1. Chapter 2 The Optimal Supplier

2. The Initial Supplier Survey First, list all possible suppliers Next, trim the list by establishing a set of criteria – Product Lists – AP prices – Supplier services – Location – Lead times – Purchasing policies

3. The Fixed Bid Vs. The Daily Bid Fixed bid – Used for large quantities of products purchased over a long period of time – Typically a formal procedure – Request for bid includes specs for bidding process Daily bid – Used for fresh items – Called “daily quote buying”

4. Selecting a Supplier When Using Bid-buying Fixed Bid – Distribute bid requests to potential suppliers – Determine what supplier provides you with the optimal value for a product or a set of products Daily bid – Review bid sheets – Determine what supplier provides you with the optimal value

5. Other Supplier Selection Criteria Cost-plus purchasing One-stop shopping Stockless purchasing Cash-and-carry Standing orders Computer hookups Co-op purchasing Local or national source

6. Other Supplier Selection Criteria, Cont. Delivery schedule Ordering procedures Credit terms Minimum order requirements Variety of merchandise Lead time Free samples Returns policy Reciprocal buying Barter Cooperation in bid procedures Size of firm Number of back orders Substitution capability Buyout policy Suppliers facilities Long-term contracts Case price Bonded suppliers

7. Other Supplier Selection Criteria, Cont. Consulting services Deposits required Willingness to sell storage Suppliers who own hospitality operations Socially responsible suppliers References

8. Supplier-Buyer Relations Supply house officers set the tone of their business – They set the overall sales strategies – They sponsor product and market research Suppliers train their sales staffs Suppliers keep their salespersons’ promises.

9. Eco-Labels are seals or logos indicating that an independent organization has verified that a product meets a set of meaningful and consistent standards for environmental protection and/or social justice. DID YOU KNOW: The "free-range" label doesn’t necessarily mean the animals went outdoors. "Fair Trade Certified" means more than paying producers a fair wage. Meat labeled as "natural" can contain artificial ingredients.

10. Certifier, Certification organization Certifier evaluates a company wishing to put a particular label on its products, usually for a fee. They verify that the products conform to the standards behind the label. http://www.greenerchoices.org/eco- labels/productArea.cfm?ProductCategory ID=174&ProductAreaID=154 http://www.greenerchoices.org/eco- labels/productArea.cfm?ProductCategory ID=174&ProductAreaID=154 17 eco-food labels described http://www.mnn.com/food/healthy- eating/stories/17-eco-food-labels- decoded http://www.mnn.com/food/healthy- eating/stories/17-eco-food-labels- decoded

11. Making Greener Choices Foot Print Calculators Appliance Calculators Appliance Recycling Climate and energy basics And more: http://www.greenerchoices.org/links.cfm http://www.greenerchoices.org/links.cfm Green Shopping: Food & Beverage: http://www.greenerchoices.org/pcat egories.cfm?pcat=food http://www.greenerchoices.org/pcat egories.cfm?pcat=food

12. Eco Restaurant Planning http://vimeo.com/24211909 Francisville Eco-Restaurant now open Showcase organic and healthy food. Burger is topped with feta and spinach and no fries = no fryer. Wines/Beer are organic or sustainable. 2028 Fairmount Ave

13. How to make a Restaurant eco- friendly Recycle Compost food items. Use compact florescent lighting. Cleaning supplies are chlorine free, non caustic, earth friendly. Become Styrofoam free and using biodegradable packaging. Oil recycling from fryers to make fuel such as diesel. Upgrade your appliances to energy star, low flow water consumption dishwashers and toilets. Install low flow aerators on all sinks to limit water consumption. Purchase from sustainable food supply sources. Green restaurant certified: http://www.thegreyplume.com/tgp_about_green_initiatives.phphttp://www.thegreyplume.com/tgp_about_green_initiatives.php Dine Green: http://www.dinegreen.com/http://www.dinegreen.com/