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Production 1
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FoodandBeverageOperations
1Tuesday, May 19, 2009
ChapterObjec-ves
Rolesofpurchasing,receiving,storing&issuinginfoodproductionpreparation
Rolesofpurchasing,receiving,storing&issuinginalcoholicbeverageservice
BenefitsofTechnology
2Tuesday, May 19, 2009
Food&BeverageDept.
Storeroom PurchasingDept.
Receiving
Supplier
Accounting
(2)Issues
RequiredProducts
(1)Requisition
Form
(3)Purchase
Requisition
PurchaseOrder/Record
(4)Purchase
Order/Record
(9)Payment
(6)DeliversProducts,Invoice
(5)PurchaseOrder/Record
(7)Store
Products(8)
Invoice
ThePurchaseProcess
3Tuesday, May 19, 2009Typical Purchasing and Receiving storerooms also track costs and conduct inventory
PurchasingInventory‐Theamountoffood,beverages,andothersuppliersonhand
PurchaseRequisition‐Aformspecifiestheproductsthatareneeded,howmanyareneeded,andhowsoonareneeded.
4Tuesday, May 19, 2009
Purchasing(cont.)
Purchasespecification‐Adetaileddescriptionofthequality,size,weight,andothercharacteristicsdesiredforaparticularitem(Exhibit2p.182)
Purchasingdirectlyaffectsthebottomline
5Tuesday, May 19, 2009
GoalsofaPurchasingProgram
BuytherightproductsMake‐or‐buydecisionsConveniencefoods
Obtaintherightqualityminimum/maximumlevelsPrice,storagespace,waste,pilferage,etc.
6Tuesday, May 19, 2009
GoalsofaPurchasingProgram(cont.)
Paytherightprice
Dealwiththerightsupplier
7Tuesday, May 19, 2009
TechniquestoGetLowerPrices
NegotiatewiththesellerConsiderlowerqualityproductsEvaluateneedforproductsDiscontinuesupplierservicesCombineordersuseBulkPurchases
ReevaluateexpensiveitemsPaycash
8Tuesday, May 19, 2009
TechniquestoGetLowerPrices(cont.)SpeculateonpricetrendsChangepurchaseunitsizeBeinnovativeTakeadvantageofsuppliers'promotionaldiscounts
Bypasssuppliers
9Tuesday, May 19, 2009
ChoosingaSupplier
LocationFacilitiesFinancialstabilityTechnicalabilityHonestyandfairness
Dependability
10Tuesday, May 19, 2009
TheReceivingProcess1. Inspectproductsagainstpurchaseorder2.Inspectproductsagainstpurchasespecifications
3.Inspectproductsagainstdeliveryinvoice4.Acceptproducts5.Moveproductstostorage6.Completepaperwork
11Tuesday, May 19, 2009
QualityControlinStorageRotatefoodstocks(FIFO)
Storefoodatpropertemperatures
Cleanstorageareas
Ensureproperventilation
12Tuesday, May 19, 2009Daily routines make training and cost control more convenient
Recordkeeping
PerpetualInventorySystem–allowsmanagerstotrackiteminstorageonanongoingbasis
PhysicalInventorySystem–countswhichisinstorageonaperiodicbasis‐usuallyattheendofeachmonth
13Tuesday, May 19, 2009Physical Inventory is usually more accurate operationally
ReducingInventoryCost
CarryasmalleramountofinventoryMakecertainminimum/maximuminventorylevelsarecorrect
CarryfewerproducttypesRefusetoacceptearlydeliveriesConsolidateallproductsDateandrotate
14Tuesday, May 19, 2009
PurchasingAlcoholicBeverage
Housebrand–abeveragebrandservedwhennospecialbrandisrequestedbytheguest.
Callbrand–aspecificbeveragebrandthatguestsrequestbynamewhentheyplaceanorder
Inventoryturnoverratesaregenerallylowerforbeveragethanforfoods
15Tuesday, May 19, 2009
ReceivingAlcoholicBeverage
OpencasesandcheckbottlesforaccuracyAfterreceiving,immediatelymovebeveragestosecurestorageareas
Whenpossible,assignpurchasingandreceivingtaskstoseparateindividuals
16Tuesday, May 19, 2009
StoringAlcoholicBeverage
BarPar‐thenumberofbottlesthatshouldbeonhandbehindthebar.
17Tuesday, May 19, 2009
Technology• Howwasthedecisionmadeto
purchasethisparticularsystem?• Whatsystemwasusedpreviously?• Howdidstaffrespondtothenew
system?• Whatarethebenefitsofusingthe
currentsystem?• Howmuchdidthetechnologycost
topurchase?Howmuchdoesitcosttomaintain?
18Tuesday, May 19, 2009
Technology
Just‐In‐Time(JIT)InventorySystem‐Keepingonly“emergency”qualitiesofproductsonhandandordering/receivingthemajorityoffoodandbeverages“justintime”toissueandusethem.
Primesupplierisavendorthatsellsproductstoafoodserviceproviderusingajust‐in‐timeinventorysystem
19Tuesday, May 19, 2009