Set pars from usage and the delivery schedule, and see exactly what to order, rounded to full cases.
Weekly usage and on hand in the same unit (pounds, each, bottles, cases). Case size is optional and rounds the order up to full cases.
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It sets a par level for each item from how much you use, how often you get deliveries and how long an order takes to arrive, adds a safety stock, and tells you what to order today based on what is on the shelf, rounded up to full cases. It works for the kitchen, the bar and dry goods.
Enter the days between deliveries for this vendor, the lead time from order to delivery and a safety stock. Use one vendor at a time, because each has its own schedule.
For each item, enter the weekly usage from your counts (opening plus received minus closing), what is on hand now and the case size.
Order from the table, then put the pars on the order guide so the next person orders the same way. Review them monthly against usage.
Daily usage equals weekly usage divided by 7. Par equals daily usage times (days between deliveries plus lead time), times one plus the safety stock percent. Order quantity equals par minus on hand, rounded up to the case size.
Example: chicken breast at 180 pounds a week is 25.7 pounds a day. With deliveries every 3.5 days, a 1 day lead time and 15 percent safety stock, the par is 133 pounds. With 40 pounds on hand and 40 pound cases, order 93 pounds, so 3 cases.
Base pars on counted usage, not on purchases. Purchases include the week you overbought; usage from a count is what actually left the shelf. The inventory guide covers the count.
Set lower safety stock on perishables and higher on items where running out hurts the menu. Produce that sits too long becomes waste, which is food cost.
Adjust pars for the season and for events. The bar inventory guide covers bar pars, which work the same way by bottle.
Par level equals average daily usage times the days the stock has to last (the days between deliveries plus the delivery lead time), plus a safety stock. If you use 180 pounds of chicken a week (25.7 a day), get deliveries every 3.5 days with a 1 day lead time and keep 15 percent safety stock, the par is about 133 pounds.
Order quantity equals par minus what is on hand at the time of ordering, rounded up to the case size. With a par of 133 pounds, 40 on hand and 40 pound cases, you order 93 pounds, which is three cases.
Usually 10 to 20 percent of the usage between deliveries for core items, more for items with unreliable delivery or big swings in demand, and less for perishables that cannot sit. Safety stock that never gets used is cash sitting on the shelf.
Review pars monthly and whenever the menu, the season or the delivery schedule changes. A par set for summer patio volume will overstock the walk-in in January.
A par is the level you order up to at each delivery. A reorder point is the level at which you place an order between scheduled deliveries. Most restaurants on a fixed delivery schedule use pars; reorder points suit items you can order any day.
Keep pars and orders for every vendor in one workbook with the Restaurant Inventory and Ordering Guide, or the Bar Inventory Par Sheet and Order Guide for the bar.
Check your food cost Read the inventory guideRules of thumb only. Results are estimates and not financial advice.
