A quick guide on the food service industry

The food service industry is a vital part of the community that contributes to the social, cultural, environmental, and .

Apr 19, 2023

Get your HACCP in
1 hour!

Sign up now

Create Your
Food Safety System
in 15 Minutes

TRY FOR FREE

Create Your
Food Safety System
in 15 Minutes

BOOK A DEMO


Food Safety System
in 15 min

TRY FOR FREE

The food service industry is a vital part of the community that contributes to the social, cultural, environmental, and economic aspects of a nation.

The food service industry is a vital part of a community as it offers diverse value. The industry houses establishments related to preparing, handling, distributing, and serving an array of products and services to consumers away from their homes. This industry is highly competitive and involves different aspects of customer service, food preparation, and business management. The food service industry significantly contributes to the economic growth of a country.

Establishments such as restaurants, cafes, cafeterias, and institutional catering companies fall under the food service industry. Each type has its unique nature of service and can provide distant dining experiences.

In this article, we dig deeper into the ins and outs of the food service industry. We also introduce how our smart Food Safety Management System can help every food service business comply with all food safety regulations.

Here is a quick list of what is discussed in this blog post:

WHAT WE'LL COVER:

  1. What is food service definition?
  2. Food service industry
  3. What is the importance of food service in the food industry?
  4. Critical food service skills and equipment
  5. What are food service supplies and their role in the industry?
  6. Who are the food service distributors, and what are their functions in the supply chain?
  7. What are the two segments of the food service industry?
  8. Food service manager certification
  9. Tips for food safety compliance in the food service industry
  10. Maintaining food safety compliance for food service businesses with FoodDocs
  11. Frequently Asked Questions (FAQs)

What is food service definition?

Food service refers to the preparation, handling, packaging, and distribution of food, beverage, and related services by an establishment. This industry mainly involves different types of industries, such as restaurants, cafes, bars, cafeterias, catering companies, and institutional food providers.

Food service is otherwise known as catering. It is an essential sector of a community that makes up a significant percentage of a country's economy. This sector provides daily food products, services, niche requirements, and similar services to members of the community.

Food safety agencies define food service as any facility that serves meals and snacks for immediate consumption or food away from home. Food retailers are also part of this sector.

Food service providers aim to deliver quality food and services to the community while adhering to established laws and codes on food safety.

Food service

Centralized food service definition

Centralized food service, otherwise termed the commissary food system, is a type of food service system where food is prepared and distributed from a central location. Central facilities produce large batches of food to redistribute to smaller facilities.

The centralized food service system is often applied in institutions such as hospital cafeterias, schools, and care centers. This type of system provides efficiency in producing large quantities of food. It also provides assurance in maintaining quality and safety and makes management more efficient as there is only one location to monitor.

Food service industry

In this section, we also discuss the following topics:

  1. Overview of the food service industry
  2. What government agencies regulate the restaurant and food service industry?
  3. Which organization makes recommendations for food safety regulations in the food service industry?
  4. Food service industry trends

The food service industry involves several different businesses with varying natures of services, but all serving food and beverage.

The food service industry generates a significant amount of revenue for a country and provides business opportunities and employment to its citizens. The industry provides leisure, convenience, and health requirements to all the members of a community.

The industry aims to provide consumers with high-quality food, beverage, and services that satisfy their personal and nutritional requirements. As such, the food service industry moves toward the direction of what consumers want while considering the environment, economic climate, and other critical factors.

Overview of the food service industry

The contributions of the foodservice industry to the global economy cannot be more emphasized. In 2021, the industry was valued at $2,323.29 billion.

The industry provides countless employment opportunities to individuals. In the U.S., the foodservice industry employs approximately 15.6 million workforces. This estimation accounts for 10.5% of the total U.S. employment. The U.S. food industry is estimated to be well over $1.5 trillion, which is roughly 4% of the country's total GDP.

In the U.K., the food and drink service sector is valued to be approximately $73 billion. The sector employs approximately 4.2 million food service workers in the U.K.

The foodservice industry all over the world connects different sectors together. The supply chain keeps businesses, such as fresh food production, food retail sale, and food distribution programs, afloat and provides several opportunities for people.

The sector helps bridge the gap of food insecurity and ensures access to consumer demands and options. These contributions come with their commitment to serve only safe food and quality products and protect public health from food safety hazards.

We've compiled more foodservice industry statistics in this article.

What government agencies regulate the restaurant and food service industry?

National, state, and local government food safety agencies regulate the restaurant and food service industry in every country. They are responsible for creating food laws and regulations that aim to create food standards for food preparation, provide nutritious food, and protect public health from foodborne illnesses. Food safety agencies emphasize how food regulations are important for protecting public health.

The scope and limitation of each agency's authority over the industry practices vary from one country to another. In one nation, there may be more than two food safety agencies, whereas there are countries that have one agency with the sole responsibility of regulating the food service sector.

In the U.S., the food service industry is mainly regulated by three government agencies:

  1. Food and Drug Administration (FDA). This federal agency regulates approximately 78% of the U.S. food supply. The food and health agency establishes and monitors food safety regulations for handling, processing, labeling, packaging, and the delivery of foods in and out of the country. It also conducts food safety inspections to ensure food safety compliance. The FDA works with local health departments to implement food regulations.
  2. U.S. Department of Agriculture Food Safety and Inspection Services (USDA FSIS). This federal agency is responsible for monitoring safety and establishing food safety laws regarding products such as meats, poultry, and egg products. The FSIS also conducts training and outreach programs to food businesses to help them comply with the necessary laws.
  3. Centers for Disease Control and Prevention. This federal agency conducts research and programs that help the nation understand food safety practices more deeply to protect public health. They are also responsible for conducting investigations and monitoring cases of food safety outbreaks.

In the U.K., food safety agencies are not divided into different departments.

  1. Food Standards Agency (FSA). The food service industry is mainly governed by the Food Standards Agency FSA. The agency is responsible for implementing food safety laws and monitoring food hygiene within England, Wales, and Northern Ireland. The agency works with local authorities to regulate food handling and production to ensure the safety of public health. It provides the necessary policies for food businesses to run as safely as possible.
  2. Food Standards Scotland. This agency is the public food agency for Scotland. It is responsible for ensuring food safety in the foods being produced and handled in Scotland. It also provides guidance for food businesses in Scotland on how to comply with food safety laws.

In both countries, federal agencies coordinate with local and state health departments to implement food safety laws. They are responsible for ensuring compliance among food businesses and reporting to federal agencies regarding food safety issues. Local health agencies also monitor health code violations.

All food safety and health agencies work toward protecting public health and helping food businesses work seamlessly.

Read more about the roles and responsibilities of food and health agencies in different countries here.

Which organization makes recommendations for food safety regulations in the food service industry?

In the U.S., the FDA creates recommendations on food safety operations that are regularly compiled and updated under the Food Code. These recommendations are adapted throughout different states and are enforced as laws and regulations. They cover a wide range of food safety operations, including receiving, handling, storing, preparing, cooking, and cleaning in food businesses.

As previously mentioned, in the U.K., food safety laws are enforced by the Food Standards Agency. The agency enforces laws established in the Food Safety Act of 1990. In addition to this main law, the FSA makes suggestions for amendments and new regulations based on the extensive information that it gathers from local health departments.

Food service industry trends

Every year, the food service industry is evolving. Whether it is in size, innovation, or complexity of operations, choices of food and services from food businesses grow wider each year. Customer demands, technological innovations, and the current state of health and safety often drive changes and trends.

Some of the most recent trends in food service include the following:

  1. Health and wellness products. With the rising number of health concerns, consumers are increasingly looking for healthy food options. More health-conscious consumers are demanding safe solutions. Food innovations that promote good health, such as the incorporation of probiotics and the use of functional foods, are now widely available in the market.
  2. Sustainability. As the concerns regarding the environmental impacts of the food industry continuously grow, the industry is moving towards more sustainable operations. Trends include sourcing ingredients from local farms that use sustainable practices, reducing carbon footprints, and using more renewable energy.
  3. Technology. The food service industry has become more accepting of the efficiencies that technology can offer. Food handling operations are now being aided by technological advancements such as robotics and other smart solutions. Two great catalysts of technology in this industry include the recent pandemic and the ongoing crisis of labor shortage. Technology has made food service more accessible to customers, such as in the case of food delivery automation.
  4. Enhanced customer experience. Partnered with the rise of technology, businesses are improving more on finding ways to serve their customers better. One great example of this innovation is the use of artificial intelligence in collecting customer behavior and preferences. Businesses use the gathered information to tailor their services to these factors.
  5. Food safety and transparency. With the increased awareness of foodborne illnesses and food safety concerns, food service establishments are prioritizing food safety and hygiene practices. Now, more than ever, customers want to become involved by gaining access to the process of how their foods are made.
  6. New business models. As a result of the pandemic, newer business models are becoming more popular. You will see more food delivery options, ghost kitchen concepts, and food trucks more often than before. Now, food service businesses also focus on bringing a unique experience to customers in their comfort.

food service workers

These are just some of the current trends in food industry. As consumer preferences and market dynamics continue to evolve, food service establishments need to stay agile and adapt to these trends to remain competitive and meet the changing demands of their customers.

Read more about the latest trends in the food industry from our detailed article.

What is the importance of food service in the food industry?

The food service industry is an indispensable part of any country's ecosystem. The industry provides services that contribute to the economic, social, environmental, and cultural aspects and lifestyle of a community.

Specifically, the food service industry provides every nation with the following benefits:

  1. Access to prepared and nutritional food. Food service businesses, such as cafes, restaurants, and cafeterias, mainly provide convenience to consumers. They help consumers get access to meals that are prepared away from home, whether for leisure or just convenience. Food service businesses also make unique products accessible to a larger community, such as restaurants that specialize in a particular cuisine.
  2. Job opportunities and economic impact. We previously mentioned how significant is the contribution of the food service industry to a nation. The industry created job opportunities for millions of people. This helps them create a sustainable living for the members of society. In addition, the revenues generated from the industry help stimulate a country's economic growth.
  3. Supply chain and sourcing. In addition to job opportunities, the food service industry also creates opportunities for other members of the supply chain, such as local farms, producers, and logistics. The industry serves as a large connecting sector to many different industries.
  4. Culinary innovation. Food service businesses are also a sector where creative minds work best. Culinary professionals introduce new food meals, experiences, flavors, and food service specialties to consumers that can drive their preferences and set trends.
  5. Food technology innovation. The food service industry makes for a great testing ground for new technology. Innovators use the service industry to implement more efficient equipment, ordering system, digital platforms, and cooking techniques that will ultimately make things more convenient for businesses and consumers.
  6. Food safety. In addition to new experience and quality, the food service industry also ensures that the food supply received by the consumers are safe. The industry is heavily regulated by food laws that help prevent issues that can put the lives of consumers at risk.
  7. Social and cultural importance. The food industry has always been connected with social and cultural significance. Several food establishments carry historical significance for a location. They help preserve traditions, local cuisines, and heritage.

When properly regulated, the food service industry becomes an invaluable component of a nation's growth. Its contributions to the community help enhance the consumer's way of living, preserve traditions, and stimulate economic growth.

Critical food service skills and equipment

In this section, we will discuss the following topics on skills and food service equipment:

  1. Critical food service skills
  2. Common food service equipment

The food service industry gathers people with different expertise related to food preparation and service. Food service professionals and business entrepreneurs all gather in this sector to create a working and efficient food service industry.

You can see in this industry a wide range of skills, innovative products, and equipment. Experts in food safety and hygiene, customer service, planning, accounting, innovation, presentation, and inventors collaborate to make the food service industry.

With these critical skills and restaurant equipment in place, the food service industry can thrive, delivering delicious meals, ensuring food safety, providing excellent customer service, and contributing to the overall success of food businesses.

Below, we discuss more on what critical food service skills and equipment are essential for a food service business.

What are the essential food service skills?

The food service industry requires a specific set of skills and competencies for a business to survive. This industry is filled with tough competition, and only the most efficient and effective workers flourish.

Employees in the food service sector must have the following skills:

  1. Culinary skills. Personnel that requires this skill includes chefs, cooks, and kitchen aids. These skills comprise proper food handling, preparation techniques, cooking methods, and presentation.
  2. Food safety and food hygiene. This skill is a requirement for all food service personnel. It includes basic knowledge of how to prepare and handle food without introducing food safety hazards into the food system that can cause foodborne illness.
  3. Customer service. As food service involves interactions with customers, employees are required to have people skills and good communication abilities for customer interactions. This skill can help resolve conflicts in cases of issues and promote customer satisfaction.
  4. Time management. This skill is essential for any level of food service employee. Time management is the key to an efficient operation and can help improve coordination among team members.
  5. Menu planning. Although a specific skill for specialized employees, menu planning is essential. This is often a skill that food service managers or supervisors must have. This skill is key to upselling a foodservice business to consumers and ensuring competitive yet reasonable prices.
  6. Accounting. Food service also has a business aspect. Managers must be able to properly analyze the food cost and revenues of a food business to gauge its performance.
  7. Critical thinking. Quick thinking and problem-solving skills are important in the food service industry to address unforeseen challenges, such as customer complaints, foodservice equipment malfunctions, or food safety issues.

Food service skills can be categorized as entry-level, skilled, and supervisory. This categorization depends on the expertise of an employee or food service operator and can be further improved upon through training and experience.

food worker serving customer

What are examples of common food service equipment?

In addition to a community of different experts as part of the food service workforce, the food service industry house several unique pieces of commercial equipment. These pieces of food processing equipment often come in industrial size and can produce more yield than the common household food prep tools.

Food service equipment helps in making food handling tasks more efficient, precise, and accurate all the time in the restaurant industry. Some of the essential restaurant equipment list that every food service business must have includes the following:

These common equipment and kitchen tools are all food service essentials. Some types of food service facilities may require more specialized versions of tools and restaurant supply products to emphasize particular attributes.

Commercial restaurant appliances make the jobs of food service workers easier. They are also designed to make fewer mistakes and preserve the quality and safety of foods for consumers.

More advanced commercial kitchen equipment helps ensure a more efficient operation for the restaurant business. Take FoodDocs' smart Food Safety Management System, for example. This smart software uses cutting-edge technology to automatically produce digital monitoring logs and checklists that are essential for food safety. Our software system also provides smart solutions to help ensure food safety compliance all the time, with minimal effort.

New call-to-action

What are food service supplies and their role in the industry?

Food service and kitchen supplies include a wide range of products and equipment used in this industry to help in the preparation, presentation, and delivery of food. Supplies make up the products served to consumers. They are the tools used to prepare the food and the ingredients that make up the food.

Food service supplies come from different related businesses. Some supplies are staples for all types of food service businesses, whereas some are unique or even exclusive to some operations.

The following are considered food prep supplies:

  1. Kitchen utensils, tools, and cookware sets
  2. Tableware and commercial dinnerware sets
  3. Dining room furniture (e.g., fixtures and chairs for restaurants)
  4. Food storage
  5. Cleaning and sanitation supplies
  6. Disposables
  7. Raw ingredients

A food service business cannot run without supplies. These tools and materials are required to operate smoothly and provide the customers with what they need.

Other innovative restaurant supplies are essential to maintain food safety, contributing to the overall success and compliance of a food service business. High-quality restaurant supplies can help businesses achieve their goals faster.

Who are the food service distributors?

Food service distributors are third-party entities that supply or deliver food and non-food products to food service establishments. These restaurant food distributors act as a bridge between manufacturers and food service businesses. They help make various products and services accessible to other food service businesses, including restaurants, retail stores, convenience stores, and other independent companies in the food service industry.

Food service distributors procure and purchase products and services from a wide range of growers, manufacturers, and other suppliers and then redistribute them to other businesses. The extensive product list and services redistributed by food service distributors range from perishable food items to outsourcing services, such as menu planning, culinary support, and training programs.

The contributions of food service distributors in the food service industry allow for a consistent supply of food products and services.

What are the functions of distributors in the supply chain?

Independent food distributors can help businesses sustain their supply of ingredients, products, and services. Distributors ensure that there is no gap in the supply chain for continuous operation.

In particular, the main functions of food service distributors are the following:

  1. Procurement and sourcing. Distributors take out the tedious task of searching for food suppliers and industry resources from your preferred producers. They negotiate competitive prices and terms according to your needs, and you can choose from their list of partners for more cost-effective transactions.
  2. Inventory management. Partnering with a food service distributor can help you manage your stocks efficiently. Distributors employ their own traceability and inventory management system to ensure that the products you need are always available.
  3. Transportation and logistics. Distributors act as third-party logistics partners and take care of coordinating the transportation and delivery schedule. Distributors make the delivery of products to restaurants less costly.
  4. Customer service. Distributors of services can provide food service businesses with support in handling inquiries and complaints and resolving issues.
  5. Wider market access. Perhaps one of the most valuable roles of specialty distributors is they allow access to a wider and international market and supply. In terms of supplies, a food distributor help businesses purchase ingredients from very far locations. On the other end of the process, distributors also help businesses reach more customers through order deliveries.
  6. Value-added services. Some distributors also provide services such as product information and education, training, marketing support, business solutions, and even customer handling.
  7. Product promotion. By allowing distributors to handle your products and services, you can reach more customers. This can help you promote your brand and attract more potential customers.

A food distribution company serves as a one-stop shop and intermediary between food manufacturers or producers and end customers, ensuring that products are efficiently delivered to their intended destinations. Their expertise in providing business food solutions and managing the complexity of the supply chain helps streamline operations, optimize inventory levels, and provide value-added services to customers.

What are the two segments of the food service industry?

The food service industry consists of several different food businesses. Each food company may differ in the target market, the services offered, objectives, and applicable regulations. The food businesses in this industry are divided into two categories, namely:

  1. Non-commercial food service
  2. Commercial food service

The categorization of businesses in the food service industry help in understanding their unique characteristics. Both segments aim to provide food and beverage, but they have their own goals and dynamics.

Below, we discuss each segment in detail.

Non-commercial food service definition

Non-commercial food service refers to businesses that provide food and beverage in different institutions to support their main functions. This segment of the food service industry does not put profit-making as its primary goal. Instead, they provide food and services to fulfill social needs.

The non-commercial segment of the food service industry uses a not-for-profit model to serve its customer base, which includes students, patients, and employees inside a particular institution. That being said, common examples of non-commercial food services include the following: