Kristens Cookie Case Study

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Kristen’s Cookie

Company

Group 6:
Ankit Pradhan – 2021194
Arghadeep Mukherjee – 2021201
Kenneth Mascarenhas – 2021217
Rishika Thakur – 2021228
Rounak Chakrawarti – 2021231
Salil Maini – 2021233
Process flow chart:
Washing and Spooning
mixing Baking
onto he tray
(6 minutes) (10 minutes)
(2 minutes)

Payment Packing Cooling


(1 minutes) (2 minutes) (5 minutes)
Gantt Chart:
Time (mins) 4 8 12 16 20 24 28

Process  

Washing and mixing            

Spooning            

Baking            

Cooling            

Packing            

Payment            
1)How long will it take you to fill a rush order?

• The total time to fill a rush hour order is the


throughput time which is equal to 6+2+10+5+2+1=26
minutes.
2) How many orders can you fill in a night assuming you are
open four hours each night?

• The first order will take 26 minutes to make and every successive order will take
10 more minutes.
• Therefore in a 4 hour / 240 minute shift, to find the total orders that can be filled ,
we can solve for ‘a’ in the following equation (a is an integer)
26+10a <=240
• This gives us a<=21.4 , i.e , a can be a maximum of 21. Along with the first
order , we can thus have a total of 22 dozen cookies in 4 hours.
3) How much of your own and your roommate’s valuable time will it take to fill
each order?
• Time taken by me –
Process Time
Washing & mixing 6 minutes
Scooping 2 minutes
Total 8 minutes

• Time taken by my roommate –


Process Time
Setting oven 1 minute
Packing 2 minutes
Accepting payment 1 minute
Total 4 minutes
4) Because your baking trays can hold exactly one
dozen cookies, you will produce and sell cookies by
the dozen. Should you give any discount for people
who order two dozen cookies, three dozen cookies or
more?
If so, how much? Will it take you any longer to fill a
two dozen cookie order than a one dozen cookie
order?
• Mixer and oven charges paid by landlord
• Only variable cost is the labor.
• Let labor cost for 1 dozen cookies is Rs. “x”

• Time for 1 dozen cookies = 6+2+1+2+1 = 12 minutes.


• Time for 2 dozen cookies = 6 + 2*(2+1+2) + 1 =17 minutes.
• Time for 3 dozen cookies = 6+ 3*(2+1+2) +1 = 22 minutes.

• Technically, labor cost for 2 dozen cookies should be 2x Rs but we get a 17 minute labor
cost as (x/12)*17 = 1.41x Rs. Thus we have an additional 0.58x Rs that can be given as
discount.
• Similarly, labor cost for 3 dozen cookies can be calculated as (x/12)*22 = 1.83x Rs. Thus
the maximum discount we can give is Rs. 1.17x for 3 dozen cookies.
5) How many electric mixers and baking trays will you
need?

• Since the electric mixer can hold a maximum of 3


trays of ingredients, 1 electric mixer will be sufficient.
• We will require a minimum of 3 trays for smooth
operation of the entire process.
6) Are there any changes you can make in your
production plans that will allow you to make better
cookies or more cookies in less time or at lower cost?
For example is there a bottleneck operation in your
production process that you can expand on cheaply?
What is the effect of adding another oven? How
much would you be willing to pay to rent an
additional oven?
• The baking time is the evident bottleneck in the operation
• Adding an oven would reduce the cycle time for the oven to 5 minutes from 10
minutes.

Baking
(10 minutes)
Washing and
mixing Spooning
(6 minutes) (2 minutes) Baking
(10 minutes)

Payment Packing Cooling


(1 minutes) (2 minutes) (5 minutes)
• After adding the second oven; we will be baking 2 dozen at a time.
• Washing the bowl and mixing will take the first 6 minutes.
• Scooping the mixture into the tray will take 2 minutes each time. So at 8 minutes the
first batch will be put in oven 1 and at 10 minutes the next batch will be put in oven 2.
• Baking will take 10 minutes in each case and the cookies will be kept for 5 minutes for
cooling at minute 18 and 20 respectively for the 2 ovens.
• After this; the process of packaging and payment takes 3 mins in each case.
• At the 18th minute, the second tray is put in the first oven and at the 20th minute, the
next tray is placed in the second oven.
• Now the cycle rate is 10 minutes again for each oven and they are offset from each
other by 2 minutes.
• In this way, the number of cookies we can bake in 4 hours doubles from 22dozen to 44
dozen by adding a second oven.
• When we add a second oven, the number of trays required also increases from 3 to 6.
Thank you!

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