The Control Process Flashcards
Why study Food and Beverage Control?
To understand how to manage food operations
Define control in the context of management.
A process by which a manager attempts to direct, regulate, and restrain the actions of people to achieve desired goals.
What is the most common goal for private operations?
Financial success.
What are sub-goals in management?
More specific and immediate goals that align with long-term plans.
What percentage range can food and beverage costs occupy in operations?
25% to 50%.
List the four steps of the control process.
- Establish standards and procedures
- Train individuals
- Monitor performance
- Take corrective action
What is cost control?
controlling costs to prevent excessive spending
Name two causes of excessive costs in food and beverage operations.
- Inefficiency
- Waste
What is the goal of sales control?
To ensure all sales result in appropriate income for the business.
Who is responsible for control in food and beverage operations?
Management.
What are the techniques for instituting (establishing) control?
- Establishing standards
- Establishing procedures
- Training
- Setting examples
- Observing and correcting employee actions
- Requiring records and reports
- Disciplining employees
- Preparing and following budgets
Define standards in the context of food and beverage operations.
Rules or measures created for making comparisons and judgments.
What are quality standards?
Standards used to define the degree of excellence of raw materials and finished products.
What are quantity standards?
Measures of weight, count, or volume used to make comparisons and judgments.
What is a standard cost?
The cost of goods or services identified, approved, and accepted by management.
Fill in the blank: Procedures are the methods employed to _______.
[prepare products or perform jobs]
What is the importance of standardizing ordering and purchasing procedures?
To ensure ingredients are purchased at appropriate times, in needed quantities, at favorable prices, and of appropriate quality.
What must be standardized in receiving procedures?
Quality
quantity
and cost of goods received.
Why must production procedures be standardized?
To ensure customer satisfaction and maintain cost standards.
What is the purpose of training personnel in food and beverage operations?
To make employees aware of the standards and procedures they must follow.
What is the purpose of requiring records and reports?
To assess the effectiveness of staff members and their adherence to standard procedures.
Define discipline in the context of foodservice management.
Taking steps to warn or correct an employee for not meeting expected performance or behavior adhering with standard procedures.
What is a budget?
A financial plan that expresses management’s goals and objectives in financial terms.
What is an operating budget?
a detailed projection of what a company expects its revenue and expenses will be over a period of time
What typically begins the preparation of an operating budget for established restaurants?
Historical information — the financial records of the business
What factors should be estimated when preparing a budget?
Predict changes in costs and sales, and in the business environment
What must be factored into budgeting if laws affect wage rates?
The information regarding wage rate changes
What types of changes in real estate tax rates should be reflected in the budget?
Increases or decreases in real estate tax rates
What are the main objectives of food and beverage control?
- Analysis of income and expenditure
- Establishment and maintenance of standards
- Pricing
- Prevention of waste
- Prevention of fraud
- Management information
What does the analysis of income and expenditure focus on?
food and beverage operation
What metrics are used to analyze the revenues or sales of food and beverage outlets?
- Volume of food and beverage sales
- Sales mix
- Average spending power of customers
- Number of customers served
How can the performance of each outlet be expressed?
- Gross profit
- Net margin (gross profit - wages)
- Net profit (gross profit - wages and all overhead expenses)
Why is the establishment and maintenance of standards important in food and beverage operations?
To ensure employees know the standards to be achieved and to measure performance effectively
What are SOPs in the context of food and beverage operations?
Standard Operational Procedures
What factors should be considered when pricing food and beverages?
- Accurate food and beverage costs
- Other main establishment costs
- Average customer spending power
- Competitor prices
- Market price acceptance
What must be prevented to achieve performance standards in establishments?
Wastage of materials caused by poor preparation, over-production, and failure to use standard recipes
What is necessary to control waste effectively in food and beverage operations?
An efficient method of control that covers the complete cycle of food and beverage control
What does a control system in food and beverage operations aim to prevent?
Fraud by customers and staff
What are common examples of fraud by customers in food and beverage operations?
- Walking out without paying
- Claiming food or drink was unpalatable
- Disputing the number of drinks served
- Payments by stolen cheques or credit cards
What are typical areas of fraud by staff in food and beverage operations?
- Overcharging or undercharging for items
- Stealing food, drink, or cash
What is a limitation of a control system?
It can only identify problems, not correct them
it need management supervision
it needs management to sort through the informations and act on it
Define Training personnel
Training is a process by which managers teach employees how
work is to be done, given the standards and standard procedures established.
