Becalmed waters
"Skills shortage? Of course, there's still a skills shortage. It gets worse, not better," said one harassed delegate attending this year's Catering Forum, held aboard the P&O cruise liner Oriana, on 6-9 June. The static weather of the passage reflected the way many delegates were describing the industry.
The forum's programme included a series of sector-specific discussion groups covering restaurants, hotels, contract catering, pubs and retail hospitality. All groups complained that the continuing skills shortage remained their biggest headache.
In one discussion, a pragmatic but seemingly depressed contract caterer said: "Frankly, the managers that we have to employ these days are simply not good enough. They certainly aren't as good as they were 15 years ago." It was agreed in the discussion that the image of the sector was chiefly, although not entirely, to blame for the problem. "At college, we are still referred to as industrial caterers," complained one speaker. "College leavers don't want to join this sector of the business."
But if contract caterers think they have a problem, spare a thought for retailers who run catering operations. According to the retail hospitality discussion group, their situation is exacerbated by the fact that they are not even seen as part of the industry. "Trying to get a catering manager to work in a supermarket café is a nightmare," commented one delegate responsible for the restaurant operations of a major supermarket chain. This view was supported by a representative from a chain of coffee shops owned and operated within a leading high street store. "People don't think of my company as a hospitality employer," she said.
While faced with reluctance among catering professionals to join the retail hospitality sector, the delegates explained that one of their biggest hurdles was convincing their respective employers to "think hospitality" when opening a hospitality environment for customers. "Retailers don't understand the hospitality model," commented another delegate. "And while catering is miles behind retailing in some aspects, they try to benchmark us against retail when it's a completely different discipline."
He continued: "I told my employers, ‘You wouldn't open an opticians in one of our stores and not employ a qualified optician to work there, so why open a restaurant and not put a restaurant manager in there?'." Another delegate, in charge of more than 100 catering operations nationwide, added: "It took me two years to convince my employer to agree to put catering managers in our coffee shops."
The problem of recruitment is particularly bad for local authority caterers because of the part-time nature of jobs in schools ("It's not as easy as it sounds - trying to fill a 10-hour-a-week position") and the fact that every member of staff now has to have police clearance.
At the lower end of the wage spectrum, the lack of suitable recruits creates an equally dire situation. Many operators across all catering and hospitality sectors are faced with having to employ non-English-speaking staff ("everyone living in London is foreign") and some believe that, in spite of expensive training, employee turnover in the industry is still high.
"There's a huge problem with the image of the industry," said the facilities manager of a large university in the North-west of England. "The Government is trying to persuade 50% of young people to go into higher education - it's pushing education, education, education - and it's pushing people's aspirations upward. But at the moment, hospitality is not seen as something people should aspire to."
The same sentiment comes from hoteliers who, in one of their discussion groups, immediately asked the questions: "How can we make hospitality a more valued profession in the eyes of young people? How can we retain people already within the industry?"
One senior hotelier said: "We are an exciting, vibrant industry and we need to shout about it more. We need to publicise opportunities to university and college leavers. We also need to emphasise and create clearer career progression for newcomers, in order to encourage them to think beyond their weekly pay-packets."
Paying above the minimum wage is generally seen by all sectors as a good start towards creating greater staff motivation and customer service, although this is not as easy for contract caterers, who complain that clients are driving prices down. "There's little interest in paying for quality," was a common complaint here. "Our customers are only interested in a cheap price. They aren't bothered about the quality of service."
So the recruitment and staff retention debate continues and, as many discussions concluded, the same issues will probably still be on the agenda in five years' time. Mind you, one contract caterer did say that the situation was getting better. "Our industry is moving slowly, very slowly forward," he said. "It's just taking longer than we thought it would."
Off the record
Names and positions in this report have been withheld at the request of delegates.
Catering Forum
The Catering Forum, organised by Richmond Events, is an annual three-day conference held aboard a P&O cruise liner. It attracts upwards of 700 delegates from operators, supplier companies and trade associations and, in addition to providing opportunities for one-to-one discussions, includes a full conference schedule of theatre-style keynote addresses, seminars, workshops and discussion groups.
The 2003 Forum runs from 11 to 14 June and will be staged aboard P&O's Aurora. Details from Richmond Events: 020 8487 2436.
Seminar snapshot 1
What… The Healthy Eating Police
Who… Rosie Denison, nutrition consultant, Salubris
The issue… Health is an increasing concern of both the Government and the general public. The food service sector needs to address how it can adapt to Government and public demands - and capitalise on them.
The discussion… The successes of sushi and juice bars and organic and healthy eating options in supermarkets is evidence that the public want, and will pay for, food that they consider healthy. Caterers, particularly in schools, can capitalise on public concern by offering contracts that highlight healthy options. Even seemingly health-hazardous foods such as pie and chips can be improved and even economised with by small tweaks of ingredients, preparation and cooking.
Conclusions…
Caterers should not be afraid of providing healthy food. Small changes can make a dramatic impact and they need not be expensive. They could even save you money. Simple training can empower and enthuse staff to offer a better service.
Seminar snapshot 2
What… Awakening Sleeping Giants
Who…
Anthony S Horton, managing director, Tricon Foodservice Ltd
Stephen Browne, managing director, What Matters
The issues…
Can food service and food retailers continue to believe that they work in different markets?
How can the food service sector ensure that it competes effectively with the supermarket giants?
The discussion… UKcustomers' disposable income rose from £379b in 1981 to £674b in 2001, and both food retailers and food service operators are working hard to ensure that they capitalise on this. In the USA, 70% of meals are already taken out of the home, and the UK appears set to follow in similar footsteps.
Food retailing is already reaching saturation point, however, with opportunities for further expansion limited to development abroad, taking share from other UK competitors, or entering the growing food service market.
Food service operators, meanwhile, have already extended their brands to supermarket shelves, but they will need to do a lot more to compete with retailers.
Conclusions…
Food service operators must differentiate their product or brand to compete effectively. They can do this through attractive service, providing fresh food and appealing to lifestyle changes.
Other strategies include collaborating with other caterers to offer a greater range of services.
Alternatively, caterers can target retailer customers directly by providing services such as business and student canteens.
