Embracing Change Innovative casual dining experience sets new industry benchmark by Charles Mak In a bid to meet growing demand and constant change in the increasingly fierce business environment, companies continue to break new ground, at the same time breaking out of established industry moulds With a keener focus on adding value for customers, the nation's most favourite restaurant chain Café de Coral aims to reshape the industry by revolutionising the very basics of the trade. Viewing profits as by-products, the company has recently garnished its established brand name with a modified business concept. "Quantity and speed used to be the fast-food industry's major focuses," says Albert Wan, assistant director, administrative logistics, Café de Coral Holdings Limited. "Nowadays we consider quality a priority and have been working on it through an array of initiatives." This, Mr Wan stresses, will help consolidate the company's existing strengths and explore new business horizons. New generation When simply saying "thank you" was no longer considered "customer service", new values and initiatives had to be introduced. "We must provide personalised services so as to win a customer's heart," Mr Wan notes. In view of this, the restaurant chain launched its Club100 VIP programme to offer customers true value. Under this pioneering scheme, members can accumulate bonus points and redeem special rewards. It also helps to create brand loyalty. To exceed customer expectations, menus are periodically reviewed. Festive dishes and new items are developed to supplement all-time favourites, and food presentation has been improved to reflect a deliberate effort to enhance the casual dining experience. "Healthier or smaller-portion food items are incorporated to meet society's changing eating habits and increasing environmental concerns," Mr Wan says. Last year, the company implemented a brand new, fully computerised business operation system. "Customers are now enjoying many additional small conveniences," Mr Wan remarks. The new system includes a range of customer-centric applications such as the MOS (make order system) that links the cashier directly to the kitchen where food orders are displayed so that chefs can prepare them accordingly to further boost service efficiency. Mr Wan adds that dishes must be prepared within a specific estimated timeframe, so that customers are not kept waiting. Meanwhile, visible change can be seen in selected outlets that have been given a HK$41 million "4th generation" makeover, providing a modernised and upmarket ambience for the total fast food experience. "Food counters are now two inches lower and a bit deeper," Mr Wan elaborates. "Staff uniforms were also redesigned to help create a quality image." In addition, LED display panels have been installed to notify customers when made-to-order food orders are ready. In line with the makeover, the company has also conducted a range of specific training programmes for staff. "Practicality is the key in every training effort," Mr Wan notes. "We've observed obvious results." Apart from core training, the company's district business zones also provide 80 per cent of essential training. Stringent monitoring and benchmarking schemes are also in place for quality assurance. These include the "mystery shopper", as well as district competitions where shops are rated and awarded for outstanding performance, particularly in customer service. Best employer Change and progress have not affected Café de Coral's amiable management style and culture. When the market crashed a few years ago, the company launched a special reward scheme with cash prizes, boosting staff morale while minimising impact on the business. "We are a big family," Mr Wan says. A past recipient of the Labour Department's Good People Management award, Café de Coral has also been named best employer by the authoritative IR Magazine. However, finding the right people to help run the business remains a challenge. "The catering industry in Hong Kong is tough," Mr Wan concedes, but he points out that employees who become part of the family enjoy excellent benefits and can expect a long-term career. Staff members currently employed receive share options, a profit-sharing bonus and performance incentives on top of their remuneration packages. Over the past three decades, Café de Coral has grown from a small local fast food shop to a global enterprise with major production plants in Hong Kong and China. Its impressive business portfolio also comprises eateries such as Super Super Congee & Noodles, Oliver's Super Sandwiches, The Spaghetti House, Manchu Wok in Canada and Fan Ting in the US. It also owns institutional catering businesses such as Asia Pacific Catering and the phenomenally successful Luncheon Star, as well as food processing and distribution businesses such as Scanfoods and Denny's. "We've facilitated such growth, but Café de Coral remains our core business here in Hong Kong," Mr Wan says. "To maintain our dominant position, we must continuously look for further enhancements, both in terms of our business and human assets." Then and Now Before Quantity and efficiency of service the major competitive focuses Single business operation stressing horizontal development After Customer experience enhancement a priority Centralised purchasing and food processing increase efficiency and save costs Dedicated quality assurance mechanisms (product and service) adopted Vertical business development via active acquisition of catering services and food production in Hong Kong, the mainland and the US Taken from Career Times 12 October 2007 Your comments are welcome at [email protected]