The cookie production process is a fairly straightforward process. The process is initiated once the company receives an order from one of its distributers. The order is inputted into a computer which determines the correct amount of ingredients needed to produce the order. The ingredients are transferred into the mixers then to a cutting machine. The cookies are then transferred to an oven then to a cooling rack. After the cookies are cooked then they are manually packed. Lastly the packaged cookies are labeled and sealed.
2. What are two ways that the company has increased productivity? Why did increasing the length of the ovens result in a faster output rate?
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There are many factors, which will cause a company to carry minimal amounts of certain inventories. One such factor is constant change in industry policy. If an industry is known to have constant change in its regulations, it would not make sense for a company to carry mass quantities or an extended supply of an inventory with the chance of change at any given day. Another factor may be perishability of goods. A company should not store more of an inventory than they can use over a given period of time. For an example if the shelf life of milk is seven days, there would be no good reason to have a two-week supply on hand. What every is remaining after the seven days would just spoil. There are benefits to keeping minimal supply of certain inventories. Cost of materials would be cut because there would be little to no waste due to having just enough supply for production. Also in the event that they is a change in industry policy where a certain container or ingredient cannot be used anymore, then the lost incurred from unused inventories would be minimized. 5. As a consumer, what things do you consider in judging the quality of cookies you buy in a supermarket? There are a few things that I consider in judging the quality of the cookies I buy in the supermarket. The quality of ingredients are a major factor in determining the quality of cookies I purchase. A cookie which has less