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CHAPTER IV

PRESENTATION, ANALYSIS, AND INTERPRETATION OF DATA

This chapter discusses the presentation, analysis, and interpretation of data

from eight (8) questionnaires completed by its respective respondents. The

questionnaires were answered by the respondents through rating each question on

how frequent one is practiced by Mom’s Finest Buffet Palace’s management. The

questions answered by the respondents were all related to the different areas of the

study which are; inventory planning, inventory ordering, and inventory monitoring.

1. Inventory Planning

The table below shows the result of the evaluation on the Inventory

Planning practices of Mom’s Finest Buffet Palace.

Table 1. Evaluation on Inventory Planning

Total Verbal
Always Often Sometimes Never Weighted
Statement Number of Description
4 3 2 1 Mean
Respondents
1.1 Reviews sale
reports and
ingredients usage Never
0 0 6 2 8 1.75
before deciding to
purchase
ingredients.
1.2 Observe the
policies and
procedures in Never
0 1 4 3 8 1.75
determining and
ordering the
ingredients.
1.3 Determines
what ingredients to 3 4 1 0 8 3.25 Often
purchase.
1.4 Determines the
quantity of
ingredients 0 1 5 2 8 1.88 Sometimes
purchase ahead of
time.
Average 2.16 Sometimes
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ACLC College of Butuan City
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The result shows that the evaluation of the inventory planning practices of

Mom’s Finest Buffet Palace has an average weighted mean of 2.16 with a verbal

description of Sometimes. This determined that in terms of planning procedure, the

business rarely practiced planning because their basis on planning when the order is

during the time an ingredient is running out.

Benedict and Margeridis (2017) inventory planning means availability of products

whenever and wherever required by stocking adequate number and kind of stocks.

They have to meet the set budget and decide upon what to order, how much to order,

and when to order so that products are available on time and at optimum cost.

The rating statement, “Determines what ingredients to purchase” got the highest

weighted mean of 3.25 with a verbal description of Often. The result denotes that

Mom’s Finest Buffet management determines most of time what kind of ingredients is

needed to be procured to continue operating.

Based on the idea of Avery (2016), planning ahead of time on what to order is very

important in the inventory levels. A planner needs to think about their inventory across

time and its essential to effectively managing inventory levels. Also, to have enough

inventories on hand at any given time to support planned sales until the next delivery

arrives.

The rating statements, “Reviews sales reports and ingredients usage before

deciding to purchase ingredients” and “Observe the policies and procedures in

determining and ordering the ingredients” both got the lowest weighted mean of

1.75 with a verbal description of Never. The result shows that before purchasing

process the management of Mom’s Buffet never practices reviewing of sales reports

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and monitoring usage of ingredients. The management also does not have policies

and procedures that they follow in determining the quantity of ingredients needed to

be purchased. This is in connection with the manager’s claim that when planning to

purchase they base every decision on their own personal perception and judgment,

such as when deciding the quantity of the ingredients to be purchased.

According to Izzard (2017) there are various ways to keep track of materials in the

store to ensure accurate inventory figures. Perpetual inventory system is a method of

recording store balances after every receipt and issue to facilitate regular checking

and to prevent closing down for stocktaking. Segarra (2019) says that the importance

of sales reports cannot be overestimated. They help manager to monitor the

performance of their sales team, plan effective sales strategies, decide on a sales

forecasting process and most importantly, maintain or reduce the length of the sales

cycle.

According to Vitez (2017) policies and procedures help companies actively

manage the different products in their facilities. While standard policies and

procedures exist for inventory management, owners and managers have some

latitude to develop standards for their own companies.

2. Inventory Ordering

The table below shows the result of the evaluation on the Inventory

Ordering practices of Mom’s Finest Buffet Palace.

Table 2. Evaluation on Inventory Ordering

Total Verbal
Always Often Sometimes Never Weighted
Statement Number of Description
4 3 2 1 Mean
Respondents
1.1 Follows 0 1 0 7 8 1.25 Never
schedules in

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ACLC College of Butuan City
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purchasing
ingredients.
1.2 Observe 0 2 3 3 8 1.88 Sometimes
quantity standard
in purchasing
ingredients.
1.3 Purchase 4 3 1 0 8 3.38 Always
ingredients from
regular supplier.
1.4 Issues 0 0 4 4 8 1.5 Never
purchase order
(P.O.) when
ordering
ingredients.
2.00 Sometimes
Average

The result on the evaluation of the second area of inventory management practices:

inventory ordering, shows that the average weighted mean is 2.00 with a verbal

description of Sometimes. This denotes that most of the aforementioned practices

involved in the ordering or purchasing process were rarely done by Mom’s Finest

Buffet’s management.

This was proved by Balle (2017) that evaluating the quantity of items the store

might buy is one of the first steps of the inventory ordering and purchasing process.

This was also supported with the idea of Human (2016) which states that a review of

stock-outs and items with excess inventory should be done to place the best possible

order every time.

The rating statement which got the highest weighted mean of 3.38 was the

statement or practice “Purchase ingredients from regular supplier” having the

verbal description Always. The result signifies that when the management of Mom’s

Finest Buffet does purchasing they have a supplier where they regularly acquire their

ingredients from. According to the manager, they have regular suppliers of ingredients

that discounts their purchases.

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ACLC College of Butuan City
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According to Miller (2018) a supplier is defined as the person or organization that

provides a product or service to another business. Finding a reliable and competitively-

priced supplier is vital to the success of a business. It pays to invest time in building

good relationships with key suppliers. If a business owner can save money or improve

the quality of the goods or services it can buy from suppliers, a business stands to

gain.

The rating statement, “Follows schedules in purchasing ingredients.” got the

lowest weighted mean which was 1.25 with a verbal description of Never. The result

denotes that when purchasing, Mom’s Finest Buffet does not follow any set schedules.

According to the manager, they only do purchasing immediately after knowing that

certain ingredients are running out.

According to Worthington & Madden (2019) a purchase schedule is a timetable

of planned supply of materials. Purchase schedules support long-term purchasing with

frequent deliveries and are usually backed by a purchase contract. All requirements

for the same item, buy-from business partner, ship-from business partner, purchase

office, and warehouse are stored in one schedule. Purchase schedules are used

instead of standard purchase orders in cases where full visibility and time phasing of

material requirement information is required. Therefore, purchase schedules provide

a more detailed way to specify the delivery dates/times per item.

3. Inventory Monitoring

The table below shows the result of the evaluation on the Inventory

Ordering practices of Mom’s Finest Buffet Palace

Table 3. Evaluation on Inventory Monitoring

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ACLC College of Butuan City
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Total Verbal
Always Often Sometimes Never Weighted
Statement Number of Description
4 3 2 1 Mean
Respondents
1.1 Records every 0 0 4 4 8 1.5 Never
in-coming and out-
going ingredient.
1.2 Consume old 0 0 1 7 8 1.13 Never
stock of ingredients
and those with
earlier best before
dates before
consuming new
stock of
ingredients.
1.3 Conduct 0 0 7 1 8 1.88 Sometimes
physical counting
on the ingredients
available in the
shelf regularly.
1.4 Store the 0 6 2 0 8 2.75 Often
ingredients on
separate
containers.
Average 1.82 Sometimes

The result on the evaluation of the third area of inventory management

practices which is the inventory monitoring shows an average weighted mean of 1.82

with a verbal description Sometimes. It denotes that the practices involved in

inventory monitoring were rarely practiced by Mom’s Finest Buffet Palace

management.

According to Marx (2018) inventory monitoring is the first thing that every kind

of business should think of. Inventory monitoring involves maintaining the right balance

of stocks in any business. Having not enough stocks available may drive customers

to go to another store and having excess inventory not only takes up space and ties

up the capital of the business but it can also trigger profit losses when a product

expires, gets damaged, or goes out of season.

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ACLC College of Butuan City
HDS Building, 999 J.C. Aquino Avenue, Butuan City

The rating statement, “Store the ingredients on separate containers.” got

the highest weighted mean which was 2.75 with a verbal description of Often. The

result shows that the management of Mom’s separates each item of ingredient in

different containers or shelves most of the time.

In the statement of Orrigo (2018), separating inventory from fastest-moving to

slow-moving aids to have a right number of stocks and to ensure quick handling. In

dealing with the slow-moving inventory, the business must know whether the products

are fast moving or slow moving. Inventory should generally be used within a span of

90-120 days. If there are stocks that are not used during that specific span of time, it is

the time to get rid of it. Having an old and excess inventory is a cost for every business

(Thomas, 2016).

The rating statement, “Consume old stock of ingredients and those with

earlier best before dates before consuming new stock of ingredients.” got the

lowest weighted mean which was 1.13 with a verbal description of Never. The result

shows that the management of Mom’s Finest Buffet Palace disregards the dates of

purchased items when using them. The manager claims that when ingredients are

transferred to the kitchen they do not take regard on their dates but randomly picks up

those ingredients needed for preparation regardless of its expiry dates or the length of

time perishable goods such as fruits and vegetables were stored.

According to Arline (2015), goods should be sold in the same chronological

order as they were purchased. The First In, First out (FIFO) Method is used to improve

inventory. Nonperishable goods or goods subject to quick obsolescence should use

this method since items sitting around for too long might become damaged, or

otherwise out of date and unsellable.

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ACLC College of Butuan City
HDS Building, 999 J.C. Aquino Avenue, Butuan City

CHAPTER V

SUMMARY, CONCLUSIONS, AND RECOMMENDATION

This chapter discusses the summary of findings, conclusions, and recommendation.

Summary

Table 4. Overall rating on the Inventory Management Practices of Mom’s Finest Buffet Palace

Areas of the Study Total Weighted Mean Verbal Description

Inventory Planning 2.16 Sometimes

Inventory Ordering 2.00 Sometimes

Inventory Monitoring 1.82 Sometimes

Average Mean 1.99 Sometimes

The overall result shows that the inventory management practices of Mom’s Finest

Buffet fall under the verbal description of Sometimes. This means that the practices

involved in inventory planning, inventory ordering, and inventory monitoring were rarely

implemented and followed by the restaurant’s management.

The area inventory planning got an average weighted mean of 2.16 denoting that

that practices involved in this area was rarely implemented and was followed

occasionally. The management of Mom’s does not have enough knowledge on how to

plan inventories. When planning to purchase, the management does not have proper

policies and procedures that they follow in order to have a better idea of the quantity

needed to be purchased.

In inventory ordering, the average weighted mean is 2.00 signifying that the

practices involving this process were rarely implemented and followed. It reveals that

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Mom’s Finest Buffet does not follow a schedule in purchasing ingredients, does not

observe quantity standard in purchasing, and does not issue purchase order when

ordering ingredients.

In the inventory monitoring, the average weighted mean is 1.82 signifying that in

terms of using the FIFO method the management rarely or does not implement it. The

management also does not record its incoming and out-going inventories.

Conclusion

With the evaluation and assessment conducted, the researchers conclude that the

management of Mom’s Finest Buffet Palace does not have proper knowledge in terms of

managing of inventories. The practices that the management implements and follows

were not based on the proper methods of handling inventories such as not recording the

wastages and purchasing ingredients in bulks. The management failed to follow and

implement the standard practices in inventory management.

Recommendation

Based on the results of the study, the researchers would like to recommend the

following:

1. The management should not purchase from their suppliers if they still have a

lot of stock left.

2. The management should have a mission & vision statement, policies, and

procedures.

3. The management must adapt First in, First Out (FIFO) method of inventory.

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4. The management should conduct trainings and seminars about inventory

management.

5. The management should record every in-coming and out-going inventory.

DETAILED ACTION PLAN

Based on the result of the survey conducted by the researchers, it points out that
the Management should improve the three (3) areas of Inventory management of Mom’s
Finest Buffet Palace. Through the results, the researchers came up with a detailed plan
of action for the recommendations shown below.

Person
Recommendation Objective Activities Budget Time Frame
involved
The management To avoid Conduct Manager, N/A 1 day
should not overstocki physical employees,
purchase from their ng of counting and suppliers
suppliers if they still ingredient weekly or
have a lot of stock s that monthly.
left. leads to
spoilage.
The management To know Conduct Owners, N/A 1 day
should have a the meetings Manager and
mission & vision business and gather employees
statement, policies, goals and opinions
and procedures. what they from
want to employees.
achieve in
the future.
The management To Keep the Manager and N/A 1 day
must adapt First in, minimize new items Employees
First Out (FIFO) overstocki under the
ng and old ones

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ACLC College of Butuan City
HDS Building, 999 J.C. Aquino Avenue, Butuan City

method of spoilage
inventory. of
ingredient
s
The management To Hire an Owners, P20,000/se 1 week
should conduct improve expert in manager, and minar
trainings and the inventory employees
seminars about inventory manageme
inventory managem nt.
management. ent Let
practices employees
of Mom’s undergo
Finest trainings
Buffet and
Palace seminars
employee and apply
s. their
learning in
the actual
operations.
The management To be able List the Manager and N/A 1 day
should record to identify purchased employee
every in-coming the inventory,
and out-going inventory the used
inventory. levels for a inventory,
certain and the
item need spoiled
to be inventory.
purchased

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