OPERATIONS MANAGEMENT

END TERM PROJECT

PRESENTED BY GROUP - 9

Om
Prakash Rajesh Himanshu Ojas Vandana
Ranjan Patidar Nagvani Bhandari Kothari
202212026 202212030 202212019 202212025 202212049
 PRODUCT ROADMAP

Q1 Q2 Q3 Q4 Q5 Q6 Q7 Q8

0 Min. 6 Min. 2 Min. 1 Min. 9 Min. 5 Min. Hold 3 Min.

Order and Wash & Mix Spooning Heat Oven Baking Cooling Pack /
reply (Kristen) (Oven) Collect
(roommate) Money
 KEY QUESTION 1

Order entry Bake

Q1 Cycle Time - 0 Min.
Q5 Cycle Time – 9 Min.

Start Time – 00:00 Start Time – 09:00

Finish Time – 00:00 Finish Time – 18:00

Wash/Mix Remove Cookies The total
Q2 Cycle Time – 6 Min.
Q6 Cycle Time – 0 Min. time to fulfill
Start Time – 00:00 Start Time – 18:00 the rush
Finish Time – 06:00 Finish Time – 18:00 order will be
Spooning Cool 26 Min.
Q3 Cycle Time – 2 Min.
Q7 Cycle Time – 5 Min.

Start Time – 06:00 Start Time – 18:00

Finish Time – 08:00 Finish Time – 23:00

Heat Oven Pack/Collect

Q4 Q8
Cycle Time – 1 min. Cycle Time – 3 Min.

Start Time – 08:00 Start Time – 23:00

Finish Time – 09:00 Finish Time – 26:00

 KEY QUESTION 2

How many orders can you fill in a night?

4 Hours = 240 Min.
3 Different order will take 78 Min. (26+26+26+)
Therefore Kristen will make minimum 9 orders in 234 Min.
Safety Margin of time = 6 Min.
3 Same orders will take 46 Min. (26+10+10)
Therefore Kristen will make maximum of 15 orders in 230 Min.
Safety Margin of Time = 10 Min.
 KEY QUESTION 3
How much of your own and your roommate’s
valuable time will take to fill each order?

Kristen Cycle Time

Wash, Mix and Spoon 6+2 = 8 Min.

Roommate Cycle Time

Heat oven, Remove 1+0+3 = 4 Min.
Cookies, Pack and
Collect Money
 KEY QUESTION 4
Because your baking tray can hold exactly one dozen cookies,
you will produce and sell cookies by the dozen. Should you give
any discount for people who order two or more dozen? If so,
how much? Will it take you any longer to fill a two dozen order
than a one-dozen order?
All costs of ingredients and boxes for each dozen are the same.
With that said, total valuable time is 6 (Wash & Mix) + 2 (Spooning) + 1 (Set timer
on Oven) + 2 (Packing time) + 1 (Process Payment) = 12 Min.
For 2 dozen order, total time is 6+2+1+2*2+1 = 17 min.
For 3 dozen order, total time is 6+2+1+2*3+1 = 22 Min.
 KEY QUESTION 5

How many electric mixers and baking trays

will you need?

As the charts and tables have shown, the electric

mixers is idle for a long time during the
production process, so only one is needed.
Because the mixer can only contain 3 dozens of
ingredients, during the whole process, at least 3
trays are needed,
 KEY QUESTION 6
Are there any changes you can make in your production plans that
will allow you to make better cookies or more cookies in less time
or at lower cost? For example, is there a bottleneck operation in
your production process that you can expand cheaply? What is the
effect of adding another oven? How much would you be willing to
pay to rent an additional oven?
Increasing the capacity of Load &
Bake
Oven will help start a new
order every 5 min. New Mix &
Cool Pack & Pay
capacity is 7.5 dozen/hour Spoon
(if all orders are one dozen
Load &
60/8 = 7.5 Bake
 PROBLEM FOR FURTHER THOUGHT 1

What happens if you are trying to do this by yourself

without your roommate?

Because all the tasks have to be done by Kristine alone, her time for
preparing one dozen cookies becomes 12 minutes (8+4), which will
exceeds the previous 10 min. cycle time for one dozen cookies. In this
case, Kristine herself becomes the bottleneck, rather than the baking
process.
However, if the order contains two dozens of the same kind of cookies,
the washing and mixing can be done together, so her time for this
order becomes 17 min. (6+2*2+2*1+2*2+1), which is less than the
previous of 20 min. If the order is 3 dozen, it becomes 22 min.
 PROBLEM FOR FURTHER THOUGHT 2
Should you offer special rates for rush orders? Suppose you have
just put a tray of cookies into the oven and someone calls up with a
“crash priority” order for a dozen cookies of a different flavour. Can
you fill the priority order while still fulfilling the order for the
cookies that are already in the oven? If not, how much of a
premium should you charge for filling the rush order?

As observed in previous chart, there would be no need to stop baking

of the previous cookies. The time that the rush order will delay is only at
most 1 min. And the previous order can be finished on time. There is no
need to offer a special rate.
 PROBLEM FOR FURTHER THOUGHT 3

When should you promise delivery? How can you look quickly at
your order board and tell a caller when his or her order will be
ready? How much of a safety margin for timing should you allow?

The finish time and additional 26 min. will take to finish a dozen order.
And by looking at board we can know when we will finish and become
idle and at that time we can promise delivery.
A (6+2) 8 min. safety margin for rush order will be a best possible time,
if we begin a wash and mix process, then a rush order comes in, we
have to stop and process that order. The previous order would be
delayed by a maximum of 8 min. to wash and mix the rush order.
 PROBLEM FOR FURTHER THOUGHT 4

What other factors should you consider at this

stage of planning you business?

• Market.
• Services.
• Cost.
• Capital.
• Labour.
• Investment.
• Product.
 PROBLEM FOR FURTHER THOUGHT 5

Your product must be made to order because each order is

potentially unique. If you decide to sell standard cookies instead,
how should you change the production system? The order taking
process? Other policies?

If we sell standard cookies, the value add will be:

• Bake cookies before receiving order.
• Order-taking process need to change.
• Create own cookie’s menu.
• Freeze balled cookies.
• Increase total production capacity per night by purchasing or renting an additional oven
or additional baking trays or premixing at advance. Etc.