Procurement planning at Christmas, with practical strategies and tips
We are very conscious that the build-up to the Christmas season is one of the busiest times of the year for catering teams. Planning and preparation from a procurement perspective is crucial to ensure smooth operations and a successful festive period.
Here are several key tips to help get orders in early and manage procurement effectively for Christmas!
Start early: orders and deliveries
From the start of November, the demand for festive products surges, leading to limited stock availability across the market. It is important to forecast and place orders as early as September, enabling suppliers to allocate stock more effectively, thereby reducing the risk of short deliveries and out of stocks.
By placing orders early, catering teams can also take advantage of supplier promotions and manage budgets more efficiently, but still allow for small adjustments closer to the delivery date when more exact operational requirements are known.
While placing forward orders helps suppliers allocate products, it does not guarantee stock. And the closer the delivery is to Christmas, the higher the likelihood of shortages. Where there is feasible storage, place orders for non-perishable and long-shelf-life items several months in advance to secure the stock. This also allows more time for contingency plans should there be any stock issues on any products.
For fresh produce, work with suppliers – or through your procurement partner! – to schedule advance orders with delivery dates closer to the event.
Double-check order details, quantities, and delivery dates to avoid last-minute surprises.
Supplier engagement and communication
During the busy festive season, maintaining communication within the supply chain is crucial. Regularly engage with suppliers to stay informed about market conditions, commodity challenges, and product availability. If you’re a client partner of allmanhall, log on to The Pass portal daily, for updates and forecasts.
Shortages can arise from limited availability further down the supply chain, such as failed deliveries. Suppliers will attempt to recover stock and, where feasible, source alternative supply chain routes, but it’s essential to understand these challenges early so contingency plans can be made.
As previously mentioned in the commodity section of the winter edition of Foodsight, there are challenges within the potato and cocoa markets, impacting products which are normally high on the requirements for festive menus. Harvest shortages are expected to limit availability, particularly for festive-specific products, so securing stock as early as possible is vital. Once the availability of these products becomes limited, finding any routes to market will be challenging, with associated cost implications.
At allmanhall, we recognise that this level of engagement can strain catering teams’ resources. To support our clients, we provide clear communication about supply chain challenges, insights into key commodities, and the potential implications to the catering functions.
Pricing
With surges in demand and limited supply, prices can be volatile during the festive period. Without any prior negotiation or supplier management, costs for products can quickly escalate often resulting in a budgetary overspend and overuse of resources reviewing the market for the most cost-effective options.
By regularly conducting market analysis and monitoring key commodities, catering teams can identify trends and anticipate challenges. This enables early negotiation with suppliers, ensuring fixed, favourable pricing for the festive period.
The team at allmanhall is consistently leveraging our buying power to secure competitive pricing for client partners, which is held through the duration of the festive period, helping effective budget management by catering teams.
Technology
The effective use of technology significantly enhances efficiency and accuracy. While these benefits are evident year-round, they become even more crucial during the busy festive period, further aiding operations.
Implementing a catering controls platform can be particularly beneficial, aiding in budget management through recipe building, costings, invoice management, and stock reporting.
Inventory management can be particularly challenging during the festive season, but by using a catering controls platform, catering teams can significantly simplify stock management and have more accurate reports, optimising stock levels.
Catering control platforms provide a comprehensive audit trail from orders to invoices, ensuring complete accuracy in ordering processes. This feature allows catering leads to verify all placed orders, minimising errors ensuring smooth operations during the frenetic festive season.
Proper planning and preparation from a procurement perspective are essential for catering establishments to navigate the season successfully. By starting early, managing supplier relationships, monitoring market conditions, managing inventory, and incorporating technology, catering teams can ensure a smooth, cost-effective and successful festive period.
We wish you early Season’s Greetings and are here to support you with your Christmas prep.