Product ID Test 2
What is the diff. between a trade show and a vendor-sponsored event?
A trade show has competitors; a vendor-sponsored event promotes one purveyors products
Why would a purchaser avoid ordering a split case?
An add-on charge is likely to be incurred
What is meant by the concept of "preferred vendor"?
Approval vendors with the highest rating
What is the purpose of a Vendor Sourcing Form?
Assess potential benefits of a specific vendors
Less time for purchasing and receiving, along with reduced unit cost at come with volume, are advantages of which kind of vendor?
Broad-line
Which alternative purchasing source offers a wide variety of products, perhaps hundreds or even thousands?
Broad-line vendors
When might a purchase opt to purchase larger-than-usual quantities?
Close-out sale
What refers to ta purchasing method involving several operations that combines orders for a similar quality of products and then submits one order to a vendor?
Cooperative buying
What is a purchasers most immediate contact with the vendor?
Distributor sales representative
What refers to activities related to buying and selling products and serviced through online sources?
E-commerce
What refers to a purchasing method that is computerized and involves the use of mathematical calculations to analyze cost related to various factors?
Economic order quantity
What would be the advantage of purchasing quantities of parts and supplies that are being discontinued?
Expand useful life of equipment
What refers to that which owns and manages a brand and sells the rights to use its name. trademarks, and operating systems?
Franchisor
What sorts of problems arise when products are purchased in larger quantities than necessary?
Greater risk of employee theft or pilferage
What are benefits of effective vendor servicing decisions for the buyer?
Improve purchasing decisions and vendor relationships
What refers to a system in which a purchaser has a long-term commitment with a vendor to make a frequent product deliveries?
Just-in-time
What refers to the number of purchase units typically used between placing and receiving the order?
Lead time
What are sources of info about future sales trends that could affect purchasing?
Local media and trade or business associations
What refers to the percentage of customers likely to order specific menu items?
Menu item popularity index
Does the purchaser use the same procedure to determine purchase quantities for all products in the operation?
No; perishable products are purchased more often that nonparishable
How are sales histories used to determine purchase quantities?
Number of each menu item sold plus estimated customer count equals quantity to order
What kind of relationship is considered optimal to cultivate with the vendor?
One that resembles a partnership
What refers to a system in which there is a specific quantity of products that should always be in inventory?
Par level
What refers to reductions in processing fees that credit and debit card issuers charge to those accepting payment cards?
Payment card discounts
What sort of items is the Par level inventory system often used for?
Perishable, alcoholic beverages and linen
What refers to a cash fund used to make infrequent and low-cost product purchases?
Petty cash system
What do many purchase consider to be the most important and the most useful info source regarding vendors?
Previous experience
Which statement is accurate regarding the purchasing function supply sources for a unit in a multi unit franchise?
Product consistency between properties is necessary
What are the two basic types of vendors avoid ordering a split case?
Products routinely purchased and one-time or infrequent need
What refers to the minimum number of purchase units that must always remain in inventory in case of late deliveries or unexpected increases in product usage rates?
Safety level
What purchasing-related benefits do franchisees use to help justify or negotiated franchise fees?
Savings on products negotiate for very long-term commitment with a vendor to make frequent product deliveries
What is the purchasing method most often selected by purchasers?
Several methods selection procedures are used at the same time
What sort of operation would be most likely to use a buyer's club?
Small, particularly if cash flow is an issue
Which alternative purchasing source offers a deep selection of relatively few products?
Specialty-line vendor
If an operation had a desire to engage in cooperative purchasing, what resource might be available to assist them?
State hospitality association or for-profit co-ops
What sorts of problems arise when inadequate quantities of products are purchased?
Stockouts lead to inability to meet production requirements
What is the practice of most buyers regarding use of the ideal order point?
They do not order then; rather items are placed in categories (produce, meats. etc.) that are ordered at the same time
What sort of items might an NBG negotiate for with a specialty manufacturer?
Toys for kids meals
What are typical reasons for production loss when preparing a meat product?
Trim loss form fat and bones and roasting shrinage
What refers to a system in which the vendor retains ownership of products until they are issued to production?
Vendor managed
What refers to the idea of evaluating vendors before using their services?
Vendor sourcing
What is an ex. of a current trend that may require an adjustment to a forecast based on historical data?
Weather
Under what circumstances would an exact requirements system be used?
Where no permanent inventory of special use item is desired
Is it necessary for approved suppliers to be regularly evaluated?
Yes, as it needs to be determined if the operation is receiving value
What philosophy is behind a "buy local" decision in terms of vendor selection?
keep money in the community
Incorporating yield test results into purchase specifications and ensuring that operating controls are used consistently are strategies to achieve what results?
similar item yield each time so cost is accutate
