The Managed Service Business

Transcription

1 The Managed Service Business Managed Services Top three managed services companies employ over one million worldwide Most people have never heard of these companies - they thrive on transparency Managed services represent a significant career opportunity for students studying hospitality management 1

2 Many Names Same Business Managed food service Non-commercial food service Institutional food service Management contract food service Outsourced food service Outsourcing Involves the transfer of management of an entire business function to an external organization Outsourcing can lower costs, increase the quality of the function, and allow a company to focus on their course mission 2

3 Types of Outsourcing Parts supply is an example of outsourcing of a manufacturing function A managed service is an example of outsourcing a service function why would food services represent the significant outsourcing of managed services in education, business and healthcare? 3

4 Food services where... Where people work Where people learn Where people recover Where people play Managed Services - Hospitality Hotels & Resorts Stadiums, Arenas & Amphitheaters Destinations & Cultural Attractions Workplaces and Manufacturing Facilities Convention Centers Conference Centers 4

5 Contracting of Managed Services A management contracting firm enters into an agreement (a management contract) with a client firm to define an outsourced business function Palms Las Vegas Sodexo to oversee operations of the 24 Seven Cafe, Bistro Buffet, room service operations and employee dining room (sept ) 5

6 Managed Services Non Commercial Colleges & Universities K-12 Schools & Districts Hospital & Healthcare Facilities Workplaces and Manufacturing Facilities Correctional Facilities Military Training Bases Remote Workplaces re Typical Managed Services Food services Mailroom services Custodial services Uniform services 6

7 outsourcing decision Big Three Managed Service Firms Aramark Compass Group Sodexo 7

8 Aramark Revenues in $14.8 billion Number of employees - 255,000 Number of countries - 22 Number of meals per year billion Based in the USA Currently contracted for UNLV food services Compass Group Revenues in $25.3 billion Number of employees - 507,000 Number of countries - 50 Number of meals per year - 4 billion 8

9 Compass Group Largest food service conglomerate in the world Operating companies include Levy Restaurants Wolfgang Puck Catering Bon Appetit Management Company Based in Britain Levy Restaurants Leader in sports & entertainment food service Restaurant company based in Chicago Provides premium quality food services to stadiums, arena, and entertainment venues All major sports leagues 9

10 Sodexo Revenues in $18.6 billion Number of employees - 425,000 Number of countries - 80 Number of meals per year billion Based in France - vacation policy 10

11 Vegas Later Years Video Question Set 1. According to the video Vegas Later Years, the first casinos built on the Las Vegas Strip were financed by 2. According to the video Vegas Later Years, in 1960 United Airlines introduced, instantly making Las Vegas accessible to millions of Americans who would not have previously visited Sin City 3. According to the video Vegas Later Years, why is Caesars Palace not spelled Caesar s Palace (with an apostrophe) 4. According to the video Vegas Later Years, money taken from the count rooms of Las Vegas casinos and distributed to organized crime figures was known as 5. According to the video Vegas Later Years, what was the name of the best selling book that blasted the city of Las Vegas for its corruption 6. According to the video Vegas Later Years, who was the billionaire recluse who came to Las Vegas and bought many casinos from their mob-controlled owners 7. According to the video Vegas Later Years, by the mid 1980s, the last of the mobsters would be gone from Las Vegas and the keys to the city would have passed to 8. According to the video Vegas Later Years, the monopoly that Las Vegas held on legalized gambling in the U.S. was ended in 1978 with the introduction of casino gambling in 9. According to the video Vegas Later Years, what was the 1980 tragedy that killed 85 people and injured 700 on the Las Vegas Strip 10. According to the video Vegas Later Years, how did Steve Wynn describe the level of competition among resort owners along the Las Vegas Strip 11. According to the video Vegas Later Years, in 1988, after a 15 year construction slump, what was the highly anticipated new resort that began to rise on the Las Vegas Strip 12. According to the video Vegas Later Years, in what way was the economic model of the traditional Las Vegas casino resort turned on its head with the opening of The Mirage 13. According to the video Vegas Later Years, how successful was The Mirage casino opening in November of According to the video Vegas Later Years, what did Steve Wynn do with the Dunes hotel on the Las Vegas strip 15. According to the video Vegas Later Years, Las Vegas is a place built on the idea of escaping from the past therefore Las Vegas treats its past the way it wants its visitors to treat their pasts which is to