a com-
bination of socioeconomic shifts and demographic realities. The profit sector reached ZAR
601.2 billion in 2024, reflecting a compound annual growth rate of 3.4% from 2019 to 2024
(GlobalData, 2024). Five factors, drawn from Payne (2017) and supported by current evidence,
explain this trajectory.
Urbanisation and Changing Lifestyles. South Africa’s urban population has expanded consid-
erably, and busier daily schedules have made home cooking less practical for many house-
holds. As people migrate to cities for employment, the demand for quick and accessible
meals rises correspondingly. Payne (2017) identifies urbanisation as a primary driver of food-
service patronage, and this is confirmed by data showing that urban consumers aged 25 to
45 account for the bulk of restaurant visits in South Africa (Restroworks, 2026). Quick-service
restaurants, in particular, have capitalised on this shift, holding a 60.7% share of the profit
sector in 2024 (GlobalData, 2024).
Rising Disposable Incomes among the Middle Class. A growing middle class with greater
spending capacity has broadened the consumer base for formal foodservice. Payne (2017)
links increased disposable income directly to more frequent dining out and willingness to
explore diverse cuisine. This is supported by evidence showing that higher income groups
are driving demand for specialty dining, craft beverages, and premium restaurant experiences
(Merchant Capital, 2025).
Tourism and Hospitality Growth. South Africa attracted approximately 30.8 million travellers
in 2024 (Stats South Africa, 2024). Tourism creates consistent demand across all foodser-
vice channels, from fast-casual outlets near transport hubs to fine-dining establishments
that serve international visitors. Payne (2017) notes that tourism is one of the most reliable
external drivers of foodservice patronage. La Colombe, ranked 49th in the World’s 50 Best
Restaurants, illustrates how premium foodservice benefits directly from inbound tourism
(Mordor Intelligence, 2025).
Technological Adoption and Digital Ordering. The proliferation of food delivery platforms
has fundamentally altered how South Africans access meals. Mr. D Food controls 30% and
Uber Eats holds 25% of the South African food delivery market (Research and Markets, 2024).
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, UNISA | HPM2601 Foodservice Organisation and Management
Payne (2017) anticipated that technology would reduce the friction between consumers and
foodservice providers, and this prediction has been borne out. Table bookings via online
platforms rose 9.3% in 2023, and 27% of users access delivery apps several times a week
(Restroworks, 2026).
Demographic Shifts and a Young Population. South Africa has a notably young demographic
profile, and younger consumers tend to eat out more frequently and experiment with new
food experiences. Payne (2017) identifies population age structure as a factor shaping food-
service growth. Gen Z and millennials are driving demand for health-conscious menus, plant-
based options, and experiential dining, all of which have spurred operators to innovate and
expand (Glion, 2025).
¥ Implementation Insight
South African Context: Famous Brands opened 137 new restaurants in 2024 and
achieved 95% alternative power coverage across its network, illustrating how operators
are adapting to both growth demand and infrastructure constraints like load-shedding
(Mordor Intelligence, 2025).
1.2 Space Allocation in a Foodservice Operation
A well-designed foodservice facility distributes space across several interconnected func-
tional areas, each of which must be sized and positioned to support smooth workflow. The
following sequence describes each zone in logical order of food movement through the oper-
ation (Payne, 2017; NAFEM, 2025).
Receiving Area. This is the entry point for all incoming goods. It requires adequate dock
space for deliveries, a platform or ramp to match vehicle heights, and scales or measurement
tools for verification. Sufficient lighting and ventilation are necessary, and the space should
be located close to both storage and the service entrance to minimise handling distances.
Dry Storage. Immediately adjacent to the receiving area, dry storage houses non-perishable
goods such as canned products, flour, grains, and condiments. It requires shelving systems,
a controlled temperature environment free from moisture, adequate aisle width for stock
rotation, and proximity to the preparation area.
Refrigerated and Freezer Storage. Cold storage accommodates fresh and frozen products.
The size of this space depends on menu complexity, delivery frequency, the number of meals
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