Mr Suhaimi Salleh, CEO, SSA Group,
Mdm Fadillah Majid, Vice President, Singapore Malay Chamber of Commerce & Industry,
Dr Abdul Malik Hassan, Vice President, Singapore Malay Chamber of Commerce & Industry,
Distinguished guests, ladies, and gentlemen,
1. Good afternoon. I am delighted to join you at this year's Halal F&B Business Forum.
2. In 2022, the food services industry contributed S$4.5 billion to the Singapore economy and employed about 235,000 workers. Malay/Muslim-owned F&B businesses and workers are very important contributors to the industry, and serve customers that spent an estimated S$700 million on halal dining and delivery in 2019. This is according to a report jointly produced by Mastercard and halal travel website CrescentRating in 2021. I can see why you are here today, looking to expand your ventures into this growing market.
3. Today's theme, "How Digital Technology Can Drive Business Efficiency in the F&B Industry", is indeed very timely. The industry has recently emerged from several challenging years during the pandemic. The businesses which remained resilient throughout this difficult period were able to do so because they were nimble and adapted quickly with the help of digital solutions, such as pivoting to e-commerce platforms and adopting digital payments.
4. Even as the sector bounces back, there is a need for businesses to remain adaptable, stay competitive and future-proof themselves against further technological advances. Three key trends that will affect the sector are: shifting consumer preferences, increased adoption of technology, and greater competition for workers. Given this, it is estimated that over the next three years, 40% of jobs in the food services sector will require moderate to extensive levels of job redesign, to increase the scope and responsibilities of roles. Some of the roles that will need to undergo transformation are service crew, kitchen assistants, executive chefs, operations directors, and multi-outlet managers.
5. Working closely with the F&B industry and other partners, the Government has recently launched five major initiatives to support the industry.
6. First, the refreshed Food Services Industry Transformation Map (ITM) 2025 which was launched last year, aims to foster an innovative, resilient food services sector and to groom more homegrown brands that can go regional. For example, companies can apply for the Productivity Solutions Grant to adopt bite-sized and cost-effective digital and automation solutions. The refreshed ITM builds on the work of the first Food Services ITM launched in 2016, which helped to upskill and reskill more than 2,600 individuals through various initiatives by SkillsFuture Singapore (SSG) and Workforce Singapore (WSG).
7. Secondly, in line with the ITM, the Food Services Industry Digital Plan (IDP) was also refreshed in November 2022 to address the evolving needs of the F&B businesses and deepen their digital capabilities. The IDP provides companies with a refreshed suite of solutions, corresponding training programmes, as well as appropriate tools that they can adopt at different stages of their digital growth to safeguard their systems and operations from cyberattacks.
8. Third, the Jobs Transformation Map (JTM) for the Food Services sector was launched in May this year. Jointly developed by Enterprise Singapore with Ernst & Young, and supported by WSG, SSG and the Ministry of Manpower, the JTM lays out:
- the key trends driving change in the food services sector;
- the impact of these trends on the sector and individual jobs;
- the pathways for employers to transform jobs; and
- the skills required by workers as jobs evolve, to future-proof the food services industry.
9. Fourth, SSG just re-launched its SkillsFuture for Digital Workplace 2.0 this week, as part of the ongoing SkillsFuture Festival. It focuses on equipping workers and businesses with up-to-date digital skills. SSG has also worked with appointed partners to customise training programmes for six sectors, including Food Services, to upskill workers who may have little to no digital skills.
10. Last but not least, to ensure that jobs in the food services industry are sustainable and provide career progression for our workers, the Progressive Wage Model has been expanded to the industry, and took effect from 1 March this year. This is important as we must make sure that there are available routes for career progression if we would like to sustain the industry. It features:
- specific training requirements to ensure that food services workers are equipped with the right skills; and
- progressive wages set at each level to ensure that food service workers are paid wages commensurate with their skills and productivity.
11. Our institutes of higher learning, such as ITE and the polytechnics, support the sector's manpower and training needs by offering specialised programmes in relevant fields, such as culinary arts, catering management, and food and nutrition. This includes work-study programmes such as the SkillsFuture Work-Study Programme leading to a Diploma in Applied Science (Food Technology) that is fully sponsored and offers participants full-time employment with on-the-job training. Adult learners who wish to deepen their skills or pivot to a new industry can also enrol in a number of food-related courses in our institutes of higher learning.
12. Malay-Muslim F&B companies will need to optimise your manpower model to stay agile and competitive and to ensure that your employees are equipped with the skills to take advantage of new technologies.
13. Take for example Han's Café and Bakery Pte Ltd, which owns the halal certified Hanis Café and Bakery brand. Understanding how digital marketing plays a very important role in the F&B industry, Han's sent their employees for digital marketing masterclasses organised by Grab. Grab is one of the SkillsFuture Queen Bees, industry leaders who mobilise companies, especially SMEs, within their networks to engage in training activities. Han's also began working with Grab and the National Centre of Excellence for Workplace Learning (NACE) to organise masterclasses on workplace mentoring and coaching. This will help to develop the careers of Han's operations and restaurant managers and improve overall productivity.
14. For Malay-Muslim workers in the F&B sector, it is more critical than ever to adapt to the speed of change, and keep on improving your skills and knowledge. So I encourage our Malay-Muslim workers to take charge of their own career and skills development to stay relevant and employable. Employers will also need to play their part, by guiding their workers in identifying their skills needs and supporting them for training. I am pleased to note that this year's Halal F&B Business Forum also features interactive workshops that aim to equip attendees with skills like digital marketing.
15. To conclude, I would like to thank the Singapore Malay Chamber of Commerce and Industry, industry players and training providers such as the SSA Group in the sector's enterprise and workforce transformation journey. We will continue to work together with the industry to support its workers and co-create solutions for the future.
16. I am sure today's discussions will spark productive conversations on ways we can further develop our skills. The food industry is an important one in Singapore, so I am confident that it will continue to thrive and adapt. On this note, I wish everyone a very rewarding and meaningful time at the Forum.
17. Thank you.