Operations Management (McGraw-Hill Series in Operations and Decision Sciences)
Operations Management (McGraw-Hill Series in Operations and Decision Sciences)
12th Edition
ISBN: 9780078024108
Author: William J Stevenson
Publisher: McGraw-Hill Education
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Chapter 2, Problem 2.7CQ
Summary Introduction

Introduction:

A baking company situated in New York, which has an informal atmosphere, employs fewer than 200 blue collar employees. The company produces soft cookies with over 50 varieties. The company has a niche segment of customers promising high quality biscuits. Most of the patrons are over the age of 45 and prefer soft and non-sugary cookies.

The production process begins as soon as the management gets the order from its distributors. The production follows a batch processing system. The list of cookies to be made is fed into the system by the personnel in charge and the system evaluates the quantity of ingredients to be mixed. The process is followed by a giant machine, where additional products are mixed, baked, cooled and tested for quality. Finally, the cookies are boxed and labeled automatically.

The manufactured cookies are shipped instantaneously due to the perishable nature. The cookies are tested for their quality by a testing inspector. X-ray tests are also done to detect the existence of any foreign materials inside the cookies.

The company takes extra care to reduce the scrap formation and gets inputs from its customers for further potential developments.

To describe: The company’s strategy.

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