This unit is applicable to meat retail operations.

Nil

ELEMENT

PERFORMANCE CRITERIA

1. Cost product

1.1. Cost price of product is calculated.

2. Price product to achieve business goals

2.1. Prices are calculated to achieve enterprise sales, stock and profitability targets.

Required skills

Ability to:

alter electronic scales to show correct sales price

apply mathematical skills appropriate to the task

calculate margins required to return gross profit targets

calculate product cost price based on invoice price and cost price based on yield

calculate sale price to achieve required return according to enterprise targets and goals

explain concepts of 'break even point', and 'gross' and 'net profit' margins

apply relevant Occupational Health and Safety (OH&S), regulatory and workplace requirements

identify overhead cost per kilogram

mark ticket prices to show correct sales price

use communication skills relevant to the task

Required knowledge

Knowledge of:

concepts of 'break even point', and 'gross' and 'net profit' margins

reasons for prices calculated to achieve more than or less than gross profit margin

relevant OH&S, regulatory and workplace requirements

elements contributing to the total cost of the product (total cost of purchase, preparing or selling product)

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

The meat industry has specific and clear requirements for evidence. A minimum of three forms of evidence is required to demonstrate competency in the meat industry. This is specifically designed to provide evidence that covers the demonstration in the workplace of all aspects of competency over time.

These requirements are in addition to the requirements for valid, current, authentic and sufficient evidence.

Three forms of evidence means three different kinds of evidence - not three pieces of the same kind. In practice it will mean that most of the unit is covered twice. This increases the legitimacy of the evidence.

All assessment must be conducted against Australian meat industry standards and regulations.

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Competency must be demonstrated over time and under typical operating conditions for the enterprise.

Context of, and specific resources for assessment

Assessment must occur in the workplace under normal operating conditions or in a simulated environment.

Method of assessment

Recommended methods of assessment include:

assignments

simulation

workplace referee or third-party report of performance over time.

Assessment practices should take into account any relevant language or cultural issues related to Aboriginality or Torres Strait Islander, gender, or language backgrounds other than English. Language and literacy demands of the assessment task should not be higher than those of the work role.

Guidance information for assessment

A current list of resources for this unit of competency is available from MINTRAC www.mintrac.com.au or telephone 1800 817 462.

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Product may include:

Bone-in, bone out, sliced or trimmed meat

smallgoods

value-added products.

Targets and goals may include:

customer targets including return custom, average purchase per customer, specific product purchase

market share

returns and profits , including variable net or gross profit margins on selected items and total product range

stock targets including product mix ratios and levels, sale of surplus product or stock.

Mathematical skills may include:

the use of calculators and computer software packages

estimation and calculation

the use of familiar and unfamiliar complex formula

product formulation and specification

interpretation and drawing conclusions from a range of simple and complex mathematical tables, charts, bar graphs and pie charts

monitoring, adjusting and calibrating formula, specifications, outputs and equipment

synthesis and analysis of mathematical information from more than one source.

Explanations may:

be presented orally, in writing using standard formats or using a range of communications technology and media

include information from several sources

present information in diagrammatic, tabular, graphic or pictorial formats

require summaries of information for presentation to work colleagues

use workplace, mathematical and technical language.

Gross profit is based on fixed and variable overheads (including wages and salaries, sole proprietor drawings) and net profit requirements of the business.

Gross profit is based on:

fixed and variable overheads, including wages and salaries, sole proprietor drawings, and net profit requirements of the business.

OH&S requirements may include:

enterprise OH&S policies, procedures and programs

OH&S legal requirements

Personal Protective Equipment (PPE) which may include:

coats and aprons

ear plugs or muffs

head-wear

mesh aprons

protective boot covers

uniforms

work, safety or waterproof footwear

requirements set out in standards and codes of practice.

Regulatory requirements may include:

Export Control Act

federal and state regulations regarding meat processing and food handling

hygiene and sanitation requirements

relevant Australian Standards.

Workplace requirements may include:

enterprise-specific requirements

standard operating procedures (SOPs)

work instructions.

Overhead cost per kilogram may be calculated using:

total purchase weight or actual weight of meat sold.

Communication skills may include:

interacting with people from a range of cultural, social and ethnic backgrounds and with colleagues, superiors, customers, clients and external parties

speaking clearly and directly

the use of communication technology

own work and the wider work area

reading and interpreting workplace documentation.

Unit sector

This unit contains employability skills.