The business in this sector is quite complex and difficult to manage in an environment where competition is high and there is always a shortage of professional specialists in the sector. The current trend of price increases requires that the quality of service be adjusted in parallel with the change in the price of a unit of service provided and makes it urgent to make the right accents in the business.
Recent developments have shown that it is only necessary and reasonable to respond to the company’s weaknesses in a timely manner and to make adequate efforts to prevent potential problems or risks. Special attention is required in terms of ensuring proper accounting and operational efficiency, such difficulties as: correct accounting; cash control; procurement control and cost optimization; accuracy and updating of calculations; analysis of write-offs of damaged products and their minimization; employee meal accounting; correct pricing; timely implementation of production operations; comparison of cost calculations and actual costs; reporting; effective operational process; regular (monthly) production of financial statements, etc.
The given issues are the minimum list that, regardless of the scale of business operations, it is recommended to focus management’s attention on in a timely manner and not to accumulate problems in order to deal with them all at once. The wrong approach ultimately harms the interests of the business more than it reduces costs or ensures the maintenance of competitive advantage. Timely decisions and modern approaches contribute to business development. Correct accounting guarantees decision-making based on the correct information and eliminates such facts when the real cost is unclear and the actual profit margins are unknown.
The cases discussed are real and possible to avoid if the accuracy of accounting is appropriately increased by involving specialists with appropriate qualifications. The development of the HoReCa sector is an integral part of the country’s economic development and creates a demand for human capital with appropriate qualifications in the labor market. There is always a lag between meeting demand and the corresponding knowledge and experience of the staff, which creates a natural deficit in the supply of highly qualified human resources in the market. It is recommended that the necessary financial resources be allocated by the business to the development of employees in order to overcome this weakness and give the business sector the opportunity for better and faster development. At the same time, revenue growth is highly correlated with the quality of service, accuracy of accounting and the smoothness of the operational process, which is a fair and logical expectation of the growth of the company’s profitability.
Author: Teimuraz Abelashvili
