Course: Purchasing & Cost

Analyze the purchasing activities discussed in Chapter 5 and determine which of the activities is the most difficult to do well. Explain your reasoning. Review the problems of the buyer and make recommendation(s) for mitigating any two of them.

1) Describes the purchasing activities in a hospitality operation;

2) Determines the purchasing requirements of a hospitality operation using value analysis and make-or-buy analysis; and

3) Outlines the objectives of the purchasing function and the potential problems that buyers encounter when pursuing those objectives.

Feinstein and Stefanelli (2012) discuss how a number of purchasing activities must be accomplished to fulfill the purchasing functions responsibilities, including:

1) Pre-purchase activities (such as plan menus and determine specifications),

2) Formal purchasing (for example, contact vendors and establish a formal competitive bid process), and

3) Informal purchasing (such as contact vendors and obtain price quotes).