What is food label and its importance?
The food label is an important communication tool that provides consumers with information about a product’s composition, nutritional profile, and quantity of contents so that they can make product comparisons and selections.
What is stock rotation and why is it important?
Stock rotation is quite simply the practice of using products with earlier use-by-dates first and moving those with later dates to the back of your shelves. This ensures that food is sold and used within its shelf life and helps you prevent costly waste.
How is stock rotation defined?
(Retail: Merchandising) Rotating stock is a system used especially in food stores and to reduce wastage, in which the oldest stock is moved to the front of shelves and new stock is added at the back. Stocking new merchandise behind or in place of old merchandise is known as rotating stock.
What is the importance of stock rotation in pharmacy?
To rotate stock means to arrange the oldest units in inventory so they are sold before the newer units. For example, a grocery store will restock its shelves by putting the oldest units in the front part of the shelves. The reason to rotate stock is to reduce the losses from deterioration and obsolescence.
What are the rules of stock control?
Stock control is a term used to describe the measures taken to ensure that food is not kept beyond its shelf life. Stock control is important because if high risk food is kept too long, even under favourable conditions, harmful bacteria may multiply.
What are the reasons why a restaurant need to have a stock control system?
These systems enable the restaurant to have a much tighter and more accurate control over the inventory on hand and the costs of that inventory. Having access to information such as ordering history and the best price paid is just one of the benefits of these systems.
Why is stock control important?
The purpose of stock control is to reduce the costs of holding stock while ensuring you can meet customer demand and making sure that there’s enough material for production. Businesses should always have a ‘safe’ amount of stock so that they’re able to react and cover any unforeseen issues.
What is the order decision rule?
T. = Place an order every (T) periods. The Q, R rule is commonly known as the order point rule, where an order for a fixed quantity is placed when stock levels reach a reorder point.
Which cost is useful for decision making?
Future costs and revenues that do not differ between alternatives are irrelevant to the decision-making process. Opportunity costs also need to be considered when making decisions. An opportunity cost is the potential benefit that is given up when one alternative is selected over another.
What are decision rules Why are they necessary?
Decision rules play an important role in the theory of statistics and economics, and are closely related to the concept of a strategy in game theory. In order to evaluate the usefulness of a decision rule, it is necessary to have a loss function detailing the outcome of each action under different states.
What are the three areas for inventory objectives?
The three decision rules for inventory control are objectives, restraints and variables. Determining these in the context of inventory control will help organisations to establish protocols that will govern how they can then deliver on customer expectations.
What is the basic purpose of inventory?
The basic purpose of inventory analysis in manufacturing and stockkeeping services is to specify (1) when items should be ordered and (2) how large the order should be. One of the basic purposes of inventory analysis in manufacturing and stockkeeping services is to determine how large the orders to vendors should be.