Operations Management: National Cranberry case

Case Write-up #1a National Cranberry

Team membership: You must work in groups of 3 or 4 on this case

Mechanics:  Page length limitation: Not more than Title + 6 pages, laid out as follows:
•    Title page: fill in the template on following page with your section and names of authors.
•    Page 1: A memo addressed to Hugo Schaeffer following template format (see following page), single spaced, stating your findings in the categories listed.
•    Pages 2-6: Detailed analytical support for your Page 1 memo.

Layout:
•    Page size: US standard 8.5” x 11”
•    Margins: Minimum of 1” on all four sides
•    Font Size: 12 pt (or larger)

Please delete this first page, fill in your names on the cover page that follows.  In the pages that follow, keep the section headings, but replace the instructions with your own content that addresses the issues called for in the instructions.  In your writing, please pay attention to layout for readability (bulleting, use of white space, figures/tables, etc.).

Finally, leave in place the last page as a separate page, which contains a grading key, which will be filled in when your case is graded.  Notice that this key tells you how many points each part of the case analysis is worth.

Good luck!

National Cranberry Case Report

One-page (single-spaced) memo that summarizes key findings of analysis and recommendations (citing economic justifications) for RP#1.  This should clearly state the strategic objective of the co-op and explain how current operations do or do not support it.  While it should not include detailed calculations, it should give the reader a clear sense of how you logically arrived at your conclusions concerning the causes of problems and your recommendations for actions with which to address them.

Supporting Analysis

Your analysis should address the issues below.

(Note: You may make use of the following information and assumptions about National Cranberry:
•    On an average “busy” day there are 17,280 bbl arrive over the 12-hr period (7 am to 7 pm). This is based on a “typical” busy day in September.
•    All operations at RP#1 start at 7am.
•    Wet berries are 75% of all berries.
•    Holding bins 17-24 are dedicated to wet berries.
•    Capacity of the dumpers is 3,000 bbl / hr (it takes on average 7.5 minutes to dump a truck, a truck holds on average 75 bbl so, from Little’s Law, each of the five dumpers will take 600 bbl/hr).
•    Drivers are paid $30/hr. (Rates for other employees are given in the case.)

Causes of Delay

Present a process flow diagramfor RP#1, labeled with relevant capacity and utilization #s on a busy day in September 1996. Indicate different processing flows for wet and dry berries. Clearly identify the bottleneck.

Describe the situation during a typical busy day by constructing an inventory build-up diagram for bins and trucks. Your diagram should include build-up and draw-down rates, inventory levels, and times.

Analysis of Investments

Provide an economic analysis of at least three of the following four candidate investments:

•    Kiwanee Dumper #5 purchased in 1995.
•    1 or 2 new dryers
•    bin conversions
•    light meter system for color grading.

Conclusions

Describe the main insights from this case using the “operations prism” framework to identify the flows, variability and buffers in the National Cranberry system and their relevance to the problems at RP#1 and your recommendations to address them.

Case Write-up #1a National Cranberry

Team membership: You must work in groups of 3 or 4 on this case

Mechanics:  Page length limitation: Not more than Title + 6 pages, laid out as follows:
•    Title page: fill in the template on following page with your section and names of authors.
•    Page 1: A memo addressed to Hugo Schaeffer following template format (see following page), single spaced, stating your findings in the categories listed.
•    Pages 2-6: Detailed analytical support for your Page 1 memo.

Layout:
•    Page size: US standard 8.5” x 11”
•    Margins: Minimum of 1” on all four sides
•    Font Size: 12 pt (or larger)

Please delete this first page, fill in your names on the cover page that follows.  In the pages that follow, keep the section headings, but replace the instructions with your own content that addresses the issues called for in the instructions.  In your writing, please pay attention to layout for readability (bulleting, use of white space, figures/tables, etc.).

Finally, leave in place the last page as a separate page, which contains a grading key, which will be filled in when your case is graded.  Notice that this key tells you how many points each part of the case analysis is worth.

Good luck!

National Cranberry Case Report

One-page (single-spaced) memo that summarizes key findings of analysis and recommendations (citing economic justifications) for RP#1.  This should clearly state the strategic objective of the co-op and explain how current operations do or do not support it.  While it should not include detailed calculations, it should give the reader a clear sense of how you logically arrived at your conclusions concerning the causes of problems and your recommendations for actions with which to address them.

Supporting Analysis

Your analysis should address the issues below.

(Note: You may make use of the following information and assumptions about National Cranberry:
•    On an average “busy” day there are 17,280 bbl arrive over the 12-hr period (7 am to 7 pm). This is based on a “typical” busy day in September.
•    All operations at RP#1 start at 7am.
•    Wet berries are 75% of all berries.
•    Holding bins 17-24 are dedicated to wet berries.
•    Capacity of the dumpers is 3,000 bbl / hr (it takes on average 7.5 minutes to dump a truck, a truck holds on average 75 bbl so, from Little’s Law, each of the five dumpers will take 600 bbl/hr).
•    Drivers are paid $30/hr. (Rates for other employees are given in the case.)

Causes of Delay

Present a process flow diagramfor RP#1, labeled with relevant capacity and utilization #s on a busy day in September 1996. Indicate different processing flows for wet and dry berries. Clearly identify the bottleneck.

Describe the situation during a typical busy day by constructing an inventory build-up diagram for bins and trucks. Your diagram should include build-up and draw-down rates, inventory levels, and times.

Analysis of Investments

Provide an economic analysis of at least three of the following four candidate investments:

•    Kiwanee Dumper #5 purchased in 1995.
•    1 or 2 new dryers
•    bin conversions
•    light meter system for color grading.

Conclusions

Describe the main insights from this case using the “operations prism” framework to identify the flows, variability and buffers in the National Cranberry system and their relevance to the problems at RP#1 and your recommendations to address them.