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KITCHEN MANAGEMENT BLOCK A - PC-1

KITCHEN MANAGEMENT BLOCK A - PC-1. Incoming Inventory Inventory Control. Inventory control is important in controlling food costs. Standards & procedures for Receiving & Storing Inventory must be developed for efficiency. The cost of food is one of the two highest costs

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KITCHEN MANAGEMENT BLOCK A - PC-1

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  1. KITCHEN MANAGEMENTBLOCK A - PC-1 Gilbert Noussitou 2010

  2. Incoming Inventory Inventory Control Inventory control is important in controlling food costs Standards & procedures for Receiving & Storing Inventory must be developed for efficiency • The cost of food is one of the two highest costs • Often in the thousands of dollars Gilbert Noussitou 2010

  3. Incoming Inventory Inventory Control • Inventory “notebook” (manual system) • time consuming • loads of paperwork • hard to keep up-to-date therefore often not accurate • Daily inventory reports: • Separated in two broad categories: • stores (storage) • directs (used the same day) • further separated into a number of categories: example: meat, seafood, produce dairy, etc • purchases are then compared with sales of items in same category: meat, seafood, produce, etc. Gilbert Noussitou 2010

  4. Outgoing Inventory Inventory Control Food is money, you must know where it goes!! • Requisitions: • keep track of transfers form storage to production • If used, they must be precise and consistent • Like computers, only as good as the information you enter • Pricing requisitions: • A good tool to track cost of food used • Must be precise Gilbert Noussitou 2010

  5. Inventory Record Keeping Inventory Control • Perpetual inventory: • Like a bank account: food in = food out • Expensive to maintain (labour intense) • Sometimes used only for expensive items: (the 80/20 rule) • Physical Inventory: • Taken periodically • Sometimes used to verify perpetual inventory • Opening inventory vs. closing inventory Gilbert Noussitou 2010

  6. Food Usage Food Cost = 20% 80% Control those 20%!!! The 80/20 Rule 80% of consequences stem from 20% of the causes Gilbert Noussitou 2010

  7. Inventory Record KeepingInventory Control • Computerized Inventory Control • Can be time consuming • If set up properly and used properly, these systems can supply very good and detailed info (best price paid, price comparison between suppliers, advance demand forecast, constant inventory, waste (or pilferage) control, etc. Gilbert Noussitou 2010

  8. Pricing InventoryInventory Control • The last price paid: • simple, most common • The F.I.F.O. method: • very accurate if stock is rotated properly. Each item is costed at the real price paid. • The average price method: • labor intense • rarely used Gilbert Noussitou 2010

  9. Inventory TurnoverInventory Control • Inventory is money; money must be working! • No hard rules: usually two or three times/month • Calculate average inventory: Opening inventory + closing inventory = Average inventory 2 • Calculate cost of food: Opening inventory + Purchases – Closing inventory = Cost • Calculate turnover rate: Cost of food Average inventory = Turnover Rate Gilbert Noussitou 2010

  10. Basic Restaurant Costs Gilbert Noussitou 2010

  11. Basic Restaurant Costs • Fixed Costs: not related to sales • Non-controllable • Variable costs: directly related to sales • Controllable • Most staff costs & food costs • Semi variable: not an official category • Management, salaried employees, contracts etc. Gilbert Noussitou 2010

  12. Breakeven Point Food costs + labour costs + overhead = SALES No profits = survival but working for nothing Profit = Sales – (F.C. + L.C. + Overhead) Gilbert Noussitou 2010

  13. cost portion Cost% = x 100 x 100 sales whole Cost Percentage (food, labour or others) • Should be fairly constant • Understand the difference between the: • Standard food cost • Actual food cost or Gilbert Noussitou 2010

  14. 80,000 Breakeven point profit 60,000 40,000 loss 20,000 sales 20,000 40,000 60,000 80,000 100,000 Breakeven Analysis sales variable cost total cost fixed cost costs Gilbert Noussitou 2010

  15. $24,000 $60,000 $100,000 1- Breakeven PointExample Fixed costs $ 24,000 Variable cost $ 60,000 Sales $100,000 Breakeven point = Gilbert Noussitou 2010

  16. Interpreting Cost Percentages • Allow for comparison with: • Other operations • Different periods • Budget guidelines • Rule of Thumb: F.C% + L.C. = max 80% Gilbert Noussitou 2010

  17. 100 (whole) = cost factor (f) or % (ptn) cost 100 = S.P. Cost x = S.P. cost % % sale price Food cost = cost factor Using Cost Percentages Calculate the menu price (sale price) Calculate the cost of food from sale price Food cost = sale price x food cost % Gilbert Noussitou 2010

  18. Sales Ratios & Other Statistics • Dollar sales • Number of customers during a given period • Seat turnover (busy or slow) • Number of items sold • Identify items that are not moving • Dollar sale per cover (average check) • Dollar sale per seat • Dollar sale per wait staff (effectiveness) • Number of customers per wait staff (or staff period) • Dollar sale per cook (effectiveness of menu) (scheduling etc) Gilbert Noussitou 2010

  19. # of items sold X 100 = menu mix % or sale mix % total items sold Sales Ratios & Other Statisticsfor Menu Analysis • In menu analysis the most common statistic is the number of times each item is sold within a given period: • Similar to that is the menu mix or sales mix • It is expressed in % and referred to as item popularity • Item popularity is the number of sales of each item compare to the total of items sold Very important information to measure profitability of each item!! (Most statistics are obtained from P.O.S.) Gilbert Noussitou 2010

  20. Yield & Cost Calculations There are five main standards related to cost control • Standard Product Specifications • Standard Recipes • Standard Yields: • Ratio of useable product to total weight before processing • Standard Portions • Count – ladle – scoop – bowl – weigh – etc. • Standard Portion Cost • Resulting from standard recipes and standard portions!!!! Gilbert Noussitou 2010

  21. Yield & Cost Calculations Effective Standards: • are an accurate reflection of desired results based on market expectations • encouraging excellence • are reasonable & challenging • are specific & measurable • allow slight flexibility to encourage creativity & challenge • include feed back (in control system) Gilbert Noussitou 2010

  22. Control Point Flow Chart Control the processes, not the end result!!! Gilbert Noussitou 2010

  23. Edible Portion (EP) x 100 Yield % = As Purchased (AP) 100 (whole) (AP) Yield Factor = % (ptn) (EP) AP Portion Size Edible PortionSize = Yield % Yield & Cost Calculations Yield percentage or yield factor is the ratio of useable product (EP) to the total weight (AP) before processing or Edible PortionSize =AP Portion Size x Factor Gilbert Noussitou 2010

  24. AP(Raw) Portion Cost Edible PortionCost = 100 (whole) (AP) Cost % Cost Factor = % (ptn) (EP) 100 Edible PortionCost =AP(Raw) Portion Cost x % Yield & Cost Calculations or Edible Portion Cost = AP(Raw) Portion Cost x Cost Factor Edible UnitCost =AP(Raw) Unit Cost x Cost Factor Gilbert Noussitou 2010

  25. Yield Test Everything you buy must be sold sold!! • Peeling, trimming, boning etc. must be consistent • High temperatures during cooking significantly increase shrinkage Edible Portion can be raw or cooked Gilbert Noussitou 2010

  26. Beef Tenderloin Item: Pieces: Grade: AAA Date: ___________ One Total Cost $21.14 $52.85 Weigh Unit Cost: : 2.5 kg : Cost weight yield value total EP Portion breakdown factor % % / kg value cost/kg Sizecost kg ptn Fat/gristle 850g 34% $0.80 $0.68 Waste 100g 4% 0 Trimmings 250g 10% $9.75 $2.44 Ediblemeat 1300g 52% ----- $49.73 $38.25 150g $5.74 1.81 0.27 TOTAL 2,500g 100% Portion Size Factor: 0.27 Ptn Size 250g Meat Cutting Yield Test Gilbert Noussitou 2010

  27. Cooking Loss Test Gilbert Noussitou 2010

  28. MenuPlanning Gilbert Noussitou 2010

  29. The formula for Success Quality Value Fun Service Gilbert Noussitou 2010

  30. Menu Planning “You don’t build it for yourself, you know what the people want and you build it for them” Gilbert Noussitou 2010

  31. Menu Planning • By definition, a menu is a list of the dishes that will constitute a meal. • It can be a list of all the dishes that will compose a meal of which it is the program. • It can be a list of all items available for sale regardless of their purpose or contents • Its harmony and progression should bring the guest maximum pleasure and satisfaction Gilbert Noussitou 2010

  32. Menu Planning • A menu is like the business card of the restaurant • The menu is the heart of the business • Everything else depends on the menu • The purpose of the Menu is to: • identify for the consumer the food and beverages the operation offers • create customer enthusiasm • increase sales Gilbert Noussitou 2010

  33. Types of Menus • Static Menu • Patrons are offered the same foods each day • Cycle Menu • Developed for a specific period of time • Market Menu • Based upon product availability during a specific period or season • Hybrid Menu • A blend of static with a cycle or a market menu Gilbert Noussitou 2010

  34. Menu Formats • Static menus: • standardized, stocks are constant • systems are set & organized, almost perfect • can be boring • Cycle menus: • practical but can be monotonous • À la Carte: • individually priced items • Table d’Hôte or “Prix Fixe”: • offers a complete meal at a set price • Other menus: • hybrid menus, market menus, semi “á la carte” Gilbert Noussitou 2010

  35. Menu Planning: Considerations • Know your customer • The type of restaurant & its classification • The season and/or climate • Know local products/markets/cuisine/trends • The budget and food cost guidelines • The potential number of guests • The facilities available • …….and your wishes if at all possible Gilbert Noussitou 2010

  36. Menu Planning: Choosing the Dishes • Go from the Lightest to the most nutritious and finish with the finest • Contrast: alternate white and red meats, white & brown sauces, lean & fat fish, soft and firm textures etc….. • Respect the basics of nutrition: major groups of food, balance of macronutrients etc. • Avoid repetitions: names, garnishes, cooking methods etc. • Select products that people will recognize and enjoy • Avoid mistakes due to personal tastes Gilbert Noussitou 2010

  37. Menu Planning: Choosing the Dishes • The menu should be nutritionally and gastronomically balanced Balance!! Gilbert Noussitou 2010

  38. Menu Planning: Writing Menus • Know the proper meaning and spelling of culinary terms • Use simple words and meaningful expressions that guests will know and understand • Customers don't know anything about your food; explain clearly and briefly what the dish is all about • Include information such as: the cut, the size sometimes, the cooking method, the sauce, important ingredients & accompaniments, & perhaps the garnish. Gilbert Noussitou 2010

  39. Menu Planning: Writing Menus • The menu should be comfortable, pleasant to the eye and to the touch (nice paper & other materials) • Language is a major consideration; easy to read language and font, print size and colour are all important • Grammar and spelling must be respected • Use a logical order and reading pattern • Consider location of profitable items, specials etc. Gilbert Noussitou 2010

  40. Menu Planning: Writing Menus • The menu is a SELLING TOOL; it will convince the guest to either buy that item or not; come back another day or not • It can also misinform the guest, which can result in: • an unhappy customer • a waste of food • a waste of time • in all cases, a waste of money Gilbert Noussitou 2010

  41. Menu Planning:Use of Leftovers • Normal waste is costed and sold • Abnormal waste is used but not sold • Proper planning is essential THE BEST WAY TO USE LEFT-OVERS IS…… NOT TO HAVE ANY! What is the best way to use leftovers?  Gilbert Noussitou 2010

  42. Applying Purchasing Procedures Gilbert Noussitou 2010

  43. Purchasing Procedures • Buy only if needed: ensures quality & controls stock size!! • Establish and respect par stock • Buy from reputable places (or be ready!) Know your suppliers and work with them • Rule of thumb: check a minimum of 3 sources • Be clear on delivery needs: date, time, place, other rules • Know your requirements & product specifications: grades, sizes, origins, fresh, frozen etc… • Be ready to accept (or not to) accept a substitute • Have a system Gilbert Noussitou 2010

  44. Selecting the right supplier • Supplier’s location (short delivery times). • Supplier’s facilities (efficiency, quality, reliability). • Financial stability (long term relationship and support). • Technical ability and knowledge of staff. • Reasonable price (not necessarily the best) in relation to quality. • Compatible attitudes (working relationship and trust are important). • Honesty and fairness (good business practices). • Reciprocal purchasing (potential customer). Gilbert Noussitou 2010

  45. Calculate Food Requirements • Establish portion sizes of main ingredients • Establish the number of portions required • Calculate the amount of food required • Identify quantity of food on hand • Calculate the amount to purchase Gilbert Noussitou 2010

  46. Calculate Food Requirements Portion Control Chart Gilbert Noussitou 2010

  47. Ordering Chart Gilbert Noussitou 2010

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