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1、 2024 Cognizant 2024 Cognizant How Edge Computing,Artificial Intelligence,and Generative AI are changing the future of restaurant technology 2|2024 Cognizant Abstract Frequent challenges faced by the restaurant industry can be categorized under three broad level segments,including low customer reten

2、tion,inefficient operations and inventory management and high labor cost.Low customer retention:The restaurant industry is highly competitive and fragmented,with customers having a wide range of choices and preferences.The percentage of customers who are loyal to a specific restaurant brand is decli

3、ning,whereas those who switch brands more than once a month is on the rise.To retain and attract customers,restaurants need to offer personalized and engaging experiences,such as customized menus,recommendations,rewards,and feedback.Inefficient operations and inventory management:The restaurant indu

4、stry faces various operational challenges,such as optimizing food quality and safety,reducing food waste and spoilage,managing supply chain and inventory,and complying with health and safety regulations.According to a report,the average food wastage in restaurants is 11%of food purchases,which amoun

5、ts to significant losses annually.To improve operational efficiency and profitability,restaurants need to leverage real-time data and analytics,automate processes,and optimize resources.High labor cost and turnover rates:The restaurant industry is one of the most labor-intensive sectors.According to

6、 a survey,98%of operators say higher labor costs are an issue for their restaurant.Moreover,the industry suffers from a high turnover rate which impacts the quality and consistency of service and increases training and hiring costs.This paper discusses how Edge Computing,AI,and Generative AI can hel