Back-of-the-house beverage controls that matter most
While the buzz of a well-run bar is what guests experience, true beverage control begins behind the scenes—in storerooms, receiving docks, and administrative offices. This is the domain of procedures, paperwork, and policies. It’s where bottles are tracked, costs are contained, and losses are prevented. Without robust back-of-the-house beverage controls, even the best-run bars can silently lose thousands in unrecorded shrinkage. If you're in charge of a hotel's financial or operational performance, here’s what must be in place.
One of the most effective inventory controls is the bottle-for-bottle exchange system. When the bar needs a new bottle of any spirit, they must return the empty bottle to receive a new one. This physical exchange discourages unauthorized requisitioning, and it provides a tangible check between what’s being consumed and what’s being requested. No empties, no refills.
Each outlet should operate with a well-defined par stock for spirits—a set inventory level that reflects the operational needs of that specific bar. These par levels help establish expected usage ranges, flag anomalies quickly, and reduce the temptation to over-order or stockpile. Unlike beer or wine, spirits don’t move as quickly and carry higher value per ounce, so keeping the right amount—not too much and not too little—is essential to proper control. Regular reviews of par levels keep the inventory lean and honest.
Every bottle issued from central storage should be tagged with a colored sticker or stamp, and—critically—each outlet gets its own unique color. This creates instant visual accountability. If a bottle marked for the banquet bar ends up on the lounge shelf, you know you’ve got a tracking or behavior issue. These visual cues make it easier to walk through a bar and spot problems in seconds.
Just as important as applying the sticker is what happens when the bottle is empty. When a bottle is returned as part of a bottle-for-bottle exchange, the sticker must be intentionally destroyed—typically using a black permanent marker to deface or “X out” the sticker. This signals that the bottle has been properly retired and prevents anyone from reusing an empty bottle with a valid-looking sticker to justify an untracked replacement.
Take it a step further—check the trash. Periodic inspections of discarded bottles in trash bins can be incredibly revealing. If you find bottles without stickers, with mismatched outlet colors, or with intact stickers, you’re looking at a breakdown in policy or worse. Bottles in the trash should always have destroyed outlet-specific stickers—anything else demands follow-up.
Back-of-house storage areas must be kept locked at all times, with access limited to a small number of authorized team members. A key log or card access system should be maintained. There should be daily or shift-based inventories of high-value items like premium spirits, and all movement of goods should be logged and auditable.
No product should move from storage to the bar without a properly documented requisition. These forms should be signed by the receiving manager and reconciled daily against usage. Transfers between outlets should follow the same process. All issues must be recorded in the inventory system to ensure real-time cost tracking.
At receiving, all beverage deliveries must be verified against purchase orders, checked for quantity and quality, and entered into inventory. The receiver, not the bar manager, should inspect the goods. Invoices must be matched to POs and signed off by both purchasing and accounting. Any discrepancies should be flagged before the product hits inventory.
Regular, scheduled physical counts of the beverage inventory are essential. These should be done by at least two people, one from F&B and one from finance or an impartial department. Counts should be done by full and partial bottle, with established conversion standards (e.g., 750ml bottle = 25 ounces). Count sheets must tie directly into the inventory and cost of sales reporting.
Once inventory counts are completed, variances between theoretical usage (based on sales and recipes) and actual usage (based on stock movement) must be analyzed. Large or repeated discrepancies should be investigated immediately. A successful back-of-the-house control environment requires a culture of follow-up and accountability, not just counting.
All bottle movements, requisitions, transfers, and adjustments should be tracked in a centralized inventory system. Physical forms should be stored securely and retained according to policy. This audit trail supports transparency, reduces fraud, and makes reconciliations faster and more accurate.
Conclusion: The Quiet Work That Drives Profit
Back-of-the-house beverage controls are where the quiet, disciplined work of true financial leadership happens. These are the safeguards that keep shrinkage in check, elevate team accountability, and protect your bottom line—day after day, bottle by bottle. When you walk the storeroom, flip a trash lid, or scan a bar shelf and know exactly what should be there—and why—you’re not just enforcing rules. You’re leading. And that’s how you bring it home.
David Lund – The Hotel Financial CoachContact David at (415) 696-9593Email: david@hotelfinancialcoach.com
|
|
|
|
