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According to a study carried out by America’s Bureau of Labor Statistics in January this year, the restaurant labor force in that country is still over 450,000 jobs below pre-pandemic levels — marking the largest employment deficit among all U.S. industries. Although figures are not currently available for Canada, the situation is the same.

In November 2022, the USA National Restaurant Association found that 63% of full-service restaurants and 61% of limited-service places are operating with fewer employees than needed to accommodate guests.

At the beginning of February this year, The Washington Post reported that although many industries have recovered since the start of the pandemic, in the USA (similar trends in Canada) 2 million hospitality and leisure jobs still remain open.

“Hospitality is still stuck in the dark ages. High-friction ordering, slow and clunky payments, and labor challenges lead to low profitability and a poor customer experience,” notes Brian Duncan, President of me&u USA, a global leader in at-table ordering specializing in restaurants and bars.

The labor shortage has led chefs and restaurateurs to reduce their workweeks, while some restaurant owners have had to increase the wages of their staff by as much as 20% in addition to closing earlier on weeknights. Others have even had to change their business practices to attract new employees.

Technology can bridge the customer service gap when there are fewer employees available. Customers prefer to use self-service kiosks or access the menu by scanning QR codes because they can take additional time to read the menu, find new things to try, and customize their orders exactly to their preferences.

Such technology means shorter waits at the counter, faster table turnover, and more accurate orders because the information is transmitted directly from the customer to the kitchen. Also, Pay-at-the-Table Technology cuts out the back-and-forth trips from the POS terminal to the table to process payments shaving several minutes off each table turn.

“Manual orders are typically expensive, slow, and inefficient. Smart technology reduces labor costs, takes the load off servers, increases spending per order, and elevates the customer experience,” concludes Duncan.

What factors are impacting the restaurant and hospitality industries in the U.S and Canada.?
How can technological innovations help restaurants operate with limited staff and still increase revenue?
How can self-service ordering and streamlined payment tools enhance customer experience?

References:

Guinn, Justin. How to Survive the Restaurant Industry Labor Shortage. January 2023. Toast. https://pos.toasttab.com/blog/on-the-line/how-to-handle-the-restaurant-industry-labor-shortage
Restaurants added jobs in 24 consecutive months. January 6, 2023. National Restaurant Association. https://restaurant.org/research-and-media/research/economists-notebook/analysis-commentary/restaurants-added-jobs-in-24-consecutive-months/
Latham, Tory. Restaurants Are Still Struggling to Hire as 2 Million Jobs Remain Unfilled. February 3, 2023. Robb Report. https://robbreport.com/food-drink/dining/hospitality-leisure-jobs-pandemic-1234803857/
Latham, Tory. Despite 41,000 New Jobs, Restaurant Employment Still Lags Behind Pre-Pandemic Levels. July 8, 2022. Robb Report. https://robbreport.com/food-drink/dining/restaurant-industry-job-numbers-1234697181/
Hospitality Labor Shortage 2022. May 17, 2022. NCC. https://www.nccusa.com/hospitality-labor-shortage-2022/

The importance of communication cannot be overemphasized since it is the cornerstone of civilization. From the very origin of the human race, communication was the means of conveying feelings, emotions and desires. It is this necessity to communicate that led to the invention of languages that are ever evolving even to this day.

Importance of communication skills

David Hume, the 19^th Century philosopher, was not wrong in stating that the art of communication is the language of leadership. This is why great orators proved effective leaders. Paul J Meyer, the founder of Success Motivation School, was also of the view that communication – the human connection – is the key to personal and career success.

Business schools are seized of the fact that effective communication skills are a must-have for success in the business world. According to QS TopMBA.com Jobs & Salary Trends Report of 2018, there is an increasing demand for MBAs trained in communication skills for effective interpersonal relationships and leadership.

This has prompted business schools to give priority to improving the communication skills of its students, particularly those undergoing MBA programs.

Need for teaching communication skills in B-schools

#1 In delegating

B-school grads require leadership skills in their future positions. And to be effective leaders, they need to hone their communication skills to explain what their expectations are from the team. The more clearly these responsibilities are defined, less will be the chances of miscommunication and mistakes. By effectively communicating, leaders can explain the role of each team member to get things accomplished faster.

#2 In inspiring and motivating

Good communication skills help leaders interact more personally with their team members. This personal touch acts as a morale booster and a great motivator, thereby lifting the spirits of team members. The result is increased productivity and cohesiveness as a team. This is in contrast to ordering people around, which may get the work done, but may cause resentment too and undermine the motivation of the team. Inspiring words from leaders are much more effective than words of command. The B-school students should be taught how to ask about employees’ feelings and what appropriate responses should they provide.

#3 In improving listening skills

Communication is not only conveying, but also receiving. It is a two-way process. So, leaders should learn to be good listeners too. This will not only encourage the team members to open up to their leaders, but also encourage them to convey their ideas and opinions. This two-way interaction creates a kind of bonhomie between the leader and the led.

#4 In making sales

What is commonly known as ‘shop talk’ is persuasive communication that helps the marketing personnel convince their customers into buying marketed products. Such communication skills require clarity in explaining the product or service to the customers that the marketer is selling. This is what converts it into sales, builds relationship with customers and widens the network.

#5 In handling crises

Businesses often suffer from crisis of one kind or the other. In most cases, timely action helps in overcoming such crises. However, timely action happens with good communication skills, which helps explain the crisis to all concerned in the quickest possible way. Communication skills also help in conveying the news of the crisis to the public and the media in the most favorable way, as also in steering clear of any controversies that may crop up due to such crises.

#6 In spreading charisma

Great speakers and orators are a charismatic lot and become the cynosure of the public. This is due to their art of communication that charms and motivates people to act at their behest. For business leaders, such charisma works like a charm for networking with key people and potential customers, as also to push their employees and team to do better in a constructive manner.

Conclusion

Effective communication is one of the most vital tools in business today. It not only enhances teamwork but also facilitates high performance and improves workplace culture. This is the reason why such skills have become indispensable for success in business and have made B-schools sit up and take notice. For the Silo, Merin Mathew.

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