US Markets
Tuesday, October 3rd, 2023 2:11 pm EDT
Key Points
- Chipotle Mexican Grill is conducting tests to determine if automation can be used to prepare customers’ burrito bowls and salads, marking the second time the chain has publicly announced automation testing at its innovation center.
- Many restaurants, including Sweetgreen and Starbucks, are exploring automation to reduce labor costs and enhance order consistency and speed, although the high costs of robotics and AI software mean it may take years for the technology to provide a return on investment. Despite this, some restaurant operators have high hopes for automation’s future, and Chipotle’s current test is in collaboration with Hyphen, a startup working to automate restaurant kitchens.
Chipotle Mexican Grill is currently testing automation to prepare customers’ burrito bowls and salads. This marks the second instance of the chain publicly announcing its experimentation with automation, following its previous introduction of a robot named Chippy, which specializes in making tortilla chips.
Restaurants like Sweetgreen and Starbucks have increasingly adopted automation to reduce labor costs and enhance order consistency and speed. However, the adoption of robotics and artificial intelligence in the restaurant industry can be a costly endeavor, and it may take several years before these technologies demonstrate a significant return on investment.
Despite the challenges, many restaurant operators are optimistic about the future of automation. For instance, Sweetgreen recently opened its first automated location and anticipates that all future restaurants in the chain will be automated within five years.
Chipotle’s current automation test is a collaboration with Hyphen, a startup focused on automating restaurant kitchens. Chipotle had previously invested in Hyphen, which was formerly known as Ono Food and currently boasts a valuation of $104 million. In this experiment, the Hyphen robot is tasked with preparing burrito bowls and salads exclusively for digital orders. It positions bowls beneath the digital make line to dispense the correct ingredients, allowing employees to simultaneously assemble digital orders for other items like tacos, quesadillas, and burritos. Once the robot completes an order, it returns the bowl or salad to the surface for packaging by employees.
For full original article on CNBC, please click here: https://www.cnbc.com/2023/10/03/chipotle-tests-automation-for-burrito-bowls-and-salads-.html
