RECEIVING CONTROLS

RECEIVING CONTROL

The Primary task of receiving department is to ensure that the hotel is receiving the correct quantity and quality of articles and the articles supplied are charged allowing to contract rate.

Aims of Receiving –

1. The quality and quantity of goods delivered matches the quality and quantity which has been ordered. This means that all goods will have to be weight or countered.

2. The quantity of the goods delivered is in accordance with specification stated on the purchase order form.

3. The prices stated on the delivery note are in accordance with the prices on the purchase order form.

4. When quality of the food delivered in half accordance with the purchase order and items is committed form the order a request of credit note is prepared by the receiving clerk.

5. An accurate record is made in the goods receiving book regarding details of the delivery items.

Job description of Receiving clerk

1. He should have a complete knowledge of each item’s SPS.

2. He must ensure that the food receiving, matches the purchase order in terms of SPS, quantity and price. Also that the received should is fresh with optimum, shelf life.

3. He must be honest and reliable.

4. He must be willing to pay attention to details and will work toward achieving goods & objectives.

Receiving area is generally located at the back of the hotel. To perform the receiving tasks efficiently, receiving are should be –

Þ               Large enough to handle large quality of foods.

Þ               It should be cleanable and washable.

Þ               Comprises of loading clock, of the same height as the back of most trucks, where un-loading of goods can take place.

Þ               Area should be very will lit, with more focus on natural light.

Þ               Area should comprise of different requirements, which helps in receiving and storing goods.

 

Equipment's  used in Receiving department –

The equipment required by the department can be broadly divided into major equipment and minor equipment.

          

EQUIPMENTS
MAJOR	MINOR
Various weighing scales	Racks
Conveyer belts	Scientific equipments
Forklift trolley	Filling rocks
Trolley	Table and chair
	Telephone and intercom

·        Platform Scales.

·        Hanging scales.

·        Hanging racks.

·        Temperature meters or thermometers.

·        Stationary items such as forms, tags, rubber stamps, office stamps etc.

RECEIVING PROCEDURE

Delivery notes –

The receiving department must check all the delivery for quantity by comparing the delivery note with the copy of the purchase order. If all the quantities match up with the purchase order, the items are checked for quality. The delivery note is normally in duplicate the top copy is retained in the receiving department and the second copy is signed by the senior member of the receiving department and return to the delivery man. In case the quantity of the items delivered is less than that stated in the delivery note and when items are not acceptable the receiving department must obtain a credit note, usually in most of the hotel a printed slip request for credit is completed and signature of the delivery man are obtained, any changes to the delivery note must be counter signed by the delivery man.

If the supplier doesn`t supply delivery note for some reason, the delivery man must be asked to sign a dummy note which can be drawn up. When the goods arrived the copy of the delivery note must be signed and the goods put into the store and entered in the bin card.

The original of all delivery notes must be passed on to the Food and beverage controller. Finally these are send to the ledger were all invoices will be attached with the respective purchase order forms and delivery notes.

 

DELIVERY NOTE

VERKA  CO-OPERATIVE DELIVERY NOTE CUSTOMER’S COPY TO........................                                              NOTES                                                                NO..................      ........................                                              .......................                                                  DATE...............      ........................                                              .......................
ORDER NO.	QTY	DESCRIPTION	UNIT  VALUE	REMARKS
DELIVERED BY:                                                                                                            RECEIVED BY:  SIGN:                                                                                                                            SIGN:

 

Bills or Invoice – Is a document which is given by the supplier to the receiving clerk in accordance to the goods supplied to the hotel. The invoice comprise of the following information.

1.      Date 2. Steward name 3. Received 4. Verified 5. Prices 6. Okay for payment.

The stamping of an invoice is useful for the following reasons –

1.      It provides verification of the date on which food items have been received. It provides sign of the receiving clerk and vouchers for the accuracy of quantities, qualities and prices.

2.      It facilitates the food and beverage controller verification of the invoice.

3.      It provides for the signatory approval of the bill for the payment by an authorized individual before a check is drawn.  

 

DELIVERY   INVOICE

VERKA  CO-OPERATIVE No.....                                                                                                                                                DATE..............             TO HOTEL IHM
QUANTITY	UNIT	DESCRIPTION	AMOUNT	TOTAL
RECEIVER’S SIGN:                                                                                                         SENDER’S SIGN:

 

Credit Notes - When the delivered items doesn`t confirm with what appear in the invoice in quality, quantity, specification of price and all the parts of the items are written. A credit note is made in triplicate. Distribution of copies is as follows-

1.      The original copy is delivered to the purveyor.

2.      One copy is delivered to the food and beverage controller who sends it to the accounts department.

3.      One copy is kept on file in the receiving department.

Each number and accounts for. If one note is to be made it must be clearly stated on the original register and two copies, the original and the one copy are send to the accounts departments and one copy is retained in the receiving department.

CREDIT MEMO

HOTEL IHM Request for credit note TO..............                                                                                                                        NO........      ...............                                                                                                                       DATE..............     ................
Please issue your CR. MEMEO for items below					COST
S.NO.	UNIT/WT		PRODUCT		UNIT		TOTAL
1. 2.	2 kg 2kg		Mutton Minced meat		200 250		400 500
REASON       1.Mutton not delivered but invoiced                       2.Minced meat not as per SPS
F & B CONTROLLER		A/C DEPT.		VAN DRIVER		REQUESTED BY

 

 

 

 

Records Maintained in the receiving Department –

All the purchases are broken down into the following categories and recorded in a daily receiving report or book.

1.      All dairy products, breads, ice cream, fresh vegetables and fruits etc.

2.      Storeroom purchase- canned goods, all tagged meats and fish items, butter and eggs.

3.      Sales tax will be recorded in a direct column.

4.      Credit and direct adjustment are recorded under the category concerned.

 

GOODS RECEIVING BOOK

HOTEL IHM                                                                                                                                DATE....................
DELIVERY INVOICE NO.	SUPPLIER		MEAT Rs		FISH Rs	VEG Rs		POULTRY Rs		DRY STORE Rs	TOTAL
GRAND TOTAL(Rs)

 

Daily Receiving form or report - Consist of quantity of the product, description of the supplier, unit price, temperature of the product, nature of the product weather dairy, grocery or perishable. The sales tax applied on the product and the product order number.

 

DAILY RECEIVING REPORT

HOTEL IHM                                                                        D R R                                                 DATE............
S.NO.	ITEM	QUANTITY	QUALITY	DESCRIPTION	INVOICE NO.	SUPPLIER	UNIT PRICE	TOTAL	REMARKS
NOTE: Mention on whether for direct purchase or store room purchase.                                                                                                                  SIGNATURE..................                                                                                                                                    RECEIVING DESK........

 

Receiving Procedure

The receiving dept must none purchase order’s copy along with the SPS, delivery date and time, suppliers name and address.

Step I

Verify the quantity, quality, price for

Each product with purchase order and

Contract rate.

1.       Matching delivery note and purchase order: me delivery note send along with the supply is checked against the purchase order and SPS, to ensure goods are supplied in right quantity and quality. It there is any discrepancy, it should be brought to the notice of supplier.

2.       Checking quantity with the quality ordered by weighing or counting. Care must be taken to present being cheated of () Kg. Any shortage should be () intimated to supplier, purchase officer and entry is mode.

3.       Checking quality with SPS. In case of branded items, brand must be checked.

Step 2

Stamping of invoice or Issuance of credit note.

After cross checking of invoice, similar to a bill, with purchase order duplicate copy is stamped and original is retained.

In case of discrepancy, a credit note is prepared and is signed by delivery man. A copy of it is send to supplier, through delivery man, one copy to purchase dept, one copy to accounts, one to control dept and one copy is retained.

Step 3

                  All Invoices, credit note and other documents are listed and kept in proper file or entered directly in computer.

Step 4

                  All papers are forwarded to proper personal.

Step 5

                  Goods are send to the appropriate storage area or to the concerned dept.

Receiving Rules –

             Delivery note must accompany goods.

             All goods must be checked for quality and quantity.

             No hurry should be made while inspecting goods.

             For shortage/rejected supply, a credit note with fine copies is made and is send to concerned people i.e. supplier, purchase dept. accounts, control dept, Receiving      dept.

             Goods receiving are recorded in goods received book.

   Goods are send to the store or to the dept which has placed the order as per     management policy.

• Daily Receiving Report (DRR)

             DRR is prepared by receiving clerk who merely record data from each in voice in appropriate columns in the report and enters the total for each invoice into one of 3 columns under general leading purchase distribution : (i) Food Direct (ii) Food Store (iii) Sundries.

(i)          Food Direct/Direct Receiving

                    Those foods which are extremely perishable and hence purchased on a daily basis, for immediate use e.g. Fresh fruit & vegetables, dairy products etc. As these items are purchased for immediate use, they are considered issued as soon as they are receiving and are  in food cost figures on the day of day of delivery.

                     Therefore, direct are those items that will be issued and charged to food cost as received.

(ii)         Food Store/Store Receiving

                    Those food items which can be held in store and has longer shelf life e.g. Groceries, Frozen meat etc. These items are purchased on the basis of anticipated needs and kept in inventory till they are needed when need arises they are released from the inventory issued to particular department.

                    Therefore, stores are those items that will be charged to food lost as and when they are issued from store for consumption.

• Meat Tags –

In the majority of catering establishments such items of food as meat, special processed meats such as ham, fish. Such as smoked salmon, constitute the most expensive of the purchased foods because of this high cost it is not uncommon for units operating detailed control system to setup a form of special control of these items. Tagging expensive food serves many purposes-

1.     It aids the control of expensive food.

2.     It requires the receiving clerk to weigh and record each item and to check against the specific purchase specification weight range.

3.     It assists in obtaining a more accurate daily food cost percentage figures.

4.     It assists in controlling the stock levels of these items.

Uses of tag/tagging expensive food serves many purposes

(i)          It ensures that receiving officer actually weights and checks and every individual       items.

(ii)         The reference number is issued and this helps in yield testing, portion control and    control of food cost.

(iii)        The weight of expensive item is taken and is compared with purchased specification and supply order/purchased order.

(iv)        The date on which the item is received is mentioned and this helps kitchen and store      for efficient rotation of stock.

(v)         Portion of tag is send to control department before issuing them to the kitchen for     control purpose.

 

 

 

Meat Tag No…………….

Item - Cut - Total weight - Post/kg - Supplier Name - Date Received - Date Issued -

Food Control copy ------------------------------------------------------------------------------- Meat Tag                                             No………………….

Item – Cut – Total weight - Post/kg - Supplier Name - Date Received - Date Issued -

Food Store copy Send to food control on day of issued to kitchen

 

 

 

 

 

Operation for tagging expensive item

(i)          On receiving the item they are checked against purchase specification as to being acceptable or not.

(ii)         If suitable, a tag is made out for each item received, with the main information taken from invoice. The weight recorded on tag being obtained by actually weighting each item individually.

(iii)        The tag is then separated along with perforation with the control office copies being sent direct to control with the invoice and kitchen copy being attached by string or wire to the food item.

(iv) When item is issued to the kitchen for use, the tag attached to the item is removed and sent to control with the date of issue filled in.

(v) The control office, operate a Reconciliation of meat tag i.e. recording the tag received from receiving dept. and kitchen. Thus the total value of tags of each specific expensive item would be known for -

Receiving procedure – Efficient operation of receiving department will provide a good link in the food control cycle and profitable result of the purchase manager efforts in preparing purchase specification, negotiating prices and trading terms with the suppliers. In order to ensure adequate control at the receiving stage, the following routine must be carried out.

1. All goods must be weighted or countered or measured.

2. All delivery must match the quality of goods delivered in accordance with the specification.

3. Checking of price as per the pre-order form.

4. In case the quantity and the quality of the items delivered is not according to the purchase order or there is a short supply of items a credit note is to be raised. In case this happens with daily delivery of perishables, the purchase officer must be immediately informed, so as an alternative source of supply could be found.

5. Maintain suitable record for all items received such as daily receiving report (DRR).

6. Daily receiving report is prepared in duplicate. One copy is retained by the receiving department and one is given to the accounts department to check against the invoice before payment is made. In large establishments a third copy could be prepared for the purchase department for monitory supplies.

7. Receiving section will give the goods received to the concerned departments.

8. The responsibility for quantity inspection is usually performed by the receiving department.

BLIND RECEIVING

•        In this there is no invoice accompanying the delivery.

•        Regular invoice is prepared but the copy is directly mailed to the hotel accounts dept. the list will accompany the actual order; it may also indicate the total.

•        The receiving has to make a complete list of each item by counting or weighing and recording each item.

•        This method forces the receiving to do the job carefully and accurately. They cannot blindly sign the invoice without actual inspecting the merchandise.

•        After physical counting the   finished record is send to the accounts. The accounts in turn compares to the invoice send by mail. The accounting dept. has to check for the prices and extension as done in standard receiving routine. 

•        The stores again on receiving the blind goods recounts and re-measures it. The details of the goods received are entered in the in “Receiving returns” in triplicates. 

Advantages:

}  It is an excellent method.

}  Gives the best possible control

}  Accuracy is maintained. 

Disadvantages:

}  It is time consuming

}  It puts extra burden on the sender as he has to make one list for receiving dept at the same time an accounting invoice for the accounts dept.

 

BLIND RECEIVING REPORT

HOTEL IHM   NAME & ADDRESS OF THE SUPPLIER                                                                               NO......                                                                                                                                                 DATE...........
S.NO.	ITEM	UNIT	QUANTITY	DESCRIPTION	REMARKS
SIGN(RECEIVING CLERK)                                                                                          STORE KEEPER

 

Assessing the performance and efficiency of receiving department -

The receiving department is sending a copy of the purchase order form which lists the goods to be purchased but does not show the quantities of such goods. All invoices and delivery notes are sent to the accounts departments. Thus, the receiving department has no access to the documents since the receiving department is required to record the quantities of all incoming goods, there is no alternative but to count and weigh all goods received. Blind receiving is also a very efficient way to check the efficiency of the receiving department.

 

FRAUDS IN THE RECEIVING DEPARTMENT:

v Packing goods in excessive moisture, wrapping in ice to make weighing more difficult and to add more weight.

v Placing satisfactory goods on the top level that is visible, but inserting goods of poorer quality underneath.

v Not sending the grade specified in the hope that it will not be noticed.

v Sending incomplete shipments with the full bill, and neglecting to send the remainder.

v Supplying goods of short weight.

v Charging for the boneless meat but leaving the bones inside. Larger bones are then specified or leaving excessive fat on the bone.

v Using excessive packaging to increase weight.

v Trying to get receiver to make a bulk weight for all the items under the pretend of saving time.

v Delivering goods directly to the kitchen without passing it through receiving department.

v Allowing deliveries to be placed directly from the van into storeroom without checking quality and quantity in the receiving area.

PREVENTIVE MEASURES

1.     Have different people to receive and purchase, unless the owner/manager perform both the duties.

2.     Training the employee to receive properly.

3.     To the maximum extent possible, schedule the delivery time at slow times. So that receiving personnel who may have other duties have time to receive properly and correctly.

4.     Have deliveries made to specified area of establishment and be sure receiving scale and other equipments are available and are used.

5.     After receipt/receiving, immediately move products to storage. Chances for employee theft increase, the larger the products remain unattended.

6.     Do not permit delivery personnel to access the back house area or the production area.

7.     Lock the outside door. Install an outside signal or CCTV so that the delivery personnel can ring when they arrive.

TO ENSURE ADEQUATE CONTROL FOLLOWING ROUTINE TO BE CARRIED OUT:

o   All good to be counted, measured or weighed.

o   All deliveries to match the quantity ordered.

o   Inspect and check the quality of goods delivered in accordance to specification

o   Checking the price according to the pre-order.

o   Proper credit note to be issued in case of short delivery, spoilage and any pilferage.

o   D R R ( daily receiving report) to be maintained for all items received

o   G R R  ( goods receiving report) to be maintained by the receiver in duplicates.

o   All items should be opened to ensure that the quantities are same to that ordered.

o   Receiving section will then send the goods received to appropriate section / store.

o   Stores will receive the goods blind and reweigh / recount/ remeasure the goods received.

 

HYGIENE AND CLEANLINESS OF AREA

·       The facilities and equipment should be arranged so that receiving area can easily be cleaned.

·       Adequate screening and fly protection should be provided at receiving area.

·       Professional pest control services should be hired for sanitation practices.

·       Periodical cleaning of the receiving area should be carried out after every receiving of the goods.