Saturday, January 16, 2010

Food and Beverage class question- cost control?

What is wrong with the following statement?





';Achieving the lowest overall cost is the primary goal of cost control”Food and Beverage class question- cost control?
Well, there are other things to consider like inventory control (Product getting rotated to ensure freshness, waste being recorded, theft and portion control). Additionally if you buy a cheaper version of something (even something like mustard) and it's sub-par( or just flat out yucky) your customers will notice. And may not come back. And now your ';Cost Control'; had become a root cause for loss.Food and Beverage class question- cost control?
Cost control is about maintaining the costs at the level to provide anticipated profits.








To obtain the lowest cost, you would cheese out on the product.

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