Case Study
Company A occupies a large site in the south of England with both restaurant and hospitality requirements. The catering, which was operated on a 'cost plus' basis had been sub-contracted to a major catering supplier for a number of years and the company was convinced that the service and costs were in line with market expectations .
We conducted a 'cost price' benchmarking exercise, using an external agency with which we had previously undertaken a similar audit. This exercise revealed anomalies which pointed to cost prices at around 24% above market rate. Negotiations led to an annual reduction of £100k and a substantial capital contribution in support of company A's restaurant refurbishment programme.
The old saying that an 'army marches on its stomach' is still relevant in today's workplace and the benefits of a well managed catering operation are many. These benefits include happier and more productive employees, lower churn rates and a stronger corporate image. Milhow can help you to manage your catering operation balancing costs, hygiene, service standards, controls and marketing to provide an acceptable and cost efficient service.
What we can do:
- Assist in the catering tender process for both cost plus and fixed price models
- Provide valuable input into catering operations at the planning stage including restaurant and kitchen design, menu development and branding
- Manage or advise catering operations including health and safety compliance, marketing, promotional activity and margin control