1. Chapter 6 Food Purchasing

2. Objectives After reading and studying this chapter, you should be able to: –Explain the importance of product specifications –List and describe the steps for creating a purchasing system –Identify factors to consider when establishing par stocks and reordering points –Explain selection factors for purchasing meat, produce, canned goods, coffee, and other items

3. Sustainable Purchasing Restaurants are moving towards buying more locally by –Cutting down freight costs –Strengthening regional economies –Supporting family farms –Preserving the local landscape –Fostering a sense of community Does not ensure sustainability –Involves food production methods

4. Food-Purchasing System Steps: –Determine the quality of food standards required to serve the market –Develop product specifications –Gather product-availability information –Have alternate suppliers in mind –Select a person to order and receive supplies –Set up storage space for maximum utilization

5. Food-Purchasing System (cont’d.) –Establish the amount needed to be stocked (par stock) for each item –Set up inventory control system –Decide on optimal delivery size to reduce cost of delivery and handling –Check all inventories for quality and quantity or weight –Tie inventory control and cost control system together

6. Figure 6.1 Steps in putting together a food-purchasing system.

7. Purchasing Cycle Can be set up to roll along efficiently –System that repeats itself day after day with minimal demands Product specifications need only be reviewed, not reset, each time food is ordered Par stock and reorder points are relatively fixed and changed only as sales volume changes appreciably or as the menu changes Major suppliers are changed infrequently

8. Figure 6.3 Purchasing cycle

9. Food Quality Standards Standards for food quality are set to serve a particular market –Determined by the owner and chef/cook Some operators serve fresh fish only, never frozen Some restaurants use only fresh vegetables

10. Buying by Specification Each operation needs a quality of food that fits its market –Quality needed varies with the market and the food item being produced Canned vegetables used in a made-up dish need not be of fancy grade Meat for grinding into hamburger may well come from U.S. good, or even lower-graded meat, and still be satisfactory

11. How much inventory? Every food item has a shelf life –Shelf life is the length of time a food item can be stored without appreciable loss in quality or weight –Nearly every food that contains a large amount of water shrinks with storage –Temptation is to buy a large quantity when a price reduction is available Requires extra handling space and time

12. Par Stock and Reorder Points Based on quantity used, storage space available, and availability of the product –Fast moving items require more stock The operator with a fixed menu has an advantage in buying –Preparation of entrées can be done in terms of prepared items (e.g., so many trays stored under refrigeration)

13. Mechanics of Ordering Best way to place orders: –Opinions vary: Calling for competitive prices Dealing with only one or two trusted suppliers Shopping in supermarkets Standing order: –Predetermined order that is filled regularly Purchase order: –Formal system form Two or three copies

14. Types of Purchasing Buying from a full-line purveyor: –Carries a large line of supplies –Offers more one-stop shopping –Saves time and simplifies billing Co-op Buying –Supplies products at cost, plus enough of a markup to cover the cooperative’s cost –Is nonprofit –Is of lower cost than profit purveyors

15. Buying Meat Principal factors in meat buying are: –Cut of the meat: what part of the animal –USDA grade: fat content, tenderness, and cost –Style: carcass, wholesale cut, or ready-to-serve portion Government inspection and grades –Inspection has been mandatory since 1907 –Grades: prime, choice, select, standard, and commercial

16. Buying and Receiving Meat Steps: –Get a copy of the Meat Buyer’s Guide –Determine exactly what meat the restaurant needs –Request bids for purchase specifications –Receiver should check the temperature of the meat –Look for weight, count, and sizes

17. Buying Fresh Fruits and Vegetables Guidelines: –Select freshly picked, mature items and use them as quickly as possible –Handle them as little as possible –Distinguish blemishes that affect appearance and those that affect quality –Check on maturity –Avoid those that are overripe or show decay –Be conscious of size and count –Know containers sizes and check contents

18. USDA Wholesale Produce Grades Standards: –U.S. Fancy: Highly specialized produce –U.S. No. 1: Most widely used in trading –U.S. Commercial: Inferior to U.S. No. 1, but superior to U.S. No. 2 –U.S. Combination: Combines percentages of U.S. No. 1 and U.S. No. 2 –U.S. No. 2: Lowest quality practical to ship –U.S. No. 3: Used for highly specialized products

19. Canned Fruits and Vegetables Standards are the concern of the FDA –Labeling of ingredients: Required on most items Listed in descending order by weight Operators that frequently use canned items –Perform can cutting tests Less expensive products –May turn out to be superior

20. Selecting the Right Coffee Coffee must fit the clientele –People tend to like the coffee with which they grew up –Widely traveled people Often prefer stronger coffee –Coffee served in restaurants is a blend Most predominant is mountain grown

21. Selecting the Right Coffee (cont’d.) General types: –Robust, heavier flavored –Mountain grown, lighter, milder Coffee vendors: –Often supply the restaurant operator with a coffee-making machine No-cost lease basis, provided the operator agrees to buy all coffee from the vendor