Ncc Case Essay

1280 Words Aug 7th, 2012 6 Pages
National Cranberry Cooperative

Ques 1: Draw a detailed process flow map of the current process at receiving Plant#1. What is the capacity of each operation in the process?

Refer to the power point presentation. 2. What is the maximum long-term achievable throughput rate of receiving Plant 1? What factors affect this throughput rate?

The Truck arrival rate is at 20 Trucks/Hr. This year based on the numbers there is going to be 70% Wet and 30% Dry Berries.
Dried Berries:
Throughput rate = 30% of 20 Trucks = 6 truck (dried)/hr @ 75 bbls = 450bbls/hr Wet Berries:
Current Throughput rate possible = 600 bbls/hr or 8 Trucks/hr (Bottleneck)
Since 70% of 20 Trucks implies 14 Trucks/hr, we can expect the maximum long-term
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Total waiting hours = 132 Hrs.
The average waiting hours per truck = 132/168 = 0.786hrs/truck=47 minutes/truck.

6) What benefits would you expect if processing time were moved up from 11:00 am to 07:00 am during the peak period? Should this be done for the entire season?

11:00 A.M – Plant Start
Truck waiting costs = 552*$12.00/hr = $6624/day
07:00 A.M – Plant Start Truck waiting costs = 132*$12.00/hr = $1584/day We get, savings for shifting from 11.00am to 7am = $6624 - $1584 = $5040/day As the other costs are the same for both the working times, there is absolutely savings for moving up from 11am to 7am. As the season is from September 20 through October 10 there are 20 days of peak season.
Therefore we get, total savings per season = $5040*20=$100800/season Total savings per season = $100800/season. It should be done for the entire season.

7) NCC is considering the purchase of two new dryers(each costs $10000, the cost includes installation cost) and conversion of up to 10 dry berry holding bins (each costs $2000, that includes labor and material cost) so that they can hold water-harvested or dry berries. What are your recommendations? Assume that drivers are paid $12 per hour.
Addition of two new dryers implies the increased capacity for the drying station. They add an additional capacity of 2*200bbls wet berries per hour.
Total capacity for wet berries = 600+400 bbls=1000bbls = 1000/75 = 13
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