Managing Inventory Control and Procurement

Read this chapter. It uses the food service industry as a case study because of the different types of raw material inventory food establishments need to consider. As you read the section on Three Ways to Increase Your Value, can you recommend a fourth or even a fifth to help these businesses?

BASIC INVENTORY PROCEDURES

Storage

Foodservice storage forms an important link between receiving and food preparation in all foodservice operations. Thus, the quality of the storage system directly affects the quality of the product used in food preparation. The amount of storage required depends on the frequency of deliveries and the turnover of the product. Storage is vital for another reason: it is one part of the operation where management can exert effective control without appreciably increasing time and personnel costs. In other words, good storage management, in the form of effective controls on shrinkage, theft and pilferage, and unnecessary food handling, can help keep foodservice costs down. Now we're back to controlling inventory!