"Purchasing:
Selection and Procurement for the Hospitality Industry," 9th Edition
by Andrew H.
Feinstein and John M. Stefanelli is a comprehensive guide for hospitality students and industry professionals. The book covers the entire procurement process for food, beverages, equipment, and services in the hospitality industry, offering a detailed overview of purchasing principles, ethical standards, and best practices in selection, procurement, and management. This edition incorporates current trends in technology, sustainability, and vendor relationships, providing tools and insights to help buyers make informed and strategic purchasing decisions.
Overview and Structure
The book is divided into multiple sections that systematically break down the purchasing process, addressing essential areas such as market analysis, supplier selection, and quality assurance. Each chapter offers step-by-step instructions on critical purchasing tasks, focusing on real-world
applications relevant to the hospitality sector, including hotels, restaurants, and catering services.
Chapter 1: Introduction to Purchasing
The introductory chapter lays the foundation for understanding procurement in hospitality, covering:
• Purpose of Purchasing: Emphasizes how strategic purchasing supports operations, reduces costs, and enhances service quality.
• Role of the Purchaser: Outlines the responsibilities of purchasing professionals in hospitality, from sourcing suppliers to managing budgets.
• Purchasing Objectives: Highlights core goals, such as acquiring high-quality products, ensuring cost-effectiveness, and maintaining supplier relationships.
• Ethics and Standards: Discusses ethical considerations in hospitality purchasing, including fairness in supplier selection and transparency in dealings.
Chapter 2: The Concept of Quality in Purchasing
Quality control is fundamental in hospitality, and this chapter defines what quality means in the context of food, beverages, and services:
• Quality Standards: Details how to set measurable standards to evaluate products, covering criteria like freshness, presentation, and nutritional value.
• Quality Control Techniques: Describes techniques for ensuring quality, such as inspections, sensory evaluations, and taste tests.
• Supplier Standards: Outlines methods for maintaining quality through supplier relationships, including requiring quality guarantees and routine audits.
Chapter 3: The Purchasing Process
The purchasing process chapter provides a step-bystep guide on organizing and managing procurement tasks:
• Purchase Specifications: Explains how to create detailed product specifications, covering
attributes like size, weight, and quality requirements.
• Order Management: Covers how to manage order quantities, delivery times, and inventory controls to meet operational needs.
• Documentation and Record Keeping: Emphasizes the importance of maintaining accurate records to track orders, invoices, and vendor communications.
Chapter 4: Supplier Selection and Relationships
This chapter emphasizes the importance of selecting and maintaining strong supplier relationships:
• Vendor Evaluation Criteria: Details factors to consider when selecting suppliers, including reputation, delivery reliability, and product quality.
• Types of Suppliers: Discusses different types of vendors, such as local suppliers, wholesalers, and importers, and their roles in the supply chain.
• Building Relationships: Explains how to build and maintain positive vendor relationships
through fair pricing, clear communication, and loyalty incentives.
• Negotiation Strategies: Provides strategies for effective negotiation, focusing on securing competitive pricing and favorable contract terms.
Chapter 5: Technology in Purchasing
Technology has revolutionized procurement, and this chapter covers various digital tools available to buyers:
• E-Procurement Systems: Explains how electronic procurement systems streamline ordering, inventory, and supplier management.
• Data Analytics for Purchasing: Discusses using data analytics to make purchasing decisions, such as tracking supplier performance and identifying cost-saving opportunities.
• Automation Tools: Introduces automation tools that help manage repetitive tasks, like reordering and vendor communications, saving time and reducing errors.
• Software for Inventory Management: Highlights tools that integrate inventory management with purchasing, allowing real-time tracking of stock levels and automated reorder triggers.
Chapter 6: The Food and Beverage Purchasing Process
Food and beverage purchasing is a specialized area in hospitality, covered in detail in this chapter:
• Identifying Product Needs: Discusses assessing food and beverage needs based on menus, guest preferences, and dietary requirements.
• Product Categories: Provides insights into purchasing various food categories, from produce and dairy to meats and alcoholic beverages.
• Seasonality and Sourcing: Explains the impact of seasonality on purchasing decisions and how to source products year-round, including local vs. international sourcing.
• Inventory Control for Perishables: Offers techniques for managing perishable inventory,
such as FIFO (First In, First Out) rotation and just-in-time ordering to reduce waste.
Chapter 7: Equipment and Supply Procurement
Procurement in the hospitality industry also involves purchasing non-consumable items such as equipment, linens, and maintenance supplies:
• Selecting Equipment: Covers considerations when purchasing kitchen and service equipment, including durability, maintenance needs, and compatibility with existing infrastructure.
• Vendor Services and Warranties: Details the importance of warranties, maintenance agreements, and repair services when selecting suppliers for long-term equipment purchases.
• Cost-Benefit Analysis: Introduces cost-benefit analysis for evaluating major purchases, considering factors like the equipment’s expected lifespan and operational efficiency.
• Sustainability in Equipment Selection: Discusses the trend towards selecting energy-
efficient and eco-friendly equipment, which can reduce costs and improve sustainability.
Chapter 8: Managing Inventory and Storage
Effective inventory management is crucial to maintaining a seamless supply chain in hospitality. This chapter covers:
• Types of Inventory Systems: Discusses perpetual and periodic inventory systems, explaining how each affects reordering and stock control.
• Inventory Turnover Rates: Explains how to calculate and analyze turnover rates, helping buyers identify which items to reorder and which to reduce.
• Stock Rotation and Control: Emphasizes the importance of proper storage techniques, such as temperature control for perishables and secure storage for expensive items.
• Preventing Losses: Covers loss prevention strategies, including theft control measures and spoilage reduction practices.
Chapter 9: Cost Control and Budgeting
This chapter delves into managing purchasing budgets and controlling costs to maximize profitability:
• Setting Budgets: Offers techniques for setting purchasing budgets based on sales forecasts, historical data, and seasonal trends.
• Cost Tracking and Analysis: Discusses methods to track costs, such as by category, supplier, or department, to identify areas where expenses can be reduced.
• Vendor Comparison and Price Control: Provides tools for comparing vendor prices, negotiating discounts, and managing price fluctuations.
• Waste Management: Discusses ways to minimize waste and its associated costs, emphasizing efficient inventory control and portion sizing.
Chapter 10: Sustainable Purchasing Practices
With sustainability becoming a significant focus in hospitality, this chapter addresses eco-conscious procurement practices:
• Eco-Friendly Suppliers: Explains how to find and evaluate suppliers who adhere to sustainable practices, such as organic certifications or fair-trade sourcing.
• Sustainable Products: Discusses options like biodegradable packaging, compostable materials, and organic food selections.
• Reducing Carbon Footprint: Highlights practices to reduce the environmental impact of procurement, such as local sourcing, bulk purchasing, and minimizing transportation needs.
• Waste Reduction Programs: Explores waste reduction practices, such as composting, recycling, and food donation programs.
Chapter 11: Legal and Ethical Considerations in Purchasing
Legal and ethical standards are essential in purchasing to maintain compliance and integrity:
• Contract Law in Procurement: Reviews legal aspects of contracts, such as terms, conditions, and breach of contract scenarios.
• Ethical Standards and Best Practices: Emphasizes the importance of transparency, fairness, and avoiding conflicts of interest in purchasing.
• Government Regulations: Covers regulations affecting purchasing in hospitality, such as health and safety standards, import/export laws, and food safety compliance.
• Ethical Sourcing: Discusses ethical sourcing, emphasizing the importance of supporting fair labor practices, humane treatment, and sustainable production methods.
Chapter 12: Career Development in Purchasing for Hospitality
The final chapter covers career paths, skills, and continuing education for hospitality procurement professionals:
• Career Opportunities: Details various roles in purchasing within the hospitality sector, such as
procurement specialist, purchasing manager, and supply chain analyst.
• Skill Development: Highlights essential skills for purchasers, including negotiation, data analysis, communication, and organization.
• Certifications and Education: Lists relevant certifications, like Certified Purchasing Manager (CPM) and courses that can enhance a professional’s qualifications.
• Professional Ethics: Reinforces the ethical responsibilities of purchasers, such as unbiased decision-making and supplier fairness.
Supplementary Materials
The book includes additional resources such as case studies, chapter summaries, and practice exercises to help readers apply and review the material. It also features access to online resources, including inventory templates, procurement tools, and practice quizzes for further learning.
This book is essential for students and professionals in hospitality procurement, offering a thorough examination of both the technical and interpersonal
skills needed for effective purchasing. By combining theory with practical guidance, it equips readers with the knowledge to make informed, ethical, and sustainable purchasing decisions, ultimately enhancing their contribution to the success and sustainability of hospitality operations.
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