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Explore the challenges faced by one of Atlanta's top microbreweries, McGuinness & Co., and the need for systematic production planning to support sustained growth. Learn about their products - Pale Ale, Stout, Winter Ale, Summer Brew, and Octoberfest - and the operational framework used. Discover how the company plans production, schedules, and manages capacity to meet growing demands, all while maintaining quality and efficiency in this case study.
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Company Description • One of the three largest microbreweries in Atlanta area • Company started in 1995 • A 12,000sq. ft. production facility and warehouse in the Chattahoochee Industrial Park • The company is run by its owner, Mr. McGuinness • Three full-time and two-part time employees, and occasionally hires part-time help • Last year’s sales: > 35,000 cases => > $180,000 • Average weekly sales: 500-800 cases
Company Products • Pale Ale: The oldest company product. Since May 2000, this product is also offered in the NY and Boston areas, through a major national distributor. • Product monthly sales over the last four years (1997-2000) in cases of beer:
Company Products • Stout:A rather new product, offered only in the last 14 months. • Monthly sales in cases for the last 14 months:
Company Products • Winter Ale:A seasonal beer, offered primarily during the winter period (from October to April). • Product monthly sales over the last 4 years:
Company Products • Summer Brew: A seasonal beer offered primarily during the summer season. A new product offered over the last two years. • Product monthly sales in cases over the last two years:
Company Products • Octoberfest:An “image promoter” for the company, offered once a year, during the Octoberfest season. The product is delivered to the company distributors and the local restaurants only once a year, in late September or early October. • Product annual sales in cases for the last four years:
Grain cracking (1 milling machine) Mashing (1 mashing tun) Boiling (1 brew kettle) Fermentation (3 40-barrel ferm. tanks) Filtering (1 filter tank) Bottling (1 bottling station) Company Operations Fermentation Times:
Company Challenges • Company production scheduled by its owner, in an ad-hoc fashion • Sustained growth strains the company production capacity • There is a dire need for a systematic methodology that will allow the company and its owner to • foresee the expected production requirements over a certain planning horizon; • organize appropriately its production activity based on the forecasted demand; • systematically manage its growth by adjusting appropriately its capacity. • Eventually, this methodology should be offered to the company in a set of user-friendly tools.
A Production Planning & ControlFramework Tactical Planning Demand Forecasting Production Scheduling Capacity Planning Material Requirements Planning Execution Sales order Processing Purchasing Production Control Recording Inventory records Shop-floor data Collection