Cost Comparison

Actual Food Cost
The percentage shown represents the actual cost of raw materials used in the bakery. Oftentimes the actual costs do not match the formulas being costed out, thus, misleading cost control. Costs were revised to reflect correct purchasing prices.

Bad Mix
Every baker makes a bad mix once in a while. When ingredients are forgotten, the whole batch must be thrown away. The survey indicates that it happens 4% of the time at the mixing station, translating to 1% of sales.

Dough Trimming
Trimmings are inevitable. Even the most skilled baker generates at least 5% of dough trimmings on the total dough weight produced. While it is supposed to be recycled, garbage cans were monitored discretely and the dough discarded was scaled. The field survey shows that 14% of dough trimmings were generated on the total dough weight. Only 3% was actually recycled, while 11% is thrown away. The survey translated this waste into 2% of sales.

Misportioning
Misportioning is often the result of inaccuracies in working too fast to meet deadlines. More often than not, portioning will average more than the unit weight being costed out. In the bakery department, an average of 4% resulted in ?free? product given away. This translated to 1% of sales.

Food Waste and Spoilage
Filling waste occurs daily. Mixing bowls, pastry bags, and storage containers placed at the washing station for cleaning contain residual fillings, creams, etc. Spoilage mostly occurs when ingredients are improperly stored. The survey indicates a combined average of 8% of food was wasted or 2% on sales.

Leftovers
The percentage shown represents the amount of unusable baked pastries remaining. Food and labor costs are also factored in, since they were produced but never sold.

Direct Labor and Related Costs
These costs shown represent the direct cost of labor hours to make a product from start to finish and includes an average of 9% overtime, 20% fringe benefits, 11% tax and related payroll costs.