Kristen's Cookie Company Case Study Essay

FUTRONICS Inc. is a private company located in Lexington mainly categorized for modems, monitors, disk drives and terminals. It is moreover in to sales and services. This case is about the replacement of Futronics’s central office stores by an outside service provider. In this case supply management manager have an opportunity for investigating selected outsourcing in-house services.

As the rising District Manager for the new Dunkin’ Donuts stores, many factors must be presented, analyzed, promoted, and executed. Opening new stores requires innovative ideas, being ahead of the game with the newest trends, and stabilizing the stores for the least amount of turnovers. Managing stores also means maintaining respect while coaching is vital. This requires feedback on both upward and downward channels of communication. For the purpose of this paper, Dunkin’ Donuts will be assessed and evaluated based on its job and organizational designs, criteria for recruiting and

1- The total unit cost = Total Variable Cost + Production Fixed Expenses + Advertising Expense + Selling and Administrative Expense = 3.23 + 1.20 + 0.30 + 0.19 = 4.92.

WGD is a distributor that provides winter sports appeal and equipment to suppliers like FastFit. Their main business needs are profit, market capital, market share, operational excellence, and improved decision making

In the Fixed-Order Quantity Model (Q-Model), every time that the stocks reach a specific level an order is placed. Q-Model requests a constant monitoring in inventory levels. The risk of stock out only occurs during the lead time, thus the safety stock is less than in P-Model for the same service level. Reorders are placed when stocks reach (R), and the safety stock that must be reordered is:

Second, the manufacturing order costs for non-stocked items was calculated by dividing total manufacturing order costs for non-stocked items by the number of orders for non-stocked products. Non-stocked products have additional costs associated with processing orders that went above and beyond the costs associated with a stocked product. The third step involved determining what the S"A allocation factor would be for calculating the S"A volume related costs. This allocation factor would then be applied to manufacturing COGS. The fourth and final step involved the calculation of the operating profit based on backing out volume related costs from sales revenues followed by deducting S"A and manufacturing order costs from the resulting gross margin to arrive at a operating profit.

During the game, I realized that wide gaps in orders of every role in the supply chain such as factory, distributor and retailer create inventory management challenges. For example, distributor records 0units between week1-week 4 compared to retailer within the same period. The retailer records 3units, 5units, 2units and 2units between weeks 1- week 4. The same applies to factory with 0units from weeks 2-4. Addressing inventory management problems requires developing an average unit level to avoid disappointing customers when demand

BENIHANA INC, an American restaurant company was founded in 1964 in New York City and has 116 Japanese cuisine restaurants. Benihana simulation is a computer simulation of an operation management result based on concept of Benihana restaurant in Tokyo designed by Harvard school. The outline of the simulation is based on two seating position i.e. bar and the dining area. The target of this restaurant based simulation is to boost utilization, nightly profit and throughput time by using batching strategy, size of bar and cycle time and different advertising scheme. Simulation consist of 6 challenges where only 1 to 3 factor can be changed in challenges 1 to 5 whereas challenge 6 is a combination of strategies to gain the maximum output i.e. nightly profit by using all possible factors from 5 previous challenges.

| The objectives are (1) audit of KCN’s financial statements for the year ended 12/31/05, and (2) issuance of a letter on compliance with covenants of the client’s letter of credit agreement.

A long-time friend insists that Natalie has to somehow include cookies in her business plan. After a series of brainstorming sessions, Natalie settles on the idea of operating a cookie-making school. She will start on a part-time basis and offer her services in

I have taken it upon myself to test two inventory management systems and have found a system that will yield the least cost to Parts Emporium Inc. The two systems I have tested are the Continuous Inventory System and the Periodic Inventory System. Using data that I have gathered from the products DB032 and the EG151, I have compiled calculations and have concluded a continuous inventory system would be best for our corporation. Attached you will find said calculations; I would like to take this moment and present the continuous inventory system and recognize all of the relevant costs. The following is an explanation of each calculation under the continuous inventory system:

The first tool to compensate demand fluctuation is building inventory as given in the case text. Quantitative trade-off of this tool is basically the opportunity cost of holding inventory which is given as $8 per unit per month. In addition, keeping products for long time intervals in inventory could lead them to hold outdated products which can be though both quantitative and qualitative trade-off. Considering that these aspects should have been included in the inventory holding cost; no additional modification related to these trade-offs are considered.

The cost factor is one of the major concerns for Benihana’s growth. Each new unit costs $300,000. In order to reduce the startup cost, Benihana must find revisit its operating model and re-evaluate what is the most important to the customers. Looking back at exhibit 4, majority of respondents valued quality and taste of the food, service and preparation of food. These are the qualities that truly separate Benihana from other restaurants. Changing Benihana’s staffing model, including training, and the use of materials and labor from Japan, will most certainly minimize new unit cost.

Expansion in to the production line type environment is strictly discouraged. It has been shown that the Benihana model works with the combination of food quality, service and atmosphere. The hurdle from this concept to being known only for the food quality is too costly and may prove to be unsuccessful in the future. At the same time, the name would have to display the Benihana name to promote that quality. If this concept were to fail, this could later have a damaging effect upon the Benihana name itself. Therefore, it is recommended that the product line concept be discarded.

 Demand occurs continuously over time  Times between consecutive orders are stochastic but independent and identically distributed (i.i.d.)  Inventory is reviewed continuously  Supply leadtime is a fixed constant L  There is no fixed cost associated with placing an order  Orders that cannot be fulfilled immediately from on-hand inventory are backordered