Answer to Question #266978 in Management for Gee

Question

You are required to conduct additional research on the food service operations of Hard Rock Cafe. Using the four types of inventory, provide a practical example and explain how Hard Rock Cafe utilises each of these types of inventory.

Answer 1

1 Raw material

Raw materials are essential in the foodservice business to transform inventory into finished products; an example of this inventory is raw meat. Hard Rock Café can use the inventory to create various food types in the menu.

2 Work in progress

an example of this inventory is the process of baking bread bases to get tarts; production from in costs perspective involves the raw materials used and labor

3 Maintenance, repair, and operation inventory

Supplies such as safety equipment in the kitchen and office items like pens and papers are the restaurant's inventories to facilitate Pens and papers. Examples are used to produce written orders, and other communications in restaurants, safety equipment like Dishwashing gloves falls in this category.

4 Finished goods inventory

Cakes, coffee, and packed chips are examples of finished goods inventory that Hard Rock Café operates on; these are the final products the company is selling in the market.