Setu.Technology
GlossaryRestaurant Operations

Wastage

Also called: food waste, spoilage

What is Wastage?

Wastage is stock that is bought and paid for but never sold — spoilage, over-preparation, trimming loss, spillage, staff meals and returned dishes. It is a real cost that hides inside food cost unless recorded separately.

Why Wastage matters

Wastage is invisible in the accounts by default: it simply makes food cost look worse without saying why. Recording it by reason converts a vague problem into a specific, fixable one.

Wastage formula

Wastage % = Value of wasted stock ÷ Value of stock used × 100

Tracked per category, it points straight at the culprit.

How Wastage works in practice

Keep a wastage log at the pass with item, quantity and reason. A week of honest logging usually shows most of the loss coming from two or three dishes or one over-prepped prep item.

Worked example

₹18,000 of monthly wastage against ₹4,00,000 of stock used is 4.5% — roughly one and a half points of food cost.

Frequently asked questions

Lower than most kitchens assume. The target matters less than the trend and knowing which items cause it.

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