The startup Kernel, based in New York City and founded by Steve Ells of Chipotle Mexican Grill, has integrated robotic technology in its routine functioning; a robotic arm flips plant-based burger patties, while a conveyor belt transports dishes. The final touches on meals are made by human employees, who then package them for customer pickup. In July, the restaurant had to temporarily shut down due to confusion caused by its initial stark industrial design. However, the redesigned area now clearly identifies as a restaurant, with warmer colors, softer lighting, chairs, and images.
Restaurant chains like Chipotle and Sweetgreen are making significant investments in automation by incorporating robots into their kitchen operations. These chains are exploring advanced equipment for tasks like mixing greens, cooking burgers, and preparing avocados, taking cues from the automotive sector's integration of automated technology alongside human workers to boost efficiency. The soft and slippery texture of food poses unique challenges for kitchen automation, requiring a level of precision that many current robots struggle to achieve. Despite these challenges, experts in the industry anticipate a rise in automation within the restaurant sector over the next decade, driven by escalating labor costs.
Regarding automated food preparation technology, Chipotle has tested out robots such as ‘Autocado’ which handles the task of preparing guacamole, and ‘Chippy’ which focuses on making tortilla chips. While the Chippy was found to be overly pricey, Chipotle is determined to introduce the Autocado into its restaurants by the end of this year. Similarly, Sweetgreen, located in Los Angeles, also has plans to use robots, together with human workers, in all its new locations. Their in-house robot functions using a conveyor belt mechanism and is proficient in dispensing ingredients into bowls, after which the final touches are made by employees before arranging the dish for pickup.
Sweetgreen's leadership is optimistic about automation, considering it as the next significant development in the restaurant industry.
The restaurant industry has long delved into automation, especially focusing on service enhancements. Early examples include automats that distributed meals in the early twentieth century and sushi conveyor belts in Japan in the 1980s. Recently, in a bid to enhance efficiency and reduce costs, McDonald's and various other eateries have introduced automated ordering kiosks.
In 2017, Miso Robotics introduced the ‘Flippy’ robot, designed to grill hamburgers and alleviate labor constraints. Although encountering early challenges, Flippy progressed to handle frying duties at eateries like Jack in the Box and White Castle. McDonald's experimented with robot fry cooks but determined that human efficiency surpasses automation for now. Nevertheless, the COVID-19 pandemic has spurred a rise in automation adoption to address workforce shortages, prompting many restaurants to integrate advanced technologies.
In 2021, Sweetgreen made a significant investment of $50 million to acquire Spyce, a restaurant tech startup. The purpose of this acquisition was to enhance Sweetgreen's automation capabilities. As part of its expansion strategy, Sweetgreen has already introduced its salad-making robots called ‘Infinite Kitchen’ in two locations, with plans to deploy more of these robots throughout the year. In a similar vein, Chipotle, through its $100 million venture fund, has been supporting companies like Hyphen. Hyphen specializes in using robotics to assemble food orders and is also planning to introduce automated systems to restaurants in the near future.
As automation advances, unions express concerns about potential job losses. The International Brotherhood of Teamsters asked Chipotle to assess the effects of automation on its workforce; however, shareholders dismissed the inquiry. Nevertheless, the union remains vigilant about the ongoing automation shift in the industry.
Steve Ells' latest venture, Kernel, perfectly embodies his longstanding mission of creating a streamlined and efficient restaurant. Unlike most establishments within the fast-casual industry, Kernel boasts a generous employment package, offering its employees $25 per hour, along with benefits and equity. This compensation package surpasses the industry average by a considerable margin. Despite encountering some initial technological challenges, Kernel has plans to expand its presence in Manhattan by opening a second location later this summer.
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