Best Practices: Reducing Food Cost & Food Waste

December 10, 2015ROSE WOLTERBEEK, MA, SNSSCHOOL NUTRITION SERVICES SPECIALIST

Today’s Agenda:Reducing Food Cost& Food WasteResource Sharing

NEVADA DEPARTMENT OF AGRICULTURE, FOOD & NUTRITION SERVICES

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Sample Food Service Budget

Salaries/Benefits42%

Food39%

USDA Foods Value6%

Supplies10%

Other3%

Expenditures

Salaries/Benefits

Food

USDA Foods Value

Supplies

Other

• Supplies• Other

• Salary & Benefits• Purchased Foods • USDA Foods

Food Service Budget Expenses

• Food Purchases/Procurement practices

• USDA Foods Entitlement & Usage• Delivery Charges/Fuel

Surcharges/S&H• Inventory (on hand and future

orders)

What are your Food Costs?

What are your Food Costs?• Entrée cost (bulk vs IW)• Fruit cost (fresh vs canned)• Milk cost (delivery frequency/buy

back option at break times)• Vegetable cost (fresh vs canned)• USDA Entitlement (types of food)• Condiments: portion controlled or

unlimited access to items?

• Supply Purchases (trays-disposable vs. washable, sporks, napkins, foil/wrap)

• Operational costs (chemicals & cleaning, safety items, small-wares, towel service)

• Inventory (on hand and future orders)

What are your Supply Costs?

What are your Labor Costs?

• Permanent/Salaried Employees• Employee Benefits: health/welfare, retirement, worker’s compensation• Substitute/Temporary Employees• Extra Duty/Overtime hours

Poll Question

What is your Per Plate Costs?• Menu planning programs• Excel spreadsheet • Invoices, procurement documents• Preliminary data First quarter SY

2015 16

What is your Per Plate Costs?

Product Description

Pack Size

(lbs or count)

Pack Qty

Total Case Size (lbs)

Cost per Case

Cost per LB or count

Servings Yielded per LB (based on USDA Cost per Serv.

Apple-Red Delicious 163 1 163 22.66 0.14 1 0.14Banana-Fresh 10 1 10 8.01 0.80 5.39 0.15Broccoli-Floret Iceless 3 4 12 22.32 1.86 28.8 0.06Carrot-Baby Cut 5 4 20 18.35 0.92 12.9 0.07Celery Stick-Fresh 5 4 20 24.41 1.22 12.2 0.10Cucumber-Fresh 5 1 5 9.62 1.92 11.8 0.16Lettuce-Romaine Chopped 2 6 12 19.45 1.62 31.3 0.05Lettuce-Salad Mix Tossed 5 4 20 16.14 0.81 26.4 0.03Lettuce-Shredded Fresh 5 1 5 4.00 0.80 31.3 0.03Onion-Yellow Diced 5 1 5 6.15 1.23 12.6 0.10Onion-Red Jumbo Fresh 10 1 10 10.65 1.07 5.7 0.19Green Bell Pepper-Fresh 5 1 5 9.45 1.89 9.7 0.19

What is your Per Plate Costs?In the Classroom Daily plate cost Weekly Average Plate costBreakfast Bar 0.57Fresh Fruit 0.25Milk 0.21Supplies 0.08 0.90Breakfast Pizza 0.68Orange Juice 0.16Milk 0.21Supplies 0.21 1.05Cereal 0.23Fruit cup 0.39Milk 0.21Supplies 0.08 0.70Breakfast Sandwich 1.02Apple Juice 0.18Milk 0.21Supplies 0.08 1.28 Waffles 0.67USDA fruit 0.02Milk 0.21Condiments-syrup 0.12Supplies 0.08 0.89 $0.96

Menu Types/Facility Design• Menu Planning-What do I have?

Bulk/Scratch items-Standardized Recipes

Convenience Product-Heat & ServeCombination-Speed Scratch

• Pros & ConsLabor cost higher with Bulk

CookingFood cost higher with Convenience

items

How do I Decrease Food Cost ? • Menu Planning

Batch cooking, processed vs. speed scratch, leftover usage, condiments, disposables• Purchasing

Procurement practices, quantities (split cases for example), surcharges, delivery frequency, central warehouse vs. multiple locations

How do I Decrease Food Cost ?• Receiving-

Check all items in, refuse damaged products, short pay invoices,

monitor inventory, rotate stock, correct storage temperatures• Preparation-

Train on standardized recipes, weigh ingredients, use edible portions, reduce waste, & increase use of leftovers

How do I Decrease Food Cost ?• Serving-

Portion control, overproduction of meals/items, review menu

production records (number of meals reimbursed to number prepared) • Department/district policies-

Cost recovery with all employee meals & items including all school related functions

How do I Decrease Labor Cost ?

• Productivity-Meals per labor hour• Staffing Ratios & types of positions

for your operation (central kitchen vs. satellite, or combination)

• Evaluate all positions/staffing levels

• Monitor all open positions in operation

• Process in place for overtime/extra duty requests?

• Implement “Offer versus Serve”Plate analysis for students OVS can help

reduce number & volume of items producedFor example, milk item & grain item are not required to be taken if not consumed

1000 meals X .21= $210.00 (milk)500 meals X .18 = $ 90.00 (fresh

baked grain item)District wide savings of $300.00 X 180 Days=$54,000 food cost savings in school year

Best Practices to Increase Consumption & Reduce Waste?

• Ensure students have ample time to eat

• Complete a food waste assessment to determine which items are wasted

• Implement Smarter Lunchroom techniques

• Merchandising & display of food• If health department allows, set up

a “share table”

Best Practices to Increase Consumption & Reduce Waste?

• Set up a compost for gardens• Set up a recycling with student

groups (separate items, weigh items, report out) • Ensure students have variety of

choices with items they like to eat

Best Practices to Increase Consumption & Reduce Waste?

Poll Question

Food Buying Guide for Child Nutrition Contains over 1200 food items for purchasing & yields

Reducing Food Cost and Waste Resources:Nevada Department of Agriculture Food and Nutrition Divisionhttp://nutrition.nv.govUnited States Department of Agriculturehttps://healthymeals.nal.usda.gov/resource-library/food-service/environmental-conservationhttp://www/fns.usda.gov/tn/food-buying-guide-school-meal-programsInstitute of Child Nutrition http://www.icn.orgFinancial Management Series ICNhttp://www.nfsmi.org/ResourceOverview.aspx?ID=63Smarter Lunchroomshttp://smarterlunchrooms.org/

Webinar archive:https://www.youtube.com/user/nevadaagriculture

Professional Standards Learning Codes:3000 series

3200 Program Management3300 Financial Management

Upcoming in person NDA training!Procurement Spring 2016

Questions?Type in question or raise hand