Arkansas Democrat-Gazette

Eatery uses robots as chefs, waiters

- LISA DU AND AYAKA MAKI BLOOMBERG NEWS

In Haidilao Internatio­nal Holding Ltd.’s hotpot restaurant­s, robots are replacing chefs and waiters.

Asia’s biggest listed restaurant chain by market value is partnering with Japan’s Panasonic Corp. to open what the two companies say is the world’s first eatery with a fully automated kitchen today in Beijing. At the new Haidilao restaurant, robots will take orders, prepare, and deliver raw meat and fresh vegetables to customers to plop into soups prepared at their tables.

The automation will lower labor costs and boost efficiency, underpinni­ng Haidilao’s plan to expand to as many as 5,000 restaurant­s worldwide, the companies said.

“It could be difficult to expand to that size in terms of personnel, so Haidilao is shifting earlier to an operation that doesn’t rely so much on manual labor,” said Jun Yamashita, managing director of Ying Hai Holding Pte., the Singapore-based joint venture Haidilao and Panasonic have set up. “That’s where Panasonic’s technology comes in.”

The joint venture was started with an investment of $20 million, according to the companies. Haidilao has plans to expand the automated restaurant­s gradually in China and later overseas.

Haidilao became Asia’s first eatery chain to surpass $10 billion in market value when it held its initial public offering in Hong Kong last month. The company has more than 360 locations around the world, including in Japan, the U.S. and Taiwan.

The chain’s billionair­e chairman Zhang Yong said that when he first started Haidilao 24 years ago, the restaurant business seemed “centuries” out of date. With technology, he’s set out to run more efficient restaurant­s.

Yong pointed to advice he received from Alibaba Group Holding Ltd. founder Jack Ma in how to think about the business: “Haidilao is not just a restaurant. We’re also a company that also does manufactur­ing and logistics,” Zhang said at a briefing in Tokyo last week. “Before the food is brought to the table, it’s all a manufactur­ing process. After that, the service aspect takes over.”

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