Yuxiang Wang

FSM122
2/28/16
EQUIPMENT CAPITAL BUDGET JUSTIFICATION
Purpose
To purchase a full-size combination oven to replace the old and broken steamer in our
restaurant kitchen.
Situation Analysis
Our restaurant currently uses a steamer that is 6 years old and has reached the end of its
useful life cycle. The steamer has lost one handle and it presents an unacceptable safety
risk to the staff and the restaurant. Since we introduced the new menu last month, our
customers demands have increased tremendously and we are in need of a convection
oven.
A combination oven (combi oven) would allow us to replace the steamer while saving
plenty of kitchen space. It can perform three modes of cooking to cook a wide range of
high-quality foods: steam, convection and a combination of both. A new combi oven will
be vital to our restaurants need to increase productivity while decreasing costs in order to
promote greater profitability.
Options & Evaluations
The following table compares 3 gas and 3 electrical full-size combi ovens. One gas
combi oven and one electric combi oven both manufactured by Unox are each compared
to a base efficiency and an energy star oven. Unox is the choice of many top chefs. Unox
uses materials that come from sustainable production and are easily recyclable at the end
of their life cycle, which aligns to our mission.
Table.1 Three gas and 3 electrical full-size combi ovens were compared by their number
of pans, preheat energy consumption, idle energy rate, heavy-load cooking energy
efficiency, production capacity, water consumption rate for heavy-load cooking and life
time costs.

Gas Base
Efficiency
Combi
oven

UNOX Gas Combi

Oven: XAVC-10FSGPR
Initial Cost ($)
Number of Pans
Preheat Energy Consumption

7975 Btu=2.34kWh

Gas
Energy
Star
Combi
Oven

UNOX
Electric
Combi
Oven:
XAVC10FSEPR

Electric
Base
Efficiency
Oven

Electric
Energy
Efficient
Oven

8773

6679

10065

6575

5225

7735

20

20
22000
Btu

20
16000
Btu

20
1.54
kWh

20

20

3.75 kWh

2 kWh

Steam Mode Idle Energy Rate

Heavy-load Cooking Energy Efficiency for
potatoes (%)

60000
Btu/h

4765 Btu/h=1.4 kw

18000
Btu/h

1.65
kW

12.5 kW

6 kW

49

20

38

63

40

50

Steam Mode Production Capacity (lbs/hr)

260

150

200

287

150

200

Water Consumption Rate (gal/h)

12.7

70

30

13

70

30

Lifetime Energy Cost($)

4524

19704

9132

28464

85620

52776

Lifetime Water Cost($)

3120

17220

7380

3192

17220

7380

Life Time Maintenance Cost ($)

1440

1440

1440

1500

1500

1500

17857

45043

28017

39731

109565

69391

Total Lifetime Cost($)

Analysis
Gas is less expensive than electric in California. Among the 3 gas options, the base
efficiency combi oven has the lowest initial cost of $6,679. However, the gas combi oven
manufactured by Unox (model: XAVC-10FS-GPR) has the lowest preheat energy
consumption and idle energy rate, but the highest heavy-load cooking energy efficiency
and production capacity among the 3 gas ovens. The initial cost of the Gas Energy Star
Combi Oven is the highest and its total lifetime cost is higher than the Unox gas combi
oven. The Unox gas combi oven has the lowest total lifetime cost of only $17857
compared to the total lifetime cost of the base efficiency combi oven, which is $45943.
Thus the Unox gas combi oven is the best choice among these 3 ovens.
Among the 3 electric ovens, the base efficiency option has the lowest initial cost of only
$5525. The electric combi oven manufactured by Unox (model: XAVC-10FS-EPR),
costing $6575 initially, has the lowest preheat energy consumption, the lowest idle
energy rate and the lowest water consumption but the highest heavy-load cooking energy
efficiency and production capacity. In the long run, its lifetime energy cost is only one
quarter of that of the electric Base Efficiency Oven. Even though the initial cost of the
electric Base Efficiency Oven is the least expensive, its total lifetime cost is the highest.
The UNOX Electric Combi Oven is able to produce more food while costing very little
energy.
The gas ovens, though they all have a higher initial cost than the electric ovens, all have
lower lifetime costs compared to the electric ovens. Comparing the Unox gas combi oven
and the Unox electric combi oven, the initial cost of the gas option is $2195 more than
that of the electric option. The preheat energy of the gas oven is higher (7975 Btu =
2.34kWh >1,54kWh). Considering its heavy load cooking energy efficiency (49% vs.
63%) and steam mode production capacity (260lbs/hr vs 287lbs/hr, the gas option is less
productive. However, the gas oven is more cost effective: its idle energy rate, water
consumption, lifetime energy cost, and life time water cost are all significantly lower than
the electric oven. The total lifetime cost of Unox gas oven is $21874 less than the total
lifetime cost of the Unox electric oven.

Performance
During peak production hours, our restaurant typically needs to prepare 200 servings of 8
ounces of steamed or convection foods per hour. The Unox gas combi oven has a
production capacity of 260 lbs/hr of potatoes, which is higher than 100lbs/hr
(200serv/h.*8oz/16=100lbs/h). Thus, the Unox gas combi oven is able to adequately
produce the quantity of food our foodservice requires during meal times.
Final Recommendation
I recommend purchasing the UNOX XAVC-10FS-GPR Gas Combination oven. When
viewed in relation to the cost of our kitchen's overall energy consumption, the purchase
of this combi oven is well worth its initial price. Initially costing $8773, the Unox gas
oven has the lowest total lifetime cost of $17857 of all six options. Its steam mode
production capacity and heavy-load cooking energy efficiency are the highest among all
three gas ovens. Its lifetime water and energy costs are the lowest across all models
presented. The lowest total lifetime cost along with the high production capacity makes it
the best choice for our restaurant. This multi-functioning machine can help us save on
labor and energy costs and increase overall productivity in our kitchen!