Traditional Supply Chain

Traditional Produce Supply Chain Costs:

Growing and Harvesting $7999/acre
Water $19/100m2
Transportation (fuel) 2.79/gallon
Depreciaiton expense
Sanitation
Spoilage/Throw Away
Total:

BF Produce Supply Chain

Bright Farms Produce Supply Chain Costs:

Growing and Harvesting $9112/acre
Water $19/100m2
Transportation 2.71/gallon
Depreciaiton expense
Sanitation
spoilage/Throw Away
Total:

Farming Suppply Chain FC Monthly

Traditional Supply Chain $26,629.61

Bright Farm Supply Chain $14,408.00

*In order to produce 1000 cases of Iceberg lettuce per month, Brin

*In comparaison to Traditional Farming, there is a cost savings of $

 Source:
$7,999.00 http://www.westernfarmpress.com/vegetables/cost-survey-lettuce-industry
$768.90 https://www.oecd.org/unitedstates/45016437.pdf
$7,111.71 https://www.gasbuddy.com/Station/89341
$5,000.00 www.gasbwww.gasbuddy.com/Station/89341uddy.com/Station/89341
$750.00 https://coststudyfiles.ucdavis.edu/uploads/cs_public/a4/bb/a4bb20f0-4bfe-404
$5,000.00
$26,629.61

$9,112.00 http://www.westernfarmpress.com/vegetables/cost-survey-lettuce-industry
$768.90 https://www.oecd.org/unitedstates/45016437.pdf
$27.10 https://www.gasbuddy.com/Station/176278
$3,000.00
$750.00 https://coststudyfiles.ucdavis.edu/uploads/cs_public/a4/bb/a4bb20f0-4bfe-404
$750.00
$14,408.00

VC (per unit) Quantity Total Cost= FC+(V*Q)

$15.00 $1,000.00 $41,629.61

$13.00 $1,000.00 $27,408.00

tuce per month, Bringht Farm has the lowest total cost and therefore will be the better supply chain m

is a cost savings of $10,471.61.

y-lettuce-industry

ation/89341
b/a4bb20f0-4bfe-404e-b47e-b7a634ca80b5/2010lettuce_wrap_cc.pdf

y-lettuce-industry

b/a4bb20f0-4bfe-404e-b47e-b7a634ca80b5/2010lettuce_wrap_cc.pdf

Note: Using 1,000 cases of Iceberg

Lettuce as the comparative product.

better supply chain model to go with.