Home-style Cookies

Cookie production process:

The Baking Company, run by two brothers, employing fewer than 200 people, is located in a small town in New
York State. The company, home-style cookies, makes a high quality of soft cookies, having no additives or
preservatives, as per the orders received from the distributors. The cookie production process is called a batch
processing system, in which company uses two continuous band ovens, to bake the cookies. Manufacturers, of
anything from cakes to computer chips, have numerous ways of organizing production, and one of these methods
is called batch production or batch processing system, in which, instead of manufacturing things singly, or by
continuous production, items are manufactured in batches. A specific process for each item takes place at the same
time on a batch of items, and that batch does not move onto the next stage of production or inspection until the
whole batch is done (www.wisegeek.com). According to the text; batch processing is used when a moderate value
of goods or services is desired and it can handle a moderate variety of products and services (Stevenson, 2009, p.
239). The batch processing technique includes mixing, cutting and baking, for non filled cookies, but filled cookies,
requires an additional step for filling and folding. As soon as management receives orders from distributors,
production is scheduled, and process of making cookies begins. Every day, list of the cookies to be made is given at
the start of the shift, to the person in charge of mixing, who checks the master list, indicating the ingredients needed
for each type of cookie, and enters that information into the computer. The computer determines the amount of each
ingredient needed, according to the quantity of cookies ordered. The ingredients are automatically sent to giant
mixing machines, where they are mixed with proper amounts of eggs, water, and flavorings. Properly mixed
ingredients are poured into a cutting machine, where it is cut diagonally into individual cookies. The cookies are cut
diagonally rather than straight because this strategy requires less space, which in turn result is a higher level of
productivity. Once they are cut they are dropped onto a conveyor belt, and transported to one of two ovens, for
baking. Baked cookies that emerge from the ovens are fed onto spiral cooling racks. As the cookies come off the
cooling racks, workers place them manually into boxes, taking care to remove any broken or deformed cookies in
the process. The boxes are then wrapped, sealed, and labeled automatically (Stevenson, 2009). Measures to increase
productivity, and faster output rate:
According to Mankiw (1998, p.11), Productivity is defined as the quantity of goods and services produced from
each hour of a worker's time. Productivity is an overall measure of the ability to produce a good or service, more
specifically, productivity is the measure of how specified resources are managed to accomplish timely objectives as
stated in terms of quantity and quality, thus productivity may also be defined as an index that measures output
(goods and services) relative to the input (labor, materials, energy, etc.), used to produce the
output (www.enotes.com). Home-style cookie has adopted two ways, to become more efficient in increasing
productivity: 1) to cut the cookies diagonally, rather than round; and 2) increase in the length of each oven by 25
feet. The diagonal-cut cookies require less space, as they are able to fit more in the oven at one time, resulting in
higher level of productivity. Increase in the length of oven helps the company to produce more cookies at a time, and
thus results in a faster output rate, and increased productivity. Decision for not automating the packing as an
obligation to community, and employees: I think that the company is making the right decision, by employing 30
women to do the boxes manually, and not...

CEMBA 557 OPERATIONS MANAGEMENT

KUMASI CENTRE
CASE 1 Home- Style Cookies The Company
The baking company is located in a small town of York State. The bakery is run by two brothers. The company
employs fewer than 200 people, mainly blue-collar workers and the atmosphere is informal. The Product
The companys only product is soft cookies, of which it makes over 50 varieties. Larger companies, such as
Nabisco, Sunshine, and Keebler, have traditionally produced biscuit cookies, in which most of the water has been
baked out, resulting in crisp cookies. The cookies have no additives or preservatives. The high quality of the cookies
has enabled the company to develop a strong market niche for its product. The Customers
The cookies are sold in convenience stores and supermarkets throughout New York, Connecticut, and New Jersey.
The company markets its cookies as "good food"_ no additives or preservatives. __ and this appeals to a healthconscious segment of the market. Many customers are over 45 years of age, and prefer a cookie that is soft and not
too sweet. Parents with young children also buy the cookies.

The Production Process

The company has two and ovens that it uses to bake the cookies. The production process is called a batch processing
system. It begins as management gets orders from distributors. These orders are used to schedule production. At the
start of each shift, a list of the cookies to be made that day is delivered to the person in charge of mixing. That
person checks a master list, which indicates the ingredients needed for each type of cookie, and enters the
information into the computer. The computer then determines the amount of each ingredient needed, according to
the quantity of cookies ordered, and relays that information to storage silos outside the plant where the main
ingredients (flour, sugar, and cake flour) are stored. The ingredients are automatically sent to giant mixing machines
where the ingredients are combined with...