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FN 133 > Purchasing In Food Services > Flashcards

Purchasing In Food Services Flashcards

1
Q

Purchasing

A

Process of getting the right food item into a food service facility at the right time and in a form that meets pre-established standards for quality, quantity, and price

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2
Q

RIGHT

A

Quantity
Quality
Time
Source
Price

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3
Q

Purchasing process

A

Identify needs
Determine standards of product quality
Estimate needed quantities
Calculate desired inventory stock levels for each item
Identify amount to order
Develop purchase order
Market research on vendor’s product availability
Select and negotiate with vendor

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4
Q

Makes the decision regarding quality, quantity, and price

A

Buyer

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5
Q

Usual buyers

A

Individual, purchasing department, cooperative arrangements

Manager, food service supervisor, chef steward, chief cook, purchasing agent

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6
Q

2 types of purchasing arrangements

A

Cooperative
Centralized

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7
Q

4 Is: Characteristics of the buyer

A

Intelligence
Information
Interest
Integrity

Maturity
Negotiation/bargaining skills

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8
Q

Purveyor, vendor, supplier

A

Seller

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9
Q

Considerations in purchasing

A

Institutional policies
Size of organization
Amount of money available
Frequency of delivery
Storage capacity

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10
Q

Formal/competitive bid buying

A

Commodities purchased over time
Stable prices throughout the duration of the contract
Large contracts

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11
Q

Process of formal or competitive buying

A

Bid requests are issued to vendors
Bids are sealed and opened at a later date
Test samples are requested from qualified bidders
Contracts are awarded to the most responsible and responsive seller with the most advantageous price

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12
Q

Informal or open-market buying

A

Speed is required
Not large amounts

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13
Q

Process of informal buying

A

Price quotations are regularly obtained from suppliers
These are recorded in price quotation and order forms
Buyer selects vendor. Both agrees on the price, quantity, and quality before delivery

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14
Q

Used for purchasing readily available stocks with prompt delivery

A

Spot purchasing

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15
Q

Shipment is at state intervals or as needed over a period at company’ s prices

A

Spot contract

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16
Q

Goods are shipped in one delivery when picked at some future date, subject to price approval

A

SAP

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17
Q

At stated intervals or as needed, subject to price approval

A

SAP Contract

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18
Q

Seller supplies certain items for an agreed-on period based on fixed markup over the vendor’s cost

A

Cost-plus purchasing

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19
Q

Single vendor will supply most product needs (expressed in percent of total use by category)

A

Prime vending

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20
Q

Wide variety of products are locally supplied by the exact items, quantities and delivery requirements are unknown

A

Blanket purchase agreement

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21
Q

Product is purchased in the exact quantities needed for production and delivered just in time to meet production demands

A

Just-in time purchasing

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22
Q

3 principal food service needs

A

Perishable items - spoil without refrigeration (veg, fruits, eggs, MFP)
Staple items - can be kept without refrigeration
Daily use needs/contract items

23
Q

Accurate word picture of products

Detailed description of a product, stated in clear and simple terms

Requires knowledge of market forms

A

Product specifications

24
Q

Specification forms include

A

Name and description
Eq weight or measure per kilo
Number of servings per kilo
Uses

25
Q

Needed information for specifications

A

Name
Grade or brand
Unit at which price is quoted
Name and size of container
Count per container or approximate number per unit weight
Sanitation standard

26
Q

Forms of food purchased

A

Convenience
Conventional

27
Q

Types of convenience foods

A

Ready-to-serve
Partially processed

28
Q

Determines best count, quantity, or weight

A

Raw food test

29
Q

Determines portion cost after waste, trim

A

Butchering test

30
Q

Formula for yield and yield %

A

Yield = AP - trim
%Yield = yield/AP x 100

31
Q

Check yield and cost

A

Canned good test

32
Q

Portion cost as served plus evaluation of sensory attributes and portion size

A

Cooked test

33
Q

Shrinkage and %shrinkage

A

Shrinkage = Yield weight - cooked weight
%shrinkage = shrinkage/yield weight x 100

34
Q

Refers to the wholesomeness, cleanliness, freedom from undesirable substances

A

Food quality standards

35
Q

Market classification of quality

A

Grade

36
Q

A particular make of a product identified by trademark or label

A

Brand

37
Q

Absence of bruises, wilted leaves, dents, etc

A

Conditions

38
Q

Records needed to determine the quantities to purchase

A

Food specifications
Inventory form

39
Q

Inventory systems

A

Par stock system
Mini-max system

40
Q

What is par stock?

A

Par stock is the required amount on hand at any given time.

41
Q

Describe the par stock system.

A

Stock is brought to the par stock each time an order is made, regardless of amount.

Best for items that are used daily.

42
Q

Describe the mini-max system.

A

Includes a safety factor.
Sets a minimum and maximum stock level.
Stocks are depleted to minimum level before restocking.
Commonly method for most items.

43
Q

Mini =
Max =

A

Mini = (reorder stock + safety level)
Max = reorder stock + estimated usage

44
Q

Perishables are purchased as __________ ____ ___________

A

often as possible

45
Q

You use _______ and ________-________ ___________ in purchasing.

A

Intuition; record-based decisions

46
Q

Allowance for safety stock

A

5-20%

47
Q

Formula for minimum stock

A

Perishables
Mini = total requirements within a period + %safety factor

Groceries and consumables
Min = ADU x number of days of ordering period

48
Q

Formula for LTU

A

LTU = average daily usage x number of days before delivery

49
Q

Formula for max stock

A

Max stock = min. stock + safety factor + LTU

same for both perishables and consumables

50
Q

Written request to a vendor to sell goods and services to a facility

A

Purchase order (PO)

51
Q

Interdepartmental form used to record desired products submitted to the purchasing department
Tells you what is needed

A

Purchase requisition

52
Q

Documentation of available supplies
Tells you what you have

A

Inventory form

53
Q

What contributes to higher food cost?

A

Incorrect inventory
Incorrect requests
Incorrect forecasting

54
Q

How to ensure food safety during production?

A

Purchase from reputable and reliable suppliers who follow GMP
Purchase food by specifications (standards of quality)
Purchase food in safe containers

FN 133 (3 decks)

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