Food-Service-Manual-for-Health-Care-Institutions

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Food Service Manual for Health Care Institutions 578 supplier knows relatively far in advance that certain food services will be needing specific products; thus, the vendor can buy from wholesalers in larger quantities. Certain disadvantages can arise from relying on one vendor exclusively. For one thing, backup suppliers might be difficult to find should the single-source vendor fail to deliver the supplies ordered. For another, the quality of available foods might be inferior or inconsistent. For larger food service departments, the number of distributors able to supply one-stop services may be limited; nonetheless, the supplier pool for this service provision is definitely growing. The effectiveness of one-stop purchasing is directly related to the efficiency and credibility of the supplier. Most food service departments generally have found this method to work satisfactorily. Prime Vendor Agreements The prime vendor method involves a formal agreement between the food service department (buyer) and one vendor (supplier) whereby the buyer contracts with the vendor to supply a specified percentage of a given category (or categories) of product. The percentage ranges from 60 to 80 percent, with 80 percent being more common today. The prime vendor contract, also referred to as a systems contract, includes an agreement to purchase certain items for a specified time period and frequently specifies a minimum quantity of any or all items to be ordered during the contract period. The steps involved in establishing a prime vendor relationship are outlined below. The bidding system is similar to contract purchasing, which is discussed later in this section. • The buyer completes an ABC analysis of purchases to determine which items make up the majority of purchases (see Chapter 18). • The food service department solicits bid proposals from several distributors for an estimated committed volume (annual or monthly usage); product specification; and designated delivery, services, and inventory. • The food service director (or other buyer) reviews the bid and determines the lowest bidder that meets all criteria. • The buyer negotiates and awards a contract. • The food service department (through the director or other channel) provides feedback to the vendor on quality of service, delivery, and products. The food service representative can require the vendor to “open the books” and provide information on the structure of its cost and pricing data if this privilege is a condition of the contract. It is imperative that the purchasing agent continue to track prices and market conditions. • The buyer develops secondary sources for products and supplies. The benefits of a prime vendor agreement are increased competition and lower prices; reduced cost of inventory, space, and order processing; and availability of value-added services. One value-added service that many health care food services use is computer systems provided by the prime vendor that allow the food service operation to place orders, obtain current price information and availability of products and supplies and product information (including nutrient analysis), and implement menu-planning and merchandising ideas. Some prime vendors provide a variety of software programs to their customers. Disadvantages include potential gradual price increases, a decrease in competition, and a limited number of vendors with whom the operation conducts business. A reduction in service level can occur, especially in areas where only a limited number of vendors are available to conduct business. For the concept to be effective, continued enhancement of the vendor–buyer relationship is essential. The buyer must treat the DSRs and individuals delivering the product as partners rather than adversaries. Prime vendor contracts are also used in group purchasing.
Just-in-Time Purchasing Just-in-time (JIT) purchasing is a production planning strategy adopted by many manufacturing firms. The process involves purchasing products and supplies in the exact quantity required for a production run or limited time period and only as they are needed (“just in time”). Distributors deliver small quantities of supplies more frequently, and deliveries are timed more precisely based on production demand. Thus, JIT purchasing has an effect on both purchasing and inventory. Three goals are achieved with the JIT purchasing process: Inventory is decreased significantly, as are related costs; space management is simplified; and problems must be resolved immediately as they occur. Unlike the manufacturing industry, each day food service operations produce a large number of perishable products in smaller quantities. The effectiveness of JIT purchasing warrants investigation because of potential cost reductions. The ability to implement this method depends on several factors. These include complete support and cooperation of suppliers, the commitment of all employees (including top administrators), accurate production demand forecasts, and changes in most aspects of the operation from menu planning through final service. Locating food service distributors willing to provide frequent deliveries may be a challenge to some buyers, given that most distributors are requesting that customers accept fewer deliveries so as to decrease costs. Like the prime vendor concept, JIT purchasing requires building partnerships with distributors, and the adoption of the JIT-purchasing philosophy could require a change in attitude regarding quantity of supplies to maintain in inventory. JITpurchasing practices emphasize ordering small quantities rather than storing large quantities just in case additional product is needed. Centralized Purchasing With centralized purchasing, the most common method of purchasing used in health care institutions, a separate department in the institution specializes in purchasing the materials and supplies needed by the institution’s various services and departments. In this system, the food service director (like all other department heads) requisitions supplies from the purchasing department. Only representatives from the purchasing department deal directly with outside vendors and suppliers. Vendors have direct contact with end users of the supplies only if new products or services are being brought into the purchasing system. In many institutions that use centralized purchasing, the purchasing department also handles receiving and storage rather than the individual departments that use the supplies. Contract and Noncontract Purchasing Two other general methods of buying are contract purchasing and noncontract purchasing. Contract purchasing (sometimes called formal buying) involves a binding agreement between vendor and purchaser. With this process, food service directors develop written specifications for each product and an estimate of the quantity needed for the designated bid period. A written notice of requirements, or a bid request (Exhibit 17.4), is made available to vendors, who are invited to submit price bids based on the quality and quantity needed. The bid request includes instructions about the method of bidding, delivery schedule required, and frequency of payment; when the date bids are due; the basis for awarding contracts; and any other information needed by buyer and seller. This process may be formal, with notices of intent to bid published under “legal notices” in the local newspaper. Alternatively, it may be informal, with copies of the bid distributed widely through the mail or by other means. Purchasing 579
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Food Service Manual for Health Care
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Contents Figures, Tables, and Exhib
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Figures Figures, Tables, and Exhibi
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8.3. Excerpt from a Performance Eva
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19.1. Flow of Products in Food Serv
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6.2. Sample Job Description and Job
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Foreword It is truly an honor for m
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Preface The health care environment
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Acknowledgments The following indiv
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Introduction This edition of Food S
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Chapter 14 explains safety, securit
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Part One Management of the Food Ser
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Chapter 2 Leadership: Managing for
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oriented or people oriented and tha
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in an orderly manner, to manage the
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so as to anticipate and plan for fu
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Planning Through planning, the futu
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Reward or punitive power is the str
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• Building a team mind-set • Co
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of these three factors jeopardizes
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McClelland claims that “in some b
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• Define limits of what situation
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who have seen programs, processes,
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Leebov, W., and Scott, G. Health Ca
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Chapter 4 Quality Management A prim
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Figure 4.2. Deming’s PDCA Cycle A
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Move to CQI in Health Care The term
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care. Often these choices conflict.
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Supplier Partnerships A customer or
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analysis. Key benefits to having a
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Exhibit 4.1. Team Documentation For
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Figure 4.3. CQI Flowchart Quality c
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Exhibit 4.2. Inspection Criteria fo
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Once the departmental strategy is w
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Before hiring a consultant, managem
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selected for the issue in question.
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Figure 4.6. Cause-and-Effect Diagra
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not identical. CMS standards vary i
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the concurrent stay using critical
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Garvin, D. A. Managing Quality: The
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Chapter 6 Organization and Time Man
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Figure 6.1. Functional Organization
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Process departmentalization allows
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Characteristics of High-Performance
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outcome. Team building should conce
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necessary to assure that food servi
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Figure 6.4. Organization of a Small
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Figure 6.9. Organization of a Food
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skilled-nursing unit in the hospita
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service operations other than the c
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Distributing Authority Authority, t
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• What types of service does the
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Exhibit 6.1. (continued) Why? Which
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Exhibit 6.2. Sample Job Description
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equires, and the best means of moti
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Calculating FTE Needs Full-time equ
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Exhibit 6.3. Sample Productivity Fo
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Figure 6.10. Example of a Daily Sch
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Figure 6.12. Example of a Work Sche
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Figure 6.13. Example of a Manager
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Figure 6.14. Example of a Food Serv
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Lane, B. Managing People. Sunnyvale
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Chapter 9 Clinical Nutrition Care M
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Planning As already shown, a manage
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• Room service for inpatients and
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Figure 9.2. Organizational Chart—
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among professional staff whose memb
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Designing a Nutrition Services Paym
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Nutrition service professionals can
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Figure 9.4. (continued) Food histor
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Figure 9.6. Goal of Nutrition Scree
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Table 9.3. Physical Signs Indicativ
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• A constant and valuable source
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earlier, the patient may need to be
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• Assessment: what the data mean
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• Gives patients greater protecti
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Chapter 10 Management Information S
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Elements of an MIS In addition to t
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automatically to report all vending
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Usually, systems investigation is t
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Function Function refers to the spe
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located in a relatively clean envir
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Figure 10.2. Sample Purchase Order
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Figure 10.3. (continued) Inventory
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Figure 10.5. Beef Barley Soup, Scra
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Patients’ tray cards can be print
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een entered into the menu, each ite
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Bibliography Alexander, J. Selectin
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Excerpt from Annual Food Service De
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Sample Monthly Operating Statement
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Labor Cost Analysis 334 Figure 11.5
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336 Exhibit 11.6. Example of a Mont
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Part Two Operation of the Food Serv
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352 Exhibit 12.2. Selection of Wast
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354 Exhibit 12.4. Selection of Wast
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Figure 13.6. HACCPs for Cook-and-Ch
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Restaurant-Style Health Care Menu f
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Chapter 16 Product Selection Produc
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Figure 16.2. Procurement Subsystem
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The USDA organic seal appears on fo
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Figure 16.5. Grade Stamps and Inspe
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A carcass of good grade is blocky a
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e accomplished by scalping, which p
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Table 16.1. (continued) Meat Descri
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harvesting and processing. This tas
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Poultry Poultry products or domesti
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Appendix 19.1 A Culinary Glossary
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Hors d’oeuvre Side dish or relish
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Chapter 20 Distribution and Service
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• What is the best type of servic
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Figure 20.1. Typical Tray Makeup Li
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Tray Delivery Because the point of
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quality. In recent years, food serv
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carrying their filled trays to thei
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plate is not used. Place coffee or
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minimized. The type of meal service
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Standards that should be monitored
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Exhibit 20.2. Sensory Assessment fo
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Herz, M. L. Analysis of Alternative
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Index A ABC method, 603 Absenteeism
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CDC (Centers for Disease Control an
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Delivery of products, 575-576 Deman
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Exit interviews, 239, 240e Exotic v
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described, 461; developing, 461-463
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Horizontal communication tract, 194
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Main-dish salads, 652 Maintenance-m
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Nutrient analysis, 296 Nutrition aw
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PERT (program evaluation and review
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(1993), 4, 203; Federal Employee Po
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Standing operational planning. See
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Waste audit, 349 Waste-handling equ
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