Hotel catering cost control and analysis Currently, the catering industry market competition is becoming increasingly fierce. In this context, the hotel catering industry to be invincible in the competition, it is necessary to target cost control according to their own operating characteristics, effectively strengthen cost management. First, the characteristics of hotel catering operation and the significance of its cost analysis (a) The diversity of catering product forms and the transient nature of production and sales are the difficulties of hotel catering cost control, specifically, they are mainly expressed in the following aspects: 1. The variability of catering revenues and the seasonality of the operation Catering revenues account for a large portion of the hotel's operating revenues Report on the Cost Control and Analysis of Hotel Catering Essay Report on the Cost Control and Analysis of Hotel Catering Essay on the Hotel Catering Cost Control and Analysis Essay Report Body At present, the market competition in the catering industry is becoming increasingly fierce. In this context, the hotel catering industry to be invincible in the competition, it is necessary to target cost control according to their own operating characteristics, and effectively strengthen cost management. First, the characteristics of the hotel catering operation and its cost analysis of the significance of (a) the diversity of catering product forms and the transient nature of production and marketing is the hotel catering cost control difficulties, specifically, they are mainly manifested in the following aspects: 1. Catering revenues of the variability and operation of seasonal catering revenues in the hotel operating income occupies a larger proportion. In China, the general tourism hotel catering revenue to account for 30-40% of the income of tourism hotels, good management can exceed the room income. Due to the catering department daily dining into the number and per capita consumption is not fixed, so its income is very variable; at the same time, the operation of catering has a strong seasonal, and its annual sales will change with the seasonal changes, the same sales business in the same day, but also has a significant difference. 2. short distribution chain Catering production is characterized by the first buyer after the production, catering sector to meet the needs of customers to process food into finished products can be quickly transformed into cash, due to its short product life cycle, catering sector is rarely ready-made products, some are just ready-made menu (Menu), to the customer to order food reference. 3. Difficult to predict a reasonable amount of inventory As the customer's taste is difficult to estimate, the design of the dishes do not meet all the customers, there is often a temporary ordering phenomenon, and ordering of randomness is strong, can not be predicted, which brings a certain degree of difficulty in cost control, do a good job of certain predictions and adequate storage of raw materials is very necessary. 4. Labor-intensive operations hotel catering industry is different from the manufacturing industry. Manufacturing industry due to the development of science and technology using automated production, and even the use of robots to replace the operation of the enterprise on the demand for labor has been sharply reduced, while the hotel catering industry is just the opposite, it is in order to meet the needs of customers in a timely manner at any time with a large and efficient workforce, in the fast-food restaurants, the cost of labor may be less than 20%, while in the club may be as high as 50% or more. The above characteristics of hotel catering operations determine the elasticity of the execution standards of manual intensive operations, the number and types of products sold are not fixed, and the reasonable amount of inventory is difficult to grasp. (ii) Hotel catering cost analysis refers to the use of hotel catering cost accounting information and other relevant information, a comprehensive analysis of hotel catering cost level and its composition of the changes in the study of factors affecting the rise and fall of hotel catering costs and the reasons for the changes, to find the rules and potential for cost reduction. Hotel catering cost analysis is a prerequisite for cost control. Through cost analysis can correctly understand and grasp the law of cost changes, and constantly tap the internal potential of the hotel catering; reduce catering costs, improve the economic efficiency of the hotel. Through the hotel catering cost analysis, you can effectively control the implementation of the cost plan and evaluate the implementation results. Affirmation of achievements, point out the problem, in order to take measures to improve the level of management services, for the preparation of the next cost plan and make new business decisions to provide a basis for the future of the hotel catering cost management to point out the direction of efforts. Second, the focus of the hotel catering cost analysis Hotel catering revenue generally accounts for about 30% -40% of the total income, becoming one of the main sources of income for the hotel, and its corresponding costs have become the main content of cost control. Hotel catering cost control should be based on cost analysis in order to put into practice, the following author mainly from three aspects of the focus of the hotel catering cost analysis. (A) the menu standard cost and the analysis of the actual cost in the catering department, the menu occupies an important position. The menu not only determines how to organize and manage catering operations, but also determines the degree of realization of catering objectives. For customers, the menu is by no means just a list of food offerings, the menu represents the operator's image; for food production staff, the menu determines which food must be prepared; for sales staff, the menu is the main internal marketing and sales tool; for cost control staff, the menu is the basis for cost analysis, the main means of cost control. When designing a menu, the chef must consider not only the interests of the customer, but also the financial objectives of the restaurant operation. Each menu dish must be equipped with a standard recipe that requires specific ingredients, the quantity of each ingredient required, the production process, the size of each portion and the corresponding equipment, side dishes, and other data required for food production. After the standard recipes and standard serving shares are determined, the standard cost per serving or the standard cost of the entire set of dishes can be calculated, and the standard cost of the menu is the basis for food and beverage cost analysis. Examples are as follows: 1. Banquet cost analysis The most common form of banquet is wedding banquet. Generally each hotel is equipped with a number of sets of wedding menu for customers to choose. Each set of wedding menu has a standard recipe, according to the standard recipe can calculate the standard cost of the menu. According to the menu of the banquet to determine the responsible kitchen. Wedding banquets are usually handled by the middle kitchen. The cost control department can compare the actual transfer cost of each banquet with the standard cost of the menu to determine the reasonableness of the transfer and the standardization of the operation; if the difference in the cost rate of each order is greater than 3%, there is basically a problem with the transfer of that order. In order to prevent the banquet hall as a garbage can, the need for some control of the transfer of goods, the main means of control is the banquet cost analysis, which can be based on the difference in the amount of difference and price difference analysis, to find out the existence of the problem. The formula for calculating the cost difference rate per single banquet is as follows: Cost difference per single banquet = actual cost of the single banquet - the actual number of tables × standard cost <1> Cost difference rate per single banquet = cost difference per single banquet ÷ actual revenue per single banquet <2> 2. Chinese cost analysis Chinese cost analysis is similar to the analysis of the cost of banquets, in order to simplify the work of the analysis can be done on a ten-day or monthly basis. According to the actual number of copies of each dish sold and the product of the standard menu cost to determine the standard total cost, the standard total cost rate and the actual cost rate of the difference between the rate of more than a certain ratio, the cost control there may be a certain problem, there may be operation is not in accordance with the standard implementation, there may be a certain amount of loss and waste phenomenon. This ratio should be determined according to the actual operation of the restaurant and in accordance with the principle of importance of cost control. If the guests' orders are standardized menu determined as 1% is also reasonable, some restaurants may be determined as 2%, 3% or even 5%. The formula is as follows: standard total cost = ∑ the actual number of copies of each dish sold × the standard cost of the dish <3> standard total cost rate = standard total cost ÷ standard menu with a standard recipe of the total revenue <4> cost difference rate = actual cost rate - standard cost rate <5> (b) the analysis of sales ratio of the composition of the restaurant cost is more complex, the operation of the elasticity of the larger. Different sales ratios of dishes will lead to different cost rates, which in turn affects the gross profit rate. The customer-oriented catering industry pursues not only customer satisfaction rate, but also high catering gross profit rate. How to match the ratio of dishes, how to price, how to market the dishes are a very deep learning, where the main focus on food sales ratio on the gross profit and cost of the impact of the rate as well as possible problems. 1. Food sales ratio analysis The restaurant operates three main categories of dishes, namely, high-grade dishes, such as shark's fin, bird's nest and abalone; mid-range dishes and low-grade dishes, such as vegetables, home-cooked food and ordinary snacks. According to the objectives of the hotel catering business and take into account the interests of customers, if the restaurant business is relatively stable, the average monthly income of D, D = R1 + R2 + R3, set the average cost of high-grade dishes for 50%, the income of R1, the average cost of mid-range dishes for 35% (budgeted cost rate), the income of R2, the average cost of low-grade dishes for 25%, the income of R3, we can derive an average gross profit margin of the The formula is as follows: the average gross margin of food % = 50% × R1/D + 65% × R2/D + 75% × R3/D = 75% - 10% × (2.5R1 + R3) ÷ D <6> According to the formula <6> can be concluded that: ① The higher the sales ratio of high-grade food, the lower the gross margin, followed by the mid-range food. ② If the average gross margin of the food budget needs to reach 65%, then (2.5R1+R3)÷D=1R2=1.5R1<7> turn ③ If 2.5R1+R3=D, so that R3=0 R1/D=40%<8> from the formula <7> it can be known that: in order to meet the business objectives, i.e., the cost rate of 35%, the sales ratio of a reasonable Should be, the sales revenue of mid-range products accounted for 1.5 times of high-grade products, if greater than 1.5 times, the cost rate decreases, and vice versa, the cost rate increases. From the formula & lt;8> can know: the proportion of high-grade products in the operation of the best not to exceed 40%, otherwise the food cost rate can not reach the business objectives, which is the theoretical basis for analysis, but also the guidelines for the operation. The actual analysis, the cost rate higher than 45% can be included in the high-grade products, analyze its proportion of total revenue and the degree of impact on the food cost rate, according to the results of the analysis of timely feedback to the hotel catering department. 2. Liquor sales ratio analysis Liquor sales ratio analysis is similar to the analysis of food sales ratio, according to the general operating principles, the cup of wine and beverages cost rate is lower, the cost rate of bottled wine is higher, so the sales ratio of bottles of wine and the cost of sales is the focus of the analysis. (iii) Analysis of inventory turnover ratio Inventory turnover ratio (times) refers to the ratio of the cost of sales of an enterprise to the average amount of funds utilized for inventory within a certain period of time, and is a comprehensive indicator for measuring and evaluating the management efficiency of various aspects of an enterprise such as the purchase of inventory, input into production and sales recovery. The formula is as follows: inventory turnover = cost of goods sold ÷ average balance of inventory <9> average balance of inventory = (opening inventory + closing inventory) ÷ 2 <10> According to the operating characteristics of the hotel, the hotel's inventory is not purely for the production and sales of reserves, some of them are additional items to serve the guests, such as free refreshments, beverages, drinks, and so on, included in the operating expenses items. Therefore, in order to accurately measure the efficiency of inventory management and calculate the number of inventory turnover, the formula needs to be improved, as follows: Inventory turnover = total number of shipments ÷ average balance of inventory <11> Average balance of inventory = (opening inventory + closing inventory) ÷ 2 <12> Measurement of the efficiency of inventory management needs to determine a certain standard, which needs to be based on the hotel's actual operating conditions. Situation, according to experience can be based on the average monthly use of inventory to determine a reasonable amount of inventory, if the storage of three kinds of goods, that is, inventory 1, inventory 2 and inventory 3, according to the actual use of the situation can be determined by the average monthly use of M1, M2 and M3, respectively, in order to meet the operational needs of the inventory needs to be maintained at the highest not more than 2.5 months of use, at least not less than 0.5 month's use, If the actual If the actual monthly inventory turnover deviates far from the standard turnover rate, there must be a problem with inventory management, the main problems are summarized as follows: 1. Higher inventory turnover, indicating insufficient inventory reserves, there may be out-of-stock losses, but also prone to complaints by the hotel and catering sector, especially the hotel and catering industry, the prime time for sales is usually in the evening, and in view of the domestic is not yet a very developed logistics and distribution system, often can not achieve zero inventory. 2. A low inventory turnover rate indicates a high inventory reserve and the likely existence of slow-moving products. As we all know, food products have a certain shelf life, and once they expire, they can no longer be used, so the risk of potential loss is also high. In order to prevent the loss of inventory due to shelf-life aspects, the management should regularly check the shelf-life of inventory, relying on advanced inventory management software to set early warning notices. In conclusion, in order to improve the management of hotel food and beverage operations, it is necessary to fully and effectively utilize cost analysis tools. In this which, the three aspects discussed above, including the menu standard cost and actual cost differences and analysis of operational issues, sales ratios and cost rates, gross margin relationship and its analysis, reasonable inventory turnover rate determination and the use of inventory turnover rate diagnosis of inventory management may be a problem is a key point of special attention and focus.