SCHAEFFER BERGER CHOCOLATE MAKER (A) CASE ANALYSIS Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

SCHAEFFER BERGER CHOCOLATE MAKER (A) CASE ANALYSIS Case Solution

Problem Statement

The company is known as a pioneer brand in the chocolate industry the company is producing high-quality chocolates made from up to 9 different types of cocoa beans which have procured from almost around the globe including Ghana, and other countries. The company initially started the business on a smaller scale and followed slow revenue and profit growth. However, the quality assurance and premium products allowed the company to take a large market share and to increase its business across the country. Therefore, the company started to follow the Kaizen strategy by continuously improving its production facility. Now the company has excess demand, and its productive capacities are not capable of meeting this request. The company is now following the reactive strategy instead of proactive strategy. The company is considering to expand its production facility by replacing some old processes to a new process. This study will allow the reader to understand the difference between the old and new process and to identify the potential ways to overcome problems, as well strategic threats.

Answer no 1

Capacity equivalent for Bean Cleaner

It is the most crucial factor in this case since; the bean cleaner is cleaning 100 kg bag in just 15 minutes. The filter is operated 8 hours a day (320 kg/day, 2240 kg/ week) 7 days a week. In both of the circumstances either 100% or 50% semi-sweet chocolate, bean cleaner has its importance since it is the predecessor of all the activities i.e. none of the production process can be done without the bean cleaning process. However, the company usually keeps a stock of two weeks for beans, and this will be accounted as for safety stock. Therefore, it can be concluded that the company has to maintain the cleaner properly to keep the process on the track and to ensure proper production.

Theory of Constraints and its importance in the case

The theory of constraints consists of five points which primarily belong to lean manufacturing. This process includes the identification of constraints, exploiting them with urgent improvement, reviewing them that they are aligned with the need or not, elevating them to identify that still the constraint is there or not and repeating the process.

In this case, this process has a vital role since the case is related to the business processes, and the company is facing many problems regarding their production capacity. The company is facing excess demand, and the capacity is not able to match that much demand as there are huge issues regarding the manufacturing process which will be discussed later in the case analysis.................

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