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Kristen's Cookie Company

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Susie Lee

on 12 February 2016

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Transcript of Kristen's Cookie Company

Cookie Company
Mission: To provide fresh, hot out of the oven cookies

There will be a plethora of ingredients the customers can choose to add to their cookies. All of this would be available right on campus!
Kristen's Cookie Company
Santosh Bommidala
Christopher Huang
Susie Lee
Production Process
Receive online order
Spoon dough onto tray
Set thermostat and timer
Remove and cool
Pack in box
Process payment
How long does it take to fill a rush order?
How many orders can you fill 4 hours a night?
Considering the fact that it takes 26 minutes to complete the first order and 10 minutes after that to complete the next order, we can fulfill 22 dozen orders in one night (4 hours).

How much valuable time will it take to fill each order?
Discounts? How much?
decreasing cost/dozen
4th dozen would increase labor and material costs due to increased time
How many electric mixers and baking trays?
1 mixer
oven is bottleneck and can only fit 1 tray
adding more mixers will not help productivity

3 trays
mixer can make a batch of up to 3 dozen
each tray holds 1 dozen
Changes in Production Plan?
Profit = $36,828/school year
Invest in an oven!
Problems for
Further Thought
Working without your Roommate
one dozen = 12 minutes
more cookies = longer time
Special Rates?
Discounts should NOT be offered for rush orders
orders from discounts can pile up orders

Can you fulfill priority while fulfilling current order?
Cookies are already in the oven
Make batter while current order cookies are baking
Only charge premium if you have to stop and postpone current order
Promised Delivery & Safety Margin
Promise delivery after cookies are packed in boxes

Time until order is ready =
time to finish current order + (26 minutes x # order on board)

Safety margin = 8 minutes
Factors to Consider
demand for cookies on campus
cost of materials
number of workers
Change in Production System?
standard cookie = NO customization
result will lead to a change in the production system
create surplus!
not as fresh
Thank you!
Full transcript