National Cranberry Cooperative

1811 Words Sep 2nd, 2007 8 Pages
Table of Contents

1.) Introduction 2
2.) Process Analysis 2
3.) Process Flow at National Cranberry Cooperative 4
4.) Installing a Light Grading System 5
5.) Decreasing the truck waiting time 6
6.) Bag pack or Bulk Pack 8
7.) Conclusions 9

1.) Introduction
This case analysis looks at the two primary problems at the receiving plant no. 1 (RP 1) faced by National Cranberry Cooperative during the cranberry harvesting period, viz. 1) too much waiting period for trucks before they unload berries at the RP1 and 2) too much overtime costs. There is also a secondary problem regarding grading of process berries. Half of the berries graded top quality are actually not top quality and do not deserve extra premiums paid on the
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One more category in between 2A and 3 can also made having a lesser premium than quality 3. But the various other implications of this step should be taken into account like increased final processing cost and resentment from the farmers.

5.) Decreasing the truck waiting time
The main problem that the receiving plant is facing is that the trucks have to wait a lot particularly in the peak season before they can unload the berries. This cope up with the problem the cooperative installed an additional Kiwanee Dumper last year (i.e. 1969) but that didn't help in solving the problem.

We first analyze the average truck waiting time for the next year with present capacities and assuming 70% to be wet berries and rest dry.

As the wet berry processing would take lesser time if it bulk packed, we assume that during the peak season the wet berries are only bulk packed and dry berries are bag packed.

Assuming a berry arrival of 18,000 bbl in a day (7am to 7pm) in the peak season at a constant rate and , the average wet berry arrival rate would be (18000/12) * (70/100) = 1050 bbls per day and dry berry arrival rate would be 450 bbls per day.

With the processing starting at 11 am , the holding bins will continue to be filled at this rate subject to the maximum capacities for wet berries (3200 bbls) and dry berries (4000 bbls). The bins capable of holding wet berries would be
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