The money
Contracts are often cost-plus or fixed-price, with operators earning management fees or margin on sales. Food cost targets are tight and menus engineered for consistency. Labour is a major cost, and staffing levels may be written into contracts. TUPE transfers mean staff can move between contractors when contracts change. Hybrid working has reduced office catering volumes and changed contract structures.
Numbers that matter
- Contract margin
- profit on a site or contract
- Food cost per meal
- ingredient cost per serving
- Participation rate
- share of eligible people using the service
- Retention rate
- contracts renewed
- Labour hours per meal
- staffing efficiency
- Client satisfaction score
- contract performance
What keeps owners up
- Tender price competition
- Hybrid working reducing office footfall
- Food inflation on fixed-price contracts
- TUPE transfers and staff uncertainty
- Sustainability reporting demands
What we talk about
- The chef who chose weekends off
- TUPE explained for the people it happens to
- Feeding offices in a hybrid world
- Contract catering as a hidden giant
- Sustainability targets in big kitchens