KAUTI KING ABDUL AZIZ UNIVERSITY TOURISM INSTITUTE Food
KAUTI KING ABDUL AZIZ UNIVERSITY TOURISM INSTITUTE Food & Beverage Management -I Cost Control HT 225 CONTROLLING FOOD STORING AND ISSUING Dr Mohamed El-Sayed Abdel-Aziz February 2014 King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 1 of 17
SCOPE CONTROLLING FOOD STORING AND ISSUING O STORING PROCEDURES CONTROL O ISSUING PROCEDURES CONTROL Q (F. & B. REQUISITION) q Record Keeping for Issued Foods q Food & Beverage Transfer O INVENTORIES q Inventory Control Formulas King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 2 of 17
ESTABLISHING STANDARDS FOR STORING o The standard established for storing: q Condition of Facilities and Equipment q Arrangement of Food q Security of Storage areas q Location of Storage Facilities q Dating and pricing of stored food King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 3 of 17
CONDITION OF FACILITIES AND EQUIPMENT o The proper internal conditions include q Temperature (Key factors in storing q Storage Container q Shelving q Cleanliness (Absolute cleanliness) King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 4 of 17
ARRANGEMENT OF FOODS Maintaining appropriate internal arrangement of food include: q the Most-Used item readily available. o (Kept most used item closest to the entrance) q Fixing definite location q Rotation of Stock (FIFO storage practice Vs FIFO inventory control) King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 5 of 17
LOCATION OF STORAGE FACILITIES q Speeding the storing and issuing of food q Maximizing security q Reducing labor requirement King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 6 of 17
SECURITY q Never store in a manner that permit pilferage q Employees should not be permitted to remove item at will q The storeroom is closed and locked at all time King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 7 of 17
DATING AND PRICING • Dating should be done as they are received to ensure the item validity and the maximum duration for storage. • Price should be printed on the item as they are received. King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 8 of 17
ESTABLISHING STANDARD AND STANDARD PROCEDURE FOR ISSUING q The movement of food from the storage facilities to the preparation area q Practices for doing this varies from one establishment to other establishment due to the management policies and procedures and priority. King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 9 of 17
RECORD KEEPING FOR ISSUED FOODS q DIRECT - STORES o Direct are charged to food cost directly o perishable item purchased for immediate use. o Figures in “FOOD DIRECT” column in Receiving Clerk’s Daily Report o will be calculated directly into the particular day food cost. King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 10 of 17
RECORD KEEPING FOR ISSUED FOODS • Stores q categorized under non-perishable such as STAPLE or TAGGED ITEM. q The Requisition q Staple item cost may came from unit cost marked or a book or card q Meat item is usually from the Tag King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 11 of 17
Requisition Form Department: Main Kitchen Date: 9 th Mar 2 XXX Quantity Description Unit Cost Total Cost (Extension) 6 #10 Cans Green Peas $2. 79 $16. 74 50 Lbs. Sugar 0. 39 40 Lbs. Ground Beef 2. 59 103. 60 6 Loin Beef (108 lbs. per 3. 39 tag) 258. 12 TOTAL $397. 96 Charge to: FOOD -------Requested by: -------------- 19. 50 Department --------- King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 12 of 17
FOOD & BEVERAGE TRANSFER The transfer of item intended for a section to another section that requires it. o Intra-unit Transfer § q q o Between Bar and Kitchen Between Kitchen and Kitchen Inter-unit Transfer Between chain organization. (One establishment to another) q King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 13 of 17
INVENTORY CONTROL q q q A physical inventory A perpetual inventory The ABC system King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 14 of 17
THE ABC SYSTEM Category A 70% to 80% of the total inventory value. o Category B 10% to 15% of the inventory value. o Category C only 5% to 10% of the inventory value. o ost C d o fo a e S d n a ts Mea Total Food Sales % t s o C d o fo a e S d n Meats a = King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 15 of 17
INVENTORY FORMULAS q. Cost as per Standardized Recipes Total Sales = Attainable Product Cost % q Actual Product Cost Attainable Product Cost = Operational Efficiency Ratio q Opening inventory + closing inventory | 2 =Average inventory q Cost of food (issued) | Average inventory = inventory turnover King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 16 of 17
Thank You King Abdul Aziz University Tourism Institute Diploma in Hospitality Management HT 225: Food &Beverage Management 1 – Cost Control Slide 17 of 17
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