Issuing Control

Product Issuing
• Often, foodservice managers create difficulties
for their workers by developing a requisition
system that is far too time-consuming and
complicated.
• The difficulty in such an approach usually
arises because management hopes to equate
products issued with products sold without
taking a physical inventory.
 A well-designed issuing system has the following
objectives :

• To limit access to storage areas to authorized staff

members only.
• To match items removed from storage with actual
production requirements.
• To assess quantities and costs of products removed
from storage. This record keeping becomes important
when updating perpetual inventory records. This record
is required for assessing costs of issues to calculate daily
food and beverage costs.
• the requisition forms can be used to provide
information for daily cost calculations or to
update perpetual inventory records.
• Issuing should be limited to specified times
• beverages to replenish bar inventories are
issued either at the beginning or end of each
bar shift
 The Food Requisition / Issue Process
1. The form identifies each item to be
withdrawn from storage
2. The purchase unit size of each item
needed
3. The quantity of each item needed is based
upon the recipes to be used during the
required time period minus any products
already withdrawn from inventory and
available in production
 Product security can be achieved if a few
principles are observed:
1.Food, beverages, and supplies should be
requisitioned only as needed based on approved
production schedules.
2.Required items (issues) should be issued only with
management approval.
3.If a written record of issues is to be kept, each
person removing food, beverages, or supplies from
the storage area must sign, acknowledging receipt of
the products.
4.Products that do not ultimately get used should be
returned to the storage area, and their return
recorded.
 Food Requisition Form
Food Requisition

Storage Type (Check one) : Date : ________________

Refrigerated _________________________ Work Unit : __________________
Frozen ______________________________ Approved for withdrawal __________
Dry ________________________________

Item Purchase No. of Units Unit Price Total Cost Employee Initials
Unit
Received by Withdrawn By
(Consuming Dept.) (Storage Dept.)

Col.1 Col.2 Col.3 Col.4 Col.5 Col.6 Col.7

Total
 Requisitions
• It is vital that a copy of the storeroom
requisition form be sent to the purchasing
agent after it has been used so that this
individual will have a sense of the movement
of product in and out of the storage areas.
• After production personnel complete the
form, it then goes to the chef
• the form goes to the appropriate storage area.
• The storage or management employee
responsible for issuing verifies that items
listed were indeed withdrawn by initialing
column
• After issuing is completed, the items should
be transferred promptly to the appropriate
production occurred.
• When all daily issues are finished, the storeroom
or controls personnel may use the forms to
update perpetual inventory records
• The food requisition forms for the day can be
forwarded to the F & B Controls department to
review and to use in calculating the daily food
cost information.
 Transfers
 Food or beverage products may be transferred from one
food service unit to another. For example, it is likely that
fruit juice, vegetables, and similar items are taken from
the kitchen for use in the bar, while wine, sherry, and
similar items may be taken from the bar for use in the
kitchen.
 Transfers out of the kitchen are subtracted from the cost
of food sold and transfers in to the kitchen are added to
the cost of food sold.
 Food & Beverage Transfers
• Intraunit Transfers
• Between Bar and Kitchen
– Cooking wines and spirits
– Fruits, juices and dairy products
• Between Kitchen and Kitchen
– Large hotels that operate more than one kitchen
• Interunit Transfers
• Transfers of food and beverage between units in a
chain
The written Purchase Order form should contain space
for the following information

Purchase Order Information

Item Name Purchase Order Number
Spec #, if appropriate Date Ordered
Quantity Ordered Delivery Date
Quoted Price
Ordered by____
Extension Price
Total Price of Order Received by_______
Vendor Information Delivery Instructions
Comments
 The advantages of a written Purchase Order are
many but include the following:
• Written verification of quoted price
Written verification of quantity ordered
Written verification of the receipt of all goods ordered
Written and special instructions to the receiving clerk, as
needed
Written verification of conformance to product specification
Written authorization to prepare vendor invoice for
paymentThe advantages of a written Purchase Order are many
but include the following:

© John Wiley & Sons, Inc. 2009

 The Beverage Requisition / Issue
Process
• since beverages, by their nature, are very
susceptible to employee theft, there are
several additional concerns in transferring
beverages from storage to production areas
 Establishing Bar Par Inventory Levels
• A bar par is an established number of bottles
of each type of beverage that is always kept in
behind-the-bar storage areas
• A bar par is established for each type of liquor
and wine kept behind the bar
• An important rule is that empty bottles must
be presented before full bottles are issued.
 Beverage Issuing Steps :
• The beverage issuing process typically includes
the following steps:
• 1. At the end of each shift the bartender
places the bottles emptied during the shift on
top of the bar.
• 2. The bartender completes a beverage
requisition form (as shown below), recording
the name of each type of liquor or wine
emptied
• 3. The beverage manager checks the number
and type of empty bottles on the bar against the
information on the beverage requisition form
• 4. The bartender takes the empty bottles and
the beverage requisition to the beverage storage
area. The person responsible for issuing : (a)
compares empty bottles with the data on the
issue requisition, (b) bottle-for bottle, replaces
empty bottles with full ones,
• 5. Empty bottles are broken or otherwise
disposed of according to local or state laws, or
as specified by the property’s control
requirements designed to prevent re-use.
• 6. Total cost calculations (Column 5) and the
beverage cost percent calculations at the
bottom of the requisition form are normally
completed by management or F & B Controls
personnel
 Beverage Requisition Form
Beverage Requisition
Shift : Morning Date : 16.02.2006

Bate : Main Bartender : Edwin D’souza

Liquor Number of Bottles Size Unit Cost Total Cost

Col. 1 Col. 2 Col. 3 Col. 4 Col. 5

B.Scotch 3 750 ml Rs.1200 Rs.3600
B Gin 2 750 ml Rs.200 Rs.400

Total Bottles : _____________________ Total Cost : _____________________

Check on :
OK to Issue : ___________________  Lose price
Issued by : ___________________  Reg. Price
Received by : ___________________  High Price

(cost) / (revenue) = (beverage percent)

 Bottle Marking
• Bottle marking identifies a bottle before it is
issued. It may simply identify the bottle as
house property, or it may also contain
information about the bottle’s cost and / or
date of issue.
• there is more than one bar in a property
bottles should additionally be marked with
the site to which it is issued.
• the bottle mark is an adhesive-backed label or
hand-to-remove ink stamp, with a logo or
symbol difficult to duplicate
• Bottle marking is important for two other
reasons.
• if the cost, from the daily receiving report or
delivery invoice, is recorded on the bottle, it is
easier to complete the issue requisition form.
• if the date of issue is recorded on the bottle,
it is easier to keep track of the rotation of
bottles behind the bar.