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Lecture Principles of food, beverage, and labor cost controls (Ninth edition): Chapter 4 - Paul R. Dittmer, J. Desmond Keefe

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Chapter 4 - Food purchasing and receiving control. This chapter deals with measures that can be taken to prevent unnecessary cost from developing in purchasing and receiving. Succeeding chapters discuss measures to prevent excessive cost in storing, issuing, production, and sales. | Principles of Food, Beverage, and Labor Cost Controls, Ninth Edition Who does the purchasing? Owners Managers Chef Steward One person responsible so they can be held accountable Perishables; those items that are typically fresh foods, and have a relatively short shelf life Non-perishables; those food items that have a relatively longer shelf life Groceries Staples Storeroom items Quality of food purchased Quantity of food purchased Prices at which food is purchased They force owners or managers to determine exact requirements in advance They are often useful in menu preparation They eliminate misunderstandings between stewards and purveyors Allows for true competitive bidding Eliminates need for detailed verbal descriptions They facilitate checking food as it is received Steward’s market quotation list - a form often used as a tool by food purchasers for; Taking daily inventory of perishables Determining suitable order quantities Recording market quotations Selecting vendors Par stock | Principles of Food, Beverage, and Labor Cost Controls, Ninth Edition Who does the purchasing? Owners Managers Chef Steward One person responsible so they can be held accountable Perishables; those items that are typically fresh foods, and have a relatively short shelf life Non-perishables; those food items that have a relatively longer shelf life Groceries Staples Storeroom items Quality of food purchased Quantity of food purchased Prices at which food is purchased They force owners or managers to determine exact requirements in advance They are often useful in menu preparation They eliminate misunderstandings between stewards and purveyors Allows for true competitive bidding Eliminates need for detailed verbal descriptions They facilitate checking food as it is received Steward’s market quotation list - a form often used as a tool by food purchasers for; Taking daily inventory of perishables Determining suitable order quantities Recording market quotations Selecting vendors Par stock – maximum quantity that should be on hand at any given time Periodic order method: Amount required for the upcoming period - Amount presently on hand + Amount wanted on hand at the end of the period to last until the next delivery = Amount to order Perpetual inventory method: Par stock Reorder point = Subtotal + Normal usage until delivery = Reorder quantity Storage space Limits on total value of inventory prescribed by management Desired frequency of ordering Usage Purveyors’ minimum order requirements Wholesalers Local Producers Manufacturers Packers Local farmers Retailers Cooperative associations Advantages: Foods and beverages can be purchased at lower prices because of volume Desired quality can be obtained more readily because the steward has a greater choice of markets Foods can be obtained that meet specs Larger inventories can be maintained, ensuring reliable supply to individual units Possibility of dishonest purchasing in individual units are greatly reduced Disadvantages:

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