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Kristen's cookie company
Kristen's Cookie Company offers fresh cookies made to order using various ingredients, with a pickup time of one hour. The production process includes mixing, baking, cooling, and packing, with a total time of 26 minutes to fill an order for one dozen cookies. The business operates with minimal initial costs, relying on existing equipment and variable ingredient costs.
Kristen's cookie company
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- 2. Business Concept Freshcookie’s, ingredients as per the buyers. Pickup within an hour. No baking before any order is received. Ingredients- chocolate chips, M&M’s, chopped health bars, coconuts, walnuts, raisins.
- 3. Production Process 1) Mixall ingredients in the food processor. 2) Spoon out the cookie dough onto the tray. 3) Put cookie’s into the oven. 4) Baking of the cookie’s. 5) Take that tray of cookie’s out of the oven. 6) Let the cookie’s cool down. 7) Take cookie’s out of the tray. 8) Pack them in a box.
- 4. Costing No capitalequipment is required as we already have one food processor, cookie trays and spoons. One oven which holds one tray at a time. Electricity bill for oven is paid by landlord. Variable costs = cost of ingredient’s = $0.60 per dozen. Cost of box = $0.10 per box (each box holds a dozen cookie’s)
- 5. Time Analysis 1) Takeorder – 0 min. 2) Washing and Mixing – 6 min & dishing up the cookie’s – 2 min / tray. 3) Put cookies in the oven and set the thermostat and timer – 1 min. 4) Baking – 9 min. Thus total baking time is 10 min. 5) Removing the tray and cooling it down – 5 min. 6) Packing – 2 min / dozen. 7) Accepting the payment – 1 min.
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- 7. Q. How longwill it take to fill the rush order? - 26 min for one dozen. Q. How much order can be filled in one night if we are open for 4 hours each night? - 21 trays. Q. How much of your own and roommate’s valuable time will it take to fill each order? - Roommate = 4 min & Me = 8 min.
- 8. If 2 ovensare used 240 – 26 = 214 min. 214 / 8 = 26.75 = 27 dozens per day with two ovens. So, having 2 ovens increase the capacity from 60/10 = 6 dozen per hour to 60/8 = 7.5 dozen per hour.
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