Save Time, Run Smarter: AI for Hospitality Owners
Running a hospitality business in Aotearoa is a constant balancing act. Between staff rosters, supplier emails, marketing, and customer service, there are never enough hours in the day. That’s why we’re launching a 12-week series on AI Time Savers for Hospo — practical tips and real-world examples of how artificial intelligence can help you reclaim time, reduce admin, and keep your focus on what matters most: your guests.
Each week we’ll spotlight one small, practical way you can use AI in your business — no jargon, no big budgets, just tools and ideas you can start using straight away.
Week 11: AI safety and privacy: protecting your business and your customers
It’s likely you’ve been exploring AI tools to streamline operations, but there are some critical things you need to address: turning off data training in your AI tools, and making sure your team knows what NOT to share with AI. Don’t assume they already know best practice – AI use is still relatively new for many people, and one careless prompt could expose sensitive customer or business information.
The Risk
Under the Privacy Act 2020, you’re responsible for protecting customer data – even if a staff member accidentally shares it with an AI tool. A breach could
- Result in a fine (up to $10,000)
- Serious damage to your reputation and customer trust
Common mistakes that could trigger these consequences:
- Staff member pastes a customer complaint email (including name, phone, and booking history) directly into ChatGPT to draft a response
- Manager shares actual profit margins with supplier names to get AI advice on negotiations
- Team member uploads a photo of the staff roster (with phone numbers visible) to get help reformatting it
The Golden Rule: never share sensitive information
Think of AI chatbots as having a conversation in a busy café – anything you say could potentially be overheard or recorded. Never input:
- Customer information: Names, contact details, credit card numbers, booking histories, dietary requirements linked to individuals, or any personally identifiable information.
- Financial data: Bank details, profit margins, supplier pricing, payroll information, or proprietary financial reports.
- Passwords and access codes: WiFi passwords, POS system logins, alarm codes, or any security credentials.
- Confidential business strategy: Upcoming menu changes before launch, expansion plans, or sensitive negotiations.
What’s safe to share?
AI can still be incredibly useful when you anonymise and generalise:
- “Draft a response to a customer who complained about slow service during a busy Saturday night”
- “Create a training checklist for new waitstaff on wine service”
- “Suggest ways to reduce food waste in a 60-seat restaurant”
- “Help me review my job description for my sous chef”
Quick action checklist: protect your business today
1. Turn off data training in ChatGPT & Claude (2 minutes each)
ChatGPT:
- Log into ChatGPT → Click your name (bottom left) → Settings → Data Controls
- Uncheck “Improve the model for everyone”
- This prevents OpenAI from using your conversations for training
Claude:
- Log into Claude → Click your profile icon → Settings → Privacy
- Toggle off “Help improve Claude”
- This prevents Anthropic from using your conversations for training
2. Know which AI tools are safer for business use
| Tool | Trains on Your Data? | Business Protection Available? | Best For |
| ChatGPT (free) | Yes, by default (unless you opt out) | ChatGPT Team ($30/user/month) opts out automatically | General business use after securing it |
| Claude (free/Pro/Max) | Yes, by default (unless you opt out) | Claude for Work/Team opts out automatically | General business use after securing it |
| Gemini (free) | Yes, Google uses it | Workspace plans have controls | Google ecosystem users |
| Microsoft Copilot | Depends on plan | Microsoft 365 protections | Microsoft users |
3. Have a 10-minute team meeting
- Share the “screenshot test”: Would I be comfortable with this appearing on social media?
- Show examples of how to anonymise: Eg, use “the customer” not “Sarah Johnson”
- Designate an AI safety champion – Have one person on your team who stays updated on best practices and can answer questions.
4. Create three rules and share:
- No customer names, contact details, or payment information
- No financial data or passwords
- No confidential plans before they’re public
- When in doubt, anonymise or ask first
The opportunity
When you and your team know how to use AI responsibly, they’ll use it more confidently and effectively. You’ll get all the efficiency benefits without compromising on privacy or professionalism.
AI is here to help you run a better business, not to create new vulnerabilities. With clear guidelines and a privacy-first mindset, you can embrace these tools while keeping your customers’ trust intact.
Training: Take a deeper dive on this topic – Prompting AI to Work Smarter in Hospitality.
What Is AI (and Why Should You Care)? – week 1
Your AI Writing Assistant: Customer Communications Made Easy – week 2
Menu Engineering Made Simple: Let AI Optimize Your Offerings – week 3
Your AI training coordinator: staff communication made simple – week 4
Your AI recruitment partner: smarter hiring in a tight market – week 5
Smarter supplier and invoice management with AI – week 6
AI help for smarter rostering – week 7
Teaching AI Your Business: the secret to better AI results – week 8
Create your AI prompt library: save your best questions – week 9
Your AI market intelligence tool: Stay ahead from your competitors without the legwork – week 10
Common AI mistakes that could cost you – week 11
Building your AI workflow: from daily tasks to monthly strategy – week 12