Unit Code: D1.HGE.CL7.11 D1.HGA.CL6.10 D2.TGA.CL6.11. RECEIVE AND STORE STOCK. Receive and store stock. This unit comprises four Elements: Accept delivery of stock Store stock Maintain stock and storage areas Finalise documentation and stock management system requirements. Assessment.
Unit Code: D1.HGE.CL7.11 D1.HGA.CL6.10 D2.TGA.CL6.11
RECEIVE AND STORE STOCK
Receive and store stock This unit comprises four Elements: Accept delivery of stock Store stock Maintain stock and storage areas Finalise documentation and stock management system requirements.
Assessment Assessment for this unit may include: Oral questions Written questions Work projects Workplace observation of practical skills Practical exercises Formal report from employer/supervisor.
Accept delivery of stock Performance Criteria for this Element are: Check internal systems to identify incoming stock Prepare the area to receive stock Verify delivery is for the premises Check incoming stock against relevant documentation Check stock received against stock ordered (Continued)
Accept delivery of stock Identify variations between delivery & documentation Return stock identified for return to supplier Follow-up on variations between delivery & relevant documentation Manage excess stock within the organisation Secure new stock against damage and/or theft.
Check internal systems to identify incoming stock Factors impacting orders placed and items ordered: Nature & style of establishment/organisation Seasonal influences Storage space available Usage rate Money or credit available Customer/guest demand and preferences.
Check internal systems to identify incoming stock Personnel who place orders for stock may include: Purchasing officer Owner/manager Supervisor Head of Department Designated staff.
Check internal systems to identify incoming stock Internal systems for ordering stock may include: Purchase orders Verbal orders Standing orders Telephone orders (Continued)
Check internal systems to identify incoming stock Online ordering Facsimile orders Computerised stock control/management systems.
Prepare the area to receive stock Goods delivered into venues can include: Food items Non-food items.
Prepare the area to receive stock Stock is usually delivered to a designated ‘receivals area’ or delivery bay. In smaller properties, deliveries may be made direct to operating departments: Bars Kitchen Housekeeping.
Prepare the area to receive stock Deliveries may be received by: Storeperson Supervisors Any staff, or ‘nominated’ staff.
Prepare the area to receive stock When stock has been delivered it should never be left unattended, as it: May tempt thieves May cause a tripping hazard May require special storage condition.
Prepare the area to receive stock Always prepare the delivery area to receive stock: Clean the area Tidy the area Remove other stock Ensure all equipment/utensils are available Ensure security arrangements are in place Ensure safety items are ready.
Verify delivery is for the premises All deliveries must be checked to ensure: The stock being delivered has been ordered by the business The delivery is being made to the correct business.
Verify delivery is for the premises To verify delivery is for you: Check internal documentation Verbally check with delivery driver Ask to see the delivery documentation.
Verify delivery is for the premises If you cannot verify the delivery is for you: Check with the appropriate department Contact the supplier Refuse the delivery.
Check incoming stock against relevant documentation Deliveries will be accompanied by documentation from suppliers: Delivery docket Invoice Delivery docket-invoice.
Check incoming stock against relevant documentation Check deliveries against accompanying documentation for: Damage Quality Type & brand Quantity (Continued)
Check incoming stock against relevant documentation Use-by dates Discrepancies Pests/vermin ‘Outstanding items’. Unsatisfactory stock must be rejected unless it is desperately needed and is still safe and suitable despite its problems.
Check incoming stock against relevant documentation When checking deliveries, a ‘sensory’ inspection is necessary: Look at items Smell certain items Touch or feel certain items Taste others.
Check stock received against stock ordered You need to verify: Stock delivered matches items ordered Only items ordered are accepted All items are in an ‘acceptable’ condition The venue only pays for what it has received.
Check stock received against stock ordered You must check stock received against, as appropriate: Purchase Order Hard copy of online order Printout from computerised stock system Fax sent to the supplier Copy of standing order.
Check stock received against stock ordered Verification will involve: Ensuring all items ordered have been delivered Checking quantities Checking type & brands Checking size, weight, volume, capacity Checking quality descriptors. Only sign for what you receive
Identify variations between delivery & documentation Variations: Occur when the actual stock item delivered or the quantity or quality of that item is not the same as what was ordered, or is different to what is listed on the documentation Are also known as ‘discrepancies’ Must be identified, recorded and followed-up.
Identify variations between delivery and documentation Variations must be recorded and processed: List the variation on the delivery documentation Mention the variation to the delivery driver Contact the supplier and inform them Take action to obtain the correct items Notify appropriate in-house person/s.
Identify variations between delivery and documentation Other documentation to be aware of includes: Credit note: Usually red in color Issued by supplier to reflect items returned for credit Lists description, number and value of items Has ‘Credit Note’ printed on it.
Identify variations between delivery and documentation Statement: Provided by supplier at end of each period Shows an opening balance, payments made and a closing balance (‘Total owing’ for the period) Lists all invoices & credit notes for the period. Some suppliers use combined Invoice Statements
Return stock identified for return to supplier When receiving a delivery you may also be required to send goods back to the supplier. For example: Deposit-charged items Ullages Out of date stock Product recalls Excess stock Unsatisfactory and poor quality goods.
Return stock identified for return to supplier When returning goods to a supplier: Record name of supplier to whom goods were returned List quantity and description of goods Record date the items were returned Obtain a ‘credit return’ slip from delivery driver, if possible.
Follow-up variations between delivery and relevant documentation All variations must be followed-up. Options include: Requesting credit note from supplier Ordering stock from a different supplier Ordering substitute stock Notifying the accounts department Recording action taken.
Manage excess stock within the organization It is important to actively manage excess stock, because: It can negatively impact liquidity It can cause storage problems It can cause deterioration of stock. The aim is to sell the stock and get the money before it has to be paid for
Manage excess stock within the organization Keys to managing excess stock are: Monitor stock levels Monitor use-by and best-before dates Reduce levels of stock or inventory – see next slide. Attention must always be paid to never running out of lines unless there is a decision to ‘quit’ a line
Manage excess stock within the organization Methods to clear excess stock levels may include: Returning excess stock to supplier Organising in-house Specials Asking staff for suggestions Substituting ‘excess’ stock for other products Talking to other venues regarding possibility of exchange or sale Selling at a reduced price.
Secure new stock against damage and/or theft Keys to securing stock after delivery include: Move deliveries promptly out of delivery area to storage area/s Secure the delivery area Ensure stores areas protect from contamination Store stock safely Guard against theft (Continued)
Secure new stock against damage and/or theft Store food appropriately: Frozen food must be hard frozen (-15˚C to -18˚C) Refrigerated food at or below 5˚C Dry food in a designated dry goods store Store food separately from chemicals (Continued)
Secure new stock against damage and/or theft Rotate stock: Put new stock/deliveries behind existing items Place new stock under or below existing stock Use signs to indicate ‘new’ and ‘existing’/old stock (Continued)
Secure new stock against damage and/or theft Never place stock directly on floor Keep stores well-lit & ventilated Keep stores & fittings in good repair Conduct preventative maintenance in stores areas (Continued)
Secure new stock against damage and/or theft Check temperature of food refrigeration and freezer units twice per day Restrict access to stores areas Implement a ‘full box/carton policy No stock should leave the stores areas unless there is a Requisition form to track its movement.
Secure new stock against damage and/or theft The ‘requisition form’: Is an internal, hand-written form Is completed by departments when they want to order stock from central stores Details: Stock required – type/brand, quality and quantity Date Department requesting or requisitioning the stock
Summary – Element 1 When accepting delivery of stock: Check internally (with personnel, paperwork and systems) to identify expected deliveries for the day/shift Clean, tidy & prepare the receival area (& ancillary areas) to receive deliveries Check the delivery is intended for the business & not for another venue (Continued)
Summary – Element 1 Check the incoming stock against the accompanying paperwork Verify goods being delivered have been ordered Inspect the stock for quality & quantity Determine if there are variances between stock ordered & stock delivered (Continued)
Summary – Element 1 Determine if there are variances between stock delivered & items listed on delivery documentation Return identified items (such as ‘ullages’ & deposit-charged items) to supplier for credit Follow-up internally and/or with suppliers when there are discrepancies/problems with the delivery Take action to effectively manage excess stock Ensure new stock delivered into the premises is protected against damage and/or theft.
Store stock Performance Criteria for this Element are: Move stock to the required operational area Apply appropriate OHS skills Unpack stock items, as required Load stock into storage units Remove waste from the storage areas Label stock to identify items.
Move stock to the required operational area Stock needs to be moved promptly from the delivery area to: Make room for new deliveries Remove hazards Minimise risk of theft Reduce potential for damage to items Eliminate confusion Maintain food safety.
Move stock to the require operational area Stock may need to be transported to: Departments – working areas throughout the venue, such as: Bars Kitchens Housekeeping Storage areas – see following slides.
Move stock to the required operational area Storage areas include: Food stores Beverage storage areas Linen stores Chemical storage areas A central store for ‘miscellaneous’ items.
Move stock to the required operational area When determining the best and safest option for transporting stock, consider: Number of items to be moved Nature of the item/s Distance Terrain to be traveled.
Move stock to the required operational area Standard safety requirements when moving stock: Follow workplace SOPs Use common sense Take time Ensure safety of items being moved Move food promptly.
Move stock to the require operational area Stock movement and transport options include: Using trolleys Carrying by hand Re-loading into a vehicle Using pallet jacks Using fork lifts.
Apply appropriate OHS skills OHS includes ‘manual handling’ which involves: Listing Carrying Pulling Pushing.
Apply appropriate OHS skills Safe work practices include: Not overloading equipment or self Determining load characteristics Checking route is free of obstructions Using equipment when and where appropriate (Continued)
Apply appropriate OHS skills Comply with local OHS laws Apply correct lifting techniques Avoid over-stretching or over-reaching Observe weight and load sizes Avoid repetitive actions Wear protective clothing.
Apply appropriate OHS skills When using a trolley: Do not overload Put heaviest items on bottom level Push the trolley Never use a damaged trolley Select the right trolley.
Unpack stock items, as required When unpacking stock: Remove items from cartons or packaging Check quality of items as they are unpacked Check no pests are introduced Verify items are ‘fit for purpose’ Adhere to ‘full box’ policy.
Load stock into storage units When loading stock on to shelves: Clean the shelf Never over-stock or overload Rotate stock Check use-by and best-before dates of items being loaded as well as adjacent stock (Continued)
Load stock into storage units Store similar products together Load heavier items on low shelves Use ladders to reach high shelves Face labels to front Keep stock neat and tidy.
Load stock into storage units Stock may need to be stored in ‘bins’: These are not rubbish bins. A bin may be: A shelf A box or container A cupboard The ‘bin’ does not have to be an actual bin.
Load stock into storage units Special storage containers may be used to store stock: Made from plastic or metal They provide extra protection They optimise storage space They help identify stock items They facilitate access to stock.
Load stock into storage units When loading stock into special containers: Rotate stock Check and clean the container Verify integrity of container Make sure lid makes tight fit.
Load stock into storage units When storing food: Use containers made from food grade materials Cover food Rotate stock Keep clean Never store on floor Check for pests and rodents.
Load stock into storage units A dry goods store should: Be fly and vermin proof Be well lit and ventilated Never be over-stocked Fitted with close-fitting doors Enable cleaning under lowest shelves Use dedicated food storage bins Clean/sanitise storage bins between uses
Load stock into storage units When loading stock into refrigeration units: Check and verify temperature: 5°C or below Close doors between uses and while storing stock Do not overload Break big loads down into smaller units Protect food from contamination Separate potentially hazardous raw food from cooked or ready-to-eat food.
Load stock into storage units When storing frozen food: It must be kept ‘hard frozen’ Do not freeze hot food Never re-freeze thawed food Defrost regularly Close door/s when storing food Freeze small amounts, not large Follow food manufacturer’s instructions.
Remove waste from the storage areas To keep stores areas clean: Remove waste Undertake cleaning activities Identify and remove unfit food/items Apply environmentally-friendly practices.
Label stock to identify items Labels may be: Adhesive Computer-generated Hand-written.
Label stock to identify items Activities in labeling stock: Placing labels on stock/shelves Preparing labels Using bar coding equipment Observing food safety requirements.
Label stock to identify items Labels: Help identify or differentiate between stock items Facilitate correct placement of stock Provide information to staff about products.
Summary – Element 2 When storing stock: Move deliveries promptly to their designated storage area or required ‘working’’ department Treat all food deliveries with priority due to food safety concerns Take care when moving and storing stock to avoid damage to stock and injury to self Check quality of items when unpacking items (Continued)
Summary – Element 2 Load items into/onto designated storage units Keep stores areas clean and tidy by removing waste Re-use and recycle items as appropriate Label stock to facilitate identification, retrieval and stock management/rotation.
Maintain stock and storage areas Performance Criteria for this Element are: Rotate stock aligning with enterprise and stock item requirements Inspect stock and storage areas Take remedial action where stock related issues are identified Clean and tidy storage areas Identify stock usage rates.
Rotate stock Stock rotation must be applied to avoid: Stock loss Stock looking old & tired Damage to stock.
Rotate stock Stock rotation options: FIFO FILO LIFO LILO.
Rotate stock To apply FIFO stock rotation: Place new stock behind existing stock, and move existing stock forward Put new stock under old stock Create new stacks for new stock Log date of delivery on stock Check use-by and best-before dates on stock.
Rotate stock When rotating stock, also: Check dates on stock Check for pest infestation Check product quality.
Rotate stock Stock moved between departments must be recorded: On an ‘Internal Transfer sheet’ Showing date items were transferred Detailing the stock involved Identifying the departments involved.
Inspect stock and storage areas Inspecting stock and storage areas involves: Undertaking visual inspections Identifying stock approaching expiry dates Following internal inspection schedules & checklists Checking stock quality Looking for signs of pest infestation Ensuring stock is correctly placed, tidy & neat.
Inspect stock and storage areas Inspections can be combined with other tasks to save time & increase frequency of inspections. Inspections can occur at the same time you: Check stock to determine orders Load stock Check dates (Continued)
Inspect stock and storage areas Pick stock for issuing to departments Conduct stocktakes Perform pest control activities Cleaning and tidying the area.
Inspect stock and storage areas Never ignore an unacceptable situation: Take appropriate remedial or corrective action Dispose of damaged items Report issues Adjust internal records to reflect action taken.
Take remedial action where stock related issues are identified It is vital to take action to address any identified stock-related issue – possible action could involve: Notifying relevant personnel Arranging for internal or external maintenance Re-locating stock (Continued)
Take remedial action where stock related issues are identified Protecting stock Disposing of stock Arranging to use damaged items immediately Taking immediate on-the-spot action to address the nature of the issue causing the problem.
Clean & tidy storage areas General requirements include: Taking on-the-spot cleaning and tidying action to maintain storage areas Storing stock in storage areas as soon as possible Keeping stores well-lit and ventilated Keeping shelves in good condition Maintaining equipment in good order (Continued)
Clean & tidy storage areas Conducting preventative maintenance checks Checking temperatures of fridges & freezers Initiating preventative maintenance service Restricting access Closing & locking doors Developing & implementing a cleaning schedule.
Clean & tidy storage areas Report to others when: Plant & equipment is malfunctioning Indications of a security breach Collapse of shelving/storage equipment Situations where you are running out of storage space (Continued)
Clean & tidy storage areas Stock is moving fast or slow Accidents or near-misses have occurred Conditions impacting on stock quality have emerged Evidence exists stock is missing.
Clean & tidy storage areas Reporting of stock & storage problems should be made face-to-face or over the phone to: Supervisor Duty manager Owner Maintenance department. A ‘Maintenance Card’ may need to be completed where repairs are required to address the problem
Identify stock usage rates You may be required to identify stock usage rates: Not all venues do this Where usage rates are required, the usage rate for every item is usually not calculated.
Identify stock usage rates Usage rates may need to be determined to: Order stock to ensure no stock ‘outages’ Limit amount/value of stock-on-hand Compare trading periods Calculate business performance statistics Investigate business performance.
Identify stock usage rates Practices to identify stock usage rates include: Use experience and venue knowledge Referring to stock control/management system Referring to delivery documentation Analysing bin cards – see next slide Physically counting stock-on-hand Looking at best-before and use-by dates.
Identify stock usage rates Bin cards (stock control cards): Not used by every business One bin card per individual type/sort of item Record stock in and out; date and where it went Contain ‘additional’ information Are located with the stock items.
Summary – Element 3 When maintaining stock and storage areas: Ensure all stock is rotated according to the method/option appropriate for each item – FIFO is the most common Be alert to rotating stock in all areas of the venue – not just the dedicated stores areas Complete internal documentation/systems when stock is moved between departments (Continued)
Summary – Element 3 Complete internal documentation/systems when stock has to be discarded or returned to suppliers Combine tasks. Check use-by dates when checking quality, check for pest infestation at the same time and do all checks when counting items Conduct regular checks and inspections of all stores and all items in store Take immediate action where a stock-related problem is identified. If you cannot fix it, report it (Continued)
Summary – Element 3 Notify relevant personnel when a stock-related issue is identified Maintain stores areas in a clean and tidy condition following cleaning schedules, using checklists and implementing food safety protocols for the premises Determine stock usage rates in accordance with internal demands. Refer to systems, actual stock and relevant documentation to identify fast-moving and slow-moving items.
Finalize documentation and stock management system requirements Performance Criteria for this Element are: Check and verify stock related documentation Enter data into stock systems to update stock levels Authorise supplier documentation for processing and payment.
Check and verify stock related documentation There can be a need to check/verify: Purchase orders Delivery documentation Statements Credit notes Requisitions and internal transfers Bin cards.
Check and verify stock related documentation Checking prices can include: Checking prices charged by supplier against prices quoted/listed Checking current cost prices against previous cost price/s.
Check and verify stock related documentation Checking calculations can involve: Verifying extensions Ensuring correct tax has been charged Verifying totals and sub-totals Checking applicable deductions have been allowed Confirming correct application of ‘other charges’.
Check and verify stock related documentation Verifying documentation can include ensuring: Only ordered items have been delivered and will be paid for Items of invoices match items on delivery dockets Returned items have received credit notes The statement is a true reflection of purchases made and credit notes received.
Check and verify stock related documentation Record all identified errors or discrepancies: On the relevant document Explaining the nature of the problem Making a verbal explanation, where necessary.
Check and verify stock related documentation Make sure inducements from suppliers are treated as property of the venue. These may relate to: Free items Bonus products Gifts Samples. All supplier inducements must be given to management/treated as ‘bought’ items
Enter data into stock systems to update stock levels Stock control/management systems are used to: Identify theft Determine financial performance Limit inventory Ensure no stock outages Track buying & selling prices.
Enter data into stock systems to update stock levels Electronic systems are used by larger venues: May be dedicated industry-based software, or off-the-shelf systems adapted to individual need Are integrated with POS Come with training and user manual May feature a training section within the software to enable actual experience to be gained.
Enter data into stock systems to update stock levels When using an electronic system you need to know how to: Create files for new suppliers Enter supplier details Delete files/products Update data Adjust stock levels. Paper-based documents often form the basis of electronic entries
Enter data into stock systems to update stock levels Paper-based stock control/management system includes: Purchase orders Bin cards Requisitions Internal transfer sheets Sales dockets and POS documents Checks.
Enter data into stock systems to update stock levels Update the system when stock is: Ordered Received Moved to storage Issued (Continued)
Enter data into stock systems to update stock levels Returned to supplier Moved between departments Sold at a reduced price Given away Thrown out.
Enter data into stock systems to update stock levels There is also a need to update the system when: New stock lines are purchased Lines are quitted New suppliers are used Different types of the same product are bought There are changes to buying or selling prices. Accuracy when entering data is always more important than speed
Authorise supplier documentation for processing and payment Never pay cash for a delivery: Even if delivery driver insists Even when delivery driver points to COD paperwork Refer drivers to management if they persist The only exception is when directed to do so by management who have provided cash or cheque.
Authorise supplier documentation for processing and payment Activities in authorising deliveries for payment: Record and resolve all issues Double-check notations are able to be understood Ensure ‘outstanding’ stock has been received Record any action taken (Continued)
Authorise supplier documentation for processing and payment Match up relevant documentation Ensure correct prices have been charged Sign/initial documents according to house protocols Forward the documentation.
Summary – Element 4 When finalising documentation and stock management system requirements: Check all internal and external documents Verify all documentation, prices and calculations Compare prices charged against prices quoted Record variations, discrepancies and errors (Continued)
Summary – Element 4 Follow-up as required to resolve issues Update the stock control/management system to reflect changes in relation to stock-on-hand, suppliers, processes Always ensure accuracy of all entries made into the stock control/management system. It is more important to be correct than it is to be fast (Continued)
Summary – Element 4 Never pay for goods delivered unless specifically instructed by management to do so Ensure all documents are properly checked and verified before forwarding them to management/administration for processing and payment. Record any issues/problems on the paperwork before forwarding it Forward delivery documentation on a daily basis.