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harffen Berger Chocolate maker Group A3 Anjali Chandru Anuradha Dhote Oshin Vijaykumar Pankaj Bhati Sarika Chauhan

OScharffen Berger Chocolate maker (A)as

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Scharffen Berger Chocolate maker (A) Group A3Anjali ChandruAnuradha DhoteOshin VijaykumarPankaj BhatiSarika ChauhanSubharti Company overviewScharffen Berger was founded in 1996 by Robert Steinberg and John Scharffenberger.The chocolate maker in US market competing for $1.2 billion premium quality chocolate segment.Company had 60 employees and operated from a 27,000 sqft facility with 20,000 sqft production area, office space of 5,000 sqft and retail space of 2,000 sqftFacing high market demand which is outstripping production.High growth in demand is expected for its premium chocolate products and hence planning capacity expansion

Business Overview

Primary products at Scharffen Berger wereUnsweetened (99% cacao) , Extra Dark (82% cacao) , Bitter sweet (70% cacao), Semi-sweet , Mocha, Mint (all have 62% cacao), Milk Chocolate (41% cacao)Others: chocolate sauce, drinking chocolate, cocoa powder and chocolate covered figsPricingRetail: $0.50 for 5 gm., $2.00 for 1 ounce, $4.00 for 3 ounce, $10.00 for 10 ounce.Wholesale: approximately $0.35 per ounceSales$0.6 million in 1998,$10 million in 2004,Over $15 million estimated revenues for 2005

Cleaner(8hrsX7days)Roaster and Racks(8hrsX7days)

Winnower(8hrsX7days)

PackingSelf=35%, Other=65%Molder(2X8hrsX7days)

Temper(2X8hrsX7days)

Mixer(2X8hrsX7days)

Conche(3X8hrsX7days)

Conche(3X8hrsX7days)

BagsTankBinsBinsTankPROCESS FLOWSTART100 Kg96 KgWasteWaste4 Kg250 Kg185 Kg250 Kg65 Kg115 Kg115 Kg1400 Kg1400 Kg1400 Kg1400 Kg140 Kg140 KgProcesses involved:Bean Cleaner: Cleaning the cacao beansCapacity: 200 KgOperated at: 100 kg in 15 minRoaster:To roast the cacao beans in order to enhance their flavorOperation capacity: 250 Kg for 75 min and 15 min to cool offWinnower:To crack the cacao bean and separate the nib from the shellCapacity: 450 kgOperated for 250 kg of which 185 kg nib recoveredProcesses involved:Melangeur:Used to ground the nibs; this released the cacao butter and turned the dry nibs to chocolate pasteBatch size: 115 kgTime needed: 75 minsConche:For aerating and grinding the cacao granulesBatch size: 1400 KgAverage time requirement: 48-72 hoursFor unsweetened chocolate: 40 hoursFor sweetened chocolate: 50 hoursProcesses involved:TemperingLiquid chocolate is turned to solid state with the desired level of stability, smooth feel in the mouth and snapBatch: 140 kg per hourMolding Molding: Solidifying a chocolateBatch size: 140 kg per hours, 20 min to solidifyPackaging:35% of the chocolate was packaged in the factory itself65% of produce was sent to third party co-packersIncreasing capacityCapacity of the process is dependent on the bottleneck within process flowInitial capacity at 40000 Kg/per month, restricted by 48-72 processing hours taken up by conchesIntroduction of Ball-millIncreases capacity by 10%Leads to a new bottleneck in the system MelangeurFurther additions to capacity done by increasing number of shifts of different machines and identifying new bottlenecks and adding further shifts or machines accordinglyRefer Excel sheet