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Merits and demerits of inventory control
Advantages and disadvantages of inventory control
Advantages and disadvantages of inventory control
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Inventory Management
Inventory management is the first line of defense for a restaurant in keeping their customers safe and free of food borne illnesses. Also this is a cost effective measure to ensure that you are receiving exactly what the distributor promised you when you placed your order. There are numerous ways to implement safe receiving and storage procedures; as well as, understanding what you are getting. We will take a look at how inventory management is a vital asset to your restaurant and why it should not be taken lightly or overlooked.
When placing your order through your distributor you will have selected a required delivery date (RDD). This is the date that you tell the distributor that you want to receive your products. As we wait for our delivery we want to ensure that we have the right equipment in place to not only receive the shipment but to also inspect the shipment. Some of these items may consist of a pallet-dolly, gloves, thermometer, temperature log, order invoice, weight scale and most importantly someone who is trained in the proper receiving process. “Assure that persons responsible for receiving are properly trained. They must know and use the proper procedures and be able to identify the quality standards which have been incorporated into purchase specifications.” (Ninemeier 327)
As the delivery vehicle is backing up to our loading and unloading dock we ensure that we have all our required equipment and paperwork. Our knowledgeable employee who is receiving the order is checking for correct item, specified quantity, quality and food safety criteria. We start by comparing the order invoice from our restaurant to the delivery invoice from the supplier. Both invoices are identical now we make sure...
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...d frozen storage is less than zero degrees Fahrenheit. Ensure you prospective products remain in the proper temperatures to ensure no spoilage occurs. (Ninemeier 329) Also it would be smart to use a system that tracks what your cooks are taking out of the storage area so you can know what you need to order.
Inventory management is the first line of defense for a restaurant in keeping their customers safe and free of food borne illnesses. Also this is a cost effective measure to ensure that you are receiving exactly what the distributor promised you when you placed your order. Taking into consideration the full operation of your restaurant nothing else matters unless you have a grasp on inventory management.
Works Cited
Ninemeier, Jack D., David Hayes. Restaurant Operations Management: Principles and Practices. Pearson Learning Solutions, 4/2005. VitalBook file.
They look at the raw materials that is used for the bake shop and meat department and make sure that there is enough stock in the warehouse to last until there next bulk order comes in. Then that bulk order is broken down into smaller but still bulk orders for the different stores to use. Some products are delivered straight from the suppliers warehouse to the store. They also make sure that the product isn’t damaged when received or sold to consumers.
3) Inventory: the restaurant business is very demanding especially when the products used can be easily spoiled. Must of the inventory has to be order in time and has to be maintained at a certain temperature to minimize liability. 4/5) Maintenance/reliability: this is a key factor, the consistency of the food and the services must work hand to hand to preserve the reputation.
Check both quality and quantity of incoming products with the approved purchase order and the standard purchase specification form.
Local Inventory. Another approach is to have all inventory available at the store at all times. This allows for the centralization of cooking capacity. The main risk is obsolete inventory and the need for extra space.
Inventory management is a method through which a business handles tangible resources and materials to ensure availability of resources for use. It is a collection of interdisciplinary processes including a full circle of the demand forecasting, supply chain management, inventory control and reverse logistics. Inventory management is the optimization of inventories of manufactured goods, work in progress, and raw materials. According to Doucette (2001) inventory management can be challenging at times; however, the need for effective inventory management is largely seen more as a necessity than a mere trend when customer satisfaction and service have become a prime reason for a business to stand apart from its competition. For example, Wal-Mart’s inventory management is one of the biggest contributors to the success of the company; effective and efficient inventory management is of critical importance.
The restaurant industry is highly competitive and risky. For a restaurant to survive there must be solid understanding of the market needs and management of employees. Restaurants make money by taking inexpensive ingredients and cooking them in a different style and sell them at a higher price. For a restaurant to be successful we need to look at the risks and financial conditions associated to it and its ability to work under pressure with good organizational skills.
Regular management review of problems and customer complaints besides the records and corrective action is undertaken by ISO 9000 quality systems. In fact, the majority of larger food companies have a consumer service section and technical one in turn to handle consumer safety and quality issue as well as communication with the competent authoritie...
For the Holland survey, the highest theme that I received was “Enterprising.” According to Careerassessment.com, people with this personality theme “like to lead and persuade people, and to sell things and ideas. They generally avoid activities that require careful observation and scientific, analytical thinking.” Enterprising type people are typically good at leading other people, and also selling things or ideas. They tend to value success in politics and business and are seen as energetic and ambitious.
This includes: timeliness of delivery service, accuracy of documents, and the condition of the products or packages. They are also critical with the accuracy of the documents, services, and condition of the package which are being processed.
Inventory management can enhance the efficiency in operation of the supermarket. Supermarket must ensure that the correct levels of inventory are being maintained throughout the store, and that merchandise is purchased at the best price point as possible. Holding too much inventory on hand generate costs like carrying costs. Whereas having too little inventory on hand makes customers dissatisfied and it leads to declining
Customer order and decoupling point are what sets the inventory position in the production and tell them how they operate.
Inventory management is defined because a science mostly established art of guaranteeing that just enough inventory share is command with a company to fulfill demand (Coleman, 2000; Jay & Barry, 2006). it's mostly regarding specifying the size and keeping of stacked product. Inventory management is usually needed at completely distinct spots within a service or within multiple spots of a supply network to guard the standard and planned course of production up against the random disruption of running low upon materials or product. The scope of inventory administration also concerns the good lines between replenishment period interval, carrying costs of inventory, asset management, investment forecasting, inventory valuation, selection visibility,
As it has been stated before in the paper, good inventory and storage control interacts with different aspects of procurement cycle, to achieve best storage procedures. It is Important to understand customer needs in foodservice industry, to create menu items, which people are willing and able to buy, this will unable chefs to create standardized recipes, to make purchase specification and stock request. It is also important to control the sales, to ensure all of the items on the menu are selling and making profit for the business (Baldwin, Wilberforce, & Kapur, 2011). This will ensure there are no overstocked items and no spoilage in the storerooms. Controlling sales will also help with calculating pax stock amount needs. Once the stock request from the kitchen is done, stores manager job is to contact suppliers and purchase needed ingredients. Receiving is one of the closest related aspects to storage in the procurement cycle. Once the order arrives to the warehouse, receiver needs to carefully check the order and place it in proper storage quickly after receiving, to ensure the safety and freshness of the produce. A good store manager needs to ensure the entire inventory is properly positioned, labeled and has safe storage conditions, as well as rotating First In First Out to avoid spoilage(Biles
The supplier is then immediately provided with a payment slip confirming the transfer of money to their account for the produce. At the end of the day, the team loads the vegetables bought from different farmers in the region into a refrigerated truck that travel to the distribution centers (DC). Here, they are sorted and graded and all the data in inputted into a SAP system so as to make the tracking process simpler. Then the demand is estimated for the consecutive day and the order is generated for the next day’s requirement. Next, based on what goods are available and their quantity, they are delivered to stores in the nearby cities to stock the shelves before the stores open in the morning.
Dixon Sanitary uses numerous controlled mechanisms throughout its operating business days. One control mechanism used at Dixon Sanitary is called “a bay a day.” This is a pro-active rather than reactive procedure for ensuring quality and accuracy in filling customer orders. At the start of each day the warehouse supervisor picks a bay in the warehouse racking system to count. This is normally done in succession rather than just selecting a bay at random. Every parts located in the bay comes up on a form that is printed out with the parts location and quality that each should meet. A warehouse worker would count the entire bay for the number of parts at the site and compare the actual count to what the system says it has on hand. If the counts do not match, a second person would re-count all the parts at the bay that discrepancies occurred. The workers would then check for any missing parts that may have been placed at the wrong location. If parts are still missing, the division manager may sign off for an inventory adjustment to be d...