CATERING
Question 1.
Are the operations of Cooper Kettle Catering conducive to the application of JIT concepts and practices?
The Williams’ can efficiently manage the deliver-only process by
Purchase Automated Machines to prepare food & Box meals - Staff reduces
Automated
Machines to prepare food & Box meals - Staff reduces
Purchase
1 food preparation employee working the machines, food preparation employee working the machines,
2 1cooks
2 cooks
Substantially Increase Savings
Increase
Savings
Substantially
Drastically lower annual labor costs
Drastically lower annual labor costs
Decrease inventory
Decrease
inventory
Increase profits and market-share in the long-run
Increase profits and market-share in the long-run
Overall demand for delivery-only is fairly constant throughout the year - absorb any schedule changes demand for delivery-only fairly constant Overall
More inventory/ capacity slack dueis to a lean systemthroughout the year - absorb any schedule changes
More inventory/ capacity slack due to a lean system
Collaborating with reliable suppliers
Collaborating
Better quality with reliable suppliers
Better
quality
More future customers
More future customers
Question 2. What, if any, are the major barriers to implementing a JIT system at
Copper Kettle Catering ?
• Reliability of Supply - Reliability is low due to the nature of the items that are supplied.
• Location of CKC’s vendors – Majority of the vendors may have their farms in faraway from the where CKC is located.
• Incoterms – CKC’s vendors operate under different Incoterms
• Flexibility of the Supply – it might not be economical to supply or purchase small quantities as and when required. Cost may go up.