Driving the restaurant industry forward

The global restaurant industry continues to evolve in response to market changes and emerging opportunities, including technological advances, customer needs, competitive threats, revenue opportunities and workforce demands.

These changes require business agility and strategic execution to help organisations adapt to the changing environment.

Thailand's restaurant industry looks promising as the company’s performance has shown positive signs, with the quick-service restaurant business still growing such as KFC, said Nath Vongphanich, president of Central Restaurants Group (CRG).

However, CRG is closely monitoring the impact of the country’s high level of household debt and rising costs, notably logistics costs, which may pose a challenge to the industry.

Moreover, the organisation will also keep an eye on escalating geopolitical tensions, the economic uncertainties of important trading partners such as the US and the EU, as well as the staff shortage in the restaurant industry.

Evolving business landscape

“To tackle those headwinds, CRG has continuously adjusted its working processes, aiming to simplify its workflow and increase productivity,” said Mr Nath.

As the restaurant business is evolving rapidly, the operator and staff must be adaptable to the changing needs of customers and the market to provide them with the best meal and high-quality service.

The company is embracing technology solutions to help with taking orders such as at table-side, QR code and via a kiosk, as well as processing contactless payments.

In terms of operation, the company has streamlined its order management system by integrating orders from multiple channels (such as orders from the online food ordering system, in-house orders and third-party delivery apps) into a single, easy-to-use dashboard, reducing the need to monitor multiple tablets and devices, which improves workflow and minimises errors.

These efforts, combined with kitchen workflow redesign, help CRG to better manage its human resources, enhance customer experience and increase productivity, he said.

Human resources the key

Mr Nath said CRG is committed to fostering an organisational culture that values diversity, inclusivity and equality and prioritises the well-being and development of employees.

The company's goal is to promote sustainable growth in tandem with organisational success.

Since 2007, the company has been empowering persons with disabilities through various projects to support their education, employment and quality of life.

After almost two decades of hiring disabled employees, there is concrete evidence that if disabled individuals find suitable, interesting and feasible jobs, it directly influences their dedication to enhancing their capabilities and advancing to higher job positions.

Furthermore, the company has been sponsoring employees and their children with academic scholarships at the elementary, high school, vocational and tertiary levels in order to help them reach their full potential.

Moreover, the company also provides upskilling and reskilling for its employees to ensure they keep up with the rapidly changing business landscape with new skills and competencies.

CRG's dedicated efforts have played a pivotal role in attracting and retaining top talent, resulting in heightened productivity and increased profitability for the organisation.

He recalled the unprecedented challenges faced by the company during the pandemic when dining out sharply plummeted as some restaurants were forced to shutter as the department stores where they were located closed to comply with lockdown measures.

However, the company has done its best to cope with circumstances by channelling its sales through online delivery platforms to control costs and secure service continuity.

“We are doing our best to stand behind our employees. Rather than implement any layoffs, we adjust the work schedule by reducing hours to protect jobs,” said Mr Nath.

He said the pandemic provided important lessons for the company in terms of cost management and career development opportunities for its employees.

The next move

The company operates 1,400 restaurants and plans to open around 100 new restaurants annually, said Mr Nath.

Furthermore, the company is also seeking new business partners for joint ventures, aiming to add 1-2 brands under the CRG ecosystem.

He said the company is looking for passionate restaurant owners striving for sustainable growth, as the business has high growth potential.

“By growing together, CRG would like to play a key part in driving Thailand's restaurant industry forward and promoting the charm of Thai cuisine globally,” said Mr Nath.