Chapter 1 - Answer
Noncommercial operations - Answer o Schools
o Hospitals
o Military
o Nursing homes.
Hotel sales and marketing department - Answer responsible for attracting guests to the
property, making group bookings, and handling convention services.
o Often involved with advertising and public relations.
Revenue and support centers - Answer helps managers organize their planning and
effectively operate each service outlet.
Multi-unit organizations - Answer popular because they provide brand recognition.
o Opportunity to market in a large region.
o Use of operating procedures, standardized building designs, and centralized menu
planning.
o Ability to obtain business loans.
o Easier employee recruitment.
o Specialized technical assistance.
POS systems track and record meaningful information that managers can use to better
control their food and beverage operations. - Answer
Employee turnover - Answer turnover is the percentage of total employees per
department who leave during a specific time period.
o Select qualified applicants or those who can be trained.
o Offer competitive salaries or bonuses.
o Train supervisors to use effective practices when interacting with their employees.
o Managers can use training, cross training, and self-improvement to build leadership
and improve employees work skills.
Chapter 2 - Answer
Process of effective planning - Answer 1. Vision: broad abstract view of what the
organization seeks to be.
2. Mission: more specific statement of how that goal will be achieved.
3. Long-range plan (usually five years): indicates what managers want to accomplish
within a certain time period in relation to the mission.
4. Business plan (revenue goals within the next year)
5. Marketing plan
, 6. Operating budget: details budget for revenue, costs associated with the products and
services that are produced, and the property's financial goals for a specific time period.
Basic steps in the control process - Answer 1. Establish and maintain standards.
2. Measure actual operating results.
3. Compare actual results with standards.
4. Take corrective action.
5. Evaluate corrective action.
Aspects of effective standards - Answer o Be specific and measurable (quantity)
o Encourage further creativity and challenge (quality)
o Include feedback as part of the control system (control)
Objectivity - Answer measurements of the level of performance must accurately reflect
the desired results that control procedures are designed to monitor.
o More likely to be achieved when designed by team managers with help from all
affected staff.
Chapter 3 - Answer
Food Service control points - Answer basic operating activities that must be performed
in any food service establishment.
o Each control point plays a crucial role in determining the success or failure of a food
service operation.
The menu is not only a control tool, it also is a sales, advertising, merchandising, and
marketing tool.
o Addresses both control and marketing concerns and blends them into a workable
system. - Answer
Ingredients mark-up method - Answer attempts to consider all food costs:
o Determine the ingredients costs from applicable standard recipes.
o Determine the multiplier to mark up the ingredients costs.
o Establish a base selling price by multiplying the ingredients costs by the multiplier
Multiplier = 1/ desired food cost percentage - Answer
Base selling price = ingredient cost x multiplier - Answer
Average contribution margin per guest = (Non-food costs + required profit) / number of
expected guests - Answer
Prime costs method - Answer involves assessing the labor costs for the food service
operation and factoring these costs into the pricing question.
o Labor costs per guest = labor costs / number of expected guests