In my 52 years of Hospitality Industry Career and Experience, I have never come across to such unexpected and alarming experience. Hospitality industry has experienced the full force of restrictions. Bustling cafes, crowded restaurants and vibrant nightlife seems like a distant memory. In totality, the World witnessed lockdown in various countries/states for couple of months and everything came to standstill i.e., No transportation facilities viz. Flights, ships, Trains, Metros/Buses, Cars/Taxis, three-wheeler/two-wheeler, cycles and not even walking on the road was allowed. This Pandemic has brought all of us on our knees.
It’s been vast experience as our organization has been one of the leading Hotel Consultancy Services in India and we are experts in Hospitality Cost Management. We are Turnaround Specialist and successfully catered to Premium Hotels, Chain of Restaurants, QSR Concepts, Catering Units
Even with all such problems, life has to go on. So ultimately the world has decided to fight and survive with this pandemic. The Government of India has initiated the Unlocking phase with many instructions, advisories and guidance issued to all industrial sectors. As we emerge from restrictions, the only certainty is that it won’t be business as usual. For many organisations, their operations would need to develop gradually with new social distancing and hygiene practices and whole new approach to the hospitality business.
During Lockdown period, people learned on how to take precautions and experienced the effectiveness of social distancing to avoid this problem. Our hospitality industry also needs to learn and adapt to the Do’s and Don’ts of starting their hotels/restaurants/ fast food outlets/takeaway outlets / resorts etc. Government issued advisory and guidelines to our hospitality industry regarding this pandemic. The next challenge for business starts now as the easing of restrictions will begin in progressive stages and preparation is necessary for reopening success.
Since March 2020, our industry faced a complete fall down. The liabilities of owners started escalating for rentals, electricity bills, Vendor payments, Staff’s salaries and wages, loan interest, Govt taxes, etc. There was a complete disparity in the month of April, May, June and this will also continue to linger in the month of July 2020 because we are not sure whether there will be any foot falls and we are not sure of the figures/numbers. As, Nobody can predict their figures, one cannot plan much for the future.
But in any case, somewhere we have to start.
So, to be begin with,
The first question a business owner should ask himself/herself:
“Is my business prepared to lead the transfiguration towards the new normal in the workplace?”
If not, then there is nothing to worry about, as I have conceived ‘MAGIC MANTRAS’ — a complete solution to the predicament.
Some of the MANDATORY MANTRAS are as follows:
MANDATORY MANTRA FOR ALL BUSINESSES:
- Follow Social distancing rules very strictly.
- Very strictly and effectively follow the COVID-19 pandemic guidelines and advisory given by the Government.
MANTRAS – FOR HOTEL/RESTAURANT OWNERS:
- Make short-term plans to restart your business.
- Operators with Rental premises should explore to renegotiate rentals, terms and conditions for this crisis situation. Please keep it in mind that the renegotiation will surely be a ‘Win-win’ situation for both.
- If you are having a large place on rental, then please cut down the occupied space so that the owner can rent it to somebody else and this will bring your liabilities down to some extent.
- Avoid any further bank loan to buy or renovate your premises as this will unnecessarily increase your bank EMI and bank interest.
- Refrain to make any capital expenses like buying new machines, equipment, etc
MANTRAS – FOR STAFF & GUEST HEALTH:
- First and foremost, a safe hotel reopening requires confidence from staff that they will be kept safe at work.
- Personal protective gear for all employees and Complimentary masks and hand sanitizer stations around the property. Opt for touchless methods like Touch-free hand sanitizers so as to encourage the physical distancing of guests and employees.
- Train your staff to handle various challenges at the workplace. For e.g., Maintaining hygiene standards, sanitation, wearing gloves and masks, etc.
- Call your team and have a word with them about current scenario. Boost their confidence viz. “WE CAN DO IT”, “WE WILL SURVIVE” which will eventually motivate them.
- Transparency is the key at the very moment, which will keep the staff confident and well-informed.
- Ask them to help you out through their contributions viz. using their multifaceted skills in operations so that your HR expenses remain under control. May be some extra hours of outputs is also appreciated.
- Co-ordinate with your chef and F&B Manager to plan your balanced limited or set menus to cater all types of guests and their preferences.
MANTRAS – FOR EFFECTIVE HOSPITALITY OPERATIONS MANAGEMENT
- Complete sanitation of your workplace is a must before you relaunch or restart your business.
- Start your business in phases. Do not start with full strength. Initially begin with 35% to 40%, if your restaurant is having 60 to 75 covers, start with only 25 to 35 covers only. By doing so, it will save your staff, energy bills and your inventories. This example is for your Food and beverage operations.
- In case of rooms start with only 30% strength. Let’s say, you have 60 rooms then start with only 18 rooms. This instruction will keep your operation costs low and it will also help you in reduction of wastage.
- Make a Purchase list of goods and liquor for food production and services.
- Ask your Chef to follow complete F&B operation systems very effectively and strictly.
- Let Manager/ F&B Manager/ Restaurant manager, Housekeeper, Receptionist, Bellboy, floor boys, Waiters, Runners chefs, Sous chefs, Linen keeper, Laundry man, Maintenance staff, Accounts staff, HR in charge, Security, drivers and any other people related of our industry to be made accountable and responsible for their departments, sections and areas.
- Manager (Head of the organization and Operation) should make fresh Standard Operating Procedures (SOP) while keeping in mind the Post Covid-19 condition. The same should be followed in all the concerned departments.
- The SOP should be given to all the operational sections and their heads to carry out efficient and effective operations.
- Please make sure that such S.O.P are written in two languages i.e., 1) English 2) Local language so that the staff can figure out easily what is mentioned in the same.
- Now, hotels, QSR/Restaurant Chain of outlets, particularly should recruit new designated managers i.e. Hygiene managers (H.M) to check and follow-up the rules and regulations about Hygiene standards of the hotels.
- Checking of all electrical and gas equipment or machineries.
- Contact AMC representatives and get your A/Cs, geysers, etc… services, so that it will help you in controlling your energy and maintenance cost.
- Get your kitchen completely cleaned i.e., exhaust fans, wall machines, dust bins, dishwashing areas, preparation area, receiving area, storage area for dry and perishable goods.
- Remove and discard all outdated and expired goods from your kitchen especially perishable goods namely dairy and meat products.
- Check your Food, Beverage, Liquor and General storages thoroughly and get rid of all expired products immediately.
- Cut down your Food and beverage/ Liquor menu by 50% to 60% which will result in controlling your inventory par stock and lower cost.
MANTRAS – HOW TO DEAL WITH VENDORS AND CONTRACTORS:
- Contact your existing / old vendors to co-operate as they might be having their outstanding dues with you, so ask them for some more time for the payment of the same. But renegotiate the rates with them for the fresh purchases as the market prices are low for many materials.
- Follow proper Standard Purchase Specifications (S.P.S.) for all the items you buy which includes groceries, vegetables, fruits, milk and milk products, poultry, meat, fish and fish products, breads, etc.
- Follow stringent receiving process to check whether the materials being sent as per SPS and also to ensure material received are not expired / about to expire due to non-movement of stocks at vendors.
Wholesome effective implementation of above suggestions and points will definitely help to reduce cost and increase profitability.
— H.A.MISHRA
CHAIRMAN & MANAGING DIRECTOR
FOODESIGN SYSTEMS ASSOCIATES –
ONE STOP EXPERT SOLUTIONS
HOTEL MANAGEMENT QUALIFIED
52 YEARS OF EXPERIENCE