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2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
After Reading and Studying This Chapter, You Should Be Able to:
Apply the forecasting technique used in the chapter to measure expected volume of business Name and describe the various types of services Explain the important aspects of food production Describe the key points in purchasing, receiving, storing and issuing
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
After Reading and Studying This Chapter, You Should Be Able to:
Explain the difference between controllable expenses and fixed costs Explain the components of an income statement and operating ratios Describe the important aspects of a control system for a restaurant operation Outline the functional areas and tasks of a foodservice/restaurant manager
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Restaurant Forecasting
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Occupancy Statistics
Cover = A guest
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Average check =
Food and Beverage Sales Number of Covers
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Service
Guests want less formal, yet professional Training is necessary Servers are salespeople Suggestive selling
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Purchasing Receiving Storing and issuing Food production Stewarding Budgeting Accounting and control
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Food Production
Based on expected volume of business Prep work done prior to service times Kitchen layout
Cooking line
Teamwork
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Kitchen/Food Production
Staffing and scheduling Training and development Management involvement Employee recognition
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Production Procedures
Production sheets
Count the product on hand (par levels) Determine production level Determine actual sales
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Purchasing
Use of standards (product specs) System of control for theft and loss Par stock and reorder points Who will do the purchasing? Who will handle receiving and storage?
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Time and date delivery is to be made Point of control Authorized requisitions FIFO
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Opening inventory Purchases are added to opening inventory Subtract returns, spoilage and complimentary meals Subtract closing inventory Final number = Cost of goods sold
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Food Cost %
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Cost Percentages
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Expenses
Lease cost should be 5 to 8% of sales Typically also pay for insurance, utilities and commercial fees Controllable expenses are also variable expenses
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Controls
Loss of $20 billion a year due to theft and cash mishandling One out of every 3 employees will steal 35% of restaurants fail due to theft 75% of missing inventory is from theft 73% of all job applications are falsified Use of POS can solve some problems
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Trends
More flavorful food Increased takeout meals and home meal replacement Food safety and sanitation Guests becoming more sophisticated
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458
Trends
More food court restaurants Steakhouses are again popular Segments are splitting into tiers QSRs in convenience stores Difficulty in finding good employees
2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458