Purchase Good Assessment USAMA KHALID

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DC5532

Name : Usama khalid


Unit code SITXINV003
Unit name purchase goods

Assessment 1: Written Test Your Tasks:


.
1. List the steps for the general process for determining purchasing
requirements.
Product specification – understand the product
Quantity
Forecast
Pricing

2. List 6 types of goods you might need to purchase in your industry


sector.
Food items
Utensils
Stationary
Machinary
Clothing – general and protective
Appliances

3. List 5 examples of personal across different departments in tourism,


hospitality and events industry who may need to be involved in
ordering process or when seeking approval for purchases.
Department manager
Store manager
Operations manager
Event Coordinator
Quality Manager

Reference futura book page no # 5


• 4.Provide 3 examples of documentation which can
be used to identify purchasing requirements in a
hotel:

a. Reservation profile
b. Special request
c. Occupancy report

Reference futura book page no # 5

5.List 3 procedures which must be followed to identify


stock on hand before ordering to avoid wastage..

Answer: The three procedures we follow to identify


stock on hand before ordering to avoid wastage are as
given below..

1) What is quality like . Check the quality of stock on


hand whether it is fresh, no stains and meets the
quality standard of the organisation..

2) Is it suitable for use :- quality stock on hand does not


mean that the goods are suitable for use . For
example if we require the green tomatoes but we
have red tomatoes of good quality it is good to use
3) Batch control - managing the production of goods in
batches.

Reference futura book page no 16

6. List 4 examples of forecast tools which can be used


to estimate the anticipated amounts of purchases:
1. Moving average
2. Popularity index
3. Sales forecast
4. Yield test
Reference futura book page no 10 to 13

7.Provide a description of how each of the following


forecasting methods is used to estimate anticipated amounts
of purchases:

Moving Average –
The moving average (MA) is a simple technical
analysis tool that smooths out price data by creating a
constantly updated average price. The average is taken
over a specific period of time, like 10 days, 20 minutes,
30 weeks or any time period the trader chooses.

• Popularity index –
The word “popularity” can be used to remember the
definition of this term. In other words, the popularity
index is how “popular” is an item on the menu or the
percentage of total guests choosing a given menu item
from a list of alternatives.
• Sales Forecast
Sales forecasting is the process of estimating
future sales.
sales forecasts enable companies to make informed
business decisions and predict short-term and long-term
performance. ... Sales forecasting gives insight into
how a company should manage its workforce, cash flow,
and resources.

• Yield Test

Yield is the amount of food material that is available for


consumption after the food is prepared and processed
and turned into the final product. Yield test is
a testing process to determine accurately the amount of
raw materials needed to produce a certain amount of
final processed product.

References futura book page no 10 to 13

8.Which details must be considered for the


following key factors when developing
purchase lists?

• Date required – allow for sufficient


delivery time and check availability
• Quality required – determine the
requirements based on price and quality
consideration as well as customer expectations

• Shelf life- consider perishables and shelf


life as well as spoilage factor

• Stock levels – check on existing levels


and minimum stock levels

• Suppliers – check on availability of


products and appropriate supply choices
contracts must be considered .

Reference futura book page no 16

9.Which details need to be considered for


the following factors before selecting a
supplier?
• Product range – is it extensive enough?
Can they supply across a range of produce
needs or specific needs only.?

• Availability –are they any seasonal


impacts or supply issues?
• Service provision – what is the service
level guarantee?

• Reliability – what is their reputation?


Ask other customers for their opinion.

• Price – is it competitive?remember
cheapest may not always best!

• Specific requirements –HACCP


needs , daily deliveries , deliveries at
specific time , etc,

Reference futura book page no 18


10. What is the purpose of a
preferred supplier? How is a
preferred supplier selected?

Ans. The preferred supplier is the supplier


those who fulfil the requirements of the
organisation with special prices and
complete high order volume. The purpose
of the preferred supplier is to provide the
products and services in a timely manner
with quality standards required by the
organisation. These suppliers usually
provide a consistently high service to
maintain the business relationship and
increase their own profits .. here is some
steps to selected preferred suppliers
. Cost
Quality and safety
Delivery
Service
Social responsibility
Convenience/ simplicity
Risk
Agility

11. List 4 aspects which need to be considered


to nnensure sufficient supply provisions and
stability of prices.

Storage
Bulk orders
Amending product offerings
Price negotiations

12. How will you deal with price changes at short


notice and requirements for negotiating prices?
Evaluate other suppliers

Negotiate with the old supplier

13. Provide three examples of procedures


which could be used to check on the quality
standards of goods from a potential supplier.

Feedback from references


Inspect the product
Ask people from the industry
14. List 6 details which need to be checked
when purchasing goods directly from a
supplier.

Quality check
Price check
Temperature
Quantity check
Correct item price
Have the items been added correctly?

Reference futura book page no 24


Name usama khalid
DC 5532

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