Case Study: Kristen’s Cookie Company
Key questions to answer before you launch the business:
1) How long will it take you to fill a rush order?
If the order is one dozen, the flow time will be 26 minutes for the first order. (Order entry = 0 mins / Wash and mix = 6 mins / spooning = 2 mins / heating oven = 1 min / baking it = 9 mins / removing the cookies = 0 minute / cooling them = 5 minutes / collecting them = 3 minutes)
2) How many orders can you fill in a night, assuming you are open four hours each night? (4 hours = 240 minutes)
The first step in this analysis is to convert all of the projected times into the same measure of units so that we can compare the 4 hours to the amount of time it takes to run through the process. Because the process is measured in minutes, we converted the allotted time of 4 hours into 240 minutes (4x60 min = 240). The next thing that we realized was that after the first batch, which takes 26 minutes, it only takes 10 minutes to process the cookies for each subsequent batch. So in order to calculate how many orders can be filled in the 4 hours that you have available each night, we take the 240 minutes and subtract the initial 26 minutes and then divide that number by ten. Once you have that number of 21.4 you want to add one to that to account for the first initial batch that you subtracted so that number comes out to 22.4 orders. Since you cannot produce 0.4 of an order, we round that number to 22 orders to have a whole amount.
Cycle time + 1
((240-26)/10) + 1 = 22.4
≈ 22 orders of a dozen cookies
3) How much of your own and your roommate’s valuable time will it take to fill each order?
To find the valuable time that me “Kristen” and my roommate take to fill each order we found the cycle times of each person’s processes. We disregarded the time it takes to bake and cool the cookies (9 + 5 minutes) because this is non-valuable time that could be used to do something else. My (Kristen’s) personal...
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