Best Practice on inventorying prepared items

Comments

6 comments

  • Avatar
    Mark Whitmore

    Hi @Roberto Lopez​ ​,

     

    That's a really astute question.

     

    While we would recommend you inventory the recipe for the lobster meat, the cost of sale for this recipe would still be for the whole lobster. Although the weight you are inventorying is correct, the cost to get that 6.4 ounces is still the cost of the whole live lobster.

     

    I hope that helps?

     

    Best

    Mark

    Fourth

    0
    Comment actions Permalink
  • Avatar
    Mark Whitmore

    Hi @Roberto Lopez​ ​,

     

    That's a really astute question.

     

    While we would recommend you inventory the recipe for the lobster meat, the cost of sale for this recipe would still be for the whole lobster. Although the weight you are inventorying is correct, the cost to get that 6.4 ounces is still the cost of the whole live lobster.

     

    I hope that helps?

     

    Best

    Mark

    Fourth

    0
    Comment actions Permalink
  • Avatar
    Halima Duncan

    I would like to follow up on this discussion.

     

    We have created a yielded recipe, following this recommendation from Fourth.

     

    At any given time, we will have both whole lobster (as purchased) as well as cleaned lobster (as a recipe) in our inventory.

     

    When we record our inventory count, we will record the count for whole lobster and for cleaned lobster recipe.

     

    Question 1: When we sell a recipe with lobster (lobster tacos) should our recipe use the cleaned lobster (as subrecipe), or a yielded whole lobster (product)?

     

    Question 2: How will product movement for recipe use and sales be recorded in the variance report?

     

    Thank you!!

    0
    Comment actions Permalink
  • Avatar
    Halima Duncan

    I would like to follow up on this discussion.

     

    We have created a yielded recipe, following this recommendation from Fourth.

     

    At any given time, we will have both whole lobster (as purchased) as well as cleaned lobster (as a recipe) in our inventory.

     

    When we record our inventory count, we will record the count for whole lobster and for cleaned lobster recipe.

     

    Question 1: When we sell a recipe with lobster (lobster tacos) should our recipe use the cleaned lobster (as subrecipe), or a yielded whole lobster (product)?

     

    Question 2: How will product movement for recipe use and sales be recorded in the variance report?

     

    Thank you!!

    0
    Comment actions Permalink
  • Avatar
    Mark Whitmore

    Hi @Halima Duncan​ ,

     

    Thanks for your follow-up questions.

     

    1. You should use the cleaned lobster as a sub-recipe. As it may be that you use part of the cleaned lobster so may need to inventory the remaining.
    2. This would depend on what you include in the recipe, and if the recipe or the product is moved. If the recipe is moved then the wastage would sit in the preparing outlet (kitchen)​. If the product is moved/sold then the wastage cost would sit in the cost centre.

    I hope that helps

     

    Best

    Mark

    Fourth

    0
    Comment actions Permalink
  • Avatar
    Mark Whitmore

    Hi @Halima Duncan​ ,

     

    Thanks for your follow-up questions.

     

    1. You should use the cleaned lobster as a sub-recipe. As it may be that you use part of the cleaned lobster so may need to inventory the remaining.
    2. This would depend on what you include in the recipe, and if the recipe or the product is moved. If the recipe is moved then the wastage would sit in the preparing outlet (kitchen)​. If the product is moved/sold then the wastage cost would sit in the cost centre.

    I hope that helps

     

    Best

    Mark

    Fourth

    0
    Comment actions Permalink

Please sign in to leave a comment.

 
Fourth
Community
 
 
 
 
Connect With Us
 
 
  © 2020 Fourth Ltd Registered in England and Wales No. 3887115 VAT Registration Number:764526707  
  Legal & Privacy  
     
     
 
Powered by Zendesk