Presentation on Sales concepts & sales control

1. Sales Concepts
&
Sales Control

2. This presentation covers following points:
• Various Sales Concept
• Procedure of Cash Control & Cash handling
• Machine System
• Electronic Cash Register
• National Cash Register
• Preset Machines
• POS
• Reports
• Thefts

3. Monetary sales concept
• Total Sale: Total volume of sales expressed in rupees terms for any given
time period.
• Total Sale by Category: Referring to total sale for all items in one
category. For examples total food sales or total beverage sales.
• Total Sale per Server: Sale for which a given server is responsible in a
given time period.
• Total Sale per Seat: Sale for a given time period divided by number of
seats in restaurant. Normal time period used is one year.

4. • Average per cover: Dividing total sales by number of guests/covers.
Average per cover= Total rupee sales/Total number of covers.
• Average per check: Dividing total sales by number of checks/bills.
• Average sale per server: Total sales for an individual server divided by
the number of customers served by that individual.
• Average Sale: Dividing total sale by number of individual sales(items).

5. Nonmonetary sales concept
Total portions of a dish: Total numbers of a specific item sold is used for inventory
purpose, the management may consider eliminating such dishes from the menu if
the numbers do not improve over a period of time.
Total covers: Refer to total number of guests served in a given period, eg. an hour,
a shift, a day, a week or some other period.
Management compare the figures with the figures of a similar period in past.

6. Credit control of guest
Hotels must ensure that guests who are given credit facility pay their bill in
full within scheduled period of time and only then hotel should fix a house
limit.
Usually the hotel’s credit policy allows credit to:
• Guaranteed payment reservation guests
• Company guarantee payment guests
• Credit card guarantee guests
• Deposit/advance payment reservation guests

7. Cash control
• All cash must be kept under lock and under supervision of cashier.
• Cash bank/float given to cashier is also controlled and a check is kept on same.
• Cashier should take proper precautions when dealing with foreign currency.
• When guest pays in cash, make a receipt and hand it over to the guest.
• Cash collected everyday should be sent to the bank.
• Departments should request a petty cash from General Accounting. This cash
should be counted daily and logged.

8. Protection of hotel funds
• Cash drawers should be accessible to only one cashier at a time and should be
kept closed when not in use.
• Cashiers should make frequent money drops to have minimum cash in hand.
• Alarm systems should be installed in all areas of hotel where cash transactions
take place.
• A consistent system for handling bank deposits and money pickup should be
developed and followed.
• Staff handling money like cashier, security etc. should be appointed only after
strict scrutiny and cross checking with their previous employers.
• They should be rotated from time to time and a new combination of staff
should be used.
• They must also be trained to react in emergency situations.

9. Pre-set/Pre-checking System
• An update on the basic pre-check machine.
• The keyboard is larger and has descriptive keys
for all dishes pre-set to price.
• A waiter pressing the key for, say one cheese
burger would not only have the item printed out
but also the price.
• Control panel would enable to change the price
of any item easily, if required.
• Possible to get a item wise sale.

10. Electronic Cash Register
• Very high-speed machines developed mainly
for supermarkets and were further adapted for
use in high volume catering operations.
• Apart from printing bill, can also provide basic
reports such as sales by type of product,
payment method, etc.
• Advancement in EPOS technology and low
costs are making ECRs a thing of past,
• In small operations that do not require heavy
inventory control ECR is still the choice due to
its much lower cost.

11. Advantages of Electronic Cash Register
• Prints check, including printing of previously
entered items.
• Provide an analysis of sales by waiter, per hour,
per shift.
• Provide an analysis of sales by type of product.
• Analysis of sales by a method of payment.
• Complete automatic tax calculations and cover
service charges.

12. National Cash Register (Till)
• A mechanical or electronic device for calculating
and recording sales transactions.
• Has an attached cash drawer.
• Also prints a receipt.
• First invented for eliminating employee theft.
• Original name was Incorruptible Cashier.

13. Reports
Sales Summary Sheet
• An analysis of all transactions during a particular period.
• Prepared to know the revenue generated, modes of payment, tax amount, discounts etc.
The basic information in a sales summary sheet includes following:
Date Check No. Check amount
Table No. No. of covers per table Modes of payment
Analysis of food, beverages, and other sales items.
Daily Sales Report (DSR)
• Core tracking element for controlling cash, measuring cost vs. sales performance, and
forecasting future sales.

14. Daily Sales Report
Hotel ABC Palace
Outlet: Bukhara Date: DD/MM/YYYY
Check
No.
Table
No.
Covers Net Sale Tax Gross
Total
Food Non-
Alcoholic
Alcohol Tobacco Extra/
Others
Cash Credit Room
A/C
105 8 4 800 80 880 400 100 250 50
106 5 2
107 12 3
Cashier’s name: Cashiers Signature:

15. Major types of frauds
1. Failure to make KOT/BOT
2. Failure to make check
3. Failure to record sales in sales summary sheet
4. Under-recording of sale.
5. Pickup of food without proper check/kot
6. Charging incorrect room rent
7. Selling room without registration
8. Payment of bill twice
9. Collecting payment from guests without bill
10.Receiving bills twice for one supply
11.Ghost payrolls
12.Receiving a bill without goods
13.Full payment made for standard goods received