Barriers in Food Cost Control related to Tourism Industry

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Costing involves the process of asserting posts to various products. Controlling the cost of food other aspects like purchasing receiving storing issuing producing and sales should be controlled. The cost of the food is the cost of the raw material which is used for the preparation of the food. In hotel and tourism industry this is only a part of the net cost. There are several factors which act as the barriers in food cost control in travel and hospitality industry

As season changes the cost of the raw material changes due to the nonavailability. This directly affects the order from the hotel industry. In off seasons the cost of raw material for food preparation becomes very high

While purchasing a bulk quantity of raw materials the cost per unit becomes lowered and this margin increases in the case of the small quantity being purchased

When there is storage of raw material occurs during various stages of food production the cost goes high because of low consumption.

The following things need to be taken care of while controlling the cost of food production

There might be fluctuations in the cost of the raw materials for food production
When there is the purchase of the wrong raw material occurs cost gets affected.
When there is reduction or price hike in the raw material in the market the cost of food varies
When there is a lot of waste being produced during the food preparation stage cost gets affected.
When there is the shortage of sale of food items the cost of food gets affected.

tourism management

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