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Flashcards in procurement 3/4/5 Deck (58):
1

what is recognition of need?

occurs in several places in foodservice op (production unit, storage area, computerized inventory)
-->inventory stock lvl (min and max)

2

what factors need consider when determine quantity to buy?

expiry dates, amount ppl feeding , canned vs. produce, how often use item (menu structure), amount space in storage, amount leftover and on hand

3

what is required on purchase requisition?

requisition #, delivery date, budget account number, quantity needed, description of item

4

purchase requisition sometimes used in food service org, esp if _____

centralized ingredient area (need this item by this date)

5

purchase requisition gen. from _____, not manually usually

food service software

6

purchase req and purchase order the same?

no--although some of req goes on order

7

how negotiate with potential suppliers?

establish qualifications of suppliers (reliable?), determine fair/reasonable price, set delivery dates, renegotiate as conditions change

8

what is receiving?

activity to ensure products delivered by suppliers are those that were ordered in purchasing (MORE than just acceptance of/signing for delivered stuff)

9

elements of receiving?

competent personnel, facilities and equipment, specs, CCP, sanitation, supervision, scheduled hours, security

10

why shouldn't person purchasing also be person receiving?

cuz transparency

11

receiving doesnt just require physical strength. Also needs:

literacy, numeracy, and have a department involved, one person oversee

12

what does receiving area of commissary food service look like?

closed bulk transport carts, receiving kitchens have closed dock area

13

in commissary, not just receiving ____; could be ____

raw materials; ready prep

14

what is receiving process?

stock arrive, check make sure complete, check quality (accept or reject), completion of receiving records, removal to storage

15

types of inspection against invoice?

invoice receiving, blind receiving, electronic receiving

16

what is invoice receiving?

quantity is recorded

17

what is blind receiving?

don't have complete record (no quantity), do physical count as received and input figures--common

18

what is electronic receiving?

use UPC scanner direct to computer, quick, but expensive

19

disadvantage blind?

could be less than what you ordered, loss of inventory

20

potential consequences of poorly planned receiving program:

short weights, substandard quality, double billing/inflated prices, mislabeled merch, inappropriate substitutions, spoiled/damaged, pilferage/theft, inaccurate inventory, unhappy employees, storing in wrong place

21

what is pilferage?

unrecorded inventory (result in loss--unintentional)

22

topic areas for policies/procedures for manage receiving area?

use scale to record wt, number of employees and assignment, clearly labelled areas, policy record when stuff removed from storage

23

what is storage?

holding of products under proper conditions to ensure quality until time of use

24

storage facilities should be accesssible to both ___ and ___ to reduce transport time and corresponding labour cost

receiving; production

25

why are competent employees essential for storage positions?

check in products from receiving, provide security for products, establish material-handling procedures

26

prevent theft and pilferage bY:

locked doors, authorized access only, situate on same floor as production

27

ideal storage:

categorize products into groups, arrange alphabetically/frequency of use, fast moving stuff placed near entrance

28

dry storage needs:

floor slip resistant, ceiling painted light colour, smooth surface, # doors limited, time of entry recorded, relative humidity 50-60%, temp never >50, good ventilation, adequate light

29

dry storage equipment?

dollies, storage bins, metal shelving

30

recommended temp for fresh fruit/veg is ____, meat is ___, frozen is ____

40-45 F, 32-40 F, 0- -20F

31

foods that ___ odours should be stored away from those that ____ odours

absorb; give off

32

foods that give off odours?

apples, cheese, cabbage, onions, peaches, potatoes

33

foods that absorb odours?

apples, butter, cheese, cornmeal, eggs, flour, milk, rice

34

what is inventory?

record of material assets owned by org, supported by actual presence of products in storage

35

for inventory control to be effective, need:

access to storage restricted, authorized requisitions for removing goods from storage, inventory lvls monitored, maintenance accurate records

36

record keeping needed for

issuing products, conducting inventories

37

what is issuing?

process used to supply food to production units after received

38

what is direct issue?

receiving-->production

39

what is indirect issue?

receiving-->storeroom-->production

40

storeroom issues need a _____

production (ingredient room) requisition

41

process of issuing?

requisition-->inventory control personnel-->ingredient control room employee

42

objectives of inventory records?

provide accurate info of food and supplies in stock, determination purchasing needs, provision of data for food cost control, prevent theft/pilfer

43

2 methods checking inventory?

perpetual and physical

44

what is perpetual inventory>?

purchases and issues continuously recorded for each product in storage, making balance in stock available all times

45

advantages perpetual

useful guide for purchasing, provide useful info on fast-moving, slow-moving, unusable items

46

disadvantages perpetual:

time and strict supervision required for effectiveness, restrict to dry/frozen storage, may result in discrepancies if issues/purchases not recorded, requires physical inventory anyway

47

what is phys inventory

periodic actual counting and recording of products in stock in all storage areas

48

frequency of phys inventory?

month end, 2-3 times year, accounting period

49

how simplify phys inventory?

multiple ppl, taking by storage areas, recording info on printed form

50

perks of phys inventory?

no system malfunctions, inspect for damage, look to see if outdated, organized; calc food costs, check against perpetual records, determine quantities to keep on hand

51

calc cost of food?

beginning inventory + purchases = cost of food available

52

cost of food available - ending inventory =

cost of food used

53

what inventory issues could impact cost of food used?

overpurchase, food waste, improper storage, change in supplier costs, not taking accurate inventories, theft/pilfer

54

what is JIT?

match purchasing with production for immediate use, not necessary to record in inventory; deliver only what needed, low inventory, fresh

55

inventory valuation methods?

actual purchase price, weighted average, FIFO, LIFO

56

what is weighted?

average of variations in unit price

57

what is FIFO?

cost determine what have on hand, reflect current items, common

58

what is LIFO?

assume items purchased meet demands of company, inventory reflect older items, gives you lower valuation