Presentation on Beverage Control

1. Beverage Control

2. This Presentation includes following Topics:
• Purchasing and Receiving of beverage
• Storing and Issuing of beverage
• Production control and Beverage control
• Standard Recipe and Standard Portion Size
• Bar frauds and books maintained

3. Purchasing of Beverages
• Purchasing of beverages aims to purchase best quality, at lowest price.
• Fewer and often restricted sources of purchase and supply units than food.
• The high value of beverage purchases.
• The quality factors are difficult to evaluate and require special training to identify
them.
• Many beverages like mineral water, Wine, spirits, etc. have their unique
standards that does not vary over the years.
• The prices of alcoholic beverages do not fluctuate as food prices do.

4. Duties and Responsibilities of Purchase Manager
• Responsible for administration of purchase department and upkeep of all
purchase documents and records.
• For all purchases obtain proper requisition form with item specification
and budget duly authorized and then place written purchase orders.
• Maintain a choice of vendor and suppliers.
• Establish ‘Lead Time’ of delivery of various vendors.
• Be familiar with Governmental procedures of import and maintain cordial
relation with Government agencies.
• Maintain cordial relation with food production, F&B control, accounts,
vendors and marketing team.

5. Qualities to be adhered by a Purchase Manager
• Have knowledge of commodities and crop condition in the market.
• Be familiar with method of processing, grading, packing of fresh/canned/frozen
and dehydrated fruits, vegetables groceries and staple.
• Know the basis cuts of meats and differences between various goods.
• Advise Food and Beverages Manager in planning menus.
• Visit local fruits and vegetable markets to find out prices and seasonal items
and advise management accordingly.

6. Purchasing control
Purchasing control consists of developing ‘Standards and Standard Procedures’ for
purchasing and outlines the following:
1. Purchasing policy: Corporate, centralized or decentralized
2. Purchasing research: Markets and Materials, Marketing channels and Price
trends
3. Product evaluation and assessment: Product testing and Yield testing
4. Purchase specifications: Food & Beverage
5. Purchasing methods: By contract, By quotation, By cash & carry etc.
6. Clerical procedures: Documentation and Information processing

7. Purchasing Procedure
1. Initiation of Purchase requisition:
• Check authorization: Ex. Chef, F&B Manager, Storekeeper
• Check purchase specification: Food or Beverage
2. Determination of Source of supply:
• Select and approve suppliers
• Negotiate price & delivery requirements
• Invite quotations
3. Evaluation of proposals and Placement of purchase order:
• Evaluate quotations
• Select most favourable quotation
• Place purchase order
• Follow up purchase order Cont…

8. Purchasing Procedure
4. Receiving supplies:
• Verification of invoice/delivery note against purchase order
• Transfer of commodities to user departments
5. Closure of purchase transaction:
• Forwarding details of purchase transaction to purchase office
• Payment for materials

9. Format of Purchase Order
Hotel ABC PALACE
Purchase Requisition Form
To: Purchasing Office Requisition No.: FB1205
From: F&B Manager Purchase Order No.: 268
Date: April 02, 2015 Required on: April 10, 2015
Item # Description Quantity Unit Rate per unit Total cost
1 Kingfisher beer 10 Case (1X9 bottles) 500/Case 5000/-
2 Potato 20 Kg 30 600/-
Requested by:………………………………… Approved by:…………………………………
Date……………………………… Ordered:……………

10. Purchase Specification for Beverages
• The purpose of a purchasing specification is to set down in writing the standard
of a product for a specific use by an establishment.
• It is used by purchasing manager to inform suppliers exactly what is required
and has vital information when negotiation prices.
• It is also invaluable to receiving and cellar staff to know what to accept when
deliveries are being made.
• The reason is that beverages are sold and purchased by brand name and label,
each has a consistent quality and quantity. E.g. barrels, kegs, bottles, splits.

11. Methods of Purchasing Beverages
1. Cash and Carry:
• Followed for the purchase of non-alcoholic beverages.
• Used for either whole range of non-alcoholic brands or limited brands.
• However followed in case of emergency.
2. Wine Shippers:
• Firms that purchase from country of origin and shipped to destination.
• Usually concerned with sale of wine in a particular region only which
means the range of purchase is limited.
• In certain cases only deal with high profile hotels.

12. 3. Wholesalers:
• Subsiding companies of wineries, Distilleries and breweries etc.
• Offers a wide range of all beverages and at times assist the hotel with
promotional literature for bar and restaurant sales.
4. Auctions:
• Can purchase from auctions carried out by an auction house.
• Beverages purchased by auction are meant for celebration purpose only.
5. Wine and Beer fairs:
• Purchase from annual wine and beer fairs.
• Here can acquire beverage at a lesser price but requires a licenced permission
from the country of origin.

13. Issuing: Beverage Control
• Issuing of beverages should take place at set times during the day and
only against a requisition note signed by an authorized person.
• When requisition is large, it should be handed in several hours before
the items are required to allow the cellar staff plenty of time to
assemble the order together.
• Requisition is made in duplicate, one copy is kept by cellar man for cellar
records and then it is passed to control or accounts office, second copy
is retained by the person who originated the requisition and handed in
with the daily takings and other control documents.

14. Standardized Recipe
• An important part of a well-managed food service program.
• Describes the exact measurable amount of ingredients and method of
preparation.
Advantages of Standardized Recipes:
• Consistency in Product Quality
• Cost Control
• Projected Portions and Yield
• Eliminates excessive amounts of leftovers
• Creativity

15. • Cellar inward book
• Bin card
• Cellar control book
• Beverage perpetual inventory ledger
• Breakage book
• Empty return book
• Hospitality book
• Cellar Inventory Control Ledger
The books maintained for beverage control