What is wastage?
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TL;DR
Stock you paid for but never sold — spoiled, dropped, over-produced, returned or missing.
Every tray of unsold pastries in the bin was bought, prepared and paid for in staff time. Wastage is the cost of stock that never turned into a sale, and in food businesses it is often the largest cost nobody measures.
The formula
Wastage % = value of stock wasted ÷ value of stock used × 100
Count waste at cost price — what you paid, not what you would have charged.
A worked example
In a week your kitchen used £2,700 of food and wrote off £189: out-of-date dairy, a dropped tray, prep that was not used.
£189 ÷ £2,700 = 7%. That is £9,800 a year at the same rate.
Where it comes from
- Spoilage — food that goes out of date before it is used.
- Over-production — more prepped than sold.
- Preparation — trimmings and peelings beyond what the recipe expects.
- Mistakes — wrong orders, returned dishes, breakages.
- Unexplained loss — the gap a stocktake finds and nobody recorded.
Why it matters
Waste raises your food cost percentage without a single price changing. Recording it, with a reason, is what turns it into something you can fix.
How to reduce it
- Record every write-off with a reason, every time.
- Set par levels so you are not over-ordering.
- Prep to forecast, using your sales by hour and by day.
- Rotate stock — first in, first out.
Tracking it in DUMA
Write stock off with a reason as it happens. The Waste & loss report shows what was written off, by reason and by item, so the same problem showing up week after week is easy to spot.
Questions and answers
Is staff food counted as waste?
Record it separately. It is a real cost, but mixing it with waste hides the waste you can prevent.
What is an acceptable level of food waste?
There is no universal figure. Measure your own for a month, then aim to bring it down — most kitchens find easy wins in the first few weeks.
Does waste include customer plate waste?
It can, but it is usually tracked separately because the fix is different — portion size rather than stock control.