Viewpoints

From the cost of raw materials to logistics, we talk to several industry leaders to find out what is making the hospitality sector tick Question time...

HoReCa: Have you faced any new challenges in 2022?

Narumi: As the world enters into the post-COVID-19 era, we are seeing a surge in demand for operating equipment, which is also causing confusion in logistics. As a tableware manufacturer, shorter lead time for development and production is critical in order to meet the needs of the rapidly recovering industry. We are also faced with the increased cost of raw materials and fuels and we are drastically reviewing our production process to minimise the impact. Zwiesel: While the Covid pandemic has certainly been responsible for huge global supply chain restrictions and cost increases over the last two years, especially in terms of rising market prices for raw materials and energy, these challenges are now even increasing due to the Ukraine/Russia crisis. Being dependant on a high energy consumption in our glass manufacturing process in Germany, the unprecedented cost increases in the raw materials and energy markets are currently affecting our basic operations and will continue to do so. Utopia: The main challenge has been supply chain shortages and delays, but these are global issues affecting the whole market. We’ve managed to circumvent the problem by setting up agreements with new manufacturers, closer to home, giving us stability in our sources of supply.

HoReCa: Are supply/demand issues still causing concern?

Narumi: There are still a lot of uncertainties with pandemic and global security issues. We are always on alert and ready to respond to any sudden changes. Zwisel: As mentioned before we still face global supply chain challenges in terms of a very positive development of business in the sense of increasing global demand for high quality glassware on the one hand, and capacity constraints on the supplier side, hence increasing prices and delivery delays in terms of important raw material on the other hand. Increasing demand and simultaneously disproportionately increasing prices at the energy and

raw material markets can only be covered by price increases on our side adapted to the market conditions. In terms of the increasing demand for high-quality glassware we still ensure a positive delivery capacity due to utmost flexibility at our German / European production sites especially for core assortments. However, due to the aforementioned uncertainties regarding global supply chains we raise our customers awareness for longer delivery times and potential delivery delays for certain collections and additive services.

sknife: Our knives are manufactured entirely by hand in the sknife knife manufactory in Biel. The wooden grips are assembled manually and seamless glued. The knife and the wooden grips are pre-grinded at the same time and in several additional steps put into the final form from a professional cutler. The challenge we have is now to find well-developed and skilled collaborators performing these complex tasks. Utopia: The issues around supply have been well documented, and further Covid restrictions in the Far East are exacerbating the issue. However, it’s less of a concern now that we have been able to overcome the problem by adapting our stock “We are drastically reviewing planning and diversifying our our production process to supply chain minimise the impact” geographically. With strong

Toshinari Fukui, Narumi Corporation supplier partnerships and effective stock levels we have been able to meet the robust demand we have seen in our markets.

HoReCa: What permanent changes have been made in the sector as a result of the Covid outbreak?

Narumi: As people have become more concerned about health and hygiene, safety and cleanness has become the norm in the food service industry. Lockdown and social distancing has also highlighted

Meet the panellists

Toshinari Fukui

president and CEO, Narumi Corporation

Michael Eichinger

head of marketing, product and communications, Zwiesel Glas

Michael Bach

CEO, sknife

Josh Rammell

marketing manager, Utopia Tableware

the importance of physically being together. The pandemic made us learn to do many things online but dining with your loved ones is something that cannot be replaced by digital efficiency. We will continue to be a leading tableware company that provides the joy and happiness of eating together. Zwiesel: Two years characterised by travel restrictions and the cancellation of big and important live events and fairs forced not only us, but the whole sector, to come up with alternatives and solutions. Based on this, the sector has responded with a wide variety of adaptations and innovations. Many events were moved to the online area, hence completely new digital event formats with new communication and presentation opportunities emerged. In addition, many online concepts like delivery services were launched in order to continue to reach customers and stay in contact with them. We ourselves together with our agency have launched a website where people can find restaurants in their surrounding to help our partners in the hotel and gastronomy sector. We furthermore launched a completely new digital 360° factory tour, that enables (potential) customers to make a deep dive into our production site in Germany in order to give them an even better understanding of our production methods and the people who are behind our high-quality hand and machine-made glasses. sknife: A small company focuses on better collaboration with direct contacts, participating in fewer trade fairs and organising more on-site visits to the manufactory. All this results in a better product and sknife is much more successful thanks to this focus. Utopia: One change has been an even bigger emphasis on hygiene awareness and the need to protect customers. That’s why we developed our Serve and Protect range during Covid restrictions. In terms of serving food and drinks, the range takes existing products and adapts them for the Covid-19 world. It includes tongs, wrapped paper straws, lidded cocktail glasses and lidded serving dishes. All are solutions designed to offer additional safety in a stylish fashion.