Par is an operating promise
A par level is the amount of product you want available before the next delivery cycle. It should reflect sales velocity, delivery schedule, menu importance, storage space, and cash discipline.
The mistake is setting par once and never revisiting it. A profitable par level changes when seasonality, menus, events, vendors, or pricing change.
A simple par formula
Start with expected usage between deliveries, add a reasonable safety buffer, then subtract what is already on hand. That gives the order quantity.
For example, if a restaurant uses three bottles of house vodka between deliveries and wants one extra bottle as safety stock, the par is four bottles. If two bottles are on hand, the suggested order is two.
- Expected usage before next delivery
- Plus safety stock
- Minus current count
- Equals suggested order quantity
Do not let par hide dead stock
High par levels can quietly turn shelves into trapped cash. If a product is not moving, the solution is not always another order. It may need menu placement, staff training, a feature cocktail, or removal from the active list.
Put the guide into practice
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