Exclusive – outdated technology, systems and processes costing hospitality sector £2.7bn a year: Outdated systems and inefficient processes are costing the hospitality sector £2.7bn a year, according to new research. The study by KAM and Sona gathered insights from 300 front-line workers across pubs, bars and restaurants and was presented at Propel’s Culture, Talent & Training Conference today (Thursday, 9 October). According to the research, hospitality employees “waste” an average of 1.2 hours per week due to inefficient systems such as manual paperwork, poor scheduling, chasing down information and repeating tasks. This equates to approximately 4% of their working time lost – or 4.2 million hours “wasted” weekly across the UK’s 3.5 million hospitality employees. At the current minimum wage of £12.21, this translates to £51m per week in lost productivity, and almost £2.7bn per year. The survey also highlighted a direct link between poor systems and staff retention. Half of those surveyed admitted to having considered leaving their job due to frustrating processes – with 13% saying it happens frequently. Given that hospitality turnover rates are high and the cost of replacing a team member can reach nine months of salary according to UKHospitality, even a small reduction in churn could save the industry hundreds of millions annually. The data also pointed out operational inefficiencies are impacting the guest experience. Nearly two-thirds (62%) of employees said poor or frustrating systems or processes have negatively affected customer service in their venue, and 34% reported technology failures disrupting service at least once a month. Additionally, 45% said they are short staffed at least once a month and it affects the level of customer service, while 40% said it impacts their job satisfaction. The survey revealed widespread dissatisfaction with shift scheduling, highlighting the important role that smart scheduling solutions can play. For example: more than half (52%) of employees receive their rota less than six days in advance, with 15% getting it less than two days before; 27% said their schedule is then frequently or very frequently changed after publication; only 54% found it easy to request shift changes, get cover or swap a shift and 80% must contact a manager directly to do so; and 30% felt their availability, preferences and work-life balance aren’t considered in scheduling decisions. On average, respondents said they could be 19% more productive each week if their company invested in improved processes and better systems. Katy Moses, founder and managing director at KAM, said: “Hospitality teams are some of the most resourceful and resilient people out there, but this research shows just how much potential we’re wasting by not giving them the right tools. Every hour lost to clunky systems or chasing information is an hour that could be spent delighting guests or developing skills. In such a challenging trading climate, improving productivity isn’t just about cutting costs, it’s about making life easier for our teams and giving them the support they deserve to do their best work. Ultimately, an outstanding employee experience is what will deliver an outstanding guest experience.” Ben Dixon, chief technology officer and co-Founder of Sona, said: “This research shines a spotlight on a challenge we see every day – the immense operational and human cost of outdated technology. The £2.7bn figure is startling, but the story behind it of frustrated employees, disrupted service and a revolving door of staff is what truly needs our attention. Hospitality is fundamentally a people-centric industry, yet the technology that underpins its ability to empower failed its most valuable asset – its front-line teams – has lagged. The findings that employees are losing hours to manual processes and that half have considered leaving due to frustrating systems should be a major incentive to reconsider the status quo.”

 

Wingstop set to expand to Ireland: Wingstop, which is backed here by US private equity firm Sixth Street, is set to expand to Ireland. Operated by Lemon Pepper Holdings, Wingstop UK & Ireland will launch its first location in the country at Dublin’s Liffey Valley Shopping Centre this winter. The initial rollout also includes a delivery kitchen in Dublin, available via Deliveroo, with an expected 20 sites to open across the island within the next seven years. A Wingstop UKI spokesman said: “We’re excited to bring the Wingstop UKI flavour to Ireland – our first stop outside of the UK. Ireland has an energy that matches our own and we can’t wait to connect with local brands, creatives and charities to make a difference in the communities we will serve. Wingstop UKI is a highly scalable business, and we have ambitious plans to open more locations across the country. We know our delicious wings and bold flavours will prove to be a hit with Irish customers and we can’t wait to welcome them in store.” Maeve Foley, director of asset management at Hines Ireland, asset and development managers for Liffey Valley Shopping Centre, added: “We are delighted to be partnering with Wingstop on the opening of their first ever eatery in Ireland. New to the Irish market but with nearly 3,000 restaurants worldwide, Wingstop is an exciting operator that will complement our extensive food and beverage offering.” Last month, Wingstop UK reported turnover increased to a record £125,026,523 for the nine months to 29 December 2024 (12 months to March 2024: £84,658,766) “driven by the addition of 15 sites and strong underlying sales”. Pre-tax profit was up to £13,179,897 from £3,555,835, and the group said current trading was “in line with expectations”. Wingstop features in the Premium Club Turnover & Profits Blue Book, which is available exclusively to Premium Club members. The latest edition, which features 1,177 companies, will be sent out tomorrow (Friday, 10 October) at noon. Wingstop’s turnover of £125,026,523 is the 104th highest in the database. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £995 plus VAT – whether they are an operator or a supplier. The single subscription rate is £495 plus VAT for operators and £595 plus VAT for suppliers. Email kai.kirkman@propelinfo.com to upgrade your subscription.

 

Thesleff Group to launch new dining concept at The Langham in London’s Mayfair: Thesleff Group – which operates Central London restaurants including Los Mochis, Sale e Pepe, and Juno Omakase – is to launch a new dining concept inspired by the Italian coast next month at The Langham in Mayfair. The group said Sale e Pepe Mare marks a new chapter in the storied legacy of Sale e Pepe, the Knightsbridge restaurant that has operated in the capital since 1974. The 5,000-square-foot Sale e Pepe Mare restaurant will seat 130 guests and include a private dining room for up to 22. The main dining room will also feature a walk-in wine room. The menu will have a seafood focus, “blending classic favourites with a fresh, modern edge”. Dishes will include Linguine All’Aragosta (lobster linguine with Datterino tomatoes and basil) alongside new creations including Toro Grasso (fatty bluefin tuna on baked brioche with confit tomato and garlic), and a shellfish tower. There will be a central seafood display, while the kitchen will also feature a Josper grill, where whole turbot, clams and steak will be cooked. Sale e Pepe Mare will also see the return of a dessert trolley, including its signature tiramisu. The drinks programme will focus on wine alongside a cocktail menu. There will also be live music and entertainment. Thesleff Group founder and chief executive Markus Thesleff said: “Sale e Pepe has always been more than a restaurant; it’s part of London’s cultural fabric. I grew up visiting with my parents, so it holds a special place in my heart. With Sale e Pepe Mare, we’re honouring that legacy while reimagining it for today, capturing the spirit of la dolce vita in a setting that’s effortlessly elegant and luxurious.” Last month, Thesleff Group revealed it will make its US debut after signing an agreement to take space at the 200,000 square-foot retail and dining development – One Beverly Hills in Los Angeles – to launch Los Mochis Beverly Hills.