University of the Philippines Diliman

Extension Program in Pampanga

Clarkfield, Pampanga

Site Visit: Creamline Dairy Manufacturing Plant

Creamline Dairy Corporation is a company that manufactures and distributes
a wide range of high quality ice cream products in variety of flavors and affordable
prices. The company started its operations in June 2004, with its ice cream plant
located in Cark Freeport Zone, Pampanga. Creamline uses modern manufacturing
facilities and equipment to ensure the quality of their products. All of their raw
materials are imported from their trusted suppliers in Europe and Australia.
The company has succeeded in positioning themselves in the market by
targeting retail/ sari-sari stores and offering their customers affordable prices. The
company also has an efficient and systematic operation process. They ensure that
every part of their operations are carefully planned and managed.
Last Saturday, March 21, 2015, our class conducted a site visit at their plant
in Clark, Pampanga. During the tour, one of their employees described to us their
operations and production process. Some of the information that we learned
regarding their operations are as follows:
Design of Goods and Services
The company offers a wide variety of ice cream products. To determine what
kind and flavors of ice cream to sell, they assign a research team to study and
develop their product designs.
Managing Quality
For checking the quality of their products, they have a quality control
department that frequently monitors the production process and ensures that each
product is correctly processed.
Process and Capacity Design
In order to produce high quality ice cream, Creamline follows a series of
production steps.
1. Mixing: where all ingredients are blended together to produce the ice cream
mix
2. Homogenization: breaks down or reduces the size of the Fat Globules
3. Pasteurization: the biological control point on the system to destroy any
Pathogenic Bacteria
4. Ageing: the ice cream is aged for at least 4 hours to improve the whipping
qualities of the mix, body and texture of ice cream
5. Slush Freezing: the ice cream mix passes through the continuous freezer to
produce soft ice cream
6. Filling: the soft ice cream is then filled into cones, cups, sticks and bulk
container using different filling machine

7. Blast freezing: the ice cream is stored in the freezer until they are ready for
consumption.
Layout Strategy
The ice cream plant follows a product oriented layout, which is best for their
continuous and repetitive production process.
Human resources, job design, and work measurement
The workforce of the company consists of permanent and contractual
employees. The heads of each department are hired permanently, while the factory
workers have 5-year working contract and are supplied by a recruitment agency.
Supply-chain management
The raw materials needed for the production are imported from their
suppliers in Europe and Australia. The raw materials are then processed in the
factory and then the finished goods are delivered to retailers and sari-sari stores.
Inventory, material requirements planning, and JIT
Creamline has no inventory system. They places their order usually a month
before their production run. The quantity of their orders depends on the product
orders they received.
Intermediate and short term scheduling
The company has no definite production schedule. The frequency of their
production run also depends on the demand level of their products. Since their
product is extremely popular during the summer, their production run is usually
once a week. However, during rainy or cold seasons, their production run is seldom.
Maintenance
The company regularly monitors their equipment to ensure that they are
working well.

Having an efficient operations management process is a great competitive

advantage for Creamline. Since they have a systematic production process, they are
able produce safe and high quality products. They also provide a comfortable
workplace environment for their employees. Moreover, they are able to gain the
trust of their consumers by offering affordable and quality products.
By the end of the month, Creamline Dairy Corporation will be absorbed by the
Republic Biscuit Corporation (Rebisco). It is a good opportunity for Creamline
because the company will be able to expand its production and improve its
operation management.

Clarissa T. Sapnu
2012 - 29261