National Cranberry Cooperative Revised 3

Dry Destoners
Dry Trucks 4500 b/h
273.3/hr 4000 Dechafer
1500
Separators
Wet/Dry 1200 b/h
2000
Dryers
Dechaffers 675 b/h
3000 b/h
Wet
Wet Trucks 1200
1093.3/hr
Dumpers
3000 b/h



Arrivals

Wet berries 16,400 *.8 = 13,120 Dry berries 16,400 * .2 = 3,280
Per hour 13,120/12 = 1093.3 per hour 3,280/12 = 273.3

7 am start with no changes

Receiving backup wet berries (1093-675)*12 -3200 in bins = 1820
Time to unload trucks 1820/675 = 2.7 hours
Total Time per worker (7am to 7pm = 12 hours + 2.7=14.7)*20 days = 294 hours
Regular Time for 20 days 4 weeks * 40 hours per week = 160 hours
Overtime 294-160 = 134*15 workers = 2010
Overtime cost 2010*$15.75 = $31, 658

Processing Time per worker 13,120 wet berries per day/675 berries per hour = 19.4*20 days = 388
Regular Time for 20 days 160 * 2 shifts = 320
Overtime 388-320 = 68*17 workers = 1169
Overtime cost 1169*$15.75 = $18,405

Total Overtime cost $31,658 + 18,405 = $50,063




7 am start with 1 new dryer

Receiving backup wet berries (1093-900)*12 -3200 bin capacity = 0 (no new bins needed)
Total Time per worker (7am to 7pm = 12 hours)*20 days = 240 hours
Regular Time for 20 days 4 weeks * 40 hours per week = 160 hours
Overtime 240-160 = 80*15 workers = 1200
Overtime cost 1200*$15.75 = $18,900

Processing Time per worker 13,120 wet berries per day/900 berries per hour = 14.6*20 days = 292
Regular Time for 20 days 160 * 2 shifts = 320
Overtime 292-320 = 0 (no overtime)
Overtime cost $0

Total Overtime cost $18,900
Savings with 1 new dryer $50,063 - $18,900 = $31,163
Cost of 1 new dryer $60,000/$31,163 = 2 years. A great investment.
Pay Back Period

7am start with 2 new dryers

Receiving stays same

Processing time wet berries 13120/1125 = 11.7 hours
But separator becomes bottleneck
Processing time separator 16400/1200 = 13.7 hours

Processing Time per worker 13.67*20 = 273
Regular Time for 20 days 320
Overtime 273-320 = 0
No Savings
Payback period Infinite, a very bad investment

Recommendations

1. Buy one new dryer
2. No not convert any bins