Calculating Costs (With Answers) Page 24

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Tips for Decreasing Food Cost
1. Menu Planning
A. Purchase single serving packages for extra food items
EXAMPLE:
Use honey, syrup and jelly packets instead of allowing students to
take unlimited quantities. Control number of packets available for each student.
B. Consider cost of prepared items vs. items that requires little (or no) preparation
EXAMPLE:
Pancakes from scratch, pancake mix or frozen pancakes. Think of
which is the most cost effective way to prepare pancakes.
2. Purchasing
A. Centralized purchasing in a cooperative arrangement creates buying power.
EXAMPLE:
Forty-five school districts formed a purchasing cooperative to take
advantage of volume purchasing. A formal agreement was drawn listing the
responsibilities of each district. One district is responsible for warehousing and
distribution.
B. Require fewer deliveries of all products.
EXAMPLE:
Designate the daily requirements for delivery of milk to two times per
week instead of five times per week.
C. Purchase appropriate quantity for the program purpose.
EXAMPLE:
In specifications of products, examine monthly needs and buy in
larger quantities whenever possible Storage requirements need to be
considered to accommodate delivery amounts.
D. Use USDA commodities wisely.
EXAMPLE:
Plan menus to utilize USDA commodities, such as flour and dried
blueberries in muffins.
3. Receiving
Establish a routine for all receiving. Train several employees in all receiving
procedures including proper use of weight scales and product specifications.
A. Check all products against specifications and delivery invoices.
EXAMPLE:
The order was placed for ten cases of canned peaches, U.S. Grade
A, juice packed, No. 10 cans. Instead, the school received U.S. Grade A, heavy
syrup, No. 33 cans.
Calculating Costs - 24

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