FOR

DR. JUN-YEON LEE

MGMT 6355

FALL 2010

BY:

AMIN DADWANI

KRISTEN’S COOKIE COMPANY

INTRODUCTION:

A couple of students, roommates, planned to launch a cookie company in there on campus apartment. The purpose was to serve freshly baked cookies to hungry students late night by taking orders online.

They needed following equipments and ingredients in process of making Cookies: -

1-Equipment: - Oven, Food processor, Cooking tray, Spoons.

2-Ingredient: - Dough, Chocolate chip, M&Ms, Chopped health bars, Coconut, Walnut, & Raisins.

The cost of ingredient is $0.60 a dozen and $0.10 for a delivery box for a Dozen. In variable cost landlord bears the electricity charges. Considering The wage of self and roommate, we assume that they charges $10.00 an Hour.

Procedure of making Cookies: -

1- Add ingredient in a cleaned mixing bowl according to the customers demand. 2- Spoon the cookies in cookie tray.

3- Heat the oven and put the tray in it.

4- let it bake.

5- Take out the tray and put it aside to cool.

6- Pack the cookies for delivery.

1-How long will it take to fill the rush order?

This can be easily understood by following Flow Chart and a diagram. 0 minute in taking order on e-mail.

6 minutes in cleaning the mixing bowl and mixing the ingredients. 2 minutes in spooning a dozen cookies in a cookie tray.

1 minute in heating the oven and putting the tray inside.

9 minutes for baking the cookies.

5 minutes for taking out the tray from the oven and for cooling. 2 minutes for packing a dozen cookies in a box for delivery. 1 minute for collecting money.

This shows that it takes 26 minutes to fill a rush order.

2- how many orders can you fill in a night, assuming you are open four hours each night?

According to the case calculations, one order of a dozen cookies can be Served in 26 minutes and as they are working four hours each a night they Can fill about 9 orders in a night. But through following assumptions we Can prove that more orders can be filled if the processing time can Properly be curtailed.

Assumption: -

After filling the first order in 26 minutes, more orders can be served then 9 if the following measures can be taken considering the availability of Time, equipments and ingredients are the same.

Assumed Flow Chart: -

First 6 minutes of mixing is not needed in processing second order as the Mixing is already done in first process for three dozen cookies. 2 minutes of spooning and 1 minute of heating the oven and putting the Tray in it can be saved by starting this job when tray gets free from the First order and packing the first order and collecting the money. So the flow chart would be like this:

9 minutes baking time as the dough is already prepared in first batch and Spooning the cookies and heating and putting in oven is done in the Process of last 3 minutes of first batch.

5 minutes of taking out and cooling.

2 minutes of packing cookies in delivery box.

1 minute in collecting money.

So that comes to 9+5+2+1=17 minutes to process 2nd batch.

It is assumed that if the following batches would be processed after Keeping in mind that the availability of time, equipments and ingredient will Be same 13 orders can be served in 4 hours time.

3-How much of self and roommate’s valuable time wills it take to fill each order?

In processing the first order which will consume 26 minutes in all, following Time would be consumed of self and roommate: -

Self:

6 minutes for cleaning the mixing bowl and mixing the ingredients. 2 minutes for spooning the dozen cookies in cookie tray.

This brings to 8 minutes of self-used in the process.

Roommate:

1 minute of heating the oven and putting the tray in it.

2 minutes in packing the dozen cookies in a box.

1 minute in collecting money.

This comes to 4 minutes of...