Purchasing, Receiving, and Storing Foods Chapter 11 Purchasing, Receiving, and Storing Foods

Purchasing Purchasing mistakes can mean the difference between profitability and failure

Yields Those purchasing should know how to calculate yields How many salads can be produced by a case of lettuce? Each Caterer should become familiar with common grades and expressions used in purchasing Prime vs. Choice vs. No Roll

Specifications Develop product specifications for each item to be purchased – Assures consistent yields Works within recipe cards & cost calculations Can vary with menu item (Steaks vs. Stews) Timing Make sure foods arrive ‘Just on Time’ – not too early and not too late Know the shelf life of a product

Goals of Purchasing To Order the proper product In the correct quality and quantity At the best possible price Delivered at the right time From a reputable supplier

Ethics In Purchasing Purchasers should be prohibited from accepting gifts above a certain value (including fishing trips) Should show no one supplier favoritism Should not make personal purchases from suppliers Bids should go to the lowest bidder As Always, there is flexibility – e.g. service level may be worth a few cents more if prices are consistently the same between suppliers Very real problem, not so much as in the past

Purchasing for the catering operation Purchasing in a catering operation is different than a restaurant Common Mistakes Not knowing quantities on hand Not consolidating needs of several parties False ‘savings” in bulk purchases, especially of perishable product Lazy – ordering from one supplier only, instead of going to markets, etc.

Bulk Buying By only in bulk of you can save 20% or more off the price and if it can be used in the next 3 months Only if you have secure, safe storage If the cash flow allows it Set limits – no hoarding! Keep inventory levels low Stealing is harder Easier to inventory Not tying up money – keeps good “Cash Flow”

Purchasing Specifications Talk to and learn from the salespeople form major suppliers! Should include Intended use General and Detailed Descriptions Product name Brand or Manufacturer U.S. Product Grade Size of product Age of product (beef) For Produce - Color, ripeness, trim, “name” PSMO, Kill Dates Pack Dates 8 ups

Selecting Suppliers Establish the rules! Should be easy to work with Helps to think of them as partners – honest and upfront Keep options open – even if using a main supplier, talk to the others Suppliers can be wholesale clubs and markets

Meat Three Basic Sources Local Retail Markets (Publix) – convenient but expensive – good for emergencies Local Butcher – can buy meat be the case and break up – also cut meat to order Distributors – (Sysco, Cheney Bros) – sometime will break cases at extra cost

Produce Market – can save 30% or more Wholesale Clubs (Restaurant Depot) Distributors Wagon- jobber – buys the order from market and delivers for a mark up.

Seafood Learn the terminology Most today is frozen – Example IQF – Individually Quick Frozen Example IQF Shrimp 20 – 30 PND = Individually Quick frozen shrimp, 20-30 count per pound, peeled and deveined

Purchase Orders Use them! Should include: Date the order placed Payment Terms Supplier Description, quantity, quoted cost of each unit Area for receiving person to verify acceptance Extension of final price, Signatures of Supplier agent and Receiving person Most large suppliers have on line ordering

Tips for Buting Edible portion cost – lowest price not necessarily the least expensive – think cost per serving Make or Buy – Know your labor costs Equipment on hand Skilled labor available- Quality considerations Availability of ready prepped product How does it relate to the overall commissary operation? Baking croissants vs. cutting vegetables

Tips (Continued) Competitive Bidding – Focus on “Center of the Plate” Can the supplier do better on prices? May lock in purchase price for several months on minimum buy – supplier keeps product Limited delivery or no delivery Less expensive with no adverse effect on quality Seasonality – times of year foods are cheaper

Tips (Cont.) Pay with Cash – or within terms Price Trend Speculation Purchase in Larger Units Special Promotions Do it Yourself – go to the market or Wholesale Club Use rebate programs by majors brands (why not coupons) Buy Generic

Receiving Products should be received at off peak times Keydrop deliveries Should be checked in by designated person – Food Safety – correct temperatures Quality Weights (have scales) Should meet specifications The person receiving should have the authority (and willingness) to reject anything out of “Spec”

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