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# Solved Case Study Solution: National Cranberry Cooperative 1996 By J Tucker (Download Now)

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## Description

Solution Pages: 4

Word (.docx)

### Structure of the Solution

1. Analyze and calculate costs and time taken from different angles. Make sure you get consistent answers and conclusions from each of your calculations and discuss why they all point to some decisions.
2. Identify the bottlenecks and why they exist (based purely on numbers).
• Say where the bottlenecks are purely based on numbers, and then tell us some ways by which you could expand production, although that’s not exactly stated in the case. If you wanted to really expand production, how do you do it and what are the best ways to do it? And then you can discuss the cost effectiveness of doing so.
1. How will you expand production? What are the best ways to do it? What are the most cost effective ways of doing so?
2. Analyze the difference between dry and wet cranberries and how this affects production.
• You may also want to focus on the dry versus wet cranberries.  It’s certainly very important to know the difference because the prices that you can sell them at are vastly different. Dry-harvested berries are more desirable.
1. Relate your research to the shortage of labor that exists in the present market and how it has affected policy and decision-making.
2. Relate all of this to shortage of labor, which was not present when the case was written. There was not a huge shortage of labor, but now there’s a huge shortage of farm labor. It doesn’t matter that the unemployment rate is 7% or 8% or 10% in some places. Whatever the unemployment rate, we see that there’s a shortage of labor so most of these farms are having a hard time finding people to work on these farms even when they pay twice, occasionally even three times, the minimum wage. And so how does that relate to this case, and how does that relate to broader policies by the government of what to do in this matter? So take a look at that, too, and try to bring that in at the end of your write-up.

### Sample of Solution

Analyze and calculate costs and time taken from different angles. Make sure you get consistent answers and conclusions from each of your calculations and discuss why they all point to some decisions.

Since, the efficiency of operations needs to be improved; cost-effective decisions need to be realized, which may suppress the implications attached to bottlenecks. With the increase in water-harvested berries to 70% of the total process fruit instead of 58% of this year. Processing capacity of wet cranberries, which takes an additional step for going through dryers as compared to already dry berries, needs to be increased.

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How will you expand production? What are the best ways to do it? What are the most cost-effective ways of doing so?

Increased production of cranberries can be directed to improved harvesting and their eventual efficient processing. The best way of increasing production would involve increasing labor efficiency, which can be realized through different training programs. Whereas, cost efficiency also needs to be realized in each process of dealing with cranberries, from preventing overtime by having labored on regular shifts to implementing cost-effective light meter system. Moreover, increasing the timing by shifting the start time from 11:00 AM to 7:00 AM would also provide an extra buffer for processing the berries. Additionally, automation is the way of increasing efficiency of processes and their cost-effectiveness. As with the increased automation and integrated processing mechanisms, the capacity of production can be increased while also keeping the cost as fixed and minimal.

…….

Relate all of this to a shortage of labor, which was not present when the case was written. There was not a huge shortage of labor, but now there’s a huge shortage of farm labor. It doesn’t matter that the unemployment rate is 7% or 8% or 10% in some places. Whatever the unemployment rate, we see that there’s a shortage of labor, so most of these farms are having a hard time finding people to work on these farms even when they pay twice, occasionally even three times, the minimum wage. And so how does that relate to this case, and how does that relate to broader policies by the government of what to do in this matter? So take a look at that, too, and try to bring that in at the end of your write-up.

Shortage of labor for farms directly impact the cost of production and eventually the costs of fruits and crops. Although, farms have to pay multiple times of the minimum wage to get labors to their farms, but due to limited availability, farms need to compromise on the efficiency of such labor even after paying additional wages. Since, the processing of cranberries also involves the provision of such labor starting from farms to the processing units, shortage of labor impact the production efficiencies and eventually the price of the final product. Government policies can realize strategic implications while addressing the issue of a labor shortage. For Instance, Agriculture agreement of 1937 which realize limitations of production quantities to define the quality and price of crops being produced, their intervention to direct greater labor to such farms can also improve the situation of availability of manpower. Since, with the increased labor, efficiencies of harvesting and crop processing can be put intact. The government can realize such intervention by procuring and allocating labor from overseas to make sure the farms are maintaining their cost-effectiveness, which can eventually lead to stable crop and fruit prices.

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