FD SC 3060 Chapter Notes - Chapter 3: Contract Management, Foodservice, Compass Group

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What are the disadvantages of using a contract management company: self-operation. The operation is managed by an employee of the company in which that foodservice is located. Manager has full responsibility and authority for all functions with the department and reports to an administrator employed by the same company. Example school districts, hospital, long-term care, child care: contract management companies. Contract--an agreement between two or more persons to do or not to do something. Expected to provide foodservice operations that will satisfy the customers and to provide revenue for the organization. Economy of scale offer buying power for food and equipment, expertise in and some instances money for renovation projects, computer technology, standardized recipes, and menus for a variety of diets. Service handle operational issues, quality control, customer satisfaction and staffing. Expense institutional operation pays a management fee and may also pay salaries and benefits of employees.

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