Restaurant by wuyunqing


									NTN- UNLV Presentation

  A perspective on Restaurant
• What constitutes technology in hospitality?
• Do technology and Hospitality mesh?
• Why has the hospitality industry been slow to
  adopt technology?
• How are the technologies distributed?
• What technologies are available?
• What barriers may still exist to any technology?
• What might you consider when selecting a
• I may answer more than I have listed…
  Why hospitality technologies?
• Creative industry – almost artistic
• Entrepreneurial - many passionate people
• Experimental – restaurant owners are always
  willing to try something new
• My job is safe - Restaurants will always need
  help with technology
• Cash register mentality
  – 5-10 years behind the “real” business world
• First technologies provided simple solutions (late
  1980‟s – early 1990‟s)
• Hospitality technology got its biggest push when
  Point-of-sale solutions (POS) were introduced
• The Barriers to adoptions were significant
         Barriers to Adoption
• Technology was a burden, not an opportunity
• The restaurant was an art first, business second
• Restaurants viewed technologies as intrusive
  – Technology detracted from, rather than enhanced the
    customer experience
  – Technology was impersonal
• Restaurants feared the complexity of
  implementing and managing technologies
• Technology was „costly‟
• There are obviously exceptions
  – Marriott, McDonalds created POS companies
•   Hand held terminals
•   Liquor control systems
•   Self order kiosks
•   Reservations solutions
•   Result
    – If the technology impacted the customer experience,
      it was left behind
    – Logical business decisions did not pass the
      „ambiance‟ test
      Distribution as a Barrier
• POS companies came first
  – Cash and basic process control was first
• Solutions were proprietary (firmware)
  – Expensive to purchase, implement, and maintain
  – Development mentalities were insular
• A highly organic and fragmented market was
  difficult to approach
• Distribution was costly
  – A market dominated by independents / small chains
• Result: The reseller model evolved
 Business Problems Solved (POS)
• Cash and Cost control – theft and abuse
• Data collection, aggregation, processing,
  reporting, and connectivity to additional solutions
• Automation and consistency - replaced manual
   – Added systems where there were none
   – Replaced manual transactions and processes
        Types of Technologies
• Cash control
   – POS, PMS
• Process control
   – POS, PMS, Kitchen solutions, bar solutions
• Cost control
   – Inventory, Labor control
• Services
   – Internet solutions, reservations
• Revenue Generating
   – Loyalty and frequency solutions
• Local and enterprise level for all solutions
                Balancing Act
• Can technology enhance without being
  – If the technology provides a direct/indirect benefit to
    the client it has a chance
      • Direct – Internet reservations
      • Indirect – Technologies that improve work
        environment for employees
  – The higher the „price‟ that the customer pays for the
    service, the less likely the technology will succeed
      • It cannot detract from the customer experience
• How „apparent‟ is the technology?
             Desired goal
• Technology should tell us the following
  – What works and what does not
  – Where money is made and lost
  – Where the problems are and why
  – Who our customers are and how to treat them
• Where do decision makers most need to
  invest their time, and why
• This is still a difficult goal to attain
     Solutions Characteristics
• Basic evaluation criteria
  – Scalability – single unit or enterprise
  – Supportability – requirements and services
  – Choice and flexibility – Migration path
  – Function - Ability to meet current and future
  – Cost – short and long-term (cost of
  – Impact – On the business and the customer
  – Distribution – Direct or indirect, integrated or
    vertically integrated
                 The Future…
• Technology is already driving changes (Internet)
• Reduce costs or increase revenues?
   – In general, restaurants adopted the first already
• Increase, decrease the footprint of technology?
   – Generalization: The less expensive and quicker the
     food, experience is, the more welcome technology is
• Collect more data or interpret what you have?
• Catch up with the „real‟ world, or stay an artist?
   – Can you do both?
• Specific technologies to watch (ASP‟s)
   – What is the basic value proposition required?
  Solutions Gaining Momentum
• ASP models
  – Enterprise solutions
  – Reservations and guest solutions
• Kitchen video
• CRM tools of any kind (as long as they are not
  intrusive) – few will succeed
• Basic Business Intelligence – Alerts and
  centralized reporting
  – BI does not exist in this industry yet

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