procurement 3/4/5

Question 1

what is recognition of need?

Answer 1

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

Question 2

what factors need consider when determine quantity to buy?

Answer 2

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

Question 3

what is required on purchase requisition?

Answer 3

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

Question 4

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

Answer 4

centralized ingredient area (need this item by this date)

Question 5

purchase requisition gen. from _____, not manually usually

Answer 5

food service software

Question 6

purchase req and purchase order the same?

Answer 6

no–although some of req goes on order

Question 7

how negotiate with potential suppliers?

Answer 7

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

Question 8

what is receiving?

Answer 8

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

Question 9

elements of receiving?

Answer 9

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

Question 10

why shouldn’t person purchasing also be person receiving?

Answer 10

cuz transparency

Question 11

receiving doesnt just require physical strength. Also needs:

Answer 11

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

Question 12

what does receiving area of commissary food service look like?

Answer 12

closed bulk transport carts, receiving kitchens have closed dock area

Question 13

in commissary, not just receiving ____; could be ____

Answer 13

raw materials; ready prep

Question 14

what is receiving process?

Answer 14

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

Question 15

types of inspection against invoice?

Answer 15

invoice receiving, blind receiving, electronic receiving

Question 16

what is invoice receiving?

Answer 16

quantity is recorded

Question 17

what is blind receiving?

Answer 17

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

Question 18

what is electronic receiving?

Answer 18

use UPC scanner direct to computer, quick, but expensive

Question 19

disadvantage blind?

Answer 19

could be less than what you ordered, loss of inventory

Question 20

potential consequences of poorly planned receiving program:

Answer 20

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

Question 21

what is pilferage?

Answer 21

unrecorded inventory (result in loss–unintentional)

Question 22

topic areas for policies/procedures for manage receiving area?

Answer 22

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

Question 23

what is storage?

Answer 23

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

Question 24

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

Answer 24

receiving; production

Question 25

why are competent employees essential for storage positions?

Answer 25

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

Question 26

prevent theft and pilferage bY:

Answer 26

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

Question 27

ideal storage:

Answer 27

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

Question 28

dry storage needs:

Answer 28

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

Question 29

dry storage equipment?

Answer 29

dollies, storage bins, metal shelving

Question 30

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

Answer 30

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

Question 31

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

Answer 31

absorb; give off

Question 32

foods that give off odours?

Answer 32

apples, cheese, cabbage, onions, peaches, potatoes

Question 33

foods that absorb odours?

Answer 33

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

Question 34

what is inventory?

Answer 34

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

Question 35

for inventory control to be effective, need:

Answer 35

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

Question 36

record keeping needed for

Answer 36

issuing products, conducting inventories

Question 37

what is issuing?

Answer 37

process used to supply food to production units after received

Question 38

what is direct issue?

Answer 38

receiving-->production

Question 39

what is indirect issue?

Answer 39

receiving-->storeroom-->production

Question 40

storeroom issues need a _____

Answer 40

production (ingredient room) requisition

Question 41

process of issuing?

Answer 41

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

Question 42

objectives of inventory records?

Answer 42

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

Question 43

2 methods checking inventory?

Answer 43

perpetual and physical

Question 44

what is perpetual inventory>?

Answer 44

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

Question 45

advantages perpetual

Answer 45

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

Question 46

disadvantages perpetual:

Answer 46

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

Question 47

what is phys inventory

Answer 47

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

Question 48

frequency of phys inventory?

Answer 48

month end, 2-3 times year, accounting period

Question 49

how simplify phys inventory?

Answer 49

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

Question 50

perks of phys inventory?

Answer 50

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

Question 51

calc cost of food?

Answer 51

beginning inventory + purchases = cost of food available

Question 52

cost of food available - ending inventory =

Answer 52

cost of food used

Question 53

what inventory issues could impact cost of food used?

Answer 53

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

Question 54

what is JIT?

Answer 54

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

Question 55

inventory valuation methods?

Answer 55

actual purchase price, weighted average, FIFO, LIFO

Question 56

what is weighted?

Answer 56

average of variations in unit price

Question 57

what is FIFO?

Answer 57

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

Question 58

what is LIFO?

Answer 58

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