Successful restaurant personnel such as beverage controllers have the capabilities to keep the cost at specific levels. It is possible because they have a great understanding that successful operations demand the cost to be effectively established and controlled so that profit can be experienced. Therefore, some cost control management principles must be employed to solve any operational issues that may occur and keep the costs monitored. The paper intends to review operational and employee management policies together with procedures emphasizing on their relationship with operational performance and costs. The principles of purchasing, receiving, storing, pricing and issuing will be assessed and a list of basic costs control considerations and procedures utilized in beverage operations will be created.
The operational and employees’ policies and procedures are regarded as the conduct of behavior as well as methodologies defining how employees will interact. It provides a point of reference and guideline that employees should follow without the need for consulting the higher-level authority. To make operational performances more effective and the cost down, employees are required to have particular knowledge which guides their recruitment, hiring as well as induction. Therefore, there are policies and procedures which guide the conditions of employment, training, and development which help in improving the operational performance and lowering the cost. Hence, most of the operational and employees’ policies and procedures include establishing standards, training, setting an example by the management, monitoring and correcting the actions of the workers, record keeping and reports as well as discipline employees (Dopson & Hayes, 2015).
Delegate your assignment to our experts and they will do the rest.
In the beverage operation, the manager is required to have the knowledge to be able to secure and maintain the products that leave the customer satisfied. Hence, the entire process of managing beverages is guided by the principle of purchasing, receiving, storing, issuing as well as pricing. First, the purchaser of the beverage must be able to determine what type of beverage they need to buy, when and how much to buy it. Second, after making the purchasing decision, there should be a proper follow-up to ensure the products ordered are received. Hence, the manager should create adequate storing space for receiving, ensure equipment used is effective, train the receiving personnel and establish a proper recording system (Cengiz & Cengiz, 2015).
Third, the management should ensure that the beverages purchased and received are well stored. It ensures that the beverage operation’s financial objectives are met as correct storage ensure all the stock generate revenue. Fourth, issuing beverages should be carried out by making sure that the quantity demanded meets the demand to avoid misuse. Lastly, pricing beverages should be established after taking in to account the purchasing price and all the expenses in the receiving, storage and issuing.
In conclusion, some of the basic cost control consideration and procedures in the beverage operations include: - evaluating the labor turnover rate, level of training to the employees, effective record keeping of the sales volume, establishing the most effective location and equipment to be used as well as hours of operations. Thus, to have an effective strategy to solve the beverage operational issues and keep the cost low, the above cost control management principles should always be considered.
References
Cengiz, E., & Cengiz, F. (2015). Food and Beverage Cost Control Process of Hotel Enterprises: The Case of Orlando, Florida. 4. In International Interdisciplinary Business-Economics Advancement Conference (pp. 103-114).
Dopson, L. R., & Hayes, D. K. (2015). Food and beverage cost control . John Wiley & Sons.
